Because Apple and it’s iPod + iTunes combo control so much of the online music business, many record execs are hoping that a strong enough iPod competitor will emerge and take some market share away, according to this Reuters article. Execs would like “more flexibility on track pricing and promotions” and “to see the iPod become interoperable with music services other than iTunes” but because the iPod is so dominant in the portable music industry, they are often able to control the shots, more so than the execs would like.
Corante has a great article that discusses Apple’s dominance and how it conflicts with how music execs feel.