Would Apple really shutter iTunes?
Originally uploaded by tiffr
Would Apple really shutter iTunes? Unlikely(September 30, 2008 CNET)
Fortune magazine published a bombshell of a story on Tuesday by reporting that Apple once threatened to close iTunes if forced to pay more for music royalties. A more careful reading of the statement from an Apple executive shows that it was more of a veiled threat. Regardless, it’s possible Apple could shut down iTunes.
Apple seemed that there is a possibility of closing iTunes if it raises the price of royalty of music.
It is natural that Apple makes remarks like this.
The purpose of the reason why the enterprise is doing the business is to turn out profit.
Therefore, if the profit cannot be obtained, it is natural that there is a possibility of ending the management of iTunes.
How do it become it when it raises the price of the music sold with iTunes?
If it raises the price of the music sold with iTunes, it is possible that the charm to the price is lost, the number of customers decreases, and the quantity sold decreases.
In a word, it is thought that sales of both Apple and the artist decrease by that.
In addition, the profit will decrease in the royalty as for Apple if it raises the price of the music.
Then, the meaning that does this business is lost.