Universal gathering allies to take on iTunes
Universal Music Group chief Doug Morris is gathering support from other labels, including Sony BMG and Warner Music Group, in hopes to build a subscription-based iTunes competitor, reports BusinessWeek. The service, which is among several under consideration, would be called Total Music, and would tie a $5-per-month subscription fee to the price of compatible players. Unlike current subscription plans, this business model would allow consumers to pay just once for the player, and have unlimited music for the life of the device. It is estimated that this plan would add about $90 to the price of any Total Music device. “If the object is to wrest control of the market from Steve Jobs,” says Gartner analyst Mike McGuire, “this is a credible way to try it.”
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