“Apple Computer Inc. boss Steve Jobs pledged yesterday to repel ‘greedy’ record companies’ demands for higher music download prices, warning that any such move would encourage piracy… As their contracts with Apple come up for renewal, music companies are seeking to improve their take from sales through the U.S. iTunes site, which charges 99 cents (U.S.) per song. Prices are typically higher in Europe, Japan and other regions,” The Globe and Mail reports.
The Globe and Mail reports, “Mr. Jobs indicated he plans to stand firm. ‘Customers think the price is really good where it is,’ he said. ‘We’re trying to compete with piracy, we’re trying to pull people away from piracy and say, ‘You can buy these songs legally for a fair price,” he added. ‘But if the price goes up a lot, they’ll go back to piracy. Then everybody loses.'” Industry analyst Philip Leigh, who runs U.S. market research firm Inside Digital Media, said that as long as Apple controls the market for music players and paid-for downloads, ‘it’s going to be very difficult for the labels to avoid dealing with Steve Jobs on his terms.'”
Full article here.
This battle is just getting started.
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