Project Playlist may have suffered a setback when MySpace made the decision to ban the service from their site, but it isn't all doom and gloom for them altogether. Facebook has made the decision to keep the service onboard, ignoring cries from the RIAA to remove it. Whether or not that will last is less important than the legal battles the company is facing, with Warner, EMI, UMG and RIAA all bearing down on them with lawsuits.

In that sea of bad news, however, there is a bit of hope for them as well. Sony BMG has opted to work a deal with Project Playlist, avoiding lawsuits and hopefully improving the service. Relying on “business speak,” the founder of Project Playlist claims that working with Sony BMG will let them improve the quality of content, along with enhancing the service in general. Whether or not corporate sponsorship will improve a service like this is debatable, but at the very least they have found something that may help prevent them from going under. In the past, online playlist services have not lasted long, and it certainly seems like the bell has tolled for Project Playlist. Their deal with Sony BMG may make or break them.