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August 15, 2005

Apple Not Keen On Subsciption Market

BusinessWeek: Apple is not keen to enter the music subscription market, and may not do it anytime soon, says this BW story, unless one of its rivals comes up with a way to make subscriptions mainstream.
According to the story, earlier this summer, soon after Yahoo's announcement of its Music Unlimited subscription service, Apple wondered about a subscription service. One of the label executives said Apple was concerned about what e-tailer Amazon.com or Google might do in this area. But, says the source in this story, Apple seemed unlikely to make a move until a rival began forging inroads into its music empire.
And that hasn't happened in any big way: So far, only 2 million-or-so people have signed up for offerings such as RealNetworks' Rhapsody service or one from Napster, and Yahoo's new service hasn't made too many inroads either.

Posted by Rafat Ali in Apple | Permalink


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Could it be that Apple can't do subscriptions? Technical issues aside for a moment, seems to me many labels resent the influence that Apple has had, and continues to have, over digital. They want to charge a lot more for downloads. They sure is hell ain't going to license iTMS for subscription under the current situation. Which is one reason why labels prefer to focus on mobile, where there is some competition amoung rivals, and they have some considerable influence as a suppliers - where they can all get together with carriers and charge like wounded bulls for RINGTONES!! Urgh. And I repeat, people, URGH!

Posted by: Greg E | Aug 15, 2005 6:43:57 AM

I doubt the case is that Apple CAN'T DO SUBSCRIPTIONS regardless of infueding going on with the labels. I see subscriptions as a lot of hassle for even less money. Older iPods will almost definitely need some type of upgrade in order to support subscriptions. I'm sure that if they ever do decide to introduce subscriptions, it will be killer.

Posted by: Cartel | Aug 15, 2005 10:27:03 AM

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