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Magnatune is a small Berkeley, California–based independent record label, founded in spring 2003 by John Buckman, then-CEO of e-mail software company Lyris. It aims at treating both its musicians and its customers fairly—its tagline is "We are not evil".

It originally only sold music for download through its website, but added a print-CDs-on-demand service in late 2004, and in October of 2007 began selling complete albums and individual tracks through the Amazon.com Music Store. In May, 2008 Magnatune launched all-you-can-eat membership plans , and is believed to be the only online music site to offer a DRM-free unlimited membership. Magnatune was the first record label to license music online and as of May 2008 had sold over 3000 licenses in its five years of existence.