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Google Music preview from BB

WILL THE MAJORS PLAY BALL? The final form of a Google Music is bound to change from this initial proposal, Christman asserts. Some sources tell him Google's proposals represent "a good start," but others say they will meet plenty of resistance, particularly on issues of compensation. Google is said to have proposed a 50/50 split on subscription revenue with master rights holders, while publishers would receive 10.5% of the pie. But sources say they don't know whether the publishers' share would come off the top, with Google and master rights holders splitting the remaining revenue evenly, or whether that share would come out of either Google's share or the master rights holders' share. No matter how much Google charges, the labels would sell Google music at the conventional wholesale rate of $7 for a digital album and 70 cents for most tracks, 91 cents for superstar tracks and 49 cents for catalog tracks. A 70 cent wholesale download usually retails for 99 cents, while a $7 wholesale digital album typically carries a retail price of $10. (9/15a)

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