Recently Apple has threatened the music industry saying that rather than give in to their demands they would close the iTunes Store instead.
The music industry is trying to increase its royalty rights for a songs individual sales. They are aiming at increasing the amount made for each song from 9 to 15 cents. Apple seems to be dead fast in fighting to keep prices the way they are for customers that buy songs through the store and they definitely won’t pick up the excess change themselves. Which can definitely be a good thing for us the consumer because we essentially have a big corporation fighting on our side weather they mean to or not.
However the problem lies in weather or not the Copyright Royalty Board (CRB) gives ruling in favor of the National Music Publishers’ Association (NMPA). If the ruling is in their favor then Apple would rather sacrifice what it would make less, then to keep it open at all. Apple has stated several times over that they are in the business of making money and like any business if they can’t make money within the margins they want then they will surely find a new outlet to profit from.