Apple's Ongoing iTunes Negotiations
The New York Post is reporting that the record industry may be on the verge of conceding to Apple's demands that iTunes song pricing model remains constant at $.99 per song.
But Jobs has dug in his heels on the issue, creating the potential for a showdown between the mercurial Apple boss and the record industry should the labels continue to push for variable pricing.
Apple's current contracts with the record labels expire in the next two months. The NY Post reports that some labels could go as far as to pull their songs from the iTunes Music Store -- however, a more likely scenario described is that the companies will continue to provide their songs but without a contract in place.
"That would be problematic for Apple because it allows labels on a whim to pull their stuff whenever they want," said one high-level music executive.
These discussions have been an ongoing point of contention between Apple and the record labels.
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