UK Group Accuses Apple of Overpricing iTunes
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The price of music downloads has been a contentious issue among fans in the UK, who are quick to point out the pricing scheme often means that downloading a full album costs more than buying the CD.
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Apple Computer Corp is charging its British iTunes customers 17 percent more per download than its European customers, a consumer watchdog group has said.
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Apple&#39;S iTunes caused upset yesterday by securing the Band Aid charity single Do They Know It&#39;s Christmas for sale at 79p, instead of the Â£1.49 its rivals, from Napster to HMV, are asking customers to pay.
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RealNetworks&#39; campaign to grab digital-music market share away from Apple&#39;s iTunes service -- most recently, with cut-rate, 49-cent song downloads -- is raising the ire of Apple loyalists. A petition placed online by Real was swamped with ...
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A&#160;class-action suit filed against Apple&#160;alleges the company unfairly uses technological restrictions with its iPod line and iTunes Music Store to beat out competitors.The suit, filed in U.S. District Court for the Northern District of California, is the latest one to accuse Apple of unfair business practices. Apple is facing similar legal actions and scrutiny in the U.S. and Europe.The suit was filed Dec. 31 by Stacie Somers, a resident of San Diego County, California, who bought a 30GB iPod from Target, a retail store. Others who bought an iPod or content from Apple&#39;s iTunes store after Dec. 31, 2003, may join the suit.The suit calls for Apple to forfeit money it earned from the unfair practices and pay the plaintiffs damages.It alleges that Apple has constricted the market by not enabling iPods to play content in the Windows Media Audio (WMA) format, Microsoft&#39;s copy-protection technology. Further, Apple sells songs on the iTunes store with its own copy-protection technology, FairPlay, which is incompatible with music players other than the iPod.The suit contends iPod-owning consumers can only buy music from iTunes, an unlawful tie-in that violates U.S. antitrust laws. Apple could license the WMA format for as little as $0.03 per iPod, or for a total of $800,000 based on Apple&#39;s 2005 iPod sales, the suit reads.The suit may quickly become less relevant as many online music retailers, including Apple, expand their offerings of music free of copy-protection restrictions, also known as DRM (digital rights management).DRM-free tracks offer the advantage of being compatible on a wider range of devices. In May, Apple began selling songs from the label EMI without DRM. Also,&#160;Amazon.com now sells song in MP3 format, and Universal Music Group has tested selling DRM-free music.&#160;
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p2pnet.net News:- Britain&#39;s Consumers&#39; Association wants to know why Apple charges its UK users 17% more for downloads that those in the rest of Europe.
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Steve Jobs insists that songs on iTunes cost 99 cents and television episodes cost $1.99 because consumers crave simple pricing. Except, of course, when it comes to Appleâs own products.
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(InfoWorld) - Just because three major online music retailers bind their music stores to specific portable players doesn't make it acceptable, a Norwegian consumer group leading the charge against Apple's DRM (digital rights management) policy says. "ITunes Music Store and others are unfair to consumers no matter how many download services follow the proprietary approach," wrote Torgeir Waterhouse, a senior advisor at The Norwegian Consumer Council, in response to a letter written by Apple CEO Steve Jobs andÂ posted on the Apple Web siteÂ on Tuesday. Jobs examined why DRM exists and discusses alternatives to the current set-up in his open response to calls for Apple to allow users to buy songs from the iTunes store and play them on any device. Norway's consumer representative hasÂ threatened legal action against AppleÂ for violating Norwegian law by limiting iTunes customers to playing their music only on iPods. Consumer groups in Denmark, Sweden, Finland, France, and Germany haveÂ joined Norway's complaintÂ against Apple. Jobs points out that Microsoft and Sony also sell music that can only be played on their players, supporting a model that serves customers well with choice and a continuing stream of innovative products. He also suggests that groups like Waterhouse's "redirect their energies" toward convincing the music labels to sell music without DRM, technology that aims to restrict how buyers can copy or use the music. The four biggest record labels forced Apple to employ a proprietary DRM system as a condition of the agreement that allows Apple to sell their music, he said. Ideally, he said, the labels wouldn't require DRM. "This is clearly the best alternative for consumers, and Apple would embrace it in a heartbeat," Jobs wrote. While Waterhouse agrees that the record companies carry some fault for the situation, the iTunes music store and others like it are ultimately responsible. "They're still the company that's selling music to the consumers and are responsible for offering a fair deal according to Norwegian law," he said. Still, with his letter, Jobs' appears to have stirred up some additional pressure on the record labels to change their DRM policies. EMusic.com Inc., which claims to be the second largest music download site, only sells DRM-free music from thousands of independent labels. But the site would like be able to sell music from the four biggest labels. "We are hopeful the remaining four will one day join [the independent labels] by licensing their complete catalogs and reap the benefits of consumer demand," David Pakman, president and CEO of eMusic, wrote in a response to Jobs' letter. Even though Jobs didn't hint that a solution might be impending, Waterhouse appeared to see a glimmer of hope. "If this means that Apple is willing to the kick the lock in technology from the [iTunes/iPod] combination this is really good news -- news that should be put into action as soon as possible to bring us all one important step closer to a well functioning digital society," he wrote.
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The UK&#39;s Office of Fair Trading is conducting an investigation following a letter of complaint from the Consumers&#39; Association pointing out that Apple&#39;s iTunes online store sells a digital
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Some Macworld Online readers have experienced problems using the UK iTunes Music Store in recent days. Letters received by Macworld confirm multiple instances in which users trying to access
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The Office of Fair Trading refers Apple's iTunes service to the European Commission on the grounds that it over-charges UK customers.
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Apple&#39;s iTunes Music Store is causing a bit of a stir by refusing to sell the charity Band Aid song &quot;Do They Know It&#39;s Christmas?
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A consumer's group said Wednesday it has complained to government regulators about the cost of downloading music from Apple's iTunes system.
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Apple will scrap online pricing policies across Europe for iTunes music downloads and charge consumers in Britain and the rest of Europe the same amount,  according to the deal.
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Instead of &quot;Think Different,&quot; perhaps Apple Computer&#39;s slogan should be &quot;Price Different,&quot; says a group of disgruntled UK music fans.
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Apple said it would bring the prices on its iTunes digital music store in Britain in line with those on the Continent to settle an antitrust case.
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The competition watchdog has called for an investigation into whether Apple&#39;s new iTunes music download service is &quot;ripping off&quot; British consumers.