eBay begins Music Download War with Apple

11 05 2009

EBAY Australia has laid down the gauntlet to Apple’s iTunes Store, becoming the world’s first eBay auction site to sell new digital songs alongside secondhand CDs.

The digital tracks, sold in unrestricted MP3 format, undercut the price of the leading digital music store by offering songs 10 cents cheaper, at $1.59 and albums $1 cheaper, at $15.99 than the Apple alternative, The Courier-Mail reported.

eBay Australia spokeswoman Sian Gipslis said the online auction house chose to add digital music to the website after banning digital downloads last year to provide them to customers in a legal way.

But music industry analyst Phil Tripp said Universal Music was clearly behind the move, using it as an opportunity to increase its reach.

“The days of the record store are almost over,” he said.