The iPod appears to be more imperiled than once thought, and not just because of shoddy workmanship. the iTunes music store, Apple’s second revenue leader to the iPod (which you could argue depends very much upon the Music store) is in jeopardy as the record companies show their greed yet again.
After Steve Jobs calls the record companies “greedy” for pressuring Apple to raise its price for purchased music, the music execs repond, saying exactly what the title of this article suggests. Now, they not only want higher prices and a greater cut of the music revenue, but they want revenue from the hardware purchase of the iPod itself.
“We are selling our songs through iPod, but we don’t have a share of iPod’s revenue, we want to share in those revenue streams.” [Warner Music CEO Edgar Bronfman Jr.] said. “We have to get out of the mindset that our content has promotional value only. We have to keep thinking how we are going to monetize our product for our shareholders, we are the arms supplier in the device wars between Samsung, Sony, Apple, and others.”
Apple fans, take note: if you want to buy an iPod, do it now before the record companies get their way. I’m considering buying one myself, and soon, because I know the moment record companies start getting a cut of iPod sales, I will never be able to buy one with a clean conscience again. Because I don’t give my money to “arms suppliers.”
