iTunes Prices Up 30%, Amazon, Wal-Mart Follow Apple

Apple on Tuesday introduced the new variable pricing for music bought through iTunes. The prices increased with as much as 30%. This means that some of the popular tracks now cost $1.29 instead of $0.99. The move was followed by Amazon.com and by Wal-Mart as well.

Some of the Amazon.com tracks are now selling at $1.29, while Wal-Mart sells some of its top tracks at $1.24 for, up from 94 cents.

The prices Steve Jobs announced back in January for Apple iTunes tracks were: 69 cents a song for the older catalog, 99 cents for most new songs, and $1.29 for the most popular tracks. Until yesterday, Apple was charging 99 cents for all its tunes, but that pricing strategy didn’t went well with several record companies which wanted the pricing strategy to be more flexible.

The fact that Amazon.com followed Apple’s example and increased prices comes as a bit of a surprise especially because it comes after the company made some price cuts in anticipation of Apple’ move (in the U.K. Amazon charged 0.29 pounds for some selected track, down from the usual minimum of 0.59); not mention that raising prices during a recession doesn’t sound like a winning strategy.

Apple iTunes became the leasing music retailer in the United States last year after surpassing Wal-Mart.

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