Wow! Apple iTunes declares itself too poor to actually pass on its profits to music artists! Gosh, and you’d think the poor press would make them think twice about absorbing this cost. I guess we should all just look for some free torrents now. Or maybe visit an actual music store and buy a real CD, if there are any left…
NME News: Apple to shut down iTunes?
In a statement submitted to the board last year, iTunes vice president Eddy Cue said that Apple would not stand for an increase:
“If the [iTunes store] was forced to absorb any increase in the… royalty rate, the result would be to significantly increase the likelihood of the store operating at a financial loss – which is no alternative at all,” the statement read.
Cue added that Apple would have no qualms about shutting iTunes down if it was not making enough money.
“Apple has repeatedly made it clear that it is in this business to make money,” he said, “and most likely would not continue to operate [the iTunes store] if it were no longer possible to do so profitably.”