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Crazy Stevie’s–Our Prices Are iNsane

crazystevie.jpgHow much is a TV-show download worth? In Apple’s estimation, about 99 cents each. Citing “three people familiar with the proposal,” Variety reports that the company has told Hollywood it would like to halve the price of TV shows sold through iTunes. Apple’s argument: the volume increase in sales created by such a price cut will more than compensate for its feared impact.

As one might imagine, the networks are balking at Apple’s proposal, and Variety notes that it may have played a role in the company’s recent spat with NBC Universal. Which isn’t all that surprising, given NBCU’s contention that lowering prices on iTunes works primarily to Apple’s benefit. As NBC Universal said in a statement last week, “It is clear that Apple’s retail pricing strategy for its iTunes service is designed to drive sales of Apple devices, at the expense of those who create the content that makes these devices worth buying.”

Comments

  1. And of course, there’s no chance that Variety doesn’t side with the entertainment industry, right? Like, they don’t know on which side their bread is buttered? I suspect NBC is using them as a stalking horse with this “story.”

    I don’t buy many TV shows on iTunes, unless I’m out of the country for a while and my DVR erases a show before I can see it. (Rare) Why? Because they cost too much for what I can get on TV or the Internet for free.

    Legally, I should add. What were you thinking? That I would do it P2P? No need. ABC has their shows online for free. How could they possibly expect me to pay $2 when I can access them free? To avoid ads? Forget it. I can read eamil during the ads.

    And TV just isn’t that valuable to begin with.

    If the shows were 99 cents each, I’d probably definitely buy a bunch. Most definitely if they were HD shows.

    Posted by Eric Welch at September 10th, 2007 at 8:24 am

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John Paczkowski has been poking fun at the tech industry and the personalities that drive it since 1997. From 1999 to 2007, he wrote the award-winning tech news Web log Good Morning Silicon Valley for the San Jose Mercury News, Silicon Valley's daily newspaper. Read more »

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