Major record labels re-sign for iTunes, prices may increase to $1.25 a song | iLounge News

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Major record labels re-sign for iTunes, prices may increase to $1.25 a song

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By Dennis Lloyd

Publisher, iLounge
Published: Friday, May 7, 2004
News Categories: iTunes

“The five major record labels have been in negotiations recently with Apple over pricing and other issues associated with the year-old download service, which was launched to great fanfare last April.

All five of the deals - with Universal, Sony, BMG, EMI and Warner Music - have already been signed, sources say, and the new pricing is already being rolled out for albums.

EMI and Sony Music, which this week launched its own download service called Sony Connect, were said to be the most aggressive on pricing.

Under the terms of some of the deals, the prices for some of the most popular singles could rise to $1.25, according to sources familiar with the negotiations. Songs have previously been priced at 99 cents across the board.”

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Comments

1

they’re going the wrong way, i wasn’t planning on buying music downloads unless they went to $0.49

Posted by malcanta on May 7, 2004 at 7:27 AM (PDT)

2

Keep in mind this quote from Steve Jobs from only a week ago:

“Steve Jobs: Great. Let me answer those two things. First one is the price for songsin the iTunes store is remaining 99 cents per song, and we think that’s what customers want and that’s what we’re delivering. So the prices will remain 99 cents per song and any rumors to the contrary are simply not true.”

Posted by Jerrod H. in TX on May 7, 2004 at 7:35 AM (PDT)

3

if they go to 1.25 I’ll bet the downloads will be cut in half..

Posted by glen ersly on May 7, 2004 at 7:50 AM (PDT)

4

I think i speak for a lot of people in saying that an additional 26 cents won’t be breaking the bank… but I will stop using iTunes if the price increases. The “.99” music store has built it’s whole foundation on the fact that a song is less than a buck! For users to only get this great price for only a year is unbelievable. They should be rewarding people like us who can easliy still download for free on many sites… but have made the switch to doing it legally.

Posted by ntljr in Woodland Hills, CA on May 7, 2004 at 7:58 AM (PDT)

5

really, the best route for anyone wanting to listen to music is to stick to more independent material—there’s enough good stuff out there to last you several lifetimes.

that way, when you buy a song from Magnatune, Bleep, or Audiolunchbox, you WON’T be:

1.) sending your cash to the RIAA
2.) attributing to the success of a service that fronts the RIAA, supporting the operation of tyrannous record labels with your cash
3.) supporting propietary DRM
4.) locking yourself into using iTunes or an iPod as your portable player

by opting for other services that aren’t iTunes/Walmart/Sony/Rhapsody/etc.., you WILL be:

1.) sending more cash to the musicians you like
2.) attributing to the success of a service that better represents and compensates the musicians you like, without restricting how you listen to your music
3.) free to listen to your music however you want, whether it be with winamp or foobar, linux or whatever OS you use, ipod or rio karma

Posted by support independent music on May 7, 2004 at 8:03 AM (PDT)

6

i agree totally malcanta. this would be a major step backwards

Posted by bb_dg on May 7, 2004 at 8:04 AM (PDT)

7

[url=http://www.allofmp3.com]http://www.allofmp3.com[/url] - the way to go.

Posted by dmeineck on May 7, 2004 at 8:06 AM (PDT)

8

If it goes up just boycott buying music online.
It’s that simple, maybe that way they will get the message.
Just by used CD’s or new CD’s from places that sell them cheap.

Posted by Cyantre on May 7, 2004 at 8:15 AM (PDT)

9

“They should be rewarding people like us who can easliy still download for free on many sites… but have made the switch to doing it legally.”

Rewarding you for obeying the law?  What kind of topsy turvy world are you proposing?

Posted by wewhoeat on May 7, 2004 at 8:17 AM (PDT)

10

I just lost a LOT of respect for apple if they go through with this.  They should be LOWERING prices not raising.  Who in their right mind would pay more for downloading an album than buying the physical cd and ripping it???  Bad move apple, bad move.

Posted by acemilo on May 7, 2004 at 8:20 AM (PDT)

11

SCUMBAGS!!!!!

Posted by Pigpen65 on May 7, 2004 at 8:21 AM (PDT)

12

with that kind of price, it would be a lot cheaper to buy a physical copy of the album. Not only would you not have to deal with the DRM, but you could have it at any quality you want, for a lifetime. It just makes more sense. And if you go to an independent record store, you can get most CDs from $8.99 - $14.99. It doesnt get any better.

Posted by SilentRaven on May 7, 2004 at 8:26 AM (PDT)

13

Wow; it’s a good thing that I live in Canada and can continue to download for free without current fear of any repurcussions <said sarcastically>.

And increasing the prices is going to lure more people to the music store how?

Someone, somewhere just doesn’t get it. Allow me to choose the music I want (don’t force album sales), at a fair price (99 cents per song isn’t bad), and with no restrictions and then I’ll start to buy digital music. Until that point is reached, I’ll continue to buy CDs and download for free.

Tom

Posted by Thomas Davie on May 7, 2004 at 8:30 AM (PDT)

14

always with the “we want more money” thing.  damn.  i guess i should be used to it but yea, no.  i hope the record companies aren’t stupid enough to actually think that since we’re buying the music at .99 that we would buy it for 1.25. . . .come on

Posted by J on May 7, 2004 at 8:32 AM (PDT)

15

I think $0.99 is a little high for songs. At that price most music at iTunes is more expensive than the actual CD. $1.25 will definitely stop me from using iTunes. The music industry and apple are making a huge mistake.

Posted by Gabe on May 7, 2004 at 8:34 AM (PDT)

16

“that way, when you buy a song from Magnatune, Bleep, or Audiolunchbox, you WON’T be:” - ntljr

hey, could you post links to these services. I tried googling, but “Bleep” is such a generic word that I wasn’t able to find very relevant results.

Posted by Starboard on May 7, 2004 at 8:36 AM (PDT)

17

It seems to me like the record companies are trying to force Apple out of the picture in order to move with their own agenda.  I mean look at Sony’s (mentioned as one of the big five) recently launched Connect, which offers 99 cent songs and 9.99 albums.  They are just raising Apple’s price point to encourage people to invest in their own stores, so they can lock them in there.  It seems to me like everyone wants a piece of the pie.  Until a company embraces all the available technologies, and has the artists signed to dominate the market, we are just going to see more and more splintering.  Now if Apple started signing artists….. that would be interesting, but they would get the crap sued out of them by the Beatles record label.  Should make for an interesitng twist though…

Posted by meteparozzi on May 7, 2004 at 8:36 AM (PDT)

18

I agree somewhat with meteparozzi. I think that the labels are a bit worried that iTMS could stay the dominant store, and played hardball with Jobs et al to lock in a higher price as part of the contract. iTMS needs the material, so there probably wasn’t much Apple could do.

IMHO, boycotting iTMS is exactly the wrong way to protest. Rather, we need to support iTMS, just not buy any titles/artists at the higher price points.

Posted by Aceon6 in New England, USA on May 7, 2004 at 8:42 AM (PDT)

19

Just to avoid people taking this story the wrong way, read carefully.

I happened to be an editor of a newspaper and I would never let this crap get published. There is not even one named source in the whole story. It’s usually “some sources say” or “said a reliable source.” Read again and you won’t find any quotes from Apple or the labels.

Stick to what Steve said and quit believing slow news day libelous rumors.

Posted by Wolf on May 7, 2004 at 9:04 AM (PDT)

20

Wow… I wish I was as clever as those record label bods. I mean, a way to make money AND DECREASE the number of illegal downloads! Way cool!

</sarcasm>

Posted by Angelfly on May 7, 2004 at 9:05 AM (PDT)

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