Yesterday Apple gathered independent record labels for a meeting to explain how they could participate in the iTunes Music Store. Derek Siver, President of CD Baby was at the meeting and has posted key points from the presentation by Steve Jobs. A few points from the meeting:
- Everyone is going to get the exact same deal. It’s not negotiable. It’s take it or leave it.”
- This is a reseller agreement: Apple buys at a wholesale price. Apple resells them to users. “No complicated or messy licenses.”
- Apple only deals with the partner/label. It’s up to the label to pay the artists, writers, publishing, etc.
- Rights are a 3 year term. For iTunes only, of course. This is totally non-exclusive.