Apple did indeed say that if it couldn't make a profit, it "most likely" will not continue to operate iTunes. You can find a copy of the statement here on page 4 (PDF).
Fortune magazine published a bombshell of a story on Tuesday by reporting that Apple once threatened to close iTunes if forced to pay more for music royalties. A more careful reading of the statement from an Apple executive shows that it was more of a veiled threat. Regardless, it's possible Apple could shut down iTunes.
But is it likely? No. Here's why: … Read more