MP3s for pennies? Russian cops say no

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Great question

Interesting thought Vily. I'd bet if the two went head to head in a fair contest, it wouldn't be close, you'd see the cheaper site dealing in such a higher volume that they'd take over Apple's business quickly.

The problem is that in the real world, allofmp3 didn't have Apple's marketing budget (and probably couldn't have advertised outside of Russia--their take is that they were following Russia's laws, and weren't responsible for foreign customers). Factor in also a lot of people's reluctance to be handing out their credit card info to a somewhat dodgy site in Russia, and I'll bet Apple has seen a lot more business.

Then again, Apple claims to be doing just a little more than breaking even on the iTMS, so since the Russians didn't have anywhere near the expense Apple has faced, their site may have been more profitable after all.

Posted by: tic swayback   Posted on: 02/23/05 You are currently: a Guest | Members login | Terms of Use

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