Mobile Phones, and their role in our lives is in middle of change. One emerging area of use for mobile phones is as jukeboxes/MP3 player. Never mind the N-Gage, for this is going to be a truly large market according to A.T. Kearny, a respectable consultant group.
bq. Mobile phone operators could claim 20 to 30 percent of all music sales by 2006 by introducing music downloads as network and handset technology improves, according to new analysis from global management consulting firm A.T. Kearney. Mobile operators are already among the winners in the music business and have found a way to make a profit. Ring tone downloads account for nearly six percent of current music sales, a higher percentage of sales than CD singles. In addition, ring tones were downloaded five times more frequently than music downloads over the Internet in 2003.
The biggest problem right now is the time it takes to download. However the higher speed networks would lick that problem. “Music companies act as if they still were record companies,” said Martin Fabel, a principal in A.T. Kearney’s media practice. “The industry is not yet prepared for selling digital content instead of a physical product like an album consisting of a cover, a disc and a booklet. Consumers might not be interested in some songs on an album, but they have to buy them anyway.”