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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 fic2 on 8/31/2007 1:15:46 PM , Rating: 3
Interesting that you only count the revenue off of one song, but the expenses for many songs. At least I am guessing that you don't hire PR for one song @ $15k, college radio for one song @ $3k, etc.

Also, most bands I know have songs/CDs that they did on their own, PR own their own, etc before any label, indie or otherwise, would touch them. Unless you are actually creating the band then I would expect most bands are coming to you with some kind of fan base otherwise you wouldn't touch them.

There is no way in hell I would pay $3 for a song. Your comparison to buying a cup of coffee is stupid. If you can get a band to make a personalized song for ME then I would pay $3 for it.


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