Forbes.com : U2 cuts deal with Apple for custom iPods

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http://www.forbes.com/personaltech/2004/10/18/cx_mm_1018aapl.html

Digital Music
Bono's iPod
Matthew Miller, 10.18.04, 7:22 PM ET

NEW YORK - Rock band U2 has cut a deal with Apple Computer to sell custom iPods promoting the band's forthcoming album.

Sources close to the group say the U2 edition of the popular digital music player will come preloaded with the band's new album, How To Dismantle An Atomic Bomb, along with portions of the Irish supergroup's 25-year catalogue. The iPods will be black and will be made available the same week as the band's 11th studio album, which is slated to be released in the U.S. by Universal Music Group's Interscope Records on November 23.

The deal is expected to be announced officially next week in San Jose, Calif. at a conference held by singer Bono, guitarist The Edge and Apple (nasdaq: AAPL - news - people ) founder Steve Jobs. Both Apple and Interscope representatives declined to comment.

The custom iPods are part of a larger agreement between the band and Apple. The company will have exclusive rights to sell all the songs from the new album online through its iTunes Music Store for at least the first few weeks following the release. U2 and Interscope will split a standard royalty for each song downloaded (about $0.60 per download), plus an upfront licensing fee. In return, the band shot a 30-second commercial pushing its latest single, Vertigo, on iTunes. The spot, a cross between a music video and Apple's catchy silhouette ad campaign, is now in heavy rotation on prime-time TV. Vertigo has topped the iTunes download charts since its debut three weeks ago.

Traditionally, exclusive agreements between online distributors and artists have been limited to a fixed period of time. When acts No Doubt and the Grateful Dead decided to sell their music online, they first made their catalogues available exclusively through iTunes before offering it through other online distributors. The Rolling Stones sold their songs with RealNetworks (nasdaq: RNWK - news - people ) in August 2003 before taking their material other outlets.

This summer, an early version of How To Dismantle An Atomic Bomb was lost by The Edge during a photo shoot in the south of France. Bono later commented that the album would be released on iTunes if songs started popping up illegally on the Internet.

Sales of the iPod, which debuted in 2001, have meant big business for Apple lately. The company sold 2 million of the players in its fiscal fourth quarter, ended September 25, helping to double the company's profits and increase revenues 37% to $2.35 billion over 2003's fourth quarter. Rumors of new versions of the iPod, including one with a colored screen, have been surfacing in recent months.
 
Google U2 and Ipod in google news.

Theres heaps of stories. Its probably going to be launched on Oct 26.

This will be the final excuse that Iv been waiting for to buy an Ipod.
 
U2 are meeting the New Media age head on. Where Metallica sued, U2 are embracing it, promoting it, and entering uncharted territory. It's like the Zooropa of the business side of U2. Really brave shit.
 
MrBrau1 I have never agreed with you more. U2 will make more $$$ with this merger of product and sell more albums than they ever have. I don't want to make U2 sound greedy, because I don't believe they are, but this a great money maker.

The funny thing is that I asked for an iPod or any other MP3 player for X-mas and now I know exactly what I want.
 
i bet they will be available for preorder on the 26th. i highly doubt that they will ship anytime before november 23rd. the album would be all over the internet otherwise.

anyway, i want one :up:
 
Se7en said:
i bet they will be available for preorder on the 26th. i highly doubt that they will ship anytime before november 23rd. the album would be all over the internet otherwise.


True.

Can I sell a kidney or something to get the money for this?

This isn't a matter of 'want'. I have been wanting an iPod forever....a U2 custom edition iPod I need !
 
MrBrau1 said:
U2 are meeting the New Media age head on. Where Metallica sued, U2 are embracing it, promoting it, and entering uncharted territory. It's like the Zooropa of the business side of U2. Really brave shit.

Exactly! That is what is so great about this band. They are not stuck in a moment they can't get out of - but they are rather looking at opportunities and embracing the future. They are not like some old people death scared of internet and technology.

And it is in some sense ironic that U2 - one of those bands that have been around the longest - actually are those who embrace changes and is so far ahead of others. It's actually one of the many things i like about U2. Abd it reflects who these guys are and what U2 is all about.
 
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Well even Metallica are embracing mp3 technology now, as they offer live downloads of almost every concert of their current tour, as well as selling most of their albums through msn music store. Guess that every artist will have to embrace the technology and the new means of distribution.
 
Cask said:
Well even Metallica are embracing mp3 technology now, as they offer live downloads of almost every concert of their current tour, as well as selling most of their albums through msn music store. Guess that every artist will have to embrace the technology and the new means of distribution.


I'm not talking just about mp3. I'm talking general. U2 have always embraced new things. And it is very interesting to see that U2 always seems to do the right things at the right time.

And it's two different things to WANT TO embrace and HAVE TO embrace.
 
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What is the incentive for a hardcore U2 fan to buy a "custom" U2-iPod?

If the only incentive is the pre-loaded songs, big deal. Most hardcore fans already have every U2 album and unless I'm missing something, it doesn't take any time to load them onto any ol' regular iPod yourself. So really, what is the point?
 
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could someone please tell me how i-pods work? even though i don't have an apple, could i still put my mp3's on it?:huh:
 
mikal said:
could someone please tell me how i-pods work? even though i don't have an apple, could i still put my mp3's on it?:huh:

They're compatible with the windows platform also. Everyone I know who owns one swears by it.
 
so not to sound like an ass, but would it allow me to transfer all the music i've downloaded from soulseek onto the i-pod?
 
I going to be purchasing a new harddrive based music player. Even though the ipod is now going to be preloaded with U2 tracks, I'm still opting for the Sony nwhd1. The sony is much smaller and has a way better battery life.

Don't go and spend your money on a player just because it has u2 songs preloaded. There are many great players on the market other than the ipod. Make sure that you buy a player that suits your needs.

The purpose of the new ipod +u2 campaign is to attract the youth towards U2. U2 is trying to increase its fan base and ipod is trying to increase its market share.
 
I've also seen reports of rumors that this ipod will be a 60GB (40GB is the biggest now) and will have a color screen . I had, before, rationalized that I didn't reallyneed a 4th gen ipod when there is nothing wrong with my 3rd gen - If this is true I no longer can rationalize:)
This is very very smart on both u2 and apple's part - seriously would not be suprised at all if apple doesn't sponser this tour - The effect would be freakish cool.
 
:drool: I suddenly feel like I'm 8 years old and just saw a TV commercial for the Barbie Country Camper! Must have new U2 ipod (cause I was going to buy one anyway and this just makes it way more compelling)!
 
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