SAN FRANCISCO — Apple is mulling a plan to upend its iTunes business by giving people unlimited free access to the music library if they’re willing to pay more for the iPod and iPhone devices they use for playing and storing the digital media, according to a report published Wednesday.
Some analysts threw cold water on the plan outlined in the Financial Times, however, saying Cupertino-based Apple would risk creating an “accounting nightmare” and alienating some artists if it started giving away songs on its iTunes online store.
The newspaper cited unnamed music-industry sources in reporting that Apple is negotiating with record labels over a deal to offer a monthly music subscription for the iPhone, as well as an unlimited music bundle for both the iPod and iPhone. Prices for iPod’s cheapest model, the Shuffle, start at $49, iPhones at $399.
Apple did not respond to requests for comment.
Only about 10 percent of Apple’s revenues come through iTunes — about $2.5 billion in 2007. But the store has been a critical tool for driving the more lucrative iPod sales and helping musicians get paid for their work.
Apple sold $8.3 billion worth of iPods last year, an 8 percent increase over the year before.
