The market for online legal music downloads is strong enough to take a price hike according to major record labels. Several major record labels are apparently in talks with online music stores to get them to increase music download prices, according to the FT. In the United States, online stores typical sell music downloads for about 99c per track. The wholesale cost of these tracks (that the shops pay) is about 65c.
Also the music industry is getting unhappy with Apple's dominance of the market apparently. Apple currently sells about 65% of all legal music downloads and now with cheaper iPods available, that figure may increase. Apple wouldn't comment on the FT story but apparently Steve Jobs is very unhappy about any talks concerning price hikes.
Source:
The Register












