Blog Post

The State of Global Digital Music Market: Sales Cross $1.1 Billion

The International Federation of the Phonographic Industry (IFPI) has come out with a very detailed report on the state of the digital and mobile music industry and 2005 figures. Too detailed to summarize, but some topline numbers:

— Digital & mobile sales of $1.1 billion for record companies – up from $380 million the previous year, and making up 6 percent of all music sales.

— Users downloaded 420 million single tracks from legal sites – twenty times more than two years earlier – while the volume of music licensed by record companies doubled to over 2 million songs.

— The number of users of subscription services, such as Rhapsody and Napster, increased from 1.5 to 2.8 million globally in 2005.

— In U.S., single downloads doubled year-on-year to 353 million units in 2005. Album downloads rose to 16 million and accounted for nearly 3 percent of the total U.S. album market.

— In UK and Germany, research indicates more music fans are legally downloading music than illegally file-swapping (though I find that hard to believe)

— Mobile music now accounts for approximately 40% of record company digital revenues.

— Last year global consumers bought over 60 million portable digital mobile players, worth an estimated $9 billion.

— 20 million digital tracks were bought in the week after Christmas in U.S.

— Globally, there are now more than 335 legal download sites, up from 50 two years ago.

The full 24-page report is available for download here (PDF file) and a lot of related facts and figures are linked from the release page