Jupiter Research: iPod/iTunes Combo an Advantage for Apple

The Guardian (UK) has published an article looking at the battle between Apple and everyone else in the online music download business. The article particularly focuses on Microsoft’s new Windows Media Player 10 software, which among other things allows Windows users to take their rented music with them on portable media players. The article quotes Mark Mulligan of Jupiter Research as saying that the lack of an integrated hardware music player — like Apple has with its iPod and iTunes Music Store (iTMS) — will be a handicap for Apple’s competitors. From the article:



"Someday, people might be able to download a new track, and also get a music video, interview with an artist or concert footage. While there will continue to be a strong market for audioonly devices, it’s this kind of innovation that will offer consumers choice and take online music to the next level."


All of which is fine and dandy, except that there are already portable music devices out there and since WMP10 isn’t out yet [it’s available as a preview release] it’s pretty clear that they haven’t needed it yet.


Mark Mulligan, analyst with Jupiter Research, believes Microsoft may be disadvantaged in this area because Apple already has the market lead with its iPod product. "Normally when there’s anything to do with digital media you’d expect Microsoft to be the key driver in the market but they’ve been slightly late to market this time. At the moment the defining company is Apple and iTunes." In fact, believes Mulligan, the iPod is leading the digital music market as much as the iTunes store. If this pattern continues then people like Napster, who provide the online music store only, could have something of a problem.



There is much more information in the full article at the Guardian‘s Web site.

The Mac Observer Spin:

This debate began with many people feeling that Apple’s decision to tie iTunes Music Store downloads to the iPod (and up to five computers) was going to be a problem for Apple because of the huge array of competing devices and services using Microsoft’s Windows Media Player technology. Now it seems that more people, particularly analysts, are saying that Apple has the advantage simply because iTunes and iPod are tied together.


That’s a major shift in perception in only a few months, but one that has been fueled in part from the proof lying in the pudding: iPod continues to gain market share, while iTunes remains the undisputed champ of downloads.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.