iPod Dominance Set To Continue — JupiterResearch


JupiterResearch has issued a report saying that the iPod will continue to dominate the mobile music market, at least for the next few years. This is based on the fact that phones have a lot of other multimedia services (video, megapixel cameras, games, and of course wireless connection) which creates a huge drain on the battery power. And since most people consider size to be one of the most important aspects of a mobile phone, just putting in a bigger battery isn’t the answer. “The upshot of all this is that mobile operators are wasting their time pursuing a mobile music strategy. Barriers such as music licences, positioning of tru music ringtones, and limited storage capacity on handsets, further hampers manufacturers.” I don’t think it should be considered a waste of time (or more importantly, investment dollars), because carriers are not looking to replace the iPod. They’re not looking to dominate the mobile music industry. They’re looking to get incremental revenue by providing new services to their customers.
That being said, manufacturers are looking to dominate the portable MP3 player industry, and Nokia for one disagrees with JupiterResearch. The handset manufacturing giant aims to sell 80 million music devices this year. This dwarfs the sale of iPods (8.7 million last quarter), but they’re not really competing for the same market, which Nokia happily recognizes.

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