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Apple mulls SA iTunes store


Cape Town, 10 May 2004

The next big project for Apple in SA is to launch a local version of its online music store, iTunes. This follows the official opening of its in-country Internet store.

Apple Computer`s South African online store at www.zastore.co.za, is run by the US company`s South African distributor, The Core Group, and is part of an overall retail shake-up to bring greater exposure to the Apple products throughout the country.

The Core Group MD Rodney Ichikowitz says Apple plans to export its iTunes concept to Western Europe during the next two to three months, and while plans for a South African version are not yet clear, some homework has been done on the issue.

"The South African music industry is very different from the US or Western Europe`s. For instance, South African consumers prefer compilations rather than whole albums and this affects their spending patterns," he says.

Ichikowitz says there are also other issues to be sorted out, such as the pricing of the songs.

"The music industry insists on charging a premium for downloading songs, but that is not really in the spirit of the Internet," he says.

Apple`s iTunes online music store is reported to have played a fundamental role in helping the music industry overcome some of the problems associated with the free downloading, or pirating, of music, especially in the US.

iTunes recently celebrated its first anniversary, with Apple reporting that about 70 million songs have been downloaded so far, at a charge of 99 US cents each (about R6.50).

While Apple SA considers a local version of iTunes, its online store will continue to gear itself for local hardware, software and third-party peripheral sales. It will offer the full range of Apple products, including the iPod combined MP3 players and storage devices.

"Internationally, Apple online stores have formed an important link in retail strategy, and we fully expect the South African store to provide new Apple users with a fast and convenient online channel," says the site`s manager, Lionel Koblenz. "In addition, shipments to all South African addresses are currently free of charge."

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