Issue 2: Is 99-Cents the Correct A-La-Carte Price Point?

More focus on pricing, as the 99-cent price point is being cast in a new light next to master ringtone stickers that could come in as high as $2.50.

To most, the question was irrelevant, as the main issue is the need for major record labels to completely overhaul their business models. Eric de Fontenay favored a flat-pricing scheme instead of a-la-carte systems, pointing to the explosive success of other companies that made similar transitions (AOL, long distance phone companies). “Competing with free” choices from P2P networks was a repeated concern, though de Fontenay correctly noted that services like Kazaa offer much greater selection in addition to free pricing. Services like MusicNet and iTunes are simply not on equal footing.