Apple plans to roll out pre-made ringtones
During a confirmed press event on
September 9, Apple is expected to add
pre-made ringtones to the iTunes music store, hoping to cash in
as a growing number of phone owners seek custom ringtones.
Ringtone
pricing varies depending on wireless provider, but most ringtones
cost between $1.99 and $2.99, though analysts expect the pre-made
ringtones from Apple to be available for $1.29. Record labels
are now more interested in marketing ringtones to phone owners, as
ringtones offer higher profit margins than MP3 downloads.
iTunes
users can currently pay for a music track and then pay an additional
$0.99 to cut out a 30-second clip that can be turned into a ringtone.
The ability to pay a lower amount and not have to do any work is
expected to be appealing for phone owners in the future.
The
actual demand for ringtones is unknown, with research firms providing
different predictions for the market. Research firm SNL Kagan
recently released a report indicating ringtone sales cashed in $714
million in 2007 -- but that number dropped 24 percent to $541 million
one year later.
Furthermore, there are several online services
where phone owners are able to upload a song to the site, select a
part of the song, then send the file to their mobile phones.
"It looks like the iPhone 4 might be their Vista, and I'm okay with that." -- Microsoft COO Kevin Turner
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