Financial Times is reporting that Apple want to do deals with record labels to sell “all you can eat” subscriptions with their iPods. That’s similar to the deal that Nokia did with Universal last year. One deal and at least one desire to a deal – smells like a trend to me.
“Detailed market research has shown strong appetite among consumers for deals bundling music in with the cost of the device, or in exchange for a monthly subscription, executives said.”
No shit! The first thing you want to do with you multi-gigabyte iPod is to fill it with music. It is not very surprising that Apple is making plans for subscription services. They have the biggest digital music store and the best portable music device. Today it cost a fortune to fill your music device with legally bought music. For Apple subscription deals will able them to get a revenue for all the music stored and played on iPods and that is already synchronized with iTunes. This should of course be great news for the any record label with some kind of reality check as well.
Interesting, again, that it’s the tech companies that is driving the music business. I guess that’s what’s scaring to many music executives – they are reacting on ideas instead of coming up with them. Nevertheless it’s obvious that there is a huge need and desire for music in other industries. And industry equals money!? Why not let other industries pay for the fans music?
There will, for sure, not be one replacement for the CD. It is clear that the revenue for music companies will come from many different directions. The technology industry will sure be one of them. Thanks Mr Jobs and Mr Kallasvuo for helping us out.
Billboard.biz is reporting that Mr Jobs is doing well in the negotiations.