I imagine Apple will be facing new realities when it next renews its contracts with Universal and other publishers.
Steve Gordon, an entertainment lawyer, said that Universal was saying, in effect: “Look, we know new technologies are here to stay. We know CDs are like typewriters, and are being replaced. ”
When the companies initially licensed Apple’s fledgling iTunes service, “they didn’t figure he’d make tens of billions of dollars from the iPod,” said Mr. Gordon, author of the book “The Future of the Music Business.”
“This time they’re saying, ‘Well, we want a piece.’ ”