As rumors continued to circulate that Apple is considering slashing the
price it charges for video downloads on its iTunes Music Store, News
Corp President and COO Peter Chernin has expressed his concern about the
reported cuts. In an interview with Reuters while on business in Poland,
Chernin said that he plans to discuss Apple's pricing structures with
the company but that at present he's not engaged in a dispute with Apple
-- unlike NBC Universal executives who have notified Apple that they
plan to remove all Universal movies and NBC television shows from the
iTunes website by the end of the year. "Right now we have a perfectly
good relationship with Apple," he said. "But let me say this, we're the
ones who should determine what the fair price for our product is, not
Apple." (An NBC Universal spokesman later agreed with Chernin "without
question.") Chernin's remarks appeared to raise new concerns about who
really does control the pricing of such related items as movie theater
tickets and DVDs (which are often sold as loss leaders by such warehouse
outlets as Wal-Mart and Costco).
http://www.contactmusic.com/news.nsf/article/who%20should%20set%20price%20for%20online%20video%20downloads_1043444
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