And an interesting one it may well be. New York’s Attourney General has ordered Warner Music and Sony BMG to deliver information regarding a case that he is putting together related to setting the price on digital music.
It’s reported on several sites that this case has been brought about with iTunes and other smaller businesses voicing their discontent with the corporations for pricing some songs at a higher rate than others at the wholesale level, and offering very little room for profit for the music vendors. In some cases, the profit margin is as small as eleven cents per mp3 of that particular song sold.
Steve Jobs has said, “We’re trying to compete with piracy. If the price goes up a lot, they’ll go back to piracy and everybody loses.”
Maybe the recording industry should listen to Mr. Jobs. I mean, the man did build a multi-billion dollar corporation out of his garage. I think he’s got a clue about how to sell things.
