Sony acquires Gracenote for $260 million

Sony has acquired Gracenote, a company that provides tools for identifying digital media, for $260 million.

Sony, which announced the deal Tuesday, said it will allow Gracenote to operate as a standalone business and that it intends to use Gracenote's technology to "enhance and accelerate its own digital content, service, and device initiatives."

Gracenote's senior management is expected to stay with the company. Sony said in a statement that the deal is expected to be finalized late next month.

Gracenote has amassed a database of audio files that content owners can use to track their copyright content. Customers include iTunes, Yahoo Music, and AOL.