NBC To Pull Out Content From iTunes

The New York Times reports that negotiations between NBC Universal and Apple have not gone well. They haven’t reached an agreement that is agreeable to both parties. This means that in a few months the iTunes Store will be carrying less content.

NBC is the second largest content provider of the iTunes store. Bringing shows such as “The Office”, “Battlestar Galactica”,  “Heroes” and other shows and movies to the iTunes store and effectively pushing it to millions of iPod users.

This signals interesting times. Can Steve keep the upper hand and twist the arms of the big media companies to provide content at the current price point? We’ll see. Right now we’re seeing an exodus of providers not renewing their agreements. They must think that they have the upper hand.

While Steve knows that the secret of iTunes’ success is the ease of use and the affordability of its contents. The big companies just don’t get it. It’s better to earn small per item but on a mass scale than earn big on a small item but only sell a few.

I think the current price point of 99 cents, 9.99 dollars for some movies and 1.99 dollars for TV shows is a good thing. It’s cheap enough not to think so much about it when buying music and other media. Anything above might be too much on the pocket.

Well, let’s see. This is something I’ll definitely keep my eye on.

Let me know what you think.