Apple threat to close down its popular iTunes Store Pay off finally and Copyright Royalty Board (CRB) has finally decided to stop the rate hike royalties from 9 to 15 cents on songs bought online.
Apple ealier this week had decided to Shut down Apple iTunes Store as the National Music Publishers Association (NMPA) had asked for the rise.
The CRB also decided not to lower the rate to 4.8 centsand has fixed the rate to 9.1 cents a song for the next 5 Years.
This is the Fisrt time the board has decided mechanical royalty rates for songs distributed digitally.
The Digital Media Association (DMA) has hailed this decision as a major victory for Online Music stores. The DMA represents Apple, Amazon.com and Best Buy.
This move will make sure that the digital services and retailers grow and help serve the customers better. Also it will help them innovate in the coming years.
Apple iTunes Store has sold more than 5bn songs online, and also the sales of digital songs and albums raked in a massive $1.2bn (£652m) this year.
Posted under Latest News
This post was written by Brad on October 3, 2008
