Comments on: AT&T to hunt down pirates… anyone else realize this is part of Apple iPhone deal? http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal Web 2 and Social Media News and Reviews Sun, 12 Feb 2012 21:27:36 +0000 hourly 1 http://wordpress.org/?v= By: Anonymous http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13179 Anonymous Wed, 30 Nov -0001 00:00:00 +0000 #comment-13179 Hi, Sorry to correct, but Apple business is/was in hardware. The first time ever Apple has made benefits while selling music over iTunes it was this last trimester and that was after negotiating hard with the Credit Card processing companies a reduction on the cost per transaction. If you add the wholesale price, the bandwidth, infrastructure, operational cost and credit card processing... you end up over the 1$ per song. So, business is (or was) in Hardware. Apple is trying to shift that for sure, they want to get benefits also from iTunes, and is why they are putting pressure on the credit card companies. Also if they have more volume, the operational cost and infrastructure per download will be lower... Finally with the iTunes plus they has increased the price by 30%, but not the cost, so the margin will be also better. The price of 1$ it was an smart strategy, as they knew it will block any legal competitor, as there is no margin, no business unless you sell the hardware... Now that they have the market, now they are looking from other sources of revenue See you Hi,

Sorry to correct, but Apple business is/was in hardware. The first time ever Apple has made benefits while selling music over iTunes it was this last trimester and that was after negotiating hard with the Credit Card processing companies a reduction on the cost per transaction.

If you add the wholesale price, the bandwidth, infrastructure, operational cost and credit card processing… you end up over the 1$ per song.

So, business is (or was) in Hardware.

Apple is trying to shift that for sure, they want to get benefits also from iTunes, and is why they are putting pressure on the credit card companies. Also if they have more volume, the operational cost and infrastructure per download will be lower…

Finally with the iTunes plus they has increased the price by 30%, but not the cost, so the margin will be also better.

The price of 1$ it was an smart strategy, as they knew it will block any legal competitor, as there is no margin, no business unless you sell the hardware…

Now that they have the market, now they are looking from other sources of revenue

See you

]]> By: Anonymous http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13180 Anonymous Wed, 30 Nov -0001 00:00:00 +0000 #comment-13180 I hate to break it to you but I am pretty sure the only place apple makes money is on the hardware. Apple is a hardware company and they HARDLY undercut other mp3 players. They are actually much more expensive for less storage. Take for instance, a 4gb nano. You are talking about $180. 4gb of flash memory runs about $40 easy. So a majority of the rest of the money is profit. They make nothing off the music they sell because the record labels take most of it and they only make enough to cover their costs of running the store. I hate to break it to you but I am pretty sure the only place apple makes money is on the hardware. Apple is a hardware company and they HARDLY undercut other mp3 players. They are actually much more expensive for less storage. Take for instance, a 4gb nano. You are talking about $180. 4gb of flash memory runs about $40 easy. So a majority of the rest of the money is profit.

They make nothing off the music they sell because the record labels take most of it and they only make enough to cover their costs of running the store.

]]> By: Anonymous http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13181 Anonymous Wed, 30 Nov -0001 00:00:00 +0000 #comment-13181 Consider AT&T subscribers that are engaging in other illegal activities over their networks (think trading photos). They have always had the right to “do something”, only now are they exercising that right. The same goes for all of the ISP’s out there; it is a responsibility rather than something they just decide to do. Regarding Apple’s iPod, the business model is similar to Tivo’s subscription. They sell the units at cost (or below) and rely on the subscription to bring in the cash. I still think that Apple is at least making a little money from an iPod sell due simply to how mass produced they are. Consider AT&T subscribers that are engaging in other illegal activities over their networks (think trading photos). They have always had the right to “do something”, only now are they exercising that right. The same goes for all of the ISP’s out there; it is a responsibility rather than something they just decide to do.

Regarding Apple’s iPod, the business model is similar to Tivo’s subscription. They sell the units at cost (or below) and rely on the subscription to bring in the cash. I still think that Apple is at least making a little money from an iPod sell due simply to how mass produced they are.

]]> By: Brian Breslin http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13182 Brian Breslin Wed, 30 Nov -0001 00:00:00 +0000 #comment-13182 i think the issue is more pressure on the network from the bandwidth issues, not people pirating stuff via their apple products. Apple doesn't care as said above about the idea of people dumping in non-itunes content into their ipods. if they had, and had originally restricted ipods to apple purchased content it would have flopped BIG time. less than 5% of content on iPods is purchased via itunes. i think the issue is more pressure on the network from the bandwidth issues, not people pirating stuff via their apple products. Apple doesn’t care as said above about the idea of people dumping in non-itunes content into their ipods. if they had, and had originally restricted ipods to apple purchased content it would have flopped BIG time. less than 5% of content on iPods is purchased via itunes.

]]> By: Darren Stuart http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13225 Darren Stuart Wed, 30 Nov -0001 00:00:00 +0000 #comment-13225 I think they don' have to do this and the fact that they haven't until they have a vested interest is a double standard. up until this point they haven't cared about it so why start now? I would switch just because its too big brother like for me. Once it hits the press that they have turned over a 79 year old grand mother and the media gets a hold of it they will lose far more business than the new business will bring in. I think reading between the lines here they might have been forced into this as part of the deal to get the content in the first place. I think they don’ have to do this and the fact that they haven’t until they have a vested interest is a double standard.

up until this point they haven’t cared about it so why start now?

I would switch just because its too big brother like for me. Once it hits the press that they have turned over a 79 year old grand mother and the media gets a hold of it they will lose far more business than the new business will bring in.

I think reading between the lines here they might have been forced into this as part of the deal to get the content in the first place.

]]> By: Anonymous http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13229 Anonymous Wed, 30 Nov -0001 00:00:00 +0000 #comment-13229 Sure, it's the iPhone! Apple always stated that they profit from the sales of the songs, not the hardware. They propably make huge losses on each iPod sold, covered by the profits they make from the songs they sell. Hence they're able to undercut the competition, which explains their dominance ion the marketplace. You opened my eyes to this! Brilliant! Sure, it’s the iPhone! Apple always stated that they profit from the sales of the songs, not the hardware. They propably make huge losses on each iPod sold, covered by the profits they make from the songs they sell. Hence they’re able to undercut the competition, which explains their dominance ion the marketplace.

You opened my eyes to this! Brilliant!

]]> By: Anonymous http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13399 Anonymous Wed, 30 Nov -0001 00:00:00 +0000 #comment-13399 What's next. Being ticketed by Porsche because I was speeding in a car they built? Gimme a break. Anything anti-customer will catch up with a company. I download and pay for songs from itunes and avoid these issues. Let the music industry fight its own war. What’s next. Being ticketed by Porsche because I was speeding in a car they built?

Gimme a break. Anything anti-customer will catch up with a company. I download and pay for songs from itunes and avoid these issues. Let the music industry fight its own war.

]]> By: Anonymous http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-13734 Anonymous Wed, 30 Nov -0001 00:00:00 +0000 #comment-13734 Privacy matters, as long as this is stated in the User Agreement they have the perfect right to do so. This will also limit the number of customers they have if the customer’s intent is to use the service for illegal matters. Other ISP’s have chosen not to get involved unless ordered by the court. Let the music industry handle their own problems. Privacy matters, as long as this is stated in the User Agreement they have the perfect right to do so. This will also limit the number of customers they have if the customer’s intent is to use the service for illegal matters.

Other ISP’s have chosen not to get involved unless ordered by the court. Let the music industry handle their own problems.

]]> By: Anonymous http://www.centernetworks.com/att-to-hunt-down-pirates-part-of-iphone-deal#comment-14473 Anonymous Wed, 30 Nov -0001 00:00:00 +0000 #comment-14473 Boycott them, its the only way to get their attention. I'm going with a different cell company Monday. Boycott them, its the only way to get their attention.
I’m going with a different cell company Monday.

]]>