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Old 03-03-2009, 02:01 PM   #39
Penforhire
Wizard
Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.Penforhire ought to be getting tired of karma fortunes by now.
 
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Join Date: Nov 2007
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Apple does not make much money on iTunes. The total sum may sound like a lot but from each $0.99 song they give over $0.90 to the label. Apple's cost of running iTunes has to be a large fraction of the net income. The benefit to Apple is clear though. iTunes is one of the big reasons they dominate the portable media hardware market.

As a counter-example, it is also one of the reasons Microsoft's Zune struggles to capture share. Their original "Plays for Sure" media campaign was brilliant as a foil to iTunes. And then they crashed and burned when their own hardware devices would not support it!
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