CD Prices To Drop

The world’s largest producer of CDs has announced that it will drop the price of the average disc sold in the U.S. by 30% this fall. Universal, which has suffered from a 3-year slump in album sales, will lower the retail price of an average CD from $17-$19 to $13, and lower the wholesale cost from $12.02 to $9.09. The price cut is seen as an acknowledgement by Universal that the problems of the industry go beyond the phenomenon of online piracy, and that consumers are no longer content to pay inflated prices for pop music.