Downloadify/GitHub

A developer published a Chrome extension called Downloadify designed to let people download MP3 copies of the songs they stream over Spotify's Web-based player, but it quickly disappeared from the Chrome Web Store.

"Simple Chrome Extension to Download all Spotify Songs," reads the Downloadify description on GitHub. "Spotify made a great html5 player for their service...But they forgot their encription [sic]...Hey, I don't like encription but love spotify, just pay them for their magnificent content and I am sure they fix it soon."

The extension presents a dialog box that lets a person save a song as soon as it starts playing.

Google apparently booted the extension from the Chrome store.

That's no surprise. According to the Google Chrome Web Store developer agreement, those writing Chrome extensions agree that they "will not engage in any activity with the Web Store, including the development or publication of Products or other materials, that...infringes on the intellectual property rights of others [or] enables the unauthorized download of streaming content or media."

However, squelching the extension might not be easy. Its methods are visible, since the developer published the code on GitHub.

Spotify said it was looking into the matter. Google declined to comment on the specific case but said, "We remove apps from the Chrome Web Store that do not comply with our terms of service."

For Spotify, the timing couldn't be worse. Its licensing agreements with all three major labels are up for renewal this year, and the company is deep in negotiations with Warner Music Group and Universal, according to sources familiar with the discussions.

The company, which recently crossed the 5 million subscriber mark, is pushing for better financial terms from the labels and a deal that would let it offer a beefier service for mobile users. Spotify has become the No. 2 digital revenue source for all the labels, behind Apple.

Updated 5:33 p.m. PT with Google comment.

CNET's Paul Sloan contributed to this report.

(Via The Verge)