A Washington D.C-based Copyright Royalty Board rejected a demand from the National Music Publishers Association (NMPA) to increase royalty fees on Apple’s iTunes from 9 cents to 15 cents. The decision will be valid for atleast five years meaning that Apple subscribers can look forward to enjoying these services during the time period.
Apple had earlier threatened to close iTune stores in case the royalty fees were hiked. Apple reasoned that the margins in this business were already very low and further increase in cost would result in losses for the company.
“We''re pleased with the CRB's decision to keep royalty rates stable," Apple spokesman Tom Neumayr reportedly told CNN. “Apple has repeatedly made it clear that it is in this business to make money, and most likely would not continue to operate iTS (iTunes Store) if it were no longer possible to do so profitably,” added Eddy Cue, Apple’s global vice present of iTunes.
Source : http://www.telecomtiger.com/
Tag Technorati Apple, CNN, iTune, iTS
Apple had earlier threatened to close iTune stores in case the royalty fees were hiked. Apple reasoned that the margins in this business were already very low and further increase in cost would result in losses for the company.
“We''re pleased with the CRB's decision to keep royalty rates stable," Apple spokesman Tom Neumayr reportedly told CNN. “Apple has repeatedly made it clear that it is in this business to make money, and most likely would not continue to operate iTS (iTunes Store) if it were no longer possible to do so profitably,” added Eddy Cue, Apple’s global vice present of iTunes.
Source : http://www.telecomtiger.com/
Tag Technorati Apple, CNN, iTune, iTS
