Microsoft to Pay Universal for Every Zune Sold

Yinka Adegoke, reporting for Reuters:

Microsoft Corp. has agreed to pay Universal Music Group a fee for each new Zune digital music player it sells when the iPod rival launches next week, the companies said on Thursday.

I don’t get it. Why would Microsoft do this?

Update: Reader Conrad Gempf suggests the following:

If I were Steve Jobs, I’d call Universal today and say “We’ll take you up on exactly the same deal as Microsoft has. Apple too will pay you $1 for every Microsoft Zune sold.”

β˜… Thursday, 9 November 2006

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