updated 07:50 am EDT, Tue July 26, 2005
Indies get larger payout
Apple is of each iTunes sale. A report by Digital Music News says that Apple has raised its wholesale payout on iTunes Music Store downloads to seventy cents per song, bringing more parity between independent and major labels. "The increase first came to light in a letter sent by Derek Sivers, CEO of independent retailer CD Baby. While different wholesale figures have been floating around since the beginning of the iTunes Music Store launch, one lawyer actively negotiating iTunes deals indicated to Digital Music News that the 70 cents rate falls in line with current major label payouts." The report says the move could attract more independent labels and could extend Apple's catalog even further and that the 70 cent payout includes publishing costs.