Apple wants to slash the price of TV downloads such as NBC’s ‘Heroes.’

Apple is mulling a plan to cut the price of TV show downloads in half — an idea that’s fuming Hollywood.

According to three people familiar with the proposal, Apple has told networks and studios that it would like to slash the cost of most TV episodes sold via iTunes from the current $1.99 to just 99¢ — the same as what Apple charges for most music singles.

The half-price plan may have contributed to NBC’s decision last week not to renew its current deal with Apple (though if NBC had simply let its contract automatically renew, the current price of $1.99 would’ve stayed in place).

Apples uses the same sales pitch every time that they will end up making more money from digital downloads under the new proposal. Company believes the volume of sales for TV shows will rise dramatically, offsetting the impact of the price cut.

They admit that it doesn’t make sense to charge the same amount for an episode of “The Brady Bunch” as for “Lost.”

This is what KOAR proclaims — it doesn’t make sense that iTunes charges the same amount for a successful downloaded Pink track as for a Cher song released in the 1980’s. Its a warped mentality with no business sense. Its killing artists’ profits and it scorns achievement. Any artist should be fuming…
But of course Apple has proved to be resistant to multiple price points for video downloads, preferring to keep things as simple as possible.

Oh Yeah, really simple!

It seems possible Apple and the nets will come to a settlement in which shows are sold via tiered pricing, perhaps 99¢ for library titles, $1.99 for current hits and $2.99 for megahits or shows on premium cablers such as HBO or Showtime.

While big networks and studios seem to be scoffing at Apple’s proposal, some nets could welcome the idea NBC like major music labels wants more pricing flexibility rather eglatarian price structure of 99 Cents.

Bottom Line: Since the CEO of Apple Steve Jobs embraces the egalitarian price system where “all units are priced equal’ — he should stand up to his principle and have an egalitarian pay structure within Apple. Steve Jobs would make the same salary as his executive assistant all the way to the janitor. That is basic logic. Do we have a double standard here? We sure do ladies and gentlemen.

Apples argument is that if all things are priced equal then the volume will rise off setting the impact of the price cut.

We will use the same argument. If Steve Jobs embraces the egalitarian pay structure within Apple — then the employees all the way to the janitor will be more motivated to work, thus increasing Apples total bottom line off setting Steve Jobs price cut. That means Jobs could be making more money. Do you buy it?

MTV shows the worst side of what America has to offer…

Britney Spears will open this Sunday’s MTV Video Music Awards in Vegas with a performance of “Gimme More,” her first off her new upcoming record. Will New Kids on the Block or Debbie Gibson make their debut in 2008? This just proves KOARs point that creativity is as dry as DEATH VALLEY.

Also, MTV will give Tila Tequila her own show where she gets to date guys and girls. Critics of the show perceive this as shameful and abnormal…

After receiving emails and calls from thousands of angry customers Apple’s Steve Jobs apologized and offered $100 credits to customers who shelled out $599 for the most advanced model of the iPhone.
iPhone sales have been sluggish sending Apple’s shares down a total of more than 6 percent over the past two days, a drop that has wiped out about $8 billion in shareholder wealth.

Check out the new Coheed and Cambria single The Running Free. We love the intro. Coheed has always been the cream of the crop of the alternative scene by captivating their audience through their live show and creating dynamic songs that are worth more than one listen…

Walt Disney protects family image by pressuring promoter Live Nation into canceling Machine Head’s performance tomorrow night at the House of Blues venue in Anaheim (on their Disneyland property) — Citing violent imagery, undesirable fans and inflammatory lyrics as the reason.

Copeland and Columbia Records have parted ways…

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Silicon Valley’s annual coming-out season for tech start-ups is about to turn into a stampede.

The race to find the Valley’s hottest new idea has become a new trend among investors. This new race was triggered by the high prices paid for recent internet start-ups such as YouTube — as well as the increasing fierce competition among newcomers to get noticed.

The large number of companies formed around hot trends such as web search, social networking and online video has added spice to the importance of the autumn events, according to entrepreneurs and venture capitalists.

“At this stage of the frothiness, it’s extremely difficult to get attention,” says Munjal Shah, founder of Like.com, an image search engine.

“The capital cost of starting a business today is very low,” says Chris Shipley, producer of Demo, one of the first tech events. “We’re seeing a lot of ideas make it from the spare bedroom to a showcase or the marketplace very quickly.”

Other events that hope to unveil hot companies and products in the coming weeks include the Web 2.0 conference.

The scramble for attention is another symptom of Silicon Valley’s latest start-up boom. The amount of venture capital being invested in the US is at its highest level since 2001 and it has led to a rash of “me-too” companies.

The flood of copycat companies is a sign of the over-heated phase of the investment cycle, according to observers.

Bottom Line: Music labels need to create this positive vibe. They need to have this mentality even though the NEXT BIG THING may not exist yet. Music labels need to arm themselves with a team of hungry warriors searching for those artists’ who are a cut above the rest. Hire producers and songwriters to develop the artist. Work with artists who want to be guided and yearn for success. Music labels cannot abandon their CORE and act like a silicone valley start-up — it will fail miserably. Hire a strong department that focuses on technology and new business opportunities and a music department specializing in building great content. This department would replace the traditional kiddie ‘pretend to know music’ A&R department and would consist of a real think tank including up and coming producers, songwriters, and real music critics with a developed ear with a keen sense of marketing — This would increase the batting average. A music label cannot just sit and wait for an artist to break themselves — you will wait yourself out of business….

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Apple and Starbucks have formed an exclusive partnership that lets customers wirelessly browse, search for, preview, buy and download music from the iTunes Wi-Fi Music Store at Starbucks onto their iPod.

When a customer enters Starbucks, their device will automatically recognize the iTunes Wi-Fi Music Store using a high-speed Wi-Fi wireless network with no connection fee or hotspot login.

Customers will be able to browse, search and freely preview millions of songs, including a new “Now Playing” service which displays the name of the song playing in the Starbucks store at that moment, then easily buy and download songs or albums directly to their device.

Starbucks customers are going to get online and download songs while drinking coffee? Novelty…

CEO of Apple Steve Jobs unveiled new iPod models on Wednesday including an iPod nano, which stores songs and photos on flash memory chips instead of a hard drive, that now will play video and games.

The company, which faces renewed attacks from rivals, will refresh or replace the entire iPod music player product line, Jobs said at a product announcement event.