Chin Wong asks “Why does Apple mistrust Asia?” His answer:
Intended or not, Apple’s decision to withhold the online sale of music and movies in this part of the world is an insult to people who buy its products. The red line tells us you think of us all as digital pirates, unworthy of trust. This is the stark truth that your people dance around whenever we ask them why Apple doesn’t sell music here.
So, is Apple worried that piracy syndicates in this part of the world will start downloading songs for 99 cents apiece and start selling them for 10 cents or burn them on CDs to sell in Third World markets? But that’s happening already, even without iTunes.
Personally I think it is more than just the piracy issue. I think that it is more that Philippines (as well as other Asian countries) is high on the list of credit-card fraud. As long as I have a US-based credit card, I can download music from iTunes, even if I am doing it from Manila. Chin is right and I believe Apple knows this as well—piracy and intellectual property violations will happen with or without iTunes.