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CNET News Video: Apple expands DRM-free music selection
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CNET News Video: Apple expands DRM-free music selection

4:17 /

At Macworld 2009 in San Francisco, Philip Schiller, Apple's senior vice president of marketing, announces a new music price plan and an expanded selection of digital rights management-free songs in its iTunes Store. Users will be able to strip their existing DRM-wrapped music of the controversial copy protection software, but doing so will cost 30 cents per song.

[ Music ] ^M00:00:05 >> So what's new with iTunes in 2009. I'd like to tell you about three things today that are happening. First, price. As you know we've worked with all the major music companies, as well as thousands of independents. And over the last six years we've had one pricing model for all songs -- 99 cents. And the music companies have told us they want more flexibility. Starting in April we're going to give them more flexibility because we're going to create three pricing tiers. There will still be 99 cents. There will also be a pricing tier at 69 cents. And at 1.29. And based on how they choose to offer us their music we'll sell them at 0.69, 0.99, and 1.29. And I can tell you we know already that more songs are going to be sold or offered at 0.69 than 1.29. So it's going to be a benefit to a lot of customers. So that's the first thing that we're doing with price and that comes in April. The second thing we're doing. ITunes plus. If you follow what we're doing with iTunes Plus, you already know what iTunes Plus is, but for those who don't, iTunes Plus is a way that we offer music that is completely DRM free. You can put it on as many computers that you own. It's also encoded at a much higher quality bit rate. 256 KB encoding of AAC. So it's nearly indistinguishable from the original recording. And for customers that have already purchased music iTunes Plus offers a really easy way to upgrade your whole library to iTunes Plus. But what's new today is we've worked with all major music companies, and starting today we're going to offer 8 million of the songs all DRM free. 8 million. [ Applause ] >> And by the end of this quarter we'll finish out with 2 million more, and all 10 million songs on iTunes will now be DRM free. ^M00:02:10 [ Applause ] ^M00:02:17 >> Just in case someone didn't understand , I had to make one more slide on it. All songs will be DRM free in iTunes via iTunes Plus. Now as I said, it's really easy to go in and upgrade your entire library to iTunes Plus and upgrade your music to DRM free. So that's iTunes Plus. That's the second thing. The third new thing happening with iTunes has to do with the iPhone. Because you know on of the iPhone we have the iTunes Wi-Fi music store, and it's the most popular wireless music store for buying music on devices like cell phones, and you can go in and you can see what's hot, you can check the top albums and songs, you can find an album you want to buy, buy the album, buy the song. And now with the iTunes music store it's no longer the iTunes Wi-Fi music store, it's just the iTunes music store, because it supports downloading and buying your music on both Wi-Fi and 3G cellular networks. [ Applause ] >> So that means you get access to all these songs for the same price -- a lot of others don't do that -- at the same price that we talked about. It's the same selection. All of that incredible -- over 10 million songs [Inaudible] right on your iPhone. It's the same quality. Up to 256 KB encoding of AAC you get right over the air on your iPhone. This means on your iPhone you can preview and purchase music. Now any time, any where, whether you're on Wi-Fi or 3G networks. And whenever you sync your iPhone back to the computer we sync back the music. It's the same music on your -- on your iTunes on your computer and iTunes on your phone. This is a really big step for wireless music on cell phones, and that starts today -- today -- you can start using iTunes over your 3G network. ^M00:04:15 [ Music ]

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