Sky Songs, a streaming music service from the satellite broadcaster, launched little over a year ago is to close.
The service hoped to rival Apple's iTunes and Spotify in popularity, offering at launch for £6.49 or £7.99 per month streaming options promising millions of songs. A limited number of tracks could also be downloaded each month as part of the deal.
More recently Sky charged £4.99 per month with the option to download five free songs and buy others individually.
Sky notes in a statement: "Unfortunately Sky Songs is to close. Although we've created what we believe to be a really innovative and good value digital music service, regrettably we've not been able to reach a large enough customer base in order for the service to continue."
"If you are a subscriber, please be reassured that any tracks you have previously downloaded using the service remain yours to keep and are not affected by the service's closure. All existing customers will be able to continue to use the service until it closure on 7th February 2011."
Sky had big ambitions for Sky Songs, and the service received mainly positive reviews at launch.
"We want millions of homes using this regularly," Neil Martin, Sky's business development director told The Guardian in October 2010.
"Our music partners bring an outstanding catalogue and unrivalled expertise that complements Sky's strengths in content distribution. Sky Songs will reach out to consumers who want legitimate digital services offering choice, ease of use and great value," added Mike Darcey, Sky's Chief Operating Officer in a press release.