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Music phones to capture 30% of market in 2011

Posted on Friday, December 07 2007 @ 07:40:08 CET by

A study by Understanding & Solutions found that music phones will increasingly become the favoured device to listen to music. This year music phones only have a marketshare of 13% of the global recorded music retail value but the firm claims this will increase to almost 30% in 2011:
By then, according to research by Dunstable-based Understanding & Solutions mobile music will be worth some $11 billion.

“Alongside online, mobile music is essential to the future of the music industry,” says Understanding & Solutions Consultant, David Sidebottom.

“Looking to emerging markets, mobile could become the number one platform for music, where packaged CDs haven’t gained traction due to piracy and lack of hardware ownership.”

Japan and the USA are the most sophisticted mobile music markets. Both have a concentrated operator base and a large pool of potential subscribers, providing economies of scale for the music companies.

“In the fragmented European market, some operators have become less aggressive," said Sidebottom. "They can’t make money directly from selling full track downloads, but this will pave the way for ‘off-portal’ and third party service providers.”
Source: The Inq



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