Apple Wins on Royalty Fight

The Copyright Royalty Board in Washington, D.C. declined a request by the National Music Publishers Association to increase royalties from 9 cents to 15 cents on songs purchased from the iTunes Store and its various competitors, Fortune reports.

“Apple adamantly opposed the proposed 66% increase and threatened to shutter iTunes if it was approved. In a statement submitted to the board last year, iTunes vice president Eddy Cue said Apple didn’t want to raise its 99 cents a song price or absorb the higher royalty costs itself.”

It’s estimated that Apple makes about 10 cents per track in profit, while 65 cents goes to the record company (not including the artist). It’s pretty clear who should be absorbing any royalty increase, but that’s a story for another day.