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Music Downloads - Apple iTunes Proposes Unlimited iTunes Access

Introduction: Apple is in the process of setting up unlimited music downloads from its iTunes library. They're currently in negotiation with the major recording labels to determine a fair premium price . Currently their proposal is a monthly fee of $7 to $8.

As technology improves and illegal music downloads increase, this would allow Apple, in my opinion, to increase it's market share of online music sales. Because, even at the $0.99 cent per music download cost, a number of iPod users still prefer to acquire memberships with P2P file sharing sites. And with this option, they are less inclined to be prosecuted for copywrite infringement.

Unlimited Music Downloads Proposed By Apple iTunes

By: Andy Hodges
Mar 19, 2008, 8:50 AM EDT

Apple is currently in talks with major music companies to offer customers free access to its iTunes music downloads library in exchange for paying a premium on iPods and iPhones.

The new premium rate that Apple has proposed to major music companies is a monthly flat fee of $7-$8. The monthly rate would offer customers free unlimited access to the iTunes music downlodads library.

The premium rate would be available for Apple's iPods and iPhones.

A source familiar with the talks said both companies are trying to resolve an unpleasant dispute over what price Apple is willing to pay the music companies from the premium price.

While the talks between Apple and the music companies have met a dispute, it's still too early to predict the difficult outcome. The flat monthly rate could benefit both companies as well as the consumer.

According to one industry executive, recent research showed consumers would willingly pay a premium of up to $100 for unlimited access to music downloads for the lifetime of a device, or a monthly fee of $7-$8 for a subscription model.

Nokia recently launched a new unlimited music offering last year, however, the company's restrictions are confusing to what Nokia actually calls free and unlimited.

Another similar possibility that's far less radical is a subscription model, in which users pay per month for unfettered access to music downloads. As current iPods, which are not yet Wi-Fi enabled, would leave the service unlimited for iPhones only.

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