Slacker Inc., a San Diego-based digital music service, has ousted CBS Radio in a multiyear deal to deliver online radio to AOL Inc.'s 6 million listeners.
The agreement, announced Tuesday and scheduled to take effect later this summer, will more than double Slacker's audience of 5 million monthly users.
Slacker's listeners are just a fraction of the 34 million people a month who tune in mostly for free to Pandora, a rival Internet radio service whose parent company began selling shares on the New York Stock Exchange two weeks ago.
Unlike Pandora, which makes most of its money from selling ads, Slacker has focused on getting its listeners to pay for its premium subscription services. About 6% of Slacker's users, more than 300,000, subscribe to its ad-free or on-demand music service. Slacker hopes to win over even more subscribers from AOL's pool of listeners.