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Article

Title: Happiness is a Warm iPod

Author: Arango, Tim Article Type: Company
Source: FORTUNE, v154 n12 p27(2) Publication Date: Dec 11, 2006
  ISSN: 0015-8259
  Illustrations: Tables
URL of Publication: http://www.fortune.com

Apple Computer Inc.'s iTunes digital music store is closing in on a deal that will bring the entire Beatles' music catalog online in MP3 format. Currently, fans must rely on peer-to-peer sites and download unlicensed songs if they want to get digitized Beatles tunes. Apple Computer is trying to become the exclusive online provider of Beatles music for a limited time. Other online music stores, including Microsoft Corp.'s MSN and Rhapsody, have attempted to make deals with the Beatles for some time, but nothing ever came of the efforts. Now, it appears that Apple is close to being the first to obtain the catalog of hits. The deal is likely to be made through negotiations by Steve Jobs, Apple's chief executive officer, and Neil Aspinall, former Beatles' road manager and current guardian of the band's business interests. According to David Munns, the head of EMI North America, the Beatles will 'soon' be available online. According to industry insiders, several points are still under negotiation, including the length of time iTunes will be able to offer the music on an exclusive basis. Another deal point involves the tens of millions of dollars that Steve Jobs is willing to commit to an advance to cover band and marketing costs. In another element of the negotiations, the parties are talking about whether Paul, Ringo, and others will be willing to endorse Apple's iPod digital music player by allowing the music to be included in a commercial.

Special Features: Tables

Companies:
Apple Computer Inc

Products:
iPod iTunes
MP3

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