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Apple goes "Sylar" on NBC Universal
Apple drops NBC Universal prematurely

Earlier this morning, DailyTech reported that NBC Universal decided not to renew its iTunes contract due to Apple's inability to negotiate on higher prices. Apple has since responded to NBC Universal's remarks and decided to air some dirty laundry in the process.

In a press release issued this afternoon, Apple reported that NBC Universal called for an increase in price for its TV shows to $4.99 per episode -- the current price is $1.99 per episode. This was especially disconcerting to Apple considering that ABC, CBS and FOX all signed on for next TV season at the $1.99 per episode price.

"We are disappointed to see NBC Universal leave iTunes because we would not agree to their dramatic price increase," said iTunes VP Eddy Cue. "We hope they will change their minds and offer their TV shows to the tens of millions of iTunes customers."

Apple also went one step further than NBC Universal's request to sever ties with iTunes. NBC Universal's contract with iTunes was to end in December. Since the end of the contract would happen half way through the television season, Apple has decided to boot NBC Universal from iTunes before the new TV season begins in September.

According to Apple's own numbers, NBC Universal TV shows took three of the top ten slots for best selling TV shows on iTunes last season and accounted for 30 percent of all TV show sales.

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Huh?
By GetSome681 on 8/31/2007 2:41:21 PM , Rating: 5
Are you all blind? NBC-Universal wants to RAISE prices 150%, and Apple said NO. This is Apple trying to protect the customer by not allowing them to charge such an absurd price. If Apple agreed to sell them at $4.99, everyone would be crying out at Apple, "How could you let them do that!". Not to mention that all the other studios would likely want to follow suit with the price increase.




RE: Huh?
By Bioniccrackmonk on 8/31/2007 3:09:39 PM , Rating: 5
Thank you, I was thinking the same thing as I read all the other retarded comments about fanboyism and Jobs being stupid. First of all, this doesn't have anything to do with fanboyism, I wish all you trifling tarts would pike off. Second of all, I am proud that Jobs stood up to NBC and told them to shove off at their attempt to raise prices for their shows. This is exactly what he should have done and I feel it adds precedence to any other companies out there who feel they have to bend to the almighty will of these money hungry corperations. Kudos Jobs.

PS - I do not own anything Mac related, I game on a PC that I built that runs on XP, so don't try to spin my words into fanboyism for Macs, cause there are a few people on these forums that only seem to do just that.


RE: Huh?
By kelmon on 8/31/2007 4:22:17 PM , Rating: 2
I don't know if this helps or not but I'm definitely in the Apple camp and I applaud this decision despite the fact that it no doubt means that I won't get NBC content from anywhere else since competing services will probably be Windows-only. If NBC thinks it can do better then it's welcome to try but consistent pricing is one reason the iTunes Store is successful and NBC's attempts to muck about with the prices was neither warranted nor desired by anyone but NBC.


RE: Huh?
By michal1980 on 8/31/2007 3:13:52 PM , Rating: 2
i see both sides. NBC should be allowed to price their shows however they want., if the price is too high no one will buy them.

Apple wants everything to fit the price that the Apple gods say it is.

iTunes cannot live without content though

i think both sides are wrong


RE: Huh?
By GetSome681 on 8/31/2007 3:53:18 PM , Rating: 5
Of course they have the right to price them however they want. However, it's Apple's store, and they also have the right to decide whether they want your content in their store or not. Apple didn't see NBC-Universal's desire to raise prices as beneficial to their store and their customers, and I commend Apple for dropping them.


RE: Huh?
By mcnabney on 8/31/2007 4:01:30 PM , Rating: 2
I had to scroll all the way down here to find the truth.


RE: Huh?
By AkumaX on 9/4/2007 10:30:51 AM , Rating: 3
Next up: Apple teaches users how to use bittorrent to only download NBC tv shows!


RE: Huh?
By rcc on 8/31/2007 6:13:08 PM , Rating: 5
Yeah, I can't really keep track of the "hate" list. Those companies that you must dislike to be trendy. But obviously Apple is higher on the list than the RIAA/MPAA/Music Industry

Maybe we should publish a list just so everyone won't have to guess. In rough order then....

1. Apple (just cuz they are different)
2. Music Industry/RIAA/MPAA etc. (cuz they want us to pay for stuff).
3. Microsoft (cuz they are big and make an OS)
4. Intel (because they are big, and not AMD)
5. The U.S. Government in any form.(cuz, well just cuz)
6. Sony (because they like propretary stuff, and exploding batteries)

feel free to add and re-sort. Wouldn't want to miss anyone.

Please don't jump on me for the list, I didn't create it, I'm just posting it. : )


RE: Huh?
By GoodBytes on 9/1/2007 1:24:23 AM , Rating: 2
6- Sony (because of root-kits they add in game (SecuROM) and Music CD's) :)


RE: Huh?
By exanimas on 9/1/2007 3:34:27 AM , Rating: 1
Oh God please give this man a 6.

Apple's intentions here seem well placed. I think it's great that they don't want their customer's to be forced to pay $5 for a TV show when everyone else is only charging $2, on the other hand, some people may want to pay $5 for an NBC show. It's kind of a tough line to draw on who's right and who's wrong, but I think Apple looks more like the good guy in this case.


RE: Huh?
By AlexWade on 9/1/2007 8:48:10 AM , Rating: 5
#2 should be changed to:

2. Music Industry/RIAA/MPAA etc. (cuz they want to overcharge for their stuff, put out junk nobody wants to buy/hear/see, then complain that its pirates instead of their inept business decisions, and are always accusing of being guilty before proven innocent by trying to force DRM down our throats.)


RE: Huh?
By Pythias on 9/2/2007 2:54:08 AM , Rating: 2
quote:
...put out junk nobody wants to buy/hear/see...


If nobody wants to "buy/hear/see" why are they stealing it?


RE: Huh?
By feelingshorter on 9/2/2007 2:40:29 PM , Rating: 2
Because most of it is junk . I listen to rap like a lot of other people here and I cannot lie and say that every artist's song is good. Infact, most rap cds have like 1-2 good song that i can even listen to without my ears EXPLODING .

Very few rappers for example, are smart enough to actually create a CD thats just not a bunch of gibberish that they sing and call it a song. Basically, most of the good songs are already on the radio so when you buy their albums, the rest of it's crap. I'll never buy a damn album again.

Again the few artists that actually have good albums is like Chamillionaire. <---- sounds like that guy has brains and actually put some thought into writing his stuff. Or even Black Eyed Peas just to name a good artist that releases music that doesn't make my ears bleed.

Other than that, the RIAA can kiss my ass for putting crap CDs out that no one wants to buy. Thats why people steal music, they only want that one good song. Remember kids, most rap is c rap.


RE: Huh?
By logaldinho on 9/2/2007 9:31:15 PM , Rating: 2
uh, its called production value. most popular artists or legendary artists would be nowhere without producers creating their sound and fine tuning it.

what i do not understand is by your rationale every artist should record a couple songs and only release those which popular culture designates as a "success" instead of expressing their creative persona so that you can save a couple dollars on an LP. thats about as greedy as you claim the riaa are and for that i sadface your comment.


RE: Huh?
By tedrodai on 9/4/2007 10:45:12 AM , Rating: 2
I don't know--if I wanted to buy some apples, but could only purchase them in baskets that also included oranges, pears, avacados, etc, I wouldn't pay an extra $5 just to get ahold of a couple of apples. Now, if watermellons (I looooove watermellons) were ALSO sold only in packages like these, I might be sorely tempted to buy them occasionally, but it wouldn't feel any less like highway robbery.

An artist can't know if their "expressions of their creative persona" will be a success or not when it is released, but lets face it--there are a LOT of CDs out there with 1 or 2 good songs and ~10 horrible ones.


RE: Huh?
By hashish2020 on 9/3/2007 10:10:29 AM , Rating: 2
Chamillionaire?

Black Eyed Peas?

Good...INTELLIGENT?

WHAT?

Man, no wonder you need to steal from the big labels---eMusic has 96% of the good hiphop out there---

And labels like Universal already sell most of the good major label hiphop of the latter 4% through labels like Interscope etc


RE: Huh?
By Ryanman on 9/3/07, Rating: -1
RE: Huh?
By Chadder007 on 9/1/2007 3:41:04 PM , Rating: 2
That was pretty awesome of Apple to do. :D


RE: Huh?
By SoCalBoomer on 9/4/2007 2:59:11 PM , Rating: 2
I've seen reports contradicting Apple's claim of NBC wanting to raise their prices by ridiculous amounts.

Of course, this article does seem to nail it - http://www.engadget.com/2007/08/31/nbc-cancels-itu...

When NBC is 40% of iTunes' video sales, it's a big deal but with Apple acting more as WalMart and less like an actual competitive entity, I don't see it as Apple trying to PROTECT anyone . . .

In fact, reports are coming in that NBC may be moving to free, ad-based revenue streams for its downloadable video - http://www.macnewsworld.com/story/59149.html - hulu - ""Once all NBC shows are available, ad-supported, online, then the bulk of digital viewing will shift from iTunes to the free, ad-supported alternative,""

But, hey, if you want to follow Apple's propaganda, be my guest! Don't do any research to see any of the other views since a: the Kool-Aid is GOOD at Apple, and b: one of the others may be "more true"!

:D


RE: Huh?
By stubeck on 9/6/2007 12:54:08 AM , Rating: 2
I don't know if I fully believe NBC wanting to increase the price. They switched to Amazon and are now charging the same price as at iTunes.


RE: Huh?
By wupta on 9/6/2007 8:28:45 AM , Rating: 2
Content is King. It always was and always will be. Since when does a pencil dictate to the author. Apple sure did for a while but that's over now. Nice run.