Lately there was much talk about the giant music provider iTunes, the one thing that kids nowdays need to survive, as well as other companies who provide music downloading services for a small amount of money, may shut down if the business becomes unprofitable.

As more and more people turn to the Web to get music, rather than buying a CD, several companies have managed to offer a high range of artists and albums, as well as a good price and, most of all, the possibility of having the best and newest music only a click away.

Music publishers, who represent creators of song lyrics and sheet music, have repeatedly asked for an increase in royalty payments, while Apple and the other companies are pushing for a reduction. The usual rate was 9.1¢ for every 99¢ music download and it was kept unchanged, despite the efforts of squeezing some extra cents for the publishers’ benefits. That rate now remains set at 9.1 cents per song, or 1.75 per minute for any song lasting longer than 5:12, whichever is higher.

The publishers were requesting a rate raised to 15¢ for every 99¢ sale, arguing that online music distribution costs much less than those of CDs, which also carry a 9.1¢ royalty. David Israelite, president and CEO of the National Music Publishers' Assn. points that the record companies have to spend considerable more money for producing the materials and are also exposed to risks, as opposed to the downloadable tunes. "You don't have to ship them, there aren't any breakage problems," he says.

Digital Media Association President Jonathan Potter expressed his content towards the decision of keeping the royalty rates at the same level. "During this challenging time for the music industry and digital stores and services, we are pleased with the CRB's decision to keep royalty rates stable for the next five years. Keeping rates where they are will help digital services and retailers continue to innovate and grow for the next several years, which will benefit songwriters, artists, labels and publishers,” he said in a statement.

Record labels, who received a major boost from the online stores, currently receive 70¢ of every 99¢ song download. This leaves Apple with almost nothing, causing the company to engage in talk about shutting down if the royalty rates would grow even higher, forcing the music giant to raise its own price and surpass those highly successful 99 cents per song.

Some claim that the iTunes music store is only a way to get consumers to buy iPods, but it actually so much more than that, musicians may say, as a lot of both new and older artists have managed to gain more coverage, more availability and millions of fans. Having your song on sale on iTunes means being in touch with the world, which is generally considered good for business.