iTunes Store finally allowed to drop DRM - at a price

Stephen Withers
Wednesday, 07 January 2009 03:07

Opinion and Analysis

Apple's campaign to make DRM-free music the norm has finally paid off. Depending on your tastes, you may end up paying more, less, or the same for  your music.

In what could be seen as a major backdown, Apple is dropping its 'all one price' model for music sold through the iTunes Store.

Instead of charging a flat rate of $US0.99 per track, the iTunes Store will from April list songs at $US0.69, $US0.99 or $US1.29. The prices will reflect the wholesale rate charged by the record companies.

Apple CEO Steve Jobs said that many more songs would be priced at $US0.69 than $US1.29, but it seems probable that new songs from big-name artists will initially attract higher prices than those from the back catalogues or minor performers - otherwise what is the point of variable pricing?

According to Apple officials, most albums will remain at $US9.99.

Customers will be able to upgrade previously purchased songs to unprotected versions for $US0.30 per track.

Major labels have wanted variable pricing for some time, and some of them are believed to have insisted on it as a precondition for Apple to sell DRM-free tracks. While other online music retailers such as Amazon have offered a full range of DRM-free music for some time, the majority of the iTunes catalogue has only been offered with Apple's FairPlay DRM.

Also new is over-the-air downloads from the iTunes Store to the iPhone 3G. Please read on.