14
million and $30 million. This essentially free advertising would prove to be especially effective
when no competitor entered the digital music business until almost 2007 (Knopper 170-178).
But Jobs’ campaigning for support did not stop with the record labels; next Jobs had to
reach out to the biggest stars in music in order to gain their approval, an attempt that had proven
futile by other digital music services. Unlike other services, Jobs had the reputation and name
needed to garner support for his device and service, ultimately gaining the support of such
elusive artist as The Eagles, U2, the Rolling Stones and Sheryl Crow. Even Dr. Dre, the rapper
who had fiercely opposed Napster, was so wowed by iTunes and its simple approach that he
quickly agreed to let Jobs sell his music.
The iTunes Music Store launched on April 28, 2003, and boasted a catalog of almost
200,000 songs available for 99 cents each. Their initial catalog may have been missing big
names like The Beatles, Led Zeppelin and Radiohead, but it did have the support of artist like
Bob Dylan, U2 and Eminem. Sheryl Crow endorsed Apple’s music service, saying, “This
industry has been in such a funk. It really needs something like this to get it going again”
(Knopper 178). The spark the industry needed would come when the iTunes Store became
compatible with Windows-based computers in October 2003. Immediately a huge cross-over
success, Apple would sell 25 million songs in 2003 alone. Though the 99 cents provided little
profit overall for either Apple or the record labels, it opened the door to new possibilities for
Apple. With more people using iTunes, more consumers began buying the much more profitable
iPod in order to listen to their new music. By the numbers, in just the fourth quarter of 2003,
iPods generated about 7% of Apple’s $1.7 billion in revenues – roughly $121 million overall. It
was quickly becoming clear: while record labels were hemorrhaging money, Apple was getting
rich off the new deal. As Irving Azoff, The Eagles manager and early supporter of iTunes, said