Networks hesitant on Apple’s push for 99¢ TV episodes
Apple has supposedly been pitching networks on lower prices for TV shows, cutting the current standard from $1.99 to 99¢. If a report in the New York Times is accurate, it seems that most networks have been reluctant to consider lowering prices for two reasons: they fear the lower price will devalue the content, and doing so may give Apple more control than they would like.
Though iTunes music sales have been a success in the face of dropping CD sales and increasing P2P file sharing—Apple is already gearing up to commemorate 10 billion songs downloaded—two-dollar TV episodes have only been downloaded about 375 million times. Apple is trying to convince networks that 99¢ will make TV shows more palatable and drive increasing sales.
Variable download pricing correlated with slower music sales
It has been about a year since the music labels got what they had been asking for from the major online music stores: tiered music pricing. Problem is, that system may not be working out as well as the labels had hoped—Warner Music Group has reported slowed digital music growth since the pricing changes, and even though the company tried to spin the news as positive, it acknowledged that the timing may not have been the best.
Warner’s digital sales (and by “digital,” it means online sales, not CDs) made up 20 percent of its total revenue in its quarter ending on December 31, 2009—flat sequentially from the previous quarter. Unit growth in “digital track equivalent albums” saw a five percent growth rate during the December quarter, though it’s down from 10 percent in the September quarter and 11 percent earlier in the year. Digital revenues were up eight percent year over year, compared to 20 percent the year prior.
etc: Apple has added App Store offerings to its browser-based iTunes previews. Now, you can check out the app’s description and screenshots before launching iTunes.
Apple has added App Store offerings to its browser-based iTunes previews. Now, you can check out the app’s description and screenshots before launching iTunes.
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This American Life app link (for testing)
Week in Apple: the Apple (tablet?) event! It lives!
The Apple world is more on-edge than ever after Apple confirmed a rumored event for January 27 (which we, of course, will be covering live). Just like that, tablet rumors exploded in a giant fireball of fantasy and speculation. But that’s not all that happened this week (really!). Read on to catch up:
Apple confirms mystery Jan. 27 “creative” event: Apple has sent out invitations to select media outlets, confirming a special event on January 27. Will we finally see the rumored Apple tablet?
The case against a 10″ AMOLED Apple tablet: We were just as excited as anyone else by the recent rumor that Apple has been hoarding 10-inch OLED screens for a January iSlate launch. But unfortunately, after talking to the OLED Association, it turns out that there are just no 10-inch panels to hoard.
Parental Control glitch gives kids access to App Store porn
iPhone OS 3.x brought us beefed-up parental controls, giving parents finer-grained control over what apps their kids could purchase based on four standard age ratings. A side effect of Apple’s move to have apps rated by age level meant that apps with racier content—essentially soft-core porn—could be approved for sale if was rated 17+. Educator and developer Fraser Speirs has discovered, however, that access is only restricted for purchasing, not browsing in the App Store, which is a real problem in school environments. The glitch has become a huge headache for Speirs’ school, which plans to roll out iPod touches to every one of its 100 students next fall.
Speirs is known for his work for Connected Flow, which makes FlickrExport for Mac and Darkslide for iPhone. During the day, however, Speirs works at Cedars School of Excellence in Greenock, Scotland, where he teaches computer courses and manages the school’s IT. The small, independent school has just 100 students in primary and secondary grades combined. Unable to fund a one-to-one notebook program, the school was able to purchase each student an iPod touch to supplement the strained resources provided by its Mac-based computer lab.
Cloud storage may be main focus of Apple’s Lala buyout
Apple’s acquisition of Lala won’t form the basis of any iTunes subscription service, but instead may help Apple quickly build a cloud-storage component into the next version of iTunes. Apple will supposedly leverage Lala’s current music uploading technology to give users “anywhere access” to their music library.
Michael Robertson, guest writing at TechCrunch, cites a number of insider sources who say definitively that Apple will not offer a subscription option to the iTunes Store. Instead, it will complement the current model with cloud storage, giving iTunes users the ability to “to navigate and play their music, videos and playlists from their personal URL using a browser based iTunes experience.” Robertson, formerly the CEO of MP3.com, is currently the head of MP3tunes, which offers a cloud-storage service for music files similar to what he describes as the future of iTunes.
Such a strategy is one we speculated Apple would pursue, and one that sources for the Wall Street Journal also claimed would be wrapped into iTunes in a future update. Obviously, Lala’s technology and engineering expertise, combined with a giant data center, could power such a feature. Robertson suggests that doing so could make an end-run around having to negotiate additional streaming licenses from record labels, since each library would be linked to a specific customer.
“Apple will link the tens of millions of previously sold iPods, Touches, AppleTV and iTablets to mobile iTunes giving users seamless playback of their media from a wide range of Apple branded devices,” Robertson said. “iTunes shoppers will be able to continue to buy music and movies as they can now, with purchases still being downloaded, but once downloaded they will be automatically loaded to their mobile iTunes area for anywhere access.”
etc: Mac users have two convenient ways to donate to Haitian relief efforts. Apple is taking donations for the Red Cross via iTunes, and indie developers are donating all proceeds for sales on January 20.
Mac users have two convenient ways to donate to Haitian relief efforts. Apple is taking donations for the Red Cross via iTunes, and indie developers are donating all proceeds for sales on January 20.
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iTunes Store, Indie Relief
Apple to fold Lala into iTunes, transform into Web service
Apple is supposedly planning to use its acquisition of online music service Lala to transform iTunes into a Web-based service, according to sources “briefed” on the strategy. Infrastructure and licensing hurdles must still be overcome, but if all goes according to plan, it may change they way we think about media ownership forever.
Lala currently offers two ways to buy music—10¢ buys the right to stream the song anytime from Lala’s servers, whereas a variable price—about 69¢-$1.29—gives you unlimited streaming as well as an mp3 download. Lala also allows users to stream songs they already own at no charge.
Apple now offers digital gift cards via Facebook
With the holiday season approaching at a breakneck pace, Apple is looking to cash in on procrastinators, unoriginal gift givers, and what’s left of relationships you once shared with friends you haven’t seen since high school. The company has unveiled a system powered by Gift Card Mall that allows Facebook users to purchase virtual iTunes gift cards to send to friends. The system allows individuals to select values of $5, $10, $15, $25, and $50, plus a customization and the date on which the card will be delivered.
In order to use the newly offered service, an individual must become a fan of iTunes on Facebook and then select the “iTunes Gifts” tab. From there, you are prompted to choose a theme for the card—currently there are two holliday themes, two birthday, and two occasion themes. You can then select a value, enter a friend’s name and e-mail address, and enter a personal message of up to 320 charachters.
The card, which is previewed as you work, features your name and the profile picture from your Facebook account in the lower left corner along with a salutation. (Sadly, you cannot change which image is displayed, nor can you remove the picture altogether.) After the customization process is done, you are prompted to select a delivery date, enter in all of your payment information—credit card only—and agree to the terms of service. Unfortunately, if you already have an iTunes account with Apple, it doesn’t matter. You still need to fill out the form.
Apple releases iTunes LP and Extras specs, TuneKit SDK
It appears the hubbub over iTunes LP production fees was indeed unfounded. As promised last month, Apple has released the complete specifications for its Cocktail extended digital content format, aka iTunes LP for music and iTunes Extras for video content.
Along with the relevant specifications, Apple has released a series of guides explaining development, design, navigation, and asset delivery best practices, as well as how to test an iTunes LP or Extras package before submitting it to Apple. There are also special instructions to make sure your content will work on an Apple TV using the standard Apple remote.

