It's the register, they hate DRM and the itunes store for using it. So of course they're going to spin it as doom and gloom.
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iTunes Store Seeing Revenue Crunch?
- Thread starter caccamolle
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It's the register, they hate DRM and the itunes store for using it. So of course they're going to spin it as doom and gloom.
Well, the iTunes store has been around for more than a "few months," so we would have seen the effect you're describing a long time ago. And besides, Apple is still selling millions of iPods, so the number of new iTunes store customers should be replenishing itself.
Guess we'll need to wait until Macworld to find out iTunes sales numbers. Steve always announces them as part of his keynote (in the rosiest way possible, of course).
Going for the iPod tax.
I really suspect that there is going to be a great push this year to demonstrate the need for Media Players to have and pay a sold called "Piracy Tax" upfront on each player sold.
Microsoft has led the way with a paltry $1 per Zune sold to be given to Universal. Now the studios are going to drum up any research they can to show the need to collect their royalties upfront.
It's going to be interesting. Will Apple cave and add $20.00 to every iPod in this naked money grab by the studios?
Does anyone doubt who commissioned this study by Neilson?
I really suspect that there is going to be a great push this year to demonstrate the need for Media Players to have and pay a sold called "Piracy Tax" upfront on each player sold.
Microsoft has led the way with a paltry $1 per Zune sold to be given to Universal. Now the studios are going to drum up any research they can to show the need to collect their royalties upfront.
It's going to be interesting. Will Apple cave and add $20.00 to every iPod in this naked money grab by the studios?
Does anyone doubt who commissioned this study by Neilson?
True but if the goal i to compare this quarter sales with last quarter's sales and all yu want is a ratio. So you can say "They sold only 80% as much stuff this year as last. Then you could track just PayPal and ignore Visa cards and pre-paid gift cards. As long as you can assume that proportion of payPay to credit card to gift card remains constant looking at only one component is valid.
I guess I am unusual. Have about 8000 CDs and my 80GB iPod is full with about 19,500 songs. I love to have a huge collection to leave at my studio where I work or have a plethora of tunes with me when I travel.
Wait a minute, financial researcher/analysts overreacting?? That's crazy, that never happens! Especially with a stable company like Apple. Why it's as solid a buy as good old American car manufacturer stocks...er...*cough*...
JFC, MacRumors and Appleinsider have been wearing out the question mark key in their latest headlines.
iTunes Store Seeing Revenue Crunch?
Aqua To See Leopard Refresh?
iPhone not at Macworld Expo San Francisco 2007?
Public Beta of Adobe Creative Suite 3?
Three New iPod Models in 2007?
16GB Flash-based iPod Video Player?
Please find alternative ways to write a headline.
iTunes Store Seeing Revenue Crunch?
Aqua To See Leopard Refresh?
iPhone not at Macworld Expo San Francisco 2007?
Public Beta of Adobe Creative Suite 3?
Three New iPod Models in 2007?
16GB Flash-based iPod Video Player?
Please find alternative ways to write a headline.
You'd be very surprised. Quite a few parents buy their kids iTune giftcards. You can buy them everywhere (I see them at the checkout line next to gum at my food store) and you can also cash spare change in to buy them. So if you're a kid without a credit card the easist way to buy music is with iTune gift cards.
Also don't forget allowance accounts too.
It might be BitTorrent's effects as well - after music libraries hit a critical mass, folks are uploading them and downloading new music from other people's libraries. The general filesharing mindset seems to be "it all washes out in the end," so even if someone paid for the music in their library that they're uploading, they won't have to pay for new music they're downloading.
I want to say that Apple's DRM is also to blame here too, but I don't think it could have *that* big of an impact on the market. This is based on the assumption that the average music listener wants to hear songs on their computers and iPods, and that's about it - only the Geeks stress over file portability, and that's not a big market.
I want to say that Apple's DRM is also to blame here too, but I don't think it could have *that* big of an impact on the market. This is based on the assumption that the average music listener wants to hear songs on their computers and iPods, and that's about it - only the Geeks stress over file portability, and that's not a big market.
It's the register, they hate DRM and the itunes store for using it. So of course they're going to spin it as doom and gloom.
Yeah... My second insightful/brilliant lost post questioned those who rail against DRM schemes just cuz they can.
It's not that hard to burn iTunes purchased media to CD/DVD and re-rip them to lose the DRM. Sure, an extra step and a pain in the ass if you're pirating music, but I'm not bootlegging any music/videos/movies so it isn't a big problem if I want to be able to play my iTunes store music on another device.
If the Register had Intellectual Property they wished to protect, you can bet their IP would be wrapped in layer upon layer of DRM.
And, Apple's DRM is more than fair in my book for "Fair-Use," etc...
DRM revolt
It was only a matter of time before society rejects DRM. My hunch, is that
illegal file sharing is on the rise. Brace yourself for the Ipod(MP3 player) tax.
It was only a matter of time before society rejects DRM. My hunch, is that
illegal file sharing is on the rise. Brace yourself for the Ipod(MP3 player) tax.
Uh oh..... I bought Fergilicious.... I have this cheesy, crappy music Dark Side.
I also bought Paris Hilton's "If you think I'm Sexy..."
Although, no one complains when it comes up on a mix
Not being a jerk - at least I hope not - but please explain why you think this is so. See my post above.
Aren't inddividuals entitled to protect their IP? (while allowing for reasonable fair use by conumers)
There was an interesting squib in yesterday's NY Times that said the average number of songs sold per ipod sold has remained flat at about 22 per ipod. The point of the number was that people weren't continuing to buy music for their ipods, whereas one would expect that as people have them longer they continue to add music (of course, maybe they're buying more ipods too). It also ran near a story on the demise of Tower Records.
It's interesting because I think the problem this poster notes is true--people feel music is less worth buying. But I think that goes to a larger problem--marketing. It seems much harder to market new music now than in the past. People don't listen to the radio, they listen to ipods. People don't go to music stores that advertise new music, and maybe even play it. As great as it is to have a huge database of music on iTunes, I simply don't care to "browse" the store like I used to browse tower records or other music stores (Newbury Comics, anyone?). Maybe I'm alone on this, or maybe it's a big problem.
Down With Drm!
Get rid of the DRM and I will start buying music/videos/movies from iTunes. Until then the recording industry and iTunes Store can take a hike. And it's not that I want to share my files illegaly. I just don't want to pay for something that needs to be "unlocked" in order to use (listen/watch) it.
Get rid of the DRM and I will start buying music/videos/movies from iTunes. Until then the recording industry and iTunes Store can take a hike. And it's not that I want to share my files illegaly. I just don't want to pay for something that needs to be "unlocked" in order to use (listen/watch) it.
It's not even that clear, the drop in growth looks more like 50% (via SoundScan).
The Forrester numbers would only make sense if some other download service has miraculously grabbed a huge chunk of market share from iTS.
Apple needs another giveaway to drum up sales
For the last few months I have been buying my music with gift cards (I have them emailed from the store to myself). I got sick of marking down all those .99 purchases in my bank records. With the gift card I just have to mark down one $10 item. I have also noticed that my music purchasing has slowed greatly... the holidays tend to peak my interest in music again but might not be so true this year, not with a Wii under my tree
For the last few months I have been buying my music with gift cards (I have them emailed from the store to myself). I got sick of marking down all those .99 purchases in my bank records. With the gift card I just have to mark down one $10 item. I have also noticed that my music purchasing has slowed greatly... the holidays tend to peak my interest in music again but might not be so true this year, not with a Wii under my tree
DRM is here to stay. Expect it to get much tighter in the future. That's the way technology is going.
With HDMI being the defacto standard in all high end home audio/video equipment, bringing with it HDCP. It's only a matter of time.
And then as bandwith increases, so will online music and video streaming. Just think in the future all of your entertainment will be sitting on a fast server somewhere, safe and secure. When you're in a hotel room in Japan, all you have to do is plug the HDMI cable from your computer to the TV, login to iTunes and presto all of your content will be available to you on demand.
Ouch could be, looks like a good time to load up AAPL before MWSF '07.
Actually, I think it's good time to short AAPL
At almost 40 P/E ratio (and no dividends
), there are too much of "good stuff in the future" in the stock price already
We don't have enogh detailed information. The study could be completly flawed for all I know. I like to see where he got the receipts from, what that place represents of the entire credit card industry, how he identified the proper transactions, etc. He also did not state if he conducted the same exact study a year ago using the same exact source and the same exact rules.
As for me I buy a few songs a year mainly when making a home movie and I want the right music for the scene. I prefer getting CD and ripping to iTunes for regular music. If anything happens to my computer or iPod, I still have the CD and can re-do the Rip. Besides the CD does not have DRM so as times changes if I want to move to non-iPod handhelds I do have the option.
As for me I buy a few songs a year mainly when making a home movie and I want the right music for the scene. I prefer getting CD and ripping to iTunes for regular music. If anything happens to my computer or iPod, I still have the CD and can re-do the Rip. Besides the CD does not have DRM so as times changes if I want to move to non-iPod handhelds I do have the option.
Industry correction inevitable
This story is extremely misleading as this "drop" is not in market share, but rather a reflection of the fact that the media buying public will eventually hit a saturation point in which buyers will only purchase new music or the occasional blast from the past. That is why Apple continues to search for more services to offer with iTunes (movies, TV shows, music videos, the rumored iPhone coming out hopefully with iLife and .Mac integration, games for the iPod, a rumored gaming system, etc). I would be extremely surprised if the braintrust at Apple did not see this coming. It is a market correction, nothing more. All media offerers will see the same correction, and Apple will still have its same dominance I believe.
This story is extremely misleading as this "drop" is not in market share, but rather a reflection of the fact that the media buying public will eventually hit a saturation point in which buyers will only purchase new music or the occasional blast from the past. That is why Apple continues to search for more services to offer with iTunes (movies, TV shows, music videos, the rumored iPhone coming out hopefully with iLife and .Mac integration, games for the iPod, a rumored gaming system, etc). I would be extremely surprised if the braintrust at Apple did not see this coming. It is a market correction, nothing more. All media offerers will see the same correction, and Apple will still have its same dominance I believe.