Apple’s Monopolistic Behavior

I just bought a brand new iPod Classic 160GB because I had completely filled up my old 80GB one with music.  I am a big fan of the iPod because I am a big fan of having my immodest music collection with me wherever I may be.

So I plugged my new iPod into my computer to register the product to activate my warranty coverage.  So imagine my horror when, instead of being taken to a product registration page, I was taken to the iTunes Store.  Devilishly, the iTunes Store refused to let me pass to the next screen until I provided my full credit card information!  I consider this to be despicable monopolistic and unethical capitalistic behavior on the part of Apple.  Why?

• First, the bait and switch.  I answered in the affirmative that I wanted to ‘register’ my new iPod and instead was taken to iTunes to register the real product: me and my demographic information.  It used to be that my e-mail address and serial number were enough.  Now a full fledged profile of me can be created by collecting my credit card information.  I consider this to be a violation of my privacy.  Can you think of any other product where you have to provide your credit card information in order to register the product that you have already bought?  Gross.
• Second, “the first one’s free.”  I have no interest in the iTunes Store, really.  There are probably many other people in a similar situation as me whose power of resistance is less than mine.  Apple is betting that folks will eventually be curious about the Store and when that time comes, purchasing something there is “just a click away.”  Imagine walking into a new store for the first time and they already have your credit card information and a sales person walked up to you and proceeded to try and sell you something.  I think that we would all be furious.
• Third, this sets a precedent for future generations.  While I think you would agree with me that Apple’s behavior is past the bounds of good taste, imagine a kid who gets their first credit card.  Given Apple’s huge popularity with youth culture it’s very likely that one of the first places that credit card information is handed out is at the iTunes Store.  How long until other companies follow suit?  By the time my step-kid, now 20, is my age, 41, this may just be “business as usual.”  But I consider this to be “business very unusual.”
• Fourth, what if Apple suffers a security breach and all of that credit card data from product registration is used for illegal purchases, or worse, identity theft?  Sigh.

How can Apple get away with this?  I have no idea, but apparently every day they do get away with it.  When a company starts displaying hubris of this sort it makes me take a closer look and it makes me look for alternative products and alternative investments.  I know that this blog missive probably rings hollow.  After all, Apple is The Most Beloved Company of All Time – but its incidents like this that often lead to arrogance, then to customer disappointment and corporate malfeasance, then to disaster.  Regardless of whether that happens or not: shame on you, Apple.

Jason