iTunes Finds New Way to Make Money From Music, Donate to Charity

iTunes is supporting the big American Idol charity event, called Idol Gives Back, by donating net proceeds from the download of each song performance from the broadcast to charity.

It’s plainly obvious if you watch reality TV contest American Idol that the program is partnered with Apple. Not only are there Apple commercials between segments, but viewers are constantly reminded that they can purchase song performances via iTunes, and even the iPhone is often “plugged” by the host during regular show dialogue. As we reported back in February, every American Idol song performance is later available on iTunes for download and purchase.

The music industry has slowly been looking to other methods of generating revenue given the ongoing decrease in CD sales and subsequent increase in online downloading, much of which is still via illegal peer-to-peer Websites. The iTunes partnership with American Idol, a show with a massive audience, many of which are young teens and tweens, is a smart move that leverages the popularity of the show to provide unique digital content for fans.

With the 2.5 hour Idol Gives Back fundraising event, which aired on Tuesday, April 9, proceeds from song and video downloads will be donated to a charity that “will help children and young people in need in the U.S. and around the world.” Idol Gives Back songs are available for $0.99 each, while full video performances can be downloaded for $2.29 each.

The special show features performances from well-known artists like Mariah Carey, Fergie, John Legend, Annie Lennox, Gloria Estefen, and “teen queen” Miley Cyrus (daughter of the 80s country one-hit-wonder Billy Ray Cyrus). Even TV actress Teri Hatcher took a stab at singing Carrie Underwood’s smash country hit Before He Cheats. Video of Daughtry, who’s lead singer was a former contestant on Idol and came in fourth place, performing the song What About Now from Uganda is also available for download; as is the performance by all top-eight performers including the songs Don’t Stop the Music, Shout to the Lord, and Seasons of Love.

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