Digital Music Market To Approach $14.9 Billion By 2010 — iSuppli

EMS Now: Analyst iSuppli has predicted that the worldwide digital music market (mobile and broadband) will reach $14.9 billion in revenue by 2010 from $2.7 billion by 2005, a compound annual growth rate of 40.7%. “Meanwhile, the market for physically distributed music, i.e. music CDs, will decline to $19.6 billion by 2010, down from $27.3 billion in 2005.” The revenue between broadband and mobile wasn’t broken down.
There’s also some predictions of trends:
— The emerging competitive battle between mobile and broadband music services.
— Mobile/cellular music’s generation of new revenue streams, as well as comparatively lower piracy risk and new forms of music derivatives.
— The strong expansion of broadband music revenue in North America, and the nascent growth in Europe and Japan.
— The vertical integration of the music playback devices, software and online stores, as more competitors mimic Apple’s successful iTunes/iPod model.
— The rising number of mobile music track downloads and the increasing sales of music-enabled phones as a competitive threat to broadband music and standalone MP3 players. Music-enabled phones already out-ship MP3 players by a factor of more than 2 to 1.

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