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iTMS Launches in Japan

ickoonite writes "The iTunes Music Store has finally come to the Land of the Rising Sun! After months of tricky negotiations, Apple has reached agreements with 15 record companies for the supply of around 1 million tracks, with per-track prices between ¥150 and ¥200. AppleInsider also has some blurb, and Apple has an (English) press release on the launch is here. The question now is: 'Where next?'"

23 of 251 comments (clear)

  1. A reminder... by Azadre · · Score: 3, Informative

    You need a credit card based in Japan to purchase from the Japanese iTMS... stupid licensing laws.

  2. How about everywhere next? by sterno · · Score: 4, Interesting

    THe problem that I really have with ITune's international support is that it doesn't allow you to go across borders. I can browse through music from the UK but as a US user I cannot buy any of it. That's kind of dumb consider I could buy the CD that way.

    I'm assuming the reason this is the case is a track that costs $1 in the US might be $1.50 in the UK for the same artist.

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    1. Re:How about everywhere next? by Midnight+Thunder · · Score: 3, Interesting

      The issue is with the record companies. They have issue if you don't buy through the local distributor.

      What I would love to see happen is for merchants to be able to be able to import CDs and music for which there is no local distributor. The day a local distributor picks up that music the merchant would be given a time frame to sell their remaining stock, and all future purchases would have to go through the cartel - uh I meant local music distributor ;)

      This would allow merchants to provide the selection they want to provide, without being blocked by anyone.

      --
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  3. Re:Song prices by b4stard · · Score: 4, Funny

    I find the piracy model to be superior and expect large parts of the japanese market to do the same.

    If only the music industry would embrace p2p as a pr-channel similar to radio. Of course, not being able to bribe DJ's could damage the popularity of Britney Spears.

  4. Music Store Opens in another Country... by decipher_saint · · Score: 3, Insightful

    Why can't this be universal? Why must "entertainment media" be regionalized? I mean I can sort of understand the supply and demand of physical media like DVDs but downloadable media files?

    --
    crazy dynamite monkey
    1. Re:Music Store Opens in another Country... by v1 · · Score: 5, Insightful

      It's called "price fixing", and when done within a single country is usually illegal. When done between different countries, no single country's law can apply, and even though it's illegal in BOTH countries, it's legal if done separately in each country.

      The basic idea is, as usual, to maximize proffit. If a band is really popular in the USA but not popular in say, Europe, the most profitable price point of the album in USA might be $19 where it might be maximized at say, $12 in Europe due to low demand. They are trying to prevent an entrepenur from buying a few thousand CDs in Europe and shipping them to the US and selling for say, $16 each. This undercuts their market in the US by $2/unit, costing them sales. Instead they only see the $12 where they could be seeing the $19.

      They want the $19 and do everything they can to see that they get it.

      If price fixing wasn't illegal in your country, things would be a lot worse... like in the USA a Garth Brooks album might go for twice as much in Tennessee as it did in say, Alaska. We'd probably see more aggressive region coding on DVDs as well. Instead of 7 world region codes, they'd probably try to like split up countries into regions too. Imagine having to buy a DVD that was not only USA region, but was say, in Central timezone code too? Think of the mess that would make for the consumer. And the recording companies would LOVE it.

      --
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    2. Re:Music Store Opens in another Country... by adam1101 · · Score: 3, Informative

      While your explanation is good, what you're explaining is not "price fixing" (different suppliers agreeing to charge the same price) but price discrimination (charging different prices for the same good).

  5. And where is Sony? by curmi · · Score: 5, Informative

    Bigger news is that there are no Sony songs on iTMS Japan!

    The story is that this is the current hold up in Australia. Sony/BGM in Australia won't allow iTMS Australia to use their songs unless Apple agrees to sell the songs in Apple's Fairplay AAC, Microsoft's Windows Media format, and Sony's own ATRAC format.

    It looks like Apple Japan just went ahead without Sony on board. If only they would do that in Australia...maybe Sony BGM is just too big a monopoly in Australia to be able to do this?

    1. Re:And where is Sony? by ickoonite · · Score: 4, Interesting

      Bigger news is that there are no Sony songs on iTMS Japan!

      I commented on this in the story proper (I am the Apple Blog article's author, so the posting on Slashdot was shameless self-promotion, but Piquepaille can get away with it, so I thought 'What the hell...' :P). Sony, of course, has a lot of clout in Japan - the linked-to Asahi article notes that Sony Music Entertainment is Japan's biggest record company.

      But all that is as nothing if you cannot play it. Given that the iPod is, speaking worldwide, something of a standard*, if only achieved through sheer market dominance**, it would be foolish to ignore such standards, i.e. by rolling one's own music download service and supplying one's catalogue to that service exclusively. Of course, as I note in my posting, Sony is no stranger to such folly (see OpenMG in the face of MP3, AAC or, heaven forbid, even WMA, which is frankly farcical, or the Memory Stick in the face of, well, anything else). It may well be that some time will have to pass (and a considerable amount of money lost due to missed opportunity) before Sony will acquiesce and come on board. But any time wasted will be more to their cost than to Apple's (it has been discussed at length how little profit Apple makes via iTMS).

      In any event, this is quite a significant step. The Japanese being as they are, this could well be a impressive growth market for Apple, providing they market appropriately (they need especially to think of mobile phone users), and could be a key player in the run up to the billion-songs-sold mark.

      Sony BMG won't be able to hold out forever. I don't know what the iPod's market share is like down under, but I'm willing to bet that it's higher than Japan's relatively meagre 36% (according to Apple figures). From a shareholder viewpoint (and we know that in the end, this is all the capitalists care about), any such stance by Sony would almost be negligence. There is no room for such emotion in the corporate arena...

      ...unless you're Steve Jobs. :P

      iTMS Australia will happen. It may just partly be that Sony BMG does have a greater monopoly on content there and, also, that Australia's market is not big enough for Apple to release without a major record company on board. The Japanese market is huge - and they've got most of the big names involved (including Avex Tracks, who are responsible for many of the verging-on-paedophilia teenybopper groups in Japan and who run their own download service, IIRC) - so even without Sony, it makes sense.

      We'll see what happens, of course, but I'd be very surprised if Sony doesn't eventually acquiesce. 'Beleaguered' isn't an inappropriate term for that company.

      iqu :D

  6. where next ? the backstreet markets of course ! by Anonymous Coward · · Score: 3, Interesting


    because its cheaper to pop into town and buy freshly pressed CD's complete with packaging and no DRM or crappy quality for much less than 200yen

    the record companies still don't get it
    until they do, it won't change a thing

  7. No you don't by Anonymous Coward · · Score: 4, Informative

    That's where CCP (credit card proxy) comes in to its own. You get a CC registered to any of 49 major countries (including Japan) - 'major' is defined as any country whose economy uses credit/debit cards for >5% of all transactions.

    A useful (if difficult to find) service.

  8. Re:Song prices by NaruVonWilkins · · Score: 4, Informative

    Actually, that's about right. CD prices tend to be 3000-4000 yen (25-35 dollars). Remember that both cost of living and pay are higher in Japan - you can't compare directly to the cost of a song in another market.

  9. Where next? by Approaching.sanity · · Score: 5, Interesting

    How about one universal store with all the music from every band availible for sale from them and not their record companies.

    /idealism

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  10. Re:Song prices by bennomatic · · Score: 4, Interesting
    Well, they usually portray it this way:

    10,000 songs @ $1.00 = $10,000.00.
    infinite songs @ $5.00/mo = $5.00/mo.

    What they hope that people won't notice is that this means that if you stop paying, it all goes away. So let's say you spend $60.00 at iTMS, you (theoretically) can play your 60 favorite songs FOREVER. If you spend $60.00 at Yahoo, then stop paying, then your infinite songs go away.

    It's not a matter of which one is better; I could probably argue for either one. It's a matter of which one is better *for me*, since it's only my money that I have any control over.

    If it were up to me, there would be a hybrid model, with $0.99 songs, a $5.00 subscription option, and with the $5.00 subscription option, you get 25%-50% off of songs you purchase after hearing them.

    Actually, if were really up to me, I would push artists to adopt creative commons licenses, and recommend that everyone allow free file trading. The people who love the artists still buy collections, still go see shows, still buy videos, etc. Anyone remember when Spinal Tap was coming out on DVD? They gave away their soundtrack album for free, with a site called "Tapster", as a promotional tool for the DVD. It worked for me...

    --
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  11. I don't like the subscription model by Infonaut · · Score: 5, Informative
    I personally think the subscription model is superior.

    I dislike subscription services because they amount to extortion. Keep your subscription, or the music is effectively gone (rendered unusable). Assuming that I don't want to break the law, all the music I downloaded is useless to me if I decide to stop using the subscription service. Of course, iTMS files utilize DRM, but I can play tunes on five CPUs and unlimited iPods, as well as rip CDs. So although I don't have unlimited rights to do whatever I like with iTMS files, for my forseeable uses I feel like I'm getting a fair deal.

    Beyond my general reticence toward subscription services, Yahoo's Music Unlimited doesn't work for me because:

    1) I use an iPod. I don't think I'm alone in this.

    2) I use a Mac. Y! Music Unlimited doesn't support the Mac.

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  12. I stopped using iTunes by Njovich · · Score: 3, Informative

    I really wanted to do things legal and pay for all my downloads, so I started using iTunes. Where I live (Netherlands), 90% of the songs I was looking for just missed. I expected there to be few Dutch songs, and there were. But, also many international songs that are there in the US version just miss. New albums are often not available in the local version, but are in the US. I switched back to eMule a few weeks ago, I just missed too many songs.

    At least P2P won't make stupid regional stores that lack almost everything, the sound quality is just as good, I don't have to jump through hoops to put the music on my MP3 player, and it's cheaper. Pretty hard to see why it's so hard for the publishers to get a decent music download system working. I'm completely willing to pay for downloads, they just don't offer the option.

  13. more J-pop and anime soundtracks in US store by mblase · · Score: 3, Informative

    According to AnimeNN, Apple's US iTunes Music Store has expanded their collection of Japanese J-pop and anime soundtrack downloads at the same time the Japanese store was opened. I'm hard-pressed to find any additions, but then again, I'm not much of a fan.

  14. Dude. The question isn't "where next?" by cherrycoke · · Score: 4, Insightful

    ...the question is, when will the studios open up their gi-normous back catalogs for digital download? Decades of out-of-press, cool-ass music which could be a source of free revenue for the labels are languishing in magnetic-tape form in what I hope are climate-controlled vault conditions.

    I think keeping old music on ice is the same as saying you don't want money.

    And I hereby acknowledge that this post is only pretending to be shocked at the long-term, and evidently continuing idiocy of music labels.

    --
    http://www.farmerbob.org
  15. Re:Song prices by Squozen · · Score: 4, Insightful

    Several studies disagree with you, as do my personal experiences. I download music to check it out, then buy the CD. Most genuine music fans do the same.

  16. Re:Song prices by ultramk · · Score: 3, Insightful

    No, my opinion is that 90% of everything is crap.

    However, that remaining 10% is huge. I have eclectic taste (as does my wife), so our combined collection of music when we got married a few years ago was over 1k cds.

    Music is all about memory to me, and I don't want to be forced to pay a fee every month or lose my memories.

    m-

    --
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  17. It's better than about right! :) by kollivier · · Score: 3, Informative

    Depending on the album, at 150 or 200 yen per song, albums can become quite a bit cheaper. For example, singles CDs, which typically cost anywhere between 800-1200 yen in Japan, are about 400-500 yen on iTunes. That's a nice discount! A 12 song album would be between 1800-2400 yen, which is also significantly cheaper. Jack Johnson's 14 track album was actually 1500 yen, which is a really good deal.

    The unfortunate part, though, is that their selection is really just so-so. I couldn't find X-Japan, Tube, or Southern All Stars, all very big bands in Japan. I also couldn't find many newer favorites, like SMAP, Orange Range, L'Arc en Ciel, Aiko, etc. And anime fans would be disappointed to know that there really aren't many anime songs on there, aside from "Sonic X" songs. :) Well, they're just starting so hopefully things will improve, but it does give the impression that the Japanese market is even more hesitant to embrace an online download service than the US market was.

  18. Lame pandering to marketing strategies by koreth · · Score: 4, Insightful
    iTMS in Japan is great! If you're in Japan. Which I'm not, so thanks to the record companies' annoying and self-defeating marketing strategies (I know! Let's make it impossible to buy artist X's work in country Y! We'll make tons more money that way!) this does me about as much good as the US iTMS did for people in Japan.

    I've started listening to a bunch of Mandarin-language music lately, and for track-at-a-time sampling, I pretty much have no choice but to listen to unlicensed Internet radio stations (= piracy) or download from P2P networks (= piracy). I'd happily pay to sample a few more tracks by the artists I've heard on those radio stations, but there's no way for me to do it, and it's not worth paying through the nose to import a CD from overseas only to find that the track I heard was the only one on the disc worth listening to.

    Oh well, yet another case of "I want to give them my money, but they won't let me." (See: DVD region coding, etc.) Guess I need a fancy MBA degree to see how that makes good business sense.

  19. Re:Answer to Question by JoshGlid · · Score: 3, Informative

    I'm the author of this piece about the iTMS and Australia. Sony is the hold out. I reckon, now that Japan has launched, Australia iTMS sans Sony won't be far behind. http://www.bulletin.ninemsn.com.au/bulletin/site/a rticleIDs/4DC115E462A7EF8ECA25702E0022FE20/