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Apple Hopes iTMS Gift Certificates Will Reverse Download Decline
Tuesday, December 13th, 2005 at 3:00 PM - by Staff
With average downloadable music sales down 0.44% in the third quarter of 2005, despite ever-increasing MP3 player sales, Apple is looking to the holiday sale of iTunes Music Store gift certificates to help the situation. Simon Aughton, writing for PC Pro, noted: "iPod customers are preferring to fill their players from ripped CDs and P2P downloads."
If the sales decline doesn't reverse itself after the holidays, music labels may be in a stronger position to demand higher prices for new songs on the iTMS, according to Mr. Aughton. They may also be able to push Apple into offering a subscription service, something CEO Steve Jobs has resisted so far.
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