Apple rolls over… and we’re happy for it

19 03 2008

The following comes from MacRumors (always a good source for… well… Macintosh… well… rumors):

Financial Times reports that Apple is currently in discussions with music companies to allow customers to have unlimited access to the entire iTunes music library in exchange for paying a premium for its iPod and iPhone devices (presumably for the life of the device).

The plan sounds similar to Universal’s Total Music plan in which the cost of music is embedded into the music player itself. Based on the wording of this article, it seems Apple’s version of the plan adds the cost on top of the iPod or iPhone.

The negotiations are currently being held up due to disagreements in pricing. Apple is reportedly only offering $20 per device, while Nokia is playing almost $80/handset for a similar plan. Other possibilities appear to include a subscription based service for iPhone users ($7-8/month, for example) with the capability to keep up to 40-50 tracks/year even after the subscription lapses.For Fior

For years Apple has insisted that consumers didn’t want subscription services. In an earlier blog post I mentioned that, with the download movie rental model that Apple introduced for its iTunes film service, they had cracked the door open to music rentals. The other show has now dropped and I, for one, couldn’t be happier. Now, if they can combine that with a really cool Netflix/Pandora style recommendation engine, I’d pay eight bucks a month for that. It’s way better than radio.

Image courtesy of Wired Magazine




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