According to the Financial Times, Apple is considering a plan that would give its customers free access to the entire iTunes library as long as they are willing to pay a premium on the purchase of their new iPhone or iPod device.
While rumors have been going around the Internet for years regarding a decision by Apple to make its iTunes service completely free, this is the first time that there is any credence to the consideration.
The plan would certainly be a bold move. Giving away songs on iTunes could anger some artists as well as creating a nightmare of keeping track of iTunes earnings. Right now, iTunes generates about 10 percent of Apple’s revenue. The music store hasd really served as a venue for increasing sales to Apple’s iPod and iPhone devices. Apple is ranked second in all retail music sales, just behind Walmart, Inc.
In reality, if Apple does decide to allow free access to iTunes for premium users, it might be in the form of one or two different options. The first would be a free music bundle for those who pay extra for their devices. The bundle may include specific record labels only. The other option would be a subscription service that allows a certain number of free downloads a month.
Critics of the plan says that artists will still want to be compensated for their music, especially independent artists.
Apple has declined commenting on whether or not it is considering a plan for free access to iTunes.
At the moment, the least expensive iPod, the Shuffle, retails for $49, and the least expensive iPhone retails for $399. Approximately 8.3 billion iPods were sold last year.
Make sure to check back here in the Computing Blog for future updates concerning this issue.
Mary Ann Romans writes about everything related to saving money in the Frugal Blog, technology in the Computing Blog, and creating a home in the Home Blog. You can read more of her articles by clicking here.
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