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Apple Pressures Nets to Halve TV Program Prices

The strategy is to increase demand for TV shows on iTunes by cutting prices as low as $1

Apple is pressing U.S. television networks to reduce their prices for TV shows offered on its iTunes digital store in order to cut the charge to consumers and to help spur demand, the Financial Times reported. The push is seen as a part Apple’s strategy for the tablet computer, which it is expected to unveil on Wednesday.

Networks are resisting the move as they fear a repeat of the music industry’s pact with Apple in 2003 to sell individual songs for 99 cents. The price helped to simplify and boost downloads of digital music but dented album sales. In recent months, Apple has suggested during meetings with media executives that the price it charges consumers for TV shows be halved from $1.99 to $1, people close to the discussions said.

Read more at the Financial Times.