MUSIC LISTENERS are moving away from downloading tracks just as they did from buying CDs, according to the beancounters at ABI Research.
The analyst firm found that growth in the use of smartphones, for example, is driving users to cloud based services. It predicted that with increasing use, by 2016 streaming services will become a more important form of music access than actually owning music.
"The number of subscribers to mobile music streaming services is expected to approach 5.9 million by the end of this year," said industry analyst Aapo Markkanen. "ABI Research believes that number will exceed 161 million subscribers in 2016, meaning a compound annual growth rate of nearly 95 per cent. Sometime in 2012 the Asia-Pacific area will become the largest regional market for mobile music streaming."
Consumers will benefit the most, the company added, as vendors and rights holders bend to the new model and make their content available in the face of falling sales of recorded music.
Retail prices are also expected to fall as services reach mass-market scales, and ABI practice director Neil Strother added, "Declining prices are based on the assumption that the rights-holders will lower their royalty demands. Record labels and collecting societies should not overplay their hands when it comes to royalty issues."
Strother said that if firms do not improve their services and charges, consumers will vote with their fingers and get their content elsewhere.
"If consumers do not have convenient and affordable legal alternatives, they will simply enjoy their music by other means."
Bad news for record shops. µ
Tags: Internet
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On March 19 the Moon will be at its closest point to Earth in 18 years: 356,577 kilometers, according to the perigee and apogee calculator. Naturally, this means that WE ARE ALL GOING TO DIE in a clusterfuck of mad hurricanes, raging volcanos, furious tsunamis and mad earthquakes...Picture Cloud Tonight: Moon River & i....
facebook is ?Cloud, theINq Is Cloud. Cloud vondrashek, Golden Angelic CLOUDS.
It's not so much a trend for streaming, but for "all you can eat" services. Streaming is simply a new, improved form of DRM.
ONE WAY TO LOOK AT CLOUD COMPUTING IS THAT IN ORDER TO USE IT, YOU HAVE TO GIVE UP CONTROL TO SOME ENTITY ELSE THAT REALLY DOESN'T HAVE YOUR INTERESTS IN MIND. GOOGLE AND FACEBOOK AND OTHER MONSTER COMPANIES TAKE YOUR INFO AND IF THEY DON'T LOSE IT OR DELETE IT AND THE SERVICE IS STILL RUNNING AND YOUR ACCOUNT ISN'T DELETED SUSPENDED OR LIMITED, OH AND IF WIRELESS ACCESS HASN'T BROKEN, ONLY IF ALL THOSE STARS ALIGN SIMULTANEOUSLY CAN YOU HAVE ACCESS TO YOUR OWN PROPERTY.
ITS RIDICULOUS, ACTUALLY. PHYSICAL STORAGE MEDIA IS SO INCREDIBLY CHEAP AND CONVENIENT, WHAT COULD POSSIBLY BE THE ATTRACTION OF CLOUD SERVICES OVER PHYSICAL CONTROL OF MY OWN INFO AND DEVICES AND SOFTWARE?
CLOUDS, GO EVAPORATE YOURSELVES!
I disagree that this will happen quickly in the United States. President Obama is working with the US Chamber of Commerce to pass a law to make unlicensed streaming a felony...often carrying mandatory jail. This is much more onerous than even the current DCMA.
You mean like Grooveshark which has been around at least 2 years and is free.