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iTunes singles pricings reportedly to rise

updated 07:30 am EDT, Fri May 7, 2004

iTMS singles to cost more

Apple will the media when the third-generation iTunes Music Store launched just ten days ago.

by MacNN Staff

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vvedge
Mac Enthusiast

Joined: Jul 2001

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05/07, 07:57am | report spam | close Reply |
Good idea record labels..

Make the same mistake you made with CDs and make it more appealing to steal music.

Thumbs up!

Yea and Apple needed to be taken down a peg too. They ALWAYS enjoy market dominance.

Outlyer
Fresh-Faced Recruit

Joined: Dec 2001

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05/07, 08:00am | report spam | close Reply |
Vertical Squeeze

While it remains to be seen, Sony launching a music store could easily make life difficult for Apple. Because they own both the "manufacturing" and the "distribution" they could raise factor prices to Apple, and lower their retail costs and squeeze Apple's thin profit margins pretty hard.

Toyin
Mac Elite

Joined: Nov 2000

0

05/07, 08:05am | report spam | close Reply |
Oh Well

I've been good since the iTunes store opened. It may be time to fire up Acquisition again.

chabig
Addicted to MacNN

Joined: Jun 1999

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05/07, 08:10am | report spam | close Reply |
Yes, but...

"Because they own both the "manufacturing" and the "distribution" they could raise factor prices to Apple, and lower their retail costs and squeeze Apple's thin profit margins pretty hard."

Yes they could squeeze Apple. But remember that Apple is the only one making money with their online store--because they sell iPods. Sony won't make money with the online venture either. And Apple will still have the iPod.

By the way, have you seen Sony's store? I'm not impressed. There is not one clickable download link or song on the home page? Aren't they supposed to be selling music?

Wutzo
Fresh-Faced Recruit

Joined: Apr 2002

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05/07, 08:19am | report spam | close Reply |
Sony

Sony also sells Hardware that is tied to their online store through the ATRAC fromat.

Record industry will destroy Apples dominance to find itself in M$ hands under a M$ digital rights management.

Joined:

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05/07, 08:38am | report spam | close Reply | delete
that's all folks!

iTunes was my first stop when I wanted a song I heard on the radio. If it was there I bought it.

I'll still do that, but if it's over 99 cents, off to Poisoned I'll go.

@ho
Registered User

Joined: Apr 2003

0

05/07, 08:42am | report spam | close Reply |
dont do that

Apple has done a great effort for downloading legal music from the internet, rising the prices of singles and more on albums will made legally less atractive, and in fact their music is available just as albums, well It will be really hard to buy online, what will be the advantage if you can go to any store and buy it at less price or even worse to lables use peer to peer networks.

If in fact true just shows how la labels dont understand the consumers and really doesnt whant to look to the future of digital media.

I WONT BUY ANY SONG OVER 1 DOLLAR,
repeat
I WONT BUY ANY SONG OVER 1 DOLLAR

And to sony, you should support Apple in this, because in few months when your "music store" will have to go down Apple will still the only succesfull online music store, a real music store with apealing portable devices, because who uses sonys?

typoon
Addicted to MacNN

Joined: Oct 1999

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05/07, 08:45am | report spam | close Reply |
Thanks Guys.

I've been good since the iTMS has opened. Haven't even fired up poisoned or Acqlite once. Nice of the record labels to stifle success and increase the amount of stealing of music. They wanted people to stop. If they do this it will definitely NOT help one bit.

DAMN RECORD LABELS!!!!!!

IonCable
Mac Enthusiast

Joined: Apr 2001

0

05/07, 08:49am | report spam | close Reply |
Leave it to

Leave it to the Record companies to s**** the pooch. They had a good thing going. To bad the record execs feel they need for another limo, summer home, and airplane. I never expected the .99 cent download to last, but I did for atleast a couple of years.

ibeetle
Registered User

Joined: May 2003

0

05/07, 08:56am | report spam | close Reply |
Why do they hate us?

This has got to be the only industry that hates its customers. They spend millions of dollars to attract us to there product then do everything possible to ruin the buying and useage of that product.
They take the product away from us and sue and jail us.

What would happen if Ford sued you because they didn't like the way you drove there cars? What if Calvin Klein took away your ability to wear there shirts because that color didn't look good on you?

It is cheeper to buy a movie than it is to buy that movies soundtrack.

The whole music industry can go s**** them selfs. Limewire, Aquire, Poisoned, Transmit, Unison can't be stopped.

If everybody with a computer Mac or Windows downloaded (shared) just one CD today that would be over 20 million CD's. There aint no way in h*** the record industry is going to stop that kind of force. Vote with your wallet and lets all stop buying CD's not for a day but untill this madness ends.

MichaelNH
Fresh-Faced Recruit

Joined: Jul 2002

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05/07, 09:01am | report spam | close Reply |
Catch 22

I just won't buy songs at the $1.25 rate. I'm sure a label or two can gain from the stupidity of others. I am still going to buy from ITMS, but only the select songs. I thought with competition would come price reductions, not increase. The labels that see that no one is buying at $1.25, will need to give in or lose out forever.

JSD303
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Joined: Aug 2000

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05/07, 09:15am | report spam | close Reply |
Price Fixing

Didn't all the major music labels get together and fix prices of CDs to be sold in stores?! Didn't they get sued for that action and settle with customers? Now they get together to fix the price of music being sold legally over the internet?! Looks like another class action lawsuit is on the way!

Monstermind
Junior Member

Joined: May 2000

0

05/07, 09:19am | report spam | close Reply |
Steve's nose growing?

It would be most unfortunate for Steve if we found out he was lying...

Gentlemen, start your Kazaas...

kerryb
Fresh-Faced Recruit

Joined: Aug 2001

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05/07, 09:21am | report spam | close Reply |
25% increase is outrage!

I know it is only 25 cents but it is still a huge jump of a price jump for any product. How will this affect Wal-Mart's pricing, aren't they 88 cents? I'm sure the labels figure less than 25% of the people that already use iTunes will leave and head back to file sharing and by jiggling the numbers they will still come out with more money. This is how these corporate types think, bottom line, make share holders happy, buy a new Mc Mansion, a bigger SUV, and vote Republican.

g4zilla
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Joined: Jun 2000

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05/07, 09:34am | report spam | close Reply |
Post, shmost

I'll belive it when I see it. I can't imagine (though I understand it's possible) that Steve-o would make a public statement reassuring all concerned that 99 cents is the price, meanwhile knowing that prices could be going up (days? weeks?) later.

Now, before anyone jumps on the "how naive can you be" bandwagon, all I'm saying is Steve is too shrewd to get caught in a PR nightmare.

And this *would* be a nightmare...

kw99
Fresh-Faced Recruit

Joined: Nov 2001

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05/07, 09:45am | report spam | close Reply |
Not going to happen...

The information comes from one article in the New York Post, which quotes "unnamed sources." This article contain some questionable reporting and should not be trusted.

For example it says

> For example, "Fly or Die," the latest album from rock-rap act N.E.R.D., is currently selling for $16.99 on iTunes.

I just looked up that album. The price is $13.99, not $16.99. Twelve songs total, 10 tracks which can be purchased separately for $0.99 plus two longer tracks (7+ minutes) that are "Album Only." So while not a bargain, the album price is not unreasonable.

The article says

> Apple's willingness to allow some singles to be priced higher than 99 cents indicates the company feels empowered by its current success in the download market...

What? I don't know of a case where a "single" costs more than $0.99.

And finally, it says

> For example, a Pepsi marketing campaign announced last year that was supposed to give away 100 million downloads has resulted in only 5 million downloads by Pepsi drinkers, according to a source. Pepsi spent upwards of $2.5 million on an advertisement during the Super Bowl to promote the campaign.

"According to a source" as if 5 million number that was some big secret! So... bad execution by Pepsi is being used as a sign that iTMS is failing. That's rediculous.

This Post article was obviously put together my some interns and is best ignored.

iTMS has 70% marketshare and it is the one place where all the music is available on a level playing field. If anything, Sony is at a disadvantage because it is only one of the big labels. There will be a (probably true) "perception" that it will be pushing it's own product over the product of the other labels. The record labels who don't operate a music download business won't give Sony good terms. They'll do business with Apple.

It's all the other music download services that wish they could charge $1.25, so they can make a profit. Apple has a huge advantage because of:

(1) Volume
(2) iPod

jvputten
Fresh-Faced Recruit

Joined: Aug 2001

0

05/07, 09:47am | report spam | close Reply |
Buy used CDs

This probable price increase is just another reason why I only buy used CDs. I don't need to have the latest release RIGHT NOW, and listening to older releases of unfamiliar artists is pretty interesting.

testudo
Fresh-Faced Recruit

Joined: Aug 2001

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05/07, 09:47am | report spam | close Reply |
What do I care?

Unless this 'new' pricing affects all songs, I don't care. I only buy very little of the new c*** that's out there anyway. Music is like wine. It needs to mature first before you know whether its really any good or not.

bauhaus
Fresh-Faced Recruit

Joined: Sep 2003

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05/07, 09:48am | report spam | close Reply |
Can you read?

chabig wrote,"By the way, have you seen Sony's store? I'm not impressed. There is not one clickable download link or song on the home page? Aren't they supposed to be selling music?"

Hey genius, Sony's Connect isn't webbrowser based... it runs in its own application (like iTunes.) You have to download it from the site first (take a second and read a site, will you?) Plus, it doesn't run on Macs. It's abudantly clear... jeesh!

testudo
Fresh-Faced Recruit

Joined: Aug 2001

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05/07, 09:49am | report spam | close Reply |
Profit?

Apple's willingness to allow some singles to be priced higher than 99 cents indicates the company feels empowered by its current success in the download market and sees a chance to boost profits from the sales of digital music.

Umm, its Apple who wanted 99 cents. Its the labels looking to raise the prices (Apple can charge right now whatever it wants, just like a music store, as long as the labels get their cut). How would that help Apple's bottom line (esp with rising prices causing a drop in sales - which, BTW, the RIAA will lament that the 'novelty' of buying music on-line is over, and everyone's stealing music again and they need to stop this once and for all).

testudo
Fresh-Faced Recruit

Joined: Aug 2001

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05/07, 09:55am | report spam | close Reply |
Question:

As quoted:

Sony's new service offers over 500,000 songs at 99 cents and full albums for sale at prices beginning at $9.99.

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

Of course, the article is terribly written, so the first question would have to be, what does the author mean by "most aggressive on pricing"? Are these the labels looking to boost prices, or keep them low?

The second question is, if its to boost prices, then will Sony boost prices on its store, or use its control of its market to basically sell its stock for less than what Apple can sell it for (nice little anti-competitive behavior there, huh?).

83caddy16v
Forum Regular

Joined: Sep 2000

0

05/07, 10:21am | report spam | close Reply |
bummer

also been very good since iTunes opened. $.99 has a nice ring and feel to it. $1.25 while not that much more is less appealing unless it is an extended remix version.

prices will probably be at $1.99 next year. :(

RIP
Registered User

Joined: Mar 2004

0

05/07, 10:29am | report spam | close Reply |
re:I just looked up that

"I just looked up that album. The price is $13.99, not $16.99. Twelve songs total, 10 tracks which can be purchased separately for $0.99 plus two longer tracks (7+ minutes) that are "Album Only." So while not a bargain, the album price is not unreasonable."

Um, yes it is. Like one wrote before, a movie is many time cheaper that it's soundtrack.

As for everything else you wrote. I pretty much agree.

southtdi
Dedicated MacNNer

Joined: Aug 2003

0

05/07, 10:32am | report spam | close Reply |
Where's the goverment?

they got upset about CD pricing that was getting out of control so where are they now? Now you have a way to sell music that doens't involve distibution by them for the most part and no production costs other than the original recoderding yet the pricing is more?? I am not one to want the goverment to get involved in everything but this is exactly the thing they are supposed to watch and prevent form happening.

As for Sony using thier influence to make the margins for them beter by raising prices to the other music stores? We'll then we would see an antitrust case come about. Completely illegal to do that here in the US.

Then again if the cheaper to sell music keeps costing more without any investigation why would I suspect anyting else to be done?

ender
Junior Member

Joined: Mar 1999

0

05/07, 11:07am | report spam | close Reply |
Vote with your dollars...

So here are my new rules:

- Never purchase a song online for more than 99 cents
- Avoid buying music from the big 5 labels
- Encourage Apple and independent labels to get more of their material available on iTMS so I can buy it (even add a "Labels" column to the song lists so I can discriminate against the big 5!)

Only by showing them that higher prices won't fly and by giving the independent labels more business will the big 5 learn than there are limits to what they can get away with. Of course, based on their past actions, it will take them several years to catch on. In the meantime they will continue to blame illegal downloads for the lost sales.

testudo
Fresh-Faced Recruit

Joined: Aug 2001

0

05/07, 11:13am | report spam | close Reply |
Usage rules

From the article:
Meanwhile, some of the usage rules - such as how many times users can burn downloads - have been altered. For example, full playlists will now only be able to be burned seven times instead of the current 10.

Note how they don't mention the increase of 3 computers to 5 that can play the music. So they give the impression that downloads can only be burned a limited number of times (which is wrong, any song can be burned any number of times), and that apple is just adding more restrictions (as opposed to offsetting one increased restriction with a decreased restriction). Oh, and I hadn't heard many users complaining about the playlist burn being 10, let alone it being downgraded down to 7, but I certainly heard a lot of users lamenting only being able to authorize three machines (or the fact that they had to keep deauthorizing and authorizing their many machines).

All in all, seems slightly biased.

testudo
Fresh-Faced Recruit

Joined: Aug 2001

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05/07, 11:16am | report spam | close Reply |
Re: I just looked that up

Um, yes it is. Like one wrote before, a movie is many time cheaper that it's soundtrack.

A movie is not many times cheaper than its soundtrack. The average new moview price is $20, then later on moves into the $10 range if its a bad movie (or at least bad selling). Soundtracks for movies do not cost $60 or more (many times more expensive). You get more for your movie purchase (theoretically - although a lot of those 'extras' are just fluff that most people don't watch), they aren't super cheap compared to music.

testudo
Fresh-Faced Recruit

Joined: Aug 2001

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05/07, 11:24am | report spam | close Reply |
Re: why hate us

What would happen if Ford sued you because they didn't like the way you drove there cars? What if Calvin Klein took away your ability to wear there shirts because that color didn't look good on you?

Umm, talk about stupid-assed analogies. The RIAA isn't suing you because they don't like the way you dance to the music, they're suing you because your making bootleg copies of their product and giving it away.

You know, if you don't like the way Ford does business, you don't steal their cars, you just don't buy them. Same with music. No one is forcing you to buy music. You can listen to free all you want. But illegal downloading of music is not your right under any aspect of the law, nor is it a way of protest. Its basically a "I'm too cheap to buy the stuff, but I want it, so I'm going to steal it under the guise of civil disobedience!"

Not buying music is something the RIAA might listen to, but they're seeing you losers as just ripping them off, not as protesters. A more effective protest would be to (a) not buy music, (b) not download music, (c) don't go to concerts, (d) petition others to do the same.

deomacius
Senior User

Joined: Jul 2002

0

05/07, 11:30am | report spam | close Reply |
Just a thought...

Whether this article is fact or fiction it may not be a bad idea to give feedback to Apple...

http://www.apple.com/feedback/itunes.html

Cadaver
Addicted to MacNN

Joined: Jan 2003

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05/07, 12:32pm | report spam | close Reply |
Re:Where's the governmen

[i]Where's the government? They got upset about CD pricing that was getting out of control so where are they now?[/i]

Don't forget the government is currently the Bush administration... Monopolies and price fixing are apparently legal according to George Dubbya.

Vote Kerry!

ibeetle
Registered User

Joined: May 2003

0

05/07, 12:44pm | report spam | close Reply |
Read then comment testudo

Testudo did you even read what I poted earlier?
First I said a movie is cheeper than its soundtrack. NOT many times cheeper. I bought the movie Lord of the Rings: Return of the King at Best Buy for 15.99 the soundtrack was 18.99. I purchased Master and Comander at Target for 15.99. The soundtrack was 21.99. So your comments have no mert.
Secound you said my analogy about what if a car company didn't like how you used there product how would you like to be sued. I did not make this analogy. Steve Jobs did. In a Newsweek interview when iTunes Music Store first came out last year.
Read the post. WHAT IF is what is said. Not they are. WHAT IF. It means just that. It is supposed to make you think about the consequences.

nat
Junior Member

Joined: Mar 2002

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05/07, 01:15pm | report spam | close Reply |
What a bargain!

I've listened to all the arguments about the price of CD's, etc. I've heard the excuses given for illegal downloading.
I buy two pairs of tennis shoes every summer, around $80 each. They both get worn out by the fall. $4 for a 12 pack of coke every week or so. Buck and a quarter for a 16oz. $10 for lunch every single day. $25 to fill up my car every week. $15,000 for a car that may last 10 years if I'm lucky. $1500 a year for car insurance. $18 for a large with everything, hold the anchovies. On and on and on.

I want to listen to the Clash? I pull it out of my CD collection. Probably listened to it over a hundred times, paid $10 for it years ago. I never have to buy it again. Ever. I load my iPod up with 20 years of music and never ever ever have to buy any of them again. I want something new? I pay $17 for it ONE TIME! and it's mine forever. Just a song? $.99 or a buck and a quarter, it's mine forever. I can change my mood simply by choosing something I purchased a decade ago. I can remember old times, shake my booty, or go with something new. Seems to me that music is the best deal out there. What a bargain!

gwarana
Registered User

Joined: Apr 2004

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05/07, 01:18pm | report spam | close Reply |
re: why hate us

But illegal downloading of music is not your right under any aspect of the law, nor is it a way of protest. Its basically a "I'm too cheap to buy the stuff, but I want it, so I'm going to steal it under the guise of civil disobedience!"

But sitting at the front of the bus is not your right under any aspect of the law, nor is it a way of protest. It's basically a "I'm too lazy to walk all the way to the back, but I'm Black, so I'm going to sit at the front under the guise of civil disobedience!"

ScottEllsworth
Fresh-Faced Recruit

Joined: Sep 2001

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05/07, 01:31pm | report spam | close Reply |
Nitwits

I found $1 per song reasonable for a single, $10 reasonable for an album. I suspect I will not find $12 or $13 acceptable for an electronic download.

Similarly, while I might buy a silver disc for $12, I refuse flat out to pay $19.

Yo - labels - if you want to sell me music, charge $1 per song.

slboett
Grizzled Veteran

Joined: May 1999

0

05/07, 01:39pm | report spam | close Reply |
You people are funny...

In the early/mid 1970's, we paid 99� for a 45 - two songs, one usually a "b-side" throw-away.
30+ years later, people are bitching about $1 for a song?
I don't get it.

SB

Joined:

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05/07, 02:06pm | report spam | close Reply | delete
Re: effective protest

A more effective protest would be to (a) not buy music, (b) not download music, (c) don't go to concerts, (d) petition others to do the same.

testudo is partly right. An even more effective protest would be to:

(a) not buy RIAA music,
(b) download or not download music as you please (you're protesting price, not the music itself,)
(c) go to concerts - it's called the recording industry association for a reason, after all - and again you're not protesting the music or performers, but the pricing cartel,
petition others to do the same.

iKevin
Grizzled Veteran

Joined: Nov 2000

0

05/07, 02:17pm | report spam | close Reply |
Re: You people are funny

In $1970 the price of producing and distributing a 45 was much more than the price of posting a download today.....Get back in your SUV and head to the clubhouse

Veers
Registered User

Joined: May 2004

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05/07, 02:17pm | report spam | close Reply |
Pricing compromise

Here's an idea the I think would make everyone happy. If the label wants to sell a song for more than $.99, make it like an old 45 and include a free "B-side" single with it for a free download. I'm sure most of the radio-played stuff would then be $1.25 but at least you could get a B-side that otherwise you might never buy. This could also help alleviate that problem some bands have with people not buying albums and listening to their less popular selections.

I sent this suggestion to Apple's feedback. If you think its a good idea, do the same so we can put pressure on the labels.

z10n
Fresh-Faced Recruit

Joined: Oct 2003

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05/07, 02:26pm | report spam | close Reply |
Nice point, testudo

The industry is wrong on a lot of points (s******* artists, raising prices, etc.), we should not be equally wrong by breaking the law as a kind of revenge. A good point to make. A company may do some things I like, and some things I don't like, because people in that company act differently. Thus when you rip off the company, you hurt not only the people you are intending to hurt (the fat cat execs), but also innocent people trying to make a living (artists).

But I'd like to point out that perceptions are relative. Part of the problem of the industry is that they are blindsighted by their opinion that downloading is morally wrong and that anyone who does it is a cheap b****** trying to s**** them. The other day I found out a little friend of mine who is 12 downloaded music off of kazaa: is she a person intentially trying to s**** the industry? No. She's just a poor kid who can't afford to buy things all the time, but wants to be popular around her friends who constantly listen to music. Suppose kazaa didn't exist and she never listened to music. When she grows up and finally has money, maybe she won't be interested in buying an music because she's used to living without it.

Really, my opinion is that NOTHING is going to change the industry unless it's Congress who does it. Download or not download, the industry is out to s**** you out of as much money as you can stand. Every business is. It's exactly the reason why I hate capitalism. Your only choice to avoid this is to sit at home and live like a monk, with no possessions. How many people choose that lifestyle? Not many. We grew up in the system, and we have to live with it. In the grand scheme of things, I don't think it makes one bit of difference if a person downloads a few songs for free. The industry will only hike prices to cover the difference.

vvedge
Mac Enthusiast

Joined: Jul 2001

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05/07, 02:38pm | report spam | close Reply |
Steve Jobs denies story.

Looks like this is the same bad reporting that indicted Apple was going to raise prices in the first place. Great Job NY Post. For a quarter you're the city's best birdcage lining!

slboett
Grizzled Veteran

Joined: May 1999

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05/07, 02:52pm | report spam | close Reply |
iKevin - get the...

Meat outta your hand. Artists in 1970 didn't make nearly what they do today - advertising didn't cost nearly what it does today - infrastructure didn't cost nearly what it costs today.
a******* like you are a riot. You "think" you know what you're talking about, and you're just some dumbass, punk kid who was spoiled by mommy and daddy, and likely still lives at home.

l008com
Addicted to MacNN

Joined: Jan 2000

0

05/07, 03:00pm | report spam | close Reply |
boycott!

http://www.boycott-riaa.com/

macbarry
Junior Member

Joined: Aug 2002

0

05/07, 03:07pm | report spam | close Reply |
oops

Just to set the record straight in this thread - Apple just denied the NY Post story of a $1.25/song (NY Post to world: "never mind")

testudo
Fresh-Faced Recruit

Joined: Aug 2001

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05/07, 04:25pm | report spam | close Reply |
Re: read that comment

Testudo did you even read what I poted earlier?
First I said a movie is cheeper than its soundtrack. NOT many times cheeper.

iBeetle, I wasn't commenting on your post, I was commenting on a later post that made that stupid comment (the many times business).

iKevin
Grizzled Veteran

Joined: Nov 2000

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05/07, 11:28pm | report spam | close Reply |
slboett....

Slboett....So you assume i'm a kid and then use abuse language? Takes a really big person to do that.

In my 35+ years on this earth i've met many people that thought they were tough. Real easy to pick on what you think is children on a forum. Good thing this is a forum and not the real world. I've shut many idiots like yourself up in my life.... And i'm willing to bet that just like them you'd run like a scared rabbit when you didn't have a forum to hide behind.

My advise would be to learn to be less agressive towards other people or at least pick on someone your own size/age....Which is most likely 100 lbs overweight, sitting in front of your crumb filled keyboard eating processed foods.

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