From: "Glenn Meadows" 

Part of what that label exec is comparing, is not "Apples" to
"Oranges".

The micro payments form Real are for RENTAL/SUBSCRIPTION downloads, NOT
sales.  We see the exact same, but in USD's.

What the REAL situation is, is that virtually ALL of the other services
sell NOTHING!!!!!!! They're wastes of time and resources, as they have NO
MARKET SHARE!!!

There are 2 services that are #1 and #2.  Apple, and eMusic.  Between the
two of them they provide 92+% of all online revenues, period.

The rental/subscription model may have a bunch of people, but as far as
ANYONE making revenue from it, it's ONLY the services that are making the
money.

This is true for SONY, WEA, MCA, EMI.  They make virtually NOTHING from all
of the other services that handle their content.

eMusic is a non-factor for the big four, since at this point, they only
have contracts with DRM based services.

And as a proportion of all music shared (limewire, etc), the total sold
number of tracks is probably only 10% of what's going on.

--

Glenn M.
"Rich Gauszka"  wrote in
message news:46447de4{at}w3.nls.net...
>
> http://www.macworld.co.uk/news/index.cfm?RSS&newsID=17997
>
> Apple's iTunes service dominates online music retail, the latest figures
> from aggregator Digital Music Group (DMG) confirm.
>
> The figures emerge as UK labels have begun articulating their compaints at
> the level of payment they receive from online music services other than
> iTunes.
>
> Speaking on condition of anonymity, one independent label owner praised
> iTunes because the service hands over the most of the 79-pence per track
> sale price directly to the label - but is furious at the kind of revenue
> he's generating through other online services.
>
> The label head's comments don't consider the slice of income that's handed
> across to music publishers, but he's pretty clear that iTunes offers his
> acts the better deal.
>
> "For everything sold on iTunes, we get the majority of the 70-79p per unit
> sale price," he said, then added: "But for everything sold
on the Ruckus
> Network we receive the princely sum of œ0.005 per unit. That's half a
> pence. My distributor then takes their 25 per cent off of that, leaving
> myself and the artists to dish up the remaining fractions of a penny
> between us."
>
> It's not much better through Real Networks, he informed - for sales
> through that service, his label receives a penny per track, he claimed.
> The thousand tracks sold so far have accrued œ10 to the label (to share
> with the artists) rather than, "the œ790 or so we'd have got for the same
> amount of sales through iTunes."
>
> iTunes also drives business at international distributor of
> independently-owned music and video catalogues, DMG.
>
>

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