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Wal-Mart, Amazon restructure digital music pricing structure

2009-04-09 17:11:42 (GMT) (Caymanmama.com - Business Entertainment Technology News)

Taking the lead from Apple’s iTunes Store recent price increase for digital song downloads, Amazon and Wal-Mart’s online music stores will do the same

Charlotte, North Carolina (CaymanMama.com) — Taking the lead from Apple’s iTunes Store recent price increase for digital song downloads, Amazon and Wal-Mart’s online music stores will do the same.

Apple Inc., the leading digital music retailer on the Web, made a change Tuesday from selling all songs for 99 cents each to a tiered pricing model. In the new model, songs cost 69 cents, 99 cents and $1.29 each. The cost of the song is chosen by the recording companies.

Apple also removed the copy-protection technology that limited users’ abilities to copy and play songs on digital music players other than Apple’s iPods.

On the same day Apple made the pricing changes, Wal-Mart Stores Inc.’s online music store started selling songs for $1.24, 94 cents and 64 cents each. In the past, they cost 74 cents and 94 cents each.

In an e-mail, Walmart.com spokesman Ravi Jariwala said the pricing chages are “reflective of new costs set by the music industry.”

According to the Associated Press, “Elsewhere on the Web, Seattle-based online retailer Amazon.com Inc. is also selling individual song downloads for as much as $1.29. Most songs currently cost $1.29, 99 cents, 89 cents or 69 cents each. Amazon did not say when it began selling songs for $1.29; when the store first opened in September 2007, songs sold for 89 cents and 99 cents.”

Wal-Mart and Amazon downloads have always been free of copy protection.

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