Apple iTunes Music Store Raising Prices?

Apple's iTunes Music Store is feeling the pressure from major record labels to raise the price of an iTunes song download. If Apple gives in, the price of a song may go up from the current 99 cents, to $1.49 per song.  Apple iTunes has alot of power in the music industry now, since Apple dominates online digital music sales with an estimated 75%, and about 80% of MP3 player sales with the iPod.

"I don't think it's time yet," said Jimmy Iovine, the chairman of Interscope Records, Universal's biggest division. "We need to convert a lot more people to the habit of buying music online. I don't think a way to convert more people is to raise the price. "I believe that he really feels that everybody isn't hooked yet into the whole concept," Mr. Iovine said, referring to Mr. Jobs. "You make it affordable, at a reasonable price, so they can learn about it. It's not an unreasonable position."

I'm hoping Steve Jobs will pull a fast one, and lower iTunes  music prices even more! I doubt that will happen though.

read more | New York Times