Yesterday, Carat Direct announced that it had merged into Carat Interactive, to become Carat Fusion; today, Carat Fusion announced that it has picked up Napster, a major digital media brand, as a new client, reports MediaPost (via MediaBuyerPlanner). Carat will handle media planning and buying for Napster, including broadcast, cable, print, outdoor, interactive, SEM, and affiliate marketing, with the agency's first work centering on buying for the upcoming holiday season.

When Napster was purchased by Roxio, that company's media buying and planning agency Mediasmith relaunched the Napster brand. David Smith, Mediasmith CEO, said a couple of people would be let go as a result of the Napster loss.

But, he added, the company still expects to double its 2005 revenues as compared with last year, particularly since it recently picked up National Geographic and K&N Engineering - two clients worth $5 million in billings.