Universal Music Group's iTunes Contract

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Jul 1, 2007.

  1. macrumors bot

    MacRumors

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    #1
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    The Wall Street Journal is reporting that Universal Music Group is set to notify Apple that it will not be renewing their long term contract to sell digital music through Apple's iTunes Store. Instead they will continue with a "short-term" sales agreement, which would mean Universal's catalog would remain on iTunes for the time being.
    The exact impact of shift is not entirely clear, but record labels have been reportedly concerned with Apple's increasing dominance in digital music sales.
     
  2. macrumors P6

    Peace

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    #2
    Sounds more like a bargaining tool to get Apple to charge more for downloads.
     
  3. macrumors 68030

    bytethese

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    Cranford, NJ
    #3
    I wonder what this means for Ringtones, if any, on the iPhone.

    Why wouldn't they want to position themselves on the long term with the #3 music retailer in the US?
     
  4. macrumors 65816

    narco

    Joined:
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    California.
    #4
    Damn, these labels are totally clueless.

    Fishes,
    narco.
     
  5. macrumors 68020

    Joined:
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    Boston
    #5
    They must hate that they are selling so much music. We should all go back to using peer-to-peer networks to make them happy.
     
  6. macrumors 601

    HiRez

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    #6
    I'm kind of surprised the record labels haven't all gotten together and formed their own music store, locking out the others and splitting the profits amongst themselves. They'd get 100% of the profits (minus technical overhead) and could control pricing and any other factors they wanted to.
     
  7. macrumors 68040

    Grimace

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    #7
    uhoh. hopefully the price of AAPL won't plumment tomorrow. I was hoping that we'd have sales numbers from the iPhone.
     
  8. macrumors 68040

    Kingsly

    #8
    Dont they realize how much something like this could hurt them? The results are in: iTunes is best digital music store around!
     
  9. macrumors 6502

    bommai

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    Location:
    Melbourne, FL
    #9
    Universal Music is still owned by the French company right. I don't think it is part of Universal Studios which is now owned by GE (NBC). Isn't Universal Music the one that is getting money for every zune sold. May be they want the same deal from Apple too!! Yeah right.
     
  10. macrumors regular

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    #10
    Completely and utterly clueless
     
  11. macrumors 6502

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    Silicon Valley, CA
    #11
    What about Wal-Mart?

    So, Apple is the dominant player?

    What music company is stepping up to stop the Wal-mart machine?

    Is this just a case with Universal trying to take out their frustration on someone they can maybe push around?
     
  12. macrumors 65816

    Joined:
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    San Francisco
    #12
    This doesnt make any sense... Dont they want itunes to dominate which would in turn mean more money for them????
     
  13. macrumors regular

    kinless

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    Tustin, California
    #13
    Bye Universal. Don't let the door hit your ass on the way out.

    We don't need your kind around here.
     
  14. macrumors 6502a

    Steve1496

    Joined:
    Apr 21, 2004
    #14
    Bad move. Who makes the decisions at these record companies? iTunes is the 3rd largest music retailer, and Universal doesn't want a good relationship with Apple.

    Bad move Universal!
     
  15. macrumors 6502a

    Object-X

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  16. macrumors regular

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    #16
    Not a smart move. I somehow doubt Steve will let that stand. You're either in on his terms or out.
     
  17. macrumors G3

    puckhead193

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    Location:
    NY
    #17
    yawn...they just want apple to charge more but in the end they will realize how important itunes is and will stay the same...i'm not worried one bit
     
  18. zim
    macrumors 65816

    zim

    Joined:
    Jan 5, 2002
    #18
    oh no Apple, Please don't sell our music with no expense to us. Please don't make us money while we can sit back on our fat :eek:

    And to think, I was reading an article the other day that suggested that the music industry had learned their lesson :rolleyes:
     
  19. macrumors 68030

    AlBDamned

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  20. macrumors 6502a

    blueflame

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    #20
    I think...

    This is a bunch of bull. From my understanding, it is not as if the record labels are losing money by selling online. I do agree that this is a bargaining tool so they can sell more exclusive deals to other providers, but I do not see them trying to particularly single out itunes. iTunes being the #3 is a very good place for them. it is their digital wallmart. No one complains about wallmart prices, and the record companies love it. lots of money.
    I think everyone is trying to demonize (partially rightfully) the record industry. While I do think that they are scummy, I think some of this criticism is pretty much made up by us fanboys with media frenzy help.
    just my thoughts.
     
  21. macrumors regular

    Joined:
    Aug 7, 2006
    #21
    Universal stupidity

    <sarcasm>

    I guess I will have to run and buy a Universal CD at Best Buy.

    </sarcasm>
     
  22. macrumors 6502

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    Silicon Valley, CA
    #22
    Monopoly for one. No way they could ever agree for two.:D
     
  23. macrumors member

    Joined:
    Jun 27, 2007
    #23
    They're just a bunch of damn fools if you ask me.
     
  24. macrumors member

    Joined:
    Jun 21, 2007
    #24
    Maybe the sharing of Zune revenue is working out for them. :rolleyes:

    I guess they're thinking Apple is getting too powerful in the digital music arena.
     
  25. macrumors G3

    iMeowbot

    Joined:
    Aug 30, 2003
    #25
    Right, Vivendi. They actually spun off the water business a few years ago, entertainment is their main thing now.
    Early on, they did try that. Vivendi actually bought mp3.com several years ago and never figured out what to do with it. BMG snapped up Napster a little earlier and also couldn't figure out what to do with it. Warner, BMG and EMi got together and failed to figure out how to make it work with MusicNet. Oh, and UMG and Sony tried and failed to do this with Pressplay, the wreckage of which became the current Roxio-backed incarnation of Napster.
     

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