China's Baidu, Music Labels Launch Online Service

Chinese search engine Baidu.com says it is launching a music download service with three global music labels in China in a deal that ends legal disputes with them.

Baidu said Tuesday it will distribute music online with Universal Music, Warner Music, and Sony Music and pay them for the content. The downloads are available only in China and will compete with a similar service run by rival Google Inc.

Baidu said it and the music companies also agreed to end outstanding litigation. Music companies have sued Baidu over complaints that it links to websites offering pirated music.