Today was a huge day for digital music. Not only did the 9th Circuit Court of Appeals rule that Napster may be held liable for contributory copyright infringement, but also because stocks on Wall Street for digital music companies soared.

EMusic.com (EMUS) has seen its stock fall as low as $0.25 in the past year, but with today's Napster ruling the stock jumped an astounding 69.23%, to $0.68. This is good news for the company because if the stock hadn't shown signs of life, NASDAQ officials were threatening to drop it from the market.

Earlier today Gene Hoffman, President and CEO of EMusic.com, issued a statement in respect to today's court decision in the Napster case: "We are pleased that the district court will be issuing a new injunction against Napster that will effectively block the unauthorized distribution of music files. This should establish a clear foundation for the growth of legitimate music download services on the Internet -- where artists, labels and consumers all have a voice in how digital music is enjoyed."

EMUS was not the only digital music company to show profit from the market, MP3.com's MPPP also had a substantial gain. The stock jumped to $4.59, up 8.09%. With a 52-week high of $33.50 MPPP still has a long way to go, but the increase is a welcome boost for investors.

Among others in MP3's space, Launch Media (LAUN) is unchanged at $1.72 and Artistdirect (ARTD) is rallying 20% to $0.75 cents.