Is Universal Angling For A Piece Of Every iPod Sold?
from the good-luck-with-that dept
With Universal Music Group threatening to pull its music from iTunes, some are speculating that the real end game isn't just to change the pricing on iTunes, but to get some money for every iPod sold. After all, Universal somehow convinced Microsoft to pay up for every Zune sold, even though there's no legal, moral or business reason for doing so. Of course, Zune's sales are nothing compared to the iPod. However, Steve Jobs is playing a different game here and seems a lot less willing to give in. After all, Jobs knows that the music is simply a loss leader so he can sell more devices -- where he can actually make some profits. He's unlikely to give up those profits very easily -- especially when there's no compelling reason to. Given Jobs' position here, it wouldn't be totally out of character for him to call Universal's bluff, and pull their songs from iTunes. Then let's see who needs who more.