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iTunes Music Store Details Leaked

According to the BBC, details leaked from a private briefing give a better picture of Apple's iTunes Music Store strategy and performance to date:

According to notes published on the web, Apple has sold 3.5 million songs since it launched its iTunes music store at the end of April.

The computer manufacturer is selling about 500,000 songs a week and about half of those are sold as albums, allaying fears that people would choose individual tracks instead of a whole record...

The store offers an opportunity to sample 30 seconds of a track before you buy. The notes say that people tend to listen to 10 previews for every song they buy.

And most people seem happy to store their credit card details on the iTunes store. Some 90% of sales are one-click downloads, which means a credit card is automatically charged when a track is bought.

One has to like Apple's legal strategy:

The notes also provide an insight into how Apple deals with record industry.

It treats everyone the same way, rather than giving preferential treatment to the major labels with the big stars.

The independent music representatives were told they would be offered the same terms as bigger labels and have the same team looking after their tracks.

According to the notes, Mr Jobs said: "We have to be more efficient, though. We're not going to deal with 200 lawyers.

"Everyone is going to get the exact same deal. It's not negotiable. It's take it or leave it."

As I wrote before, consumer acceptance of the iTunes Music Store demonstrates that when you don't treat your customers as children or thieves, they respond accordingly. This latest news tells us that when presented with a simple business model that respects the rights of both customers and artists, the artists and their representatives also respond accordingly.

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Comments

So many albums today have one or two good tracks the rest just filler. Purchasing individual songs is a great way to weed out the mediocrity, thanks to itunes you no longer have to shell out 18 dollars for a 15 songs album just to hear the one or two good tracks.

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