In July 2000, Bertelsmann Music Group acquired the company, intending to combine it with its BMG Direct record club as a new venture called BeMusic, and eventually add Napster to the service. Bertelsmann paid just $117 million, a price that was down over 90% from the valuation of the company at its peak in April 1998. The founding Olim brothers received a total of $17 million. In April 2001, the company cut 40 employees, 10% of its staff. In August 2001, the company closed its Japanese website and laid off 200 employees.