Apple Slices Price Of iTunes

The European Commission competition department have called a halt to their investigation into the treatment of iTune customers in the UK, where the price charged is nearly double that of other areas of Europe.  So what have Apple promised to do?

While no figures have been released it has been confirmed that Apple will be reviewing their relationship with UK record companies (who receive a royalty on each download) and confirm why their charges are out of line with their European operations.  Unfortunately this is just a reflection of the UK consumer market where is seems as though 99% of goods are more expensive here than overseas.  Whether it is down to the local tax situation, increased travel expenses or some other elements it has been a very common theme throughout the UK economy for some time.  So will this ruling actually change anything?

Even though the EU have closed the file on the investigation they will still be monitoring the situation as closely as possible to see if any changes are implemented in the UK.  However, there are some who feel that after a period of relative comfort, Apple are now seeing competition from other download companies, hence the real reason for reviewing the cost of UK downloads. 

Whether this is the real reason or the company have just decided to abide by the EU advice, the UK consumer should benefit, but when and by what amount has not yet been confirmed.  Does this possibly leave the door open for a competitor to jump in and attack the core market of Apple?