Real hacks download music prices, Apple still feeling unHarmonious |
Online music is about to get cheaper at the Real store, courtesy of a special Real promotion which will reduce the price of a single song to 49 cents and slash album prices in half. Apple still isn’t happy with Real, comparing them to a “hacker” for reverse engineering how to copy songs in iTunes proprietary format. 
“RealNetworks has adopted the tactics and ethics of a hacker to break into the iPod, and we are investigating the implications of their actions under the (Digital Millennium Copyright Act) and other laws,” Apple said in a statement a few days after RealNetworks’ initial software release. “We strongly caution Real and their customers that when we update our iPod software from time to time it is highly likely that Real’s Harmony technology will cease to work with current and future iPods.” Analysts said RealNetworks’ initial announcement has had little tangible effect on the digital market so far, but that its 49 cent download offer will likely prove attractive to consumers
The logical question is whatever the price is if the music stops working in the iPod with the next update, it’s not worth very much. Then again, it could be ripped into MP3 format and used on a bunch of devices. The real question is what Real did wrong? I think so. Who are they trying to kid with their Harmony system or this special promotion being about the consumer. It’s almost never really about the consumer, it’s about the bottom line, though they do admit that they will lose money offering these half-price songs and albums. They want to drive customers to their music store instead of iTunes and thus when the special is over they hope people will see their online music store as superior and stay. Won’t work for this online music consumer.
I think what really will happen is most people will take advantage and buy music at the cheaper prices during the promotion and then go back to their music store of choice. Sorry Real, IMO, this is just going to burn more money that could have been spent on further developing and refining your Real player so it is less intrusive.
Did this post make you go hmm?
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This development made me much more cheerful (and I blogged so) than it has you.
I agree with your view of the bottom line and the way the consumer has little to do with it.
Nevertheless, now that Saint Steve has regularly taken to breaking the law himself (certainly French law about what you may and may not do with items you have bought), I’m only too happy to see somebody giving him a kick up the ass.
Reality, as they say, bites.
Comment by taliesin — August 18, 2004 @ 6:52 am PST