New Tiered iTunes Pricing Gets a Date: Report

Since the launch of iTunes, Apple has been adamant about sticking to a $0.99 per track pricing model. However, at Macworld, Apple indicated there would be $0.69, $0.99, and $1.29 pricing tiers upcoming.

While iTunes pricing has become more complex, Apple is removing the DRM from the tracks, which people have requested for some time.

Still, critics say this is the wrong time to adjust iTunes prices, during a recession larger than any in recent memory.

Former EMI Music executive Ted Cohen, who is managing partner of digital media consulting firm TAG Strategic, said:

"This will be a PR nightmare. It is for the music industry what the AIG bonuses are for the insurance industry."

I actually don't get why Cohen made that statement is so hyperbolic or why he feels we are on the verge of an iTunes meltdown . On the other hand, in terms of combating music piracy, this statement by Jim Guerinot, who manages such bands as Nine Inch Nails, No Doubt and Offspring, makes sense:

"Wouldn't it make sense to try to price it cheaper instead of squeezing the handful of people who are still willing to pay for music?"

I'm sure it's more than a handful, as many people have no idea how to use BitTorrent. He does have a point in that I'd sure rather pay $0.99 than $1.29 per track, particularly in these penny-pinching times. However, I'd also rather have DRM-free music, and I think that "add" will offset, at least some, the increased cost.

Guess we'll find out April 7th when this goes live.