Apple deal keeps 99-cent iTunes

Apple Computer renewed contracts with the four largest record companies to continue offering songs at 99 cents each through the iTunes music store, a victory for Apple Chief Executive Officer Steve Jobs, who's been fighting music-company attempts to change pricing and charge more for some songs.

EMI, Sony BMG, Universal and Warner agreed to continue selling their music through iTunes, Apple spokeswoman Natalie Kerris said in an e-mailed statement. She declined to provide details on the length or other terms of the contracts.

Warner CEO Edgar Bronfman Jr. in September said demand should dictate prices. Jobs said some record companies were being "greedy" and that higher music prices might prompt users to illegally download songs.

"This is a very big win for Apple," Michael Gartenberg, an analyst at Jupiter Research in New York, said. "It validates Apple's position that 99 cents is a sweet spot for songs."

Shares of Apple rose $2.02 to $71.62 Tuesday. They have almost doubled in the past year.

Amanda Conroy, a spokeswoman for EMI, and Sony BMG spokesman John McKay declined to comment. Digital music sales tripled last year to $1.1 billion as consumers downloaded 420 million tracks, boosting digital receipts to 6 percent of the music industry's revenue as record companies combat an overall sales slump.