Apple denies big record label may quit iTunes

Apple Inc. denied reports Monday that record label Universal Music Group did not plan to renew its contract to sell songs on its online iTunes Store.

"We are still negotiating with Universal," Apple spokesman Tom Neumayr said. "Their music is still on iTunes and their not re-signing is just not true."

Representing artists such as Andrea Bocelli and Akon, Universal told the Cupertino technology company last week that it did not plan to sign a long-term contract, an industry source said.

Instead, Universal planned to continue its partnership with iTunes at will, letting the record company negotiate exclusive deals with other music services if those opportunities came up. For instance, it could grant exclusive rights to a new song to an online music service for several months before releasing it to iTunes and other retailers. The news was first reported by the New York Times.

A spokesman for Universal declined to comment.

View: San Francisco Chronicle

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15 Comments

bear with the annoying name that messes up quotes said,
it'd be a bigger blow to universal. Apple doesn't profit from the music in the itunes Music store.

Ok, but it wouldn't exactly look good if you couldn't get music by U2 to put on your U2 iPod any more

And, again... wouldn't that hurt UMG's relationship with U2 more than it would Apple? (Apple: We love U2, we want them, they want us. Sony: you can't have them, they're ours, and we make their decisions for them.)

No one gives a damn what the distribution dinosaurs scream as they lay dying in the online tar pits. Go ahead, Universal, shoot yourselves in the head a few more times.

It's a bit stupid, they would quit Apple iTunres Store and find another place which after few years would become one of the best (of course they would have low prices, like iTunes Store) and they would decide again to ruin people's heaven and again, and again...

It's becoming boring...

Precisely. Universal is still clinging to the old "we charge more for CDs than DVDs" business model.

Universal, here's some simple math for your accountants:

SOME money from online sales is greater than NO money from free distribution methods (i.e. DRM free piracy or the artists releasing the music themselves...without YOU). The old model is dead. Time to move on or die with it.

Representing artists such as Andrea Bocelli and Akon...

*gag* That's good enough reason to reject Universal's renewal.

I agree. I don't understand why soo many people like Akon. The guy is an ass. I never heard of the guy until he did that song with Gwen Stefani. I guess being able to go "woo hoo...yee hoo" in an accent makes you very talented. That and humping teenage girls on stage and throwing boys off a stage. Yeah...that's true talent!

Fourjays said,
From the article, it sounds more like they want the freedom to give exclusives to anyone - not just Apple.

Discerning that required you read the article. Most members here get as far as the title, and if it involves apple, microsoft, or linux they enter the comment area armed with an array of talking points from whatever viewpoint they represent and have little interest in critically reading the article.

-d

Fourjays said,
From the article, it sounds more like they want the freedom to give exclusives to anyone - not just Apple.

Man... we almost went 6 posts with out a comment like this. Too bad.

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