Apple Lowering iTunes Prices in UK

[MacRumors]

Apple announced today that it would be standardizing iTunes music pricing in Europe. As a result, it will lower prices it charges for music in its UK iTunes store to match the pricing across the rest of Europe.

Apple currently charges more for downloads in the UK due to higher wholesale prices in the UK. Apple states that it "will reconsider its continuing relationship in the UK with any record label that does not lower its wholesale prices in the UK to the pan-European level within six months."

The change comes after European Union regulators had begun investigating iTunes pricing practices after complaints had been filed in 2004. The pricing move is intended to equalize the market across Europe.

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[hollerz]

Awesome news!

[stekerrod]

excellent news! i buy most music from iTunes nowadays any way so making it cheaper is great news!

letes hope this signals the end for 'Rip off Britain' not flaming likely though

(deep breath..... rant over)

[r88my]

About time!

[naroola]

This is really good news for the UK folks. Wonder how the record companies will react.

[joefinan]

European prices are 74p - a drop of 5p per track is not such big news methinks.

[Manic Mouse]

Are normal tracks 256Kb/sec these days? I only buy iTunes Plus, I think it's about time it all went DRM free. Then I'd buy all my music on it.

[OriginalMacRat]

Originally Posted by naroola

This is really good news for the UK folks. Wonder how the record companies will react.

Makes you wonder why the EU didn't file the charges in the first place against the music companies instead of harassing Apple.

[farrell001]

Originally Posted by r88my

About time!

Yeah, why its fair for USA an europe to have tracks at nearly half the price is beyond me. Also how a macbook is half the price in the states then it is in the UK, is just simply unfair.

[NightStorm]

Originally Posted by OriginalMacRat

Makes you wonder why the EU didn't file the charges in the first place against the music companies instead of harassing Apple.

Good point, why does Apple have to charge the same price across Europe, if the record companies do not?

[peeeter]

Just lowering UK prices is not good enough. They should allow purchasing from any EU country. At the moment some Eu countries can't use the service at all.

[twoodcc]

well, this is a step in the right direction.

[tallyho]

Originally Posted by farrell001

Yeah, why its fair for USA an europe to have tracks at nearly half the price is beyond me.

You're right to look confused. 74p is not half of 79p.

[Tom B.]

Excellent news! I suppose it means we can expect songs to cost 74p, and albums to cost £7.49? I buy a lot from iTunes, so in the long run, this could save me quite a bit.

Well done Apple, now make the Apple Store UK cheaper too!

[gotohamish]

Originally Posted by joefinan

European prices are 74p - a drop of 5p per track is not such big news methinks.

Every little helps.

[naroola]

Originally Posted by OriginalMacRat

Makes you wonder why the EU didn't file the charges in the first place against the music companies instead of harassing Apple.

I guess it's because it's easier (and faster) to go after a single company, in this case Apple, rather than trying to file charges against multiple record companies. Also, the common denominator is Apple as they set the prices of the music being sold in the UK and in Europe.

At the end, it doesn't matter... the record companies in the UK will either have to lower their prices or will have to sell their music elsewhere, such as the case with Universal.

[Brian Hickman]

I am just glad that Apple decided to settle this without going through the courts.

If they had fought this tooth and nail and lost, it would have set an ugly legal precedent. Imagine, every single company that sells good/services would be forced to charge the same price across all countries without regard to differences in taxes etc.

That would lead to one of two things:
1: All countries would be forced to pay the highest prices
2: Companies would determine that many products would no longer be price competitive with "in-country" solutions and move out of the market all-together.

Either way, this is a very scary step in the wrong direction. (punishing retailers due to price differences of its' suppliers).

Hickman

[rubberduck007]

Originally Posted by gotohamish

Every little helps.

Thanks Tesco!

[bobrik]

Originally Posted by peeeter

Just lowering UK prices is not good enough. They should allow purchasing from any EU country. At the moment some Eu countries can't use the service at all.

Yes, I totally agree. I am from such a country. Though I think EU could as well work harder to make entering EU market as easy as entering just one country (standardize law etc.)

[andiwm2003]

sometimes you just got to love the EU.

there is no reason beyond pure greed why music exec's charge more for music in UK. (normally i'm for free market's where everyone can charge whatever they want. but the music industry is such a mess they deserve a kick in the b*&&)

[maehara]

It's a start, but until they get European pricing down to the level of the US, I'll not be entirely happy.

99 cents = 51p, plus UK VAT @ 17.5% = 60p. Still a big difference from 74p.

[Virgil-TB2]

Originally Posted by peeeter

Just lowering UK prices is not good enough. They should allow purchasing from any EU country. At the moment some Eu countries can't use the service at all.

This is the first thing I thought as well.

I would be much more inclined to buy music or video on iTunes if I had a choice of what's available everywhere. It is the 21st century already after-all and the Internet is a world-wide network, not a USA network.

- Most of my favorite TV shows are British, but you can't buy them from Canada.

- My favorite band right now is Swedish, and they have their music for sale on the label site in Sweden in non-DRM mp3's, but it isn't on iTunes, in Canada, the US or the UK.

- Living in Canada, why the f*ck should I have to do a deal with some dodgy eBay'er for an iTunes card so I can buy TV shows from iTunes USA when they are broadcast up here over the air?

If there is one area where Apple is quite a bit *behind* the curve it's internationalisation in general. Most American companies have these same kind of blinders on, but it would be very cool if Apple took the leadership here and became more of a world-wide company than just an American one.

[shov]

Just before Sterling takes a nosedive against the Euro. In six months I bet it'll cost UK iTunes users more with the standardised pricing than it would if prices were fixed at 79p. And Apple will pay lower wholesale costs.

[OllyW]

Originally Posted by OriginalMacRat

Makes you wonder why the EU didn't file the charges in the first place against the music companies instead of harassing Apple.

EMI, Sony BMG, Universal Music and Warner Music were also investigated as part of the EU iTunes enquiry.

The European Commission has been investigating such pricing practices since April 2007, when it accused Apple and the majors (EMI, Warner, Universal and Sony BMG) of engaging in unfair pricing for online sales.

[ATG]

Originally Posted by Brian Hickman

I am just glad that Apple decided to settle this without going through the courts.

If they had fought this tooth and nail and lost, it would have set an ugly legal precedent. Imagine, every single company that sells good/services would be forced to charge the same price across all countries without regard to differences in taxes etc.

That would lead to one of two things:
1: All countries would be forced to pay the highest prices
2: Companies would determine that many products would no longer be price competitive with "in-country" solutions and move out of the market all-together.

Either way, this is a very scary step in the wrong direction. (punishing retailers due to price differences of its' suppliers).

Hickman

So punishing consumers because they live in a different country is better?