Apple mulling all-you-can-eat iTunes deal
Apple is in discussions with major labels EMI, Warner, Universal and Sony/BMG to launch a proposed all-you-can-eat digital music model bundling free access to the computing giant's complete iTunes catalog with its iPod and iPhone devices. According to The Financial Times, Apple's proposal effectively replicates Nokia's Comes with Music initiative, launched in December 2007; however, while Nokia reportedly pays its record label partners $80 per handset, divided according to their respective market shares, Apple is so far offering just $20 per device, said two executives familiar with the negotiations. "It's who blinks first, and whether or not anyone does blink," one executive told The Financial Times. Apple is reportedly mulling an iTunes subscription model as well. The report cites research suggesting that consumers will pay up to $100 for unlimited music access during the lifetime of the device, or a monthly subscription fee of $7 or $8. Apple declined comment.
For more on Apple's plans:
- read this Financial Times article
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