Thanks for the news, Netcoco!
Quote:
Originally posted by walktalker
Online music sales to be muted
Online music sales are expected to be weaker than analysts earlier forecast because of overall sluggishness in the industry and lackluster digital services, according to Jupiter Research.
The research firm, however, still expects Net music sales to grow to $3.3 billion in 2008 from less than $1 billion in 2003. Jupiter, which released its updated estimates Monday, said it expects Internet sales to account for just over 25 percent of U.S. music spending by 2008. Sales of CDs over online outlets will remain flat in 2003 at about $750 million, according to the study. "The industry is suffering from competition for entertainment dollars, changing demographics, the end of the CD upgrade cycle, and piracy," Jupiter analyst Lee Black said in a statement. Services such as Apple Computer's iTunes and BuyMusic -- launched last week by Scott Blum, the founder of Internet retailer Buy.com -- have created some new buzz for digital download services by offering songs from major labels and independent recording companies.
http://news.com.com/2100-1027-5056020.html?tag=nl
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Jupiter's earlier forecasts 1-2 years ago sounded more like industrial pipe dreams already then... Now the figures are a bit more realistic but Jupiter still seems to have a lot of trust in the industry's capability to adapt to the challenges of P2P.... I wouldn't count on it.... "Overall sluggishness in the industry" is a nice way of saying that we have a relatively clueless industry that stubbornly refuses to change its outdated business model, choosing to scare and bully its customers instead...
- tg
