News

[PSUs]

Friday 24th September 2004

Beatles demand $15mn for online rights - report 10:57AM, Friday 24th September 2004

The Beatles are asking $15mn for six months' exclusive rights to sell their catalogue online, according to a News.com report.

If true, such a high premium would almost certainly price the world's biggest selling group out of the range of most of the online services. Microsoft could afford it but only Apple could be sure to recoup the outlay, if only because it would be certain to sell many more iPods.

Of course Apple are in the middle of a legal battle with the Beatles'



ADVERTISEMENT

record company, Apple Corps, over the rights to use the fruit's name for music-related businesses. Nonetheless, the article says, 'Apple Computer might be the only company ready to pay, particularly if the payment comes attached to a legal settlement in which millions of dollars are already changing hands.'

Assuming that the Beatles, EMI, Apple Corps and Michael Jackon also take their share of royalties from online sales, recouping $15mn from the songs alone would require sales of something like 375 million tracks, an impossible target.

According to new research by the Susquehanna Financial Group, Apple and HP are planning to ship one million iPods per month in the run-up to Christmas - last quarter Apple sold 860,000, despite problems with iPod mini supplies. Such is the expected demand that Apple Australia's marketing director Arno Lenior said that anyone wanting an iPod for Christmas should place a deposit now.

Simon Aughton

Submit to: Digg | Slashdot | Del.icio.us | Technorati