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August 22, 2007
iTunes 'under pressure' from DRM-free suppliers
Apple's iTunes store could soon be forced to offer all its tracks without digital rights management (DRM), it was suggested yesterday.
The store currently controls the digital download market because of its association with the iPod, and its strong sales have seen it become the third biggest music retailer in the US.
Most of the tracks sold via iTunes are protected by DRM, meaning they can usually only be played on iPods and iPhones.
However, the world's biggest record label, Universal Media Group (UMG), has now begun supplying DRM free downloads via Amazon and gBox and technology journalist Adrian Mars believes iTunes may have little choice but to offer a similar service.
"[UMG] are selling their own DRM free tracks and that really puts them in a much stronger bargaining position with Apple," Mars told BBC Radio Five Live's Wake Up to Money programme.
Meanwhile, it was announced yesterday that MTV Networks and RealNetworks are to merge their download services, with the new Rhapsody America service competing against iTunes by offering music downloads for PCs, phones and mp3 players.
© 2007 Adfero Ltd
Posted by ipodworld at August 22, 2007 09:34 AM
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