Universal Music wants to cash in on iPod sales

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Wednesday, November 29, 2006 by Michael Kwan

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Not content with just receiving a fee for every Zune player sold worldwide, Universal Music now has its sights set on the ubiquitous Apple iPod. Turns out that the behemoth of a record label, according to Universal Music Group Chief Executive Doug Morris, is seeking to extract a royalty fee for every iPod sold.

The Zune isn’t nearly as big as the iPod is (the latter holding a solid three-quarters of the MP3 player market), but Universal has already inked a deal with Microsoft, so why not attack the giant in the DAP market too?

I find this very odd. The record companies already get their share from songs sold on the iTMS, for example. Asking for a royalty for every iPod sold would be the same as asking for a fee for every CD player ever made, no?

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