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Apple eyeing iTunes subscription service?

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By Charles Starrett

Contributing Editor
Published: Wednesday, April 11, 2007
News Categories: iTunes

Despite Apple consistently denying it has any interest in offering a subscription-based music service, CNNMoney.com is reporting that Apple’s stance may soon change. According to Les Ottolenghi, CEO of Intent Media Works, a digital distribution system that works with P2P networks, he has had meetings with Apple and believes the company is on the verge of announcing a subscription service for iTunes. “I think Apple is seriously considering a subscription offering right now even though they will probably tell you otherwise,” he said.

This move would go against market precedents, which show that rival subscription services such as Napster, Rhapsody, and Yahoo! Music Unlimited have struggled against the iTunes model. Some feel, however, that subscription services have failed to catch on with consumers due to the lack of an iTunes-based option. “The number one factor retarding the acceptance of the subscription model is the dominance of Apple. The idea of subscribing to music is new to most consumers so when the dominant player doesn’t talk about it, the idea seems out of the mainstream for most consumers,” said Phil Leigh, a senior analyst with Inside Digital Media.

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Comments

21

and to go along with what Obadiah said, Apple is struggling with their movie sales apparently. It is okay, but a rental service would be so much better. Why would you want to pay $10-15 for a movie that could look just as good if you have a good DVD ripper, such as PQ DVD, and have the file and the actual DVD disc for near the same price. If I want to watch a movie on my tv, I think it would look a whole lot better if it came from the actual disc in a DVD player.

Posted by doompod on April 12, 2007 at 3:24 PM (PDT)

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