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I'd Rather not Pay a UMG Tax on the Microsoft Zune
Ed Kohler
Dear Microsoft,

If I promise to listen to only independent artists, podcasts, and music ripped from CDs I own, can I get a discount on a Zune?

"Microsoft is working with all major and independent labels to establish similar revenue-sharing agreements. According to published reports, UMG is expected to receive more than $1 for each $250 device and sources at UMG have confirmed that half of all the proceeds from the device's sales will be shared equally among all its artists."

I'm not particularly interested in paying a Universal Music Group tax so I can listed to non-UMG content.



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Comments

1. Posted by: Keith Gregory on November 17, 2006 6:36 AM:

Well- if you look at the apple iPod business model, they sell relatively cheap music (at least from the perspective of the record labels) to sell expensive ipods.

Now, I know ipods might not be considered expensive, but its the reverse model from ink jet & printers.

So, I don't think its absurd for Msoft to, in negotiations with the labels, offer part of the front side success of the device in exchange for 'low priced' songs.




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