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im_noahselby · Dec 14, 2003, 05:03 PM

From MacMinute.com:

The Copyright Board of Canada said on Friday that it will place a levy of CDN$2 on digital music players with a capacity of up to 1GB, $15 for players with a capacity of 1GB to 10GB, and $25 for those over 10GB. As expected, Apple's iPod will be affected by this decision. However, it could have been worse. "Under the music industry's original proposal, an MP3 player with a 20GB hard drive would have been subject to a levy that would have boosted the price by about $125," reports The Globe and Mail. "Manufacturers filed objections to the Copyright Board over that plan, arguing that the levies would price their products out of the market."

___________

This will hurt iPod sales in Canada very much, as even before the price increase they were overpriced. Very few families are willing to spend $450-$800 on an MP3 player during this Christmas season. Many will opt for a $199-$299 priced player. The further Apple increases the price of the iPod, the less marketshare the player will have in Canada; it's as simple as that.

10GB - $439 is now $454 (up by $15)
20GB - $579 is now $604 (up by $25)
40GB - $729 is now $754 (up by $25)

I realize this levy puts Apple on the spot, but they do have other options. I mean, by selling an iPod at $604 Cdn, when for $4 less they can offer it for $599 just makes more sense and in the end it makes for more sales. Why can't Apple see this! They have done this with Apple's Canadian pricing for as long as I can remember now; trying to push every dollar out of us that they can.

If Apple doesn't have a $299 base iPod at Macworld, they can kiss their Canadian iPod market goodbye. And don't say it can't be done, as there are countless other companies who are able to maintain this pricepoint at similar or higher HD capacities than Apple offers. In the end it's up to Apple...

Thoughts?

Noah

Immortal K-Mart Employee · Dec 14, 2003, 06:44 PM

Oh well, at least file sharing is legal up here.

jimf_81 · Dec 15, 2003, 11:29 AM

You can still make up the difference.

Just go and get back at the recording industry by pirating as much as you can, and try not to get caught. It's like my philosophy towards stores with bad sales people (ie pushy, sketchy, non trustworthy, unknowledgeable). Give them as little money as you can.

Take my experiences with Futureshop for example. Carry your own printer/monitor/stereo whatever to the front. Refuse to let them help you, and tell them that nobody helped you with your purchase. This way the crappy salesperson gets no commision. Before I get any angry replies, I don't do this every time, if the sales person is nice and friendly I don't mind giving them the commmision.

jimf_81

JVB_2112 · Dec 15, 2003, 06:37 PM

Originally posted by im_noahselby:

I realize this levy puts Apple on the spot, but they do have other options. I mean, by selling an iPod at $604 Cdn, when for $4 less they can offer it for $599 just makes more sense and in the end it makes for more sales. Why can't Apple see this! They have done this with Apple's Canadian pricing for as long as I can remember now; trying to push every dollar out of us that they can.

I don't think it's up to Apple to eat any part of the levy, even if it's only 4 bucks. If you want to blame anyone, blame the government of Canada. Better yet, blame all the pirates that prompted the levy in the first place.

Just my two cents.

JVB

FXWizard · Dec 15, 2003, 07:20 PM

The Globe and Mail is a bit off on their facts. Be grateful that the CPCC didn't get the levy they'd originally asked for...$21 per GB of storage.
Here's an FAQ showing what they first asked for.

Imagine an extra $840 added onto the cost of a 40GB iPod?

dtriska · Dec 15, 2003, 11:35 PM

http://forums.macnn.com/showthread.p...hreadid=192954

im_noahselby · Dec 16, 2003, 02:25 AM

Originally posted by JVB_2112:
I don't think it's up to Apple to eat any part of the levy, even if it's only 4 bucks. If you want to blame anyone, blame the government of Canada. Better yet, blame all the pirates that prompted the levy in the first place.

Just my two cents.

JVB

Well, now that I think about it, the levy isn't really that bad when you consider the action the US is taking on illegal music downloading. Even so, the issue remains that the iPods in Canada remain overpriced. But don't take my word for it.. Go here: http://www.bankofcanada.ca/en/exchform.htm

$299US (10GB iPod) converts to $392Cdn +$15
this iPod currently sells for $454Cdn from Apple

$399US (20GB iPod) converts to $524Cdn +$25
this iPod currently sells for $604Cdn from Apple

$499US (40GB iPod) converts to $655Cdn +$25
this iPod currently sells for $754Cdn from Apple

In all honesty, Apple would hardly be "eating any part of that levy", as the iPod is overpriced here as it is.

I appreciate Apple's hardware and functionality, but I do not appreciate their pricing tactics outside of the US. They have been ruthless towards the Canadian and Australian markets for years. I'd like to see this change.

Noah

uv23 · Dec 16, 2003, 11:00 AM

Originally posted by Immortal K-Mart Employee:
Oh well, at least file sharing is legal up here.

No it's not. In fact I was just watching the news this morning and there was a story about the CRIA ramping up on plans to take legal action against file sharers.

Wiskedjak · Dec 16, 2003, 11:28 AM

Originally posted by uv23:
No it's not. In fact I was just watching the news this morning and there was a story about the CRIA ramping up on plans to take legal action against file sharers.

Yeah, first they charge us for file sharing, then they start taking legal action against file sharers. Do you think they'll stop charging for file sharing if it declines as a result of the legal action? Not likely ...

uv23 · Dec 16, 2003, 11:33 AM

There's no winning. I am deeply insulted by this whole levy issue as I do not take part in file sharing. I've bought every piece of music I listen to because I believe in supporting the artists. Yet this guilt tax is being applied to me regardless. When I do eventually buy an iPod, it will not be from a retailer that applies this levy. If I have to, I'll order it from the US as a matter of principle. All the stupid Copyright Board bastards have accomplished is sticking a pin in the eye of our economy.

Wiskedjak · Dec 16, 2003, 12:23 PM

Originally posted by uv23:
There's no winning. I am deeply insulted by this whole levy issue as I do not take part in file sharing. I've bought every piece of music I listen to because I believe in supporting the artists. Yet this guilt tax is being applied to me regardless. When I do eventually buy an iPod, it will not be from a retailer that applies this levy. If I have to, I'll order it from the US as a matter of principle. All the stupid Copyright Board bastards have accomplished is sticking a pin in the eye of our economy.

Every Apple reseller in Canada will be charging this levy since it is built into the cost from Apple. Purchasing in the US will likely be pointless as you'll probably be charged the levy at the border.

milhaus · Dec 16, 2003, 04:50 PM

File sharing is not legal; however, downloading is. So yay for the leechers . . . boo for the sharers and suppliers.

Don't forget, SOCAN is asking for a tax on ISPs as well.

Fine then, want me to pay levy for CDs which I burn data on? Or a MP3 player? I suppose I had better make use of the downloads, since I'm paying for them regardless? Hmmm . . . good thing I lost interest in music about five years ago, or I would be tempted to start downloading. . .

I have no pity for the artists either - SOCAN is their representative, and it's not like I've heard anybody prominent speak out against these actions.

Athens · 05:51 PM

removed

Peter753 · Dec 18, 2003, 06:52 PM

That's retarded, the record companies have bitched and moaned enough that the federal government is imposing a tax to compensate them? Is that even constitutional? It's absurd. I guess they have a lot of political power.

ryju · Dec 21, 2003, 11:11 AM

Originally posted by jimf_81:
You can still make up the difference.

Take my experiences with Futureshop for example. Carry your own printer/monitor/stereo whatever to the front. Refuse to let them help you, and tell them that nobody helped you with your purchase. This way the crappy salesperson gets no commision. Before I get any angry replies, I don't do this every time, if the sales person is nice and friendly I don't mind giving them the commmision.

jimf_81

Even though I work at Futureshop... I agree with you in some sales people are just asses who don't know what they're talking about.

"Using Mac is a bit of a learning experience" In fact one day I overheard one of my colleagues talking about an iMac to customers claiming "it's really only good for video and photo and music stuff" and the people replied "well we really don't do any of that" so they skipped it entirely! I need to get in that department.