Ok, maybe SOME Record Companies are idiots
 

http://www.reuters.com/article/techn...technologyNews

Oh this is brilliant. Brilliantly stupid.

One new song, one old song, a remix, and a ring tone for $6-$7?

The Ringle Fever's Catching!

Sources suggest the ringle will carry either a $5.98 or $6.98 list price, while the wholesale cost to retailers will be less than $4. If it's $5.98, ringles will have a 31 percent gross margin, shy of the 35 percent profit margin that CD albums carry nowadays; if it's $6.98, that would give retail a 42.7 percent gross margin, similar to the profit margin cassette and vinyl albums enjoyed back in the day.

This will be a flop of DIVX proportions.