Thursday, January 8, 2009

iTunes Announces Variable Pricing, Drops DRM


As the largest online music provider, iTunes has caught flack for their continual use of DRM-protected music. Just a few days ago though, all that changed at the Macworld Expo where Apple announced their whole music library will become DRM-free through a new agreement with the four major music labels, according to Billboard.biz.

DRM (Digital Rights Management), which limited iTunes users from playing their purchased music on anything other than their iPod and other Apple devices, was previously enforced by Universal, Warner and Sony BMG, while EMI allowed DRM-free music through their company since May of 2007. The transition to DRM-free music has already begun with eight million of iTunes 10 million songs reformatted, while the last two million songs will change by the end of March.

Along with their new ability to provide a full catalog of DRM-free music, iTunes will also soon sell their single tracks at three different price rates. The expected price settings put hit singles at $1.29, current songs at 99 cents, and older songs at 69 cents each. The new three-tier pricing model will begin in April.

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