gerbick said:
bah, Apple's all upset over a venture that's going to fail - read: who uses Real to purchase music anyway?
This is so not the point. Two things get lost in all of this. The iPod is single-user hardware, it is not a common carrier. The iPod does what it does better than the competition, but there are many alternatives. The iPod is also its operating system. Therefore, Apple is fully within its rights to establish the conditions under which it is used. It has done so. Harmony explicitly violates the terms of the EULA. There are those who claim that Harmony does not harm the iPod in any way. It is my understanding that this claim in not true. Rather than being a benign DRM converter, Harmony requires that only Harmony be used to access the iPod. Harmony and iTunes don't interoperate.
"Oh, but Harmony will allow more customers to use the iPod. And isn't the whole purpose of the iTunes Music Store to increase sales of the iPod. Since the iTMS makes little, if any, profit Apple should not care about lost iTMS sales." Hogwash. The iTMS, like almost every other technology-based enterprise has high fixed cost and low variable costs. Once Apple sells enough content to cover its fixed costs, each additional song, audio book,
etc. sold will represent a growing profit. Apple sacrifices iTMS sales in the knowledge that it delays the day when the iTMS is a license to mint money.
Now this is really important: When the iPod was introduced, it was seen the best designed music-piracy enabling technology. However, Apple decided to enhance the iPod, by opening an online music retail store, the iTMS. After a lot of hard work, Apple was able to convince the music labels that the iTMS and the iPod would be good for the music labels. Apple does not own the music it sells at the iTMS or the music that is played on the iPod. Real was not a consideration when Apple signed its contract with the labels. Harmony did not exist. Harmony seems now to be a monkey wrench in the works. We know that the terms of Real's contract with the industry is not the same as Apple's. If Apple were to allow Real on its system, then that may represent violation of Apple's contract with the industry. The iTMS/iPod combination that we love so much may be endangered.
One more thing: Real may want to give consumers a choice, but only if they have already chosen Windows. Harmony is exclusively for Windows. As a Mac user, Real does not even pretend to benefit me.