Will Music Copyright Holders Accept a Revenue Share Model?

October 1, 2008

Hopefully, they will.

Here is a good post at TechCrunch on this theme. Tomorrow there will be an announcement on the new rates of music copyright fees for digital music downloads for the next five years.

As always the music publisher are not realistic when it comes to pricing and even want to raise the fee from 9 to 15 cents per track. Apple is not amused and has vaguely threatened that it might have to shut down iTunes if the new rates go into effect.

Now Apple and the record labels are arguing that the rates should be changed from a flat fee per song to a percentage of revenues.
Hopefully Apple will be successful because this is the only chance for realistic pricing anytime soon.  It will make it possible to be much more flexible with pricing and to expand the business, which in the long term should be a big benefit for  artists.

We will see…

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