Apple wins right to use apple on iTunes

Apple Corps, which represents The Beatles, tried to stop Apple Computer from using its apple logo on iTunes.  Apple Corps filed suit in England charging that Apple Computer had violated a 1991 settlement agreement, according to an AP report this morning. 

In 1991 Apple Computer paid Apple Corps $26.5 million to settle a logo dispute.  At that time, Apple won the right to use the Apple logo on the Mac line of computers as long as it was only capable of editing and playing music, but not creating it.

When iTunes took off in 2003, Apple Corps filed suite claiming that Apple Computer broke its 1991 agreement.  U.K. Judge Edward Mann sided with Apple Computer and said that the Apple logo on iTunes was being used in conjunction with a store and not music, so it didn't violate the 1991 agreement.  Splitting hairs, but Apple computer won anyway.

AP reports that some analysts believe the case could have far-reaching ramifications throughout the media industry.  The entire landscape for downloading music and video content is changing since Apple launched iTunes.  Mark Stahlman, an analyst with Caris and Co. told AP, "When Steve Jobs first went to the record companies with the idea of selling music online, it was an easy sell because he was willing to take all the risk.  That situation has radically changed."

No kidding.  Apple changed the world with iTunes.  It's power in the field became clear when it negotiated to keep the price for a tune under a buck.

(Photo Credit: Sang Tan, AP)