A lot of you seem to be upset by the new iTunes music pricing scheme released today. At first, we were kind of ambivalent but when we dug deeper we can see the point.
Why does Apple need to charge $1.29 when Amazon charges $.99 or even $.79 for the same track. Both are high quality DRM free music files. Apple sells way more music and isn’t even trying to make a profit (or so it says) so it isn’t a scalability or a margin issue.
News today was that Amazon’s prices would also start hitting $1.29 If you look at Amazon’s top 100 Music sales, you’ll see some prices at $.79 and some as high as $1.29. (Taken at 11:30 PM EST on April 8th).
But these $1.29 songs are few and far between, while most of Apple’s top 100 are $1.29.
Amazon’s price above, vs. iTunes price below.
Update: Amazon has raised Pokerface to $.99