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Claire Bennet and the rest of the Heroes gang may be leaving iTunes
NBC Universal says "good-bye" to iTunes

Apple is very protective of its iTunes store and the pricing model used to distribute music and video. That tight grip over pricing has caused NBC Universal to break ties with Apple.

NBC Universal will not renew its contract with Apple to sell TV shows on iTunes. Popular NBC Universal shows made available on iTunes include "Heroes," “30 Rock” and "The Office." In fact, NBC Universal is currently the number one provider of video downloads on iTunes and accounts for 40 percent of video downloads (roughly 1,500 hours or programming).

NBC Universal's two-year contract ends in December, so content will still be available on iTunes until that time. Apple and NBC Universal could still come to an agreement before the end of the contract, but it appears -- for the moment at least -- that neither side is willing to budge on the matter.

NBC Universal feels that it should receive a larger cut of iTunes downloads and have the ability to package content together. Apple on the other hand has stood its ground with regards to pricing and contends that packaging video content would lead to confusion for buyers and decrease demand.

This isn't the first time that Apple has run into pricing issues with one of its content providers. In July, Universal Media Group decided not to renew its iTunes contract over similar pricing concerns.

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RE: About time!!
By acer905 on 8/31/2007 12:29:49 PM , Rating: 2
I hate to sound like i don't care... but a cup of coffe costs more than a song because of the simple fact that its not as easy to pirate coffee. As the cost of music goes up, so will the piracy rate. And the sad truth is, for larger businesses its easier to put out products. And because of that, they can charge less, and get more.

RE: About time!!
By wupta on 8/31/2007 12:59:23 PM , Rating: 2
You are also correct unfortunately and this is why I will probably layoff the rest of my staff by next year move on. The larger business who were putting out songs were initially looking at their back catalog of music which was languishing and didn't think for a sec about the future. They figured why not put it on the web. We don't have to reprint it, ship it or warehouse it. We will just make money. They were greedy but ultimately stupid because once they had sold at .99 they couldn't go back and people got used to it at that price. That is why now they are not re-signing with Apple.

"Folks that want porn can buy an Android phone." -- Steve Jobs

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