The Infinite Dial

Reuters today reports that the Music industry is betting on the 'ringle' format to drive CD sales this holiday season. The format is basically a CD single that includes the original song, a B-side/remix or two, and a ringtone, all for 6 or 7 bucks. When I can buy a single online for 88 cents (Wal-Mart) or 99 cents (ITMS), why on earth would I pay this much for a single and a ringtone? The whole "ringtone" industry has always been a massive ripoff--you pay three times as much for a shortened version of a song you can get for a buck? Even worse--according to the Reuters article, you have to go online anyway to actually redeem the ringtone?

It's 'products' like this that encourage piracy and illegal downloading in the first place. Ringtones should be a cheap, frictionless purchase to make an incremental quarter or two off a hit single. But charging 6 or 7 bucks for a 'Ringle' just highlights the serious price disparity between online music sales and CDs, which are needlessly expensive. It costs 10 bucks to buy a digital 'album,' and nearly twice that to buy a CD at your local Borders (since the record stores are out of business...hint). When pricing is fair and purchasing is frictionless, fewer people opt for piracy--the data there are clear.