Shortly after concerns that Apple might close the doors of its iTunes Store started circulating the media, the Copyright Royalty Board turned into Apple’s savior, after deciding to leave the royalty rates unchanged.

Apple isn’t the only one to chant victory following this decision, but it is probably the most relieved to see that the royalty rate remains unchanged at 9.1 cents per song. The possibility of the rate reaching 15 cents per songs determined Apple to say that
the deal might not be profitable anymore, which would automatically mean the end of the iTunes Store.

Royalty rates have been constantly increasing over the years, but this year’s proposal was considered to be too much. As the
digital music market continues to grow, the discussions over how the revenue from online music sales should be split become more complicated.

Apple’s global vice president of iTunes suggested in a letter to the Copyright Royalty Board that increased royalty rates will decrease their capacity to invest in the business, and stay competitive: “Apple has repeatedly made it clear that it is in this business to make money, and most likely would not continue to operate iTS if it were no longer possible to do so profitably.”

According to Digital Media Association executive director Jonathan Potter, at such “challenging times” for the music industry, they can be nothing but pleased with the Copyright Royalty Board’s decision to keep royalty rates stable for the next 5 years.

Potter explained in a statement that this will benefit digital services and retailers, in the sense that it will allow them to continue to innovate and develop in the next several years, and this in turn will benefit songwriters, artists, labels and publishers.