Posted on September 30th, 2008 in iPod Touch |
Fortune states that the Copyright Royalty Board in Washington D.C. supposed to rule on Thursday about a request by the National Music Publishers’ Association to increase royalty rates. An increased royalty rate is wanted for all online music vendors, which includes iTunes.
This increase will raise on average increase prices from 9 cents to 15 cents a track. Apple is greatly opposed to this deal stating if this would happen they might close the iTunes Store all together.
“If the [iTunes music store] was forced to absorb any increase in the … royalty rate, the result would be to significantly increase the likelihood of the store operating at a financial loss - which is no alternative at all,” Cue wrote. “Apple has repeatedly made it clear that it is in this business to make money, and most likely would not continue to operate [the iTunes music store] if it were no longer possible to do so profitably.”
Written by: Dylan Bailey