ITunes Sales Falling Horribly
The Register writes that, according to numbers from Forrester, Apple’s iTunes Music Store is seeing abysmal sales, with revenues down 65% since January. Now, while Microsoft fans may love the idea of Apple losing money, that isn’t what this is about: It is about the failure of the digital music store. While iPods continue to sell in huge numbers, songs aren’t selling, for the simple reason that, after consumers have sampled the DRM experience, they go right back to stealing music or buying CDs.
The value of a song from the iTunes Music Store, or any PlaysForSure store, is just barely higher than zero. The songs aren’t guaranteed to work in the future, can’t be easilly (or legally) transferred to alternative or future mediums, and there are always reports of bugs and problems and angry purchasers. It just isn’t worth the money paid for it, and that means consumers just aren’t interested. The subscription model is a good one not on value, but convenience, and the purchase model is not worth it.
This isn’t bad news for Apple, it is bad news for all music stores. This isn’t good news for Microsoft, this is good news for everyone who hates DRM.
(via Slashdot)
*sigh* I’m glad to see this, if it’s actually true. It appeared to me as though it was a ‘rumor’ - not based on all available data. Or at least unconfirmed. It’s not Apple making this claim, anyway.
Now I’ll just need to wait for the “copyright industry” to become extinct. I’d be dancing on their grave (not that I expect THAT to happen, though). Let the indies take over — there are some interesting unexplored business models left anyway.
Comment by Tim | December 13, 2006
Will you celebrate the DRM funeral? I will
Nathan covers the discussion around Forrester research suggesting that while the iPod continues to do well, sales from the Apple iTunes store for music have been slowing down. One reporter, perhaps needing some attention, called it iTunes “collap…
Trackback by Things That ... Make You Go Hmm | December 13, 2006
It’s not entirely the case…
Comment by paul haine | December 14, 2006