Printed from http://www.electronista.com

Microsoft to pay Universal for every Zune sold

updated 08:45 am EST, Thu November 9, 2006

MS Pays Universal for Zune

Microsoft has entered into a controversial agreement to pay Universal a royalty fee for every Zune player sold, Reuters reports. While neither Microsoft nor Universal has publicly revealed the amount per player, the music label indicated that it believed it had a stake in the Zune's success.

"We felt that any business that's built on the bedrock of music we should share in," Universal chief Doug Morris says.

Significantly, the deal is not directly linked to content shipped with the player: its preloaded music is provided through music labels with no clear connection to Universal, such as Sub Pop and V2, indicating that Universal no longer feels satisfied with music sales themselves. Microsoft is reportedly in early discussions with other labels for similar fees. The change in approach towards music revenue may have future ramifications for Apple, whose deals with music labels have so far extended only to profits from iTunes content sales and have not affected iPod hardware.



By Electronista Staff
Post tools:

TAGS :

toggle

Comments

Login Here

Not a member of the MacNN forums? Register now for free.

toggle

Network Headlines

toggle

Most Popular

Sponsor

Recent Reviews

Life n Soul BM211 Bluetooth speaker

Bluetooth speakers aren't only for listening to some music at the park or on a long bus ride, but can also be built with tablets in mi ...

Epson PowerLite Home Cinema 2030 projector

With high-definition televisions now the standard, 4K televisions becoming the next big thing, and plasma TVs going the way of the din ...

Life n Soul 8 Driver Bluetooth headphones

When it comes to music on the go, consumers generally have some options to consider when looking for the best experience. While Blueto ...

Sponsor

toggle

Most Commented

 
toggle

Popular News