possible? yes
reasonable? no, and i doubt it
and yet you and many others haven't shown a shred of plausible evidence to support your case (saying "i doubt it" is not an argument). I can't believe I read through pages of non-arguments like this.
History tells us that Apple's iTunes was the first successful download music store. Conjecturally, the terms of the license were both give and take for both Apple and the labels: you give up some and you gain some. As for the DRM, I'm willing to say Apple whoeheartedly accepted it, since the alternative is no licensing deal. Whether they knew how to play the DRM game to "lock people in," they probably didn't realize they would be in a position they are in right now, so having a DRM was probably an unexpected windfall; no one can deny that Apple was able to use its DRM to its advantage. One should not be encumbered by the 20-20 vision a hindsight might give, so to argue that Apple knew all along from day one is patently ridiculous. They may have had various scenarios of which this is one of them, but to state that they knew, no way. I'm not saying that you're saying it, I just happened to choose your post to respond.
The proverbial ball have been served to the labels' court. To say that Jobs' open letter is a response to what's been happening in Europe, it pretty damed obvious. It remains to be seen how the labels will react. One can theorize the possible responses:
1. "Sure, we'll remove DRM, but give us a cut of your iPod sales."
2. "**** off."
My guess is that the labels will choose to respond with #1: No DRM, sure, but pay us a percentage of your iPod sales as "tax," which effectively puts the ball back into Apple's court. It's not unprecendented. What is unprecedented is that it took an MP3 player manufacturer/music store operator, the one who has >70% of the US market share at that, to come out on record that they're not happy with DRM and they'd be happy to sell music minus DRM.