Why Apple is more expensive than Amazon

by Volker Weber

The reason you can find more music on Amazon at a lower price is that the Record Labels want it that way. Do you think they charge Apple and Amazon the same price for each track and Apple simply charges you more and pockets the difference as a higher markup? The labels would like you to think that, but they actually charge Amazon less for each track, and that’s how Amazon can charge you less.

Repeat after me: DRM is bad for the customer.

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Comments

Actually, I wouldn't be surprised if Apple did in fact pocket the difference. After all, digital music isn't the only area where Apple is more expensive than everybody else. But still, DRM is bad for the customer, regardless of price.

Joerg Michael, 2008-05-19

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