Universal May Want Money From iPods

I think they'll be a long way off getting money from every iPod sold. For a start its such an illogical thing to ask for (Did the music companies ask for money for every CD player or Tape Recorder sold? Nope), plus I suspect the main reason that Microsoft agreed to pay money in the first place is that they needed to get the music labels on board to boost the Zune Music Store, Microsoft was in the weaker position here and I believe the labels exploited that weakness.

If the labels were to go to Apple and demand a royalty on every iPod and threatening to pull their catalogue if they didn't get it, they would actually come off worse than Apple in terms of lost revenue and it's because of this I reckon they haven't a chance...

Universal Music to Seek iPod Royalties?



Reuters reports that Universal Music Group Chief Executive said on Tuesday that they may seek a royalty from Apple for iPod sales:

"It would be a nice idea. We have a negotiation coming up not too far. I don't see why we wouldn't do that... but maybe not in the same way,"

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Universal made news earlier this month when it was reported that Microsoft had agreed to pay Universal Music a fee for every new Zune Music Player sold. Music studios, of course, currently get a cut from every song sold, but do not get any percentage of iPod sales.

And I don't understand why they should...Can somebody explain it?

Won't happen.

dang it microsoft.

Announcing their hand before negotiations even start indicate a degree of flexibility in their position... this is just posturing at this stage.

it's ridiculous for Universal to even be thinking this. NONE of the money would get to artists or anything like that. it would just go to the company.
also. i dont pirate music.

alot of itunes people don't. we are the people actually paying for it. so screw that.

it's as I feared would happen after microsoft was stupid with the zune marketplace. but honestly, who didn't see this coming?


death to microsoft. this just adds another reason.

basically, this is something that microsoft probably did on purpose. It set a precident in the recording industry that companies will be required to match in order to get recording deals. its only $1 in the zunes case, but that's a significant amount when you think of the iPod's popularity. now it will be expected that EVERY online music store will do this.

mdntcallr said:

it would just go to the company.

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exactly! who does universal think they are???

what does microsoft think they were doing???

DeBeere said:

And I don't understand why they should...Can somebody explain it?

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The rationale is that iPods are used only for stolen music (which they aren't) and this will help offset the losses (which it won't).

here we go again

No thanks.

I pay for my music.

That would add already to the money that they get from the purchased music.. Apple will not allow this... at least they shouldnt, and wouldnt Universal be happy as is?

Microsoft started this and it is a good hit into Apple... but Apple has a agreement and will not break that agreement... especially to get rid of the ease of 99 cent standard pricing

They can **** right off, the greedy *******s!!

Insane

I would make sure to NEVER buy another piece of music published by them if they were to extort this from Steve which I highly doubt. If I were Steve I would laugh in their face and call them INSANE to their face as well. Like setting up a toll booth on the railroad tracks of a 200MPH MagLev Train.

They'd be lucky.

Universal can take their catalog of music and shove it where
the sun don't shine.

Those idiots never learn...

They will bring their industry to its knees until one day noone will use them...

I don't think Stevo we'll even or should discuss the subject...

No no no no no no NO. For all the reasons that everyone has already said.

There's a reason and i pay for my music and don't just steal off of P2P sites!!! I doubt this would ever happen since the iTunes Music Store / Apple is so powerful that having Universal not be hosted would hurt them more than Apple. Record labels are just sickening. Someone who buys an iPod isn't even necessarily going to buy music in general (or at least from Universal) anyway, so their idea that they are entitled to a cut of the profits is just unfounded.

NATO said:

I suspect the main reason that Microsoft agreed to pay money in the first place is that they needed to get the music labels on board to boost the Zune Music Store, Microsoft was in the weaker position here and I believe the labels exploited that weakness.

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I believe, correct me if I'm wrong, that microsoft suggested it in the first place to universal.

it won't happen. This Universal dude is just trying to be smart ass.
Steve just will say F••• off!
I look forward to the day artists will be their own labels and ditch those huge greedy companies. It's amazing that they don't learn. CD's should cost $5 bucks by now, but because their greed is almost $20. Manufacture costs are so low and it's just the price we pay to fill the pockets of those bastards.

and they wonder how unfair is people downloading illegal music. If they listened the consumer this would be not a big deal.

They already get 79 cents out of every 99-cent song sold, and they don't have to pay a penny to produce or distribute the music, as they would with CDs. Apple has given them a more efficient way to distribute music, and they come begging for a share of iPod profits. Ridiculous.

"It would be a nice idea."
What does that mean? I have lots of nice ideas for getting money when I didn't do anything.

By this logic, shouldn't Universal also get royalties for every CD player, Cassette player, and radio sold?

Might as well cash in on the giant cash cow that is the iPod

NATO said:

(Did the music companies ask for money for every CD player or Tape Recorder sold? Nope)

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Actually, they do. They also got paid on every blank tape sold when cassettes were big. I think it is crazy for everyone to think that the music industry is greedy when it getting squeezed out of all of their revenue streams. So, Apple makes hundreds of millions off of their back on the itunes site, and a billion off of iPod sales, and they cannot share in the wealth?

It doesn't cost the consumer any more, why wouldn't you want the people who actually make the music you are listening to get compensated?

This debate is stale. People want something for nothing.