Apple Rubs Sand in NBC Universal’s Eyes Over iTunes Contract

Earlier this morning, Global Tech News reported that NBC Universal decided not to renew its iTunes contract due to Apple’s inability to negotiate on higher prices. Apple has since responded to NBC Universal’s remarks and decided to air some dirty laundry in the process.

In a press release issued this afternoon, Apple reported that NBC Universal called for an increase in price for its TV shows to $4.99 per episode — the current price is $1.99 per episode. This was especially disconcerting to Apple considering that ABC, CBS and FOX all signed on for next TV season at the $1.99 per episode price.

“We are disappointed to see NBC Universal leave iTunes because we would not agree to their dramatic price increase,” said iTunes VP Eddy Cue. “We hope they will change their minds and offer their TV shows to the tens of millions of iTunes customers.”

Apple also went one step further than NBC Universal’s request to sever ties with iTunes. NBC Universal’s contract with iTunes was to end in December. Since the end of the contract would happen half way through the television season, Apple has decided to boot NBC Universal from iTunes before the new TV season begins in September.

According to Apple’s own numbers, NBC Universal TV shows took three of the top ten slots for best selling TV shows on iTunes last season and accounted for 30 percent of all TV show sales.

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