News Corp. Renegotiations With Apple To Be Dicey
September 17, 2007 at 5:30 AM (PT)
APPLE ITUNES execs can expect a rough ride when they seek to renegotiate content deals with NEWS CORP., the media giant's COO, PETER CHERNIN, said FRIDAY. THE HOLLYWOOD REPORTER reports CHERNIN, speaking at the ROYAL TELEVISION SOCIETY's biannual convention, said he expects the media giant's forthcoming discussions with APPLE to be "prickly, dicey and contentious" when the companies meet to discuss relicensing NEWS CORP. content to APPLE's ITUNES digital music store.
His comments come as the relationship between media giants and platform aggregators such as APPLE become increasingly contentious. This month, NBC UNIVERSAL, which provides almost one-third of ITUNES' television sales, pulled out of relicensing talks. Universal Music also has backed out of its long-term contract with the download platform.
CHERNIN did not comment on speculation that NEWS CORP. may follow NBC UNIVERSAL in taking its content off the APPLE platform, but he downplayed APPLE's role as a key aggregator of NEWS CORP. content.