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How can Microsoft afford to sell unlimited music rental Zune Pass for $15 dollars while Apple sells $1 songs?

Question by Chandler: How can Microsoft afford to sell unlimited music rental Zune Pass for dollars while Apple sells songs?
Microsoft sells their Zune pass for $ 15 for unlimited downloads to your portable music player. You don’t actually own these songs, you can just listen to them. You do get to keep 10 songs at the end of each month.

Apple sells songs for an average of $ 1.00 per song through their iTunes store. Why is this price so much higher? I lack an understanding about music royalties or fees or anything of that nature, but is mind boggling to me to think that there is such a huge difference between “renting” music and buying it.

Over the course of millions of songs, someone is either making a ton of money, or getting screwed out of a lot of money. Who is it? Does anyone have some FACTUAL evidence or legal experience with the difference between these two?

Best answer:

Answer by warble
1. When you get music through Microsoft you dont actually own the music, it will only work on certain devices, and you cant put it on your ipod, etc.

2. Apple is making alot of money.

Know better? Leave your own answer in the comments!