AppleInsider Staff"We do not think 99 cents is the right price point for our content," NBC Universal Chief Executive Jeff Zucker said on Wednesday at Goldman Sachs investor conference. "We thought it would devalue our content."
NBC currently offers iTunes customers the option of purchasing its shows outright for $1.99. But like the vast majority of networks that also distribute their content through the digital download service for the same price, it has balked at Apple's new 99 cent model announced earlier this month alongside the revamped Apple TV set-top box.
Thus far, only Walt Disney's ABC and News Corp's Fox have agreed to the price cut, though News Corp President Chase Carey similarly told investors at the same conference Wednesday that its participation in the matter is only a "short-term test."
For NBC and Zucker, this isn't the first time they've entered into a stalemate with Apple over digital download pricing on the iTunes Store. After accounting for roughly 40% of video downloads through the service in 2007, the network abruptly pulled its video library from iTunes after Apple wouldn't agree to a reported 100% increase in the wholesale price of each show.
During an October 2007 breakfast hosted by Syracuse’s Newhouse School of Communications, Zucker even went as far as to single out Apple for 'destroying' music pricing and urged his colleagues to take a stand against the company's iTunes Store, alleging that the service was undermining the ability of traditional media companies to set profitable rates for their content online.
NBC eventually caved to the popularity of the iTunes Store, signing back on with the service to sell its standard definition content for $1.99 an episode and HD content for $2.99 an episode less than a year later.
Andrew Orr
Amber Neely
William Gallagher
Christine McKee
87 Comments
Big surprise. NBC and Apple have been at odds for a long time. It will only get worse if the Comcast/NBC merger happens. Really bad for consumers.
Jeff Zucker is a schmuck who should have been axed a long time ago.
Hate to say it, but who really cares about NBC.
If they can't understand the limitations of a lot of consumers to add another $100 a month for television shows then there are other channels.
As long as NBC can keep their commercials in the shows to be rented why do they need 99¢ every time we want to watch something via AppleTV?
It will only get worse if the Comcast/NBC merger happens. Really bad for consumers.
No kidding. This is one I would hope will get vetoed. Being in the position to not only collect from advertising dollars but also charge for delivery really sucks. I am not sure what grounds the FTC can stop it but hopefully someone will keep that zucker out of such a position of power.
Why does the last-place network think its programming is worth the most?
But I want to know what The Event is.....