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Forums » Wednesday Evening Links » Apple threatens to close iTunes if musicians get more money
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Vchat20
Landing is the REAL challenge

join:2003-09-16
Warren, OH
clubs:

reply to RadioDoc
Re: Apple threatens to close iTunes if musicians get more money

said by RadioDoc See Profile :

As for Apple's bluff, it is just that. Their iPod business would die almost immediately.
BINGO! And we know just how much of Apple's profit comes from the full line of iPods. I'd hazard a guess near 80% or more tbh. They'd be committing financial suicide if they really went through and killed off the iTunes music store.
--
I swear, some people should have pace-makers installed to free up the resources. Breathing and heart beat taxes their whole system, all of their brain cells wasted on life support.-two bit brains, and the second bit is wasted on parity! ~head_spaz


BF69

join:2004-07-28
Camden, TN

said by Vchat20 See Profile :

said by RadioDoc See Profile :

As for Apple's bluff, it is just that. Their iPod business would die almost immediately.
BINGO! And we know just how much of Apple's profit comes from the full line of iPods. I'd hazard a guess near 80% or more tbh. They'd be committing financial suicide if they really went through and killed off the iTunes music store.
Doesn't the Ipod play MP3s? If so I'm not sure how they kill thier Ipod? Expensive than most other MP3s? sure, but so are Macs and people stupidly buy into that BS. So even without Itunes I would assume Apple would sell plenty of Ipods to the ingorant masses who think because it's an Ipod it's worth 2-3X the cost.

But also call BS because even if Apple's profit margin was 1¢ per song well that's still profit isn't it? Now I read wher Apple sys that 70% of their music revenue goes to the record companies so that's 70 out of 99 cents. So they make 29 cents profit. This would be reduced to 23 cents under this new deal. So so they give up on 23 cents profit per song? Ok so they would just say no to $100-$150 million a year in profit? very unlikely.


Vchat20
Landing is the REAL challenge

join:2003-09-16
Warren, OH
clubs:

Yes it plays mp3's. But tell me how much of the general public average joes would be completely lost if they couldn't load their ipods with stuff from the music store? Last I checked, itunes didn't make it horribly easy or intuitive to load your own mp3's onto the thing.
--
I swear, some people should have pace-makers installed to free up the resources. Breathing and heart beat taxes their whole system, all of their brain cells wasted on life support.-two bit brains, and the second bit is wasted on parity! ~head_spaz
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