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Zune Profits Go To Record Label

Posted by ryuzaki0 on from the how-to-bleed-the-iPod dept.

genegeek writes, "The New York Times reports that Microsoft has a new deal with Universal to share profits from Zune player sales. David Geffen, the media omniboss, is quoted: 'Each of these devices is used to store unpaid-for material...' The new business rationale is that stolen music should be paid for by profit sharing of newly sold Zune music players. Does that mean if you are not stealing music, you should get a discount on the players? Universal expects a similar deal from Apple when their current contract expires." Reader Gallenod adds, "Microsoft appears willing to spend millions and defer any potential profitability of the Zune simply to weaken Apple's bargaining power with recording companies and set a precedent for hardware manufacturers paying music companies."

4 of 155 comments (clear)

  1. Great by AoT · · Score: 5, Insightful

    "set a precedent for hardware manufacturers paying music companies."

    Yeah, remind me to thank Microsoft for all this 'innovation' they've done for the customer the next time I'm up in Redmond.

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    A blog about stuff.
  2. Expects to cut the same deal with Apple? by R2.0 · · Score: 5, Informative

    Didn't the record labels try to "alter the deal" the last time their contracts were up?

    Didn't Jobs spank them back into submission?

    Can't see it any different this time.

    --
    "As God is my witness, I thought turkeys could fly." A. Carlson
  3. Both Ways? by longbot · · Score: 5, Interesting

    So, does this mean that if I own a Zune, that I'm then entitled to pirate enough music to fill it? And if not that much, then where do they intend to draw the line? After all, if I've already effectively paid for the lost profits from pirated material, why would I want to pay twice?

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    I don't suffer from insanity, I enjoy every minute of it! --Longbottle
  4. On the flipside... by MrAnnoyanceToYou · · Score: 5, Insightful

    If I'm paying for pirating music before I do so, it's now ethical for me to pirate however much music I want.

    The amusing thing here is that the 'prepaid pirating fee' doesn't go anywhere near the artists. Ever. It's just an inter-company corporate bribe. Between monopolistic organisations. Man, can't you feel that capitalistic efficiency?

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    My little site.