Apple Suit Settled; Speculation of a Partnership
Steve Jobs’ Apple Inc. and the Beatles’ Apple Corps. have settled their 25-year trademark dispute. Now there’s speculation of a deal between the two that would put the legendary rock group’s songs on iTunes. CNBC’s Jim Goldman appeared on “Power Lunch” to fill us in.
According to the agreement between the ttwo Apples, Apple Inc. is now the owner of all things “Apple,” but the Cupertino, Calif., company will license the name back to Apple Corps.
But the bigger news for investors may be the speculation that the Beatles’ catalogue could end up on iTunes. Goldman noted Jobs’ hint last month at the MacWorld conference. During his iPhone presentation, the album cover for Sgt. Pepper's Lonely Hearts Club Band was on auditorium monitor with “Lovely Rita” playing in the background.
Here are the potential stats for this yet-to-be-confirmed deal: The Beatles have 255 songs,
and they’ve sold over 169 million albums in the U.S. alone. Analysts are predicting that a Beatles release could cause a one-day $100 million pop and lead to $1 billion in additional revenue for iTunes.
Gene Munster of Piper Jaffray says that more artists – and even more movie studios – could end up joining iTunes as a result of a deal such as this.