CDs 'set for scrap heap'

CDs on sale - but not for much longer?

The compact disc could be consigned to the history books within five years, a British opinion poll suggests.

More than 1,500 people were surveyed by Mori, with 37% of 15 to 25-year-olds claiming they will stop buying CDs within the next five years.

Across a wider age group, 24% of people between 15-64 thought they would stop buying CDs within five years.

The survey also found that 33% of internet users said they would have a "virtual record collection" including material downloaded from the internet by 2005.

However, only 14% of those polled had ever downloaded music from the internet.

The survey was carried out for Creative Labs, which makes portable digital entertainment products such as MP3 players.

MP3.com could face more legal problems

The company's European retail director Duncan Jackson said: "The Mori findings confirm many of our views.

"Many internet users are already downloading music as today's portable digital audio devices carry thousands of music tracks.

"PC sound quality is truly challenging the traditional hi-fi as the main home music system."

MP3.com 'threat'

However, the way listeners of the future will download their music is still the subject of fierce debate.

Online music company MP3.com could face a fresh legal challenges from major record companies, a week after striking a deal with the Universal Music giant.

MP3.com, which allows users to make online copies of CDs they already own, reached an agreement with Universal allowing it access to its back catalogue in return for $53.4m (£37.1m).

But MP3.com had settled with other companies for less, and US trade paper Hollywood Reporter claims that Sony and Warner Music are threatening legal action to increase their settlements.