Keep an eye on: NBC, Apple

August 31, 2007

apple-jobs-waves.jpgCracks in the Apple empire? First Vivendi’s Universal Music Group, and now GE’s NBC Universal. The New York Times says NBC will not renew its contract to sell TV shows on iTunes because they can’t agree on pricing. The contract is expected to end in December.

NBC the top supplier of digital video to Apple’s online store, accounting for about 40 percent of downloads notified Apple of its decision late yesterday, according to the Times, which cites an unnamed source.

This is just the latest in a history of gripes media companies have with the reigning iTunes. The music industry, reeling from declining CD sales, has pushed for variable pricing. Apple, for its part, maintains that consumers want simplified pricing. iTunes Japan is one of the few markets where Apple sells tracks at different prices.

With Amazon, Wal-Mart and others on its back, will Apple finally relent?
(NY Times)

Keep an eye on:

  • Apple’s getting into the ringtone business, realizing finally that paying $3 for a 15-second clip of a song is a far better business than the entire track at 99 cents. Rumblings of this bounced around the blogosphere as early as June. (NY Post) (ZDNet)
  • Amazon inching closer to September launch for its iTunes rival, after first talking about this in May. (NY Post) (Reuters)
  • Baidu eyeing Japan expansion. South Korea next? (Reuters)
  • Yahoo researching social networking site Kickstart (CNET)

Apple please do not bow down to these greedy hords at NBC. Keep protecting your customers. Haven’t these people learned from the napster days. If the media is too costly, people will just steal it which is exactly what will happen to NBC’s content. Sell it at $1.99 (Which is already too high) or we’ll just steal it via bit torrent. I tried to be good and not steal content and itunes made it work for me. NBC want’s to rob us consumers so lets show them who is in charge and STEAL from their greedy pockets.

Posted by George | Report as abusive

Can you say ‘hulu’….?

Posted by devils advocate | Report as abusive

The real headline:

“NBC Universal and other companies say they want to increase prices …” — The Original New York Times Article

Apple is fighting to for the consumer to keep prices down!

Posted by Keith Shaw | Report as abusive

NBC/Universal is up to it’s old tricks, trying to squeeze us dry. For example, they want to force us to buy a movie/tv show bundle when we only want the tv show – eg: 40 year old virgin and the office vs just give me The Office!

Posted by Robert Vassar | Report as abusive

This is not about the company Apple or the company NBC. iPods/iTunes customers already represent the dominant group of people who will actually pay for content vs steal it. When Apple announces their even more amazing products this week just in time for the holidays they will further cement this caretaker position.

One can put all types of music, movies, videos, photos, etc. on the iPod. Do you seriously think the lack of NBC content will cause one existing customer to toss their iPod or new customers to not choose to buy one?

Hulu? Add them to the scorched pile of pissed away capital projects that includes microsoft, dell, coke, sony, napster, etc. Could NBC possible be that naive? If you don’t have access to these great customers you are left with the (non-paying) bit-torrent ones. NBC, please check the book of Sun Tzu out from the library!

Posted by History repeats itself | Report as abusive