Amazon store to compete with iTunes?

Amazon.com looks like it will become the latest company to try to take on Apple in the digital music marketplace.

A report in the Times Online says Amazon plans to open an online music store next month and has been negotiating with the major record labels.

Given the lack of success other ventures have had against the iTunes juggernaut, this may not seem like a big deal. But the Amazon store may offer a new twist: no digital rights management software. The report in the U.K.-based Times says that Amazon wants to sell unprotected MP3s online.

Apple won't be caught flat-footed by the move, however; it's already partnered with EMI to sell DRM-free music, and CEO Steve Jobs has said he hopes to do the same with the rest of the major labels in the future.

Blog community response:

"The integration of iTunes and iPod is what has driven customers to Apple. This stuff doesn't have to be very easy, it has to be completely idiot proof to appeal to the mass market and so far, by controlling the complete chain, only Apple has managed this."
--The Last Podcast

"No word on whether this service will attempt to undercut iTMS' $1.29 per DRM-free track, but a little competition never hurt anybody, right?"
--Engadget

"This is good news all round. Consumers will have a lot more choice in where they buy and where they can play their music, the online stores get to sell content onto iPods and the record companies might start making enough money to stop them suing everyone."
--Gadget Lab

[john55440]

Good News For Customers...

Since Amazon.com sells zillions of music CDs, they should be on good terms with the music companies, and be able to negotiate favorable terms.

My impression is that the music industry is not too fond of Apple's "digital music power", and wouldn't mind bringing them down a notch.

Amazon.com is a powerful brand name, and they do things right.

In any event, competition is a good thing for Customers.

[mhersh]

They won't get far.

They're missing the most important piece: The iPod. The iPod is
what people love, they don't care about where they get their music.
The iPod+iTunes system is so easy to use, they won't bother going
to Amazon for their music. Consumers like me don't find FairPlay
to be restrictive at all.

[ChrisNH38]

The Power of a solid Franchise

iTunes and the iPod represent a blockbuster and almost iron-clad franchise. Proof? Anybody heard about 'Zune' lately?

[Fil0403]

The Power of solid Marketing

iTunes and the iPod are mediocre products that only succeeded thanks to Microsoft and Windows. Proof? Do you know how many iPod were sold before it was made Windows compatible?

[GGGlen]

You've got to be kidding

MP3? Riiiight, why don't they just release the music on 8-track?
Unprotected MP4 (aka as AAC, what Apple sells on iTunes, sans the
DRM) BLOWS MP3 out of the water.
It weird... the Apple h8ters out there will choose ANYTHING, no
matter how obsolete or craptastic sounding and bassackwards, that
they're willing to cut their own noses off just to spite their faces.
I'll stick to iTunes and unprotected 256 bit AAC any day, so bring it
on, EMI!!!