Ernesto Schmitt: Peoplesound.Com

While hanging out with friends in a London bar in November, 1998, Ernesto Schmitt, 28, came up with the then-novel idea of giving away music on the Web. In a flash, the self-described frustrated disk jockey quit his lucrative job at Boston Consulting Group. In November, 1999, he launched peoplesound.com Ltd., a British site where consumers can listen to music for free or buy and download complete albums.

By the time peoplesound.com made its debut, there were already dozens of free music sites on the Web. But Chairman Schmitt is serving up more--and making his mark on the music industry. His localized German, British, and French sites showcase 4,000 independent European bands--all screened by the company's 750 talent scouts, so it's not cluttered with schlock rock. And to increase customer satisfaction, he dreamed up a unique search system that allows consumers to zero in on just the tunes they'll like.