MUDFLAPPER Paying $.99 isn't a big deal either. Apple would probably give the service away for free if the labels didn't demand a cut of every track (in every format) that they sell.
When you purchase a song from iTunes, you're not purchasing the actual song. You're purchasing the right to play that song on your computer and your iPod. That's it.
Legally, we're allowed to make one backup copy of any song, I believe. Converting it to a ringtone qualifies as a completely different usage, so the labels want their dough.
Apple isn't turning into Microsoft. They're just abiding the laws.
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