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Industry: Email Alert RSS FeedBiting into Apple.(Apple Computer Inc. iTunes Music Store's business model)
Video Business, February, 2007 by Sweeting, Paul
By Paul Sweeting Digital rights management has finally outlived its usefulness to Apple Inc. In an extraordinary open letter posted to Apple's Web site Feb. 5, Apple impresario Steve Jobs declared that the only reason the iTunes Music Store continues to wrap its tracks in restrictive DRM is because its licensing deals with the record companies require it.
If freed from that requirement, Jobs said, iTunes would embrace sales of unprotected songs "in a heartbeat." The manifesto represented a stunning about-face for Apple, which has used a combination of brilliant marketing and a proprietary DRM system to grab 75% to 80% of the market for MP3 players and keep competitors from poaching its users. For Jobs to now endorse the complete...
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