Apple might offer iTunes subscription service

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May 16th, 2005 Leave a comment Visited 96 times, 2 so far today

Apple might offer iTunes subscription service

Napster started it with their To Go Service, which was followed by a massive promotion campaign. Real and Yahoo! followed it with their own subscription based services. However, latest news in is that Apple representatives have claimed that they can move onto a subscription based model for their iTunes digital music online store if they are required to do so to beat the competition.

Analysts predict that the Yahoo! Subscription based music download service would pose a significant problem for the Napster and RealNetworks offerings considering the brand value of the Yahoo! However, Apple has little to be afraid of considering the iTunes and iPod combination still rules the consumer’s heart.

Microsoft Chairman recently claimed that the future is bleak for Apple’s iPod, as the mobile phone based music players would soon rule the scene. However, all the efforts from the competition have till now failed to make any dent in Apple’s bottom line with their sales of the iPod music player.

Apple has reported that they could start offering a subscription-based model for downloading songs from the iTunes by the year’s end if they notice any loss of revenues to these emerging services. This would be to protect the interests of the consumer who have bought iPod. Apple prohibits iPod to play songs downloaded from other online stores. This is a primary reason why they manage to sell a million plus songs from their iTunes music store on a daily basis. iPod is a Hot Seller in the market.

As for the numbers, iTunes accounts for nearly 70% of the market share. Subscription based services account for just 15% of the songs downloaded from the net legally. Apple for the time being shows no slowing down in selling songs and Yahoo! as a potential challenger might have their own share of issues with offering music for download through a subscription-based module.





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6 Comments

  1. #
    Roger
    May 16th, 2005 at 11:49 pm

    Apple would be crazy to jump into the middle of the current subscription price war. I think theyâ??ll just sit back and watch the show, unharmed. I believe apple will become more aggressive with their upcoming cell phone iPod offering â?? Available from Motorola sometime in June. The cell phone media market will be enormous and thatâ??s when the fun will start.

    Reply to this comment
  2. #
    Phantom Poet Graffito
    May 17th, 2005 at 11:57 pm

    Apple iTunes seriously need to enter the subscription fray. Insiders see the Phantom Poet Graffito spraying the spoken spectacular all over China’s Great Wall; its not coming down no time soon. General Steve Jobs know his time is to act now: Why spend time locking ipod users into your own DRM and not following up the swish-jump-shot by making your free throws after that Yahoo-foul; ipod users, no matter how dedicated cannot get through cyberspace without the portals. History has shown us time and time again that people subscribe,join churches,
    gangs and even the police department out of the need to belong to a real family; the subscription is the ultimate cult-commitment. . .

    Reply to this comment
  3. #
    Eric Wenger
    May 25th, 2005 at 9:01 pm

    I love my ipod but as soon as napster started advertising Napster-to-Go I stopped buying iTunes. For the time being, I have gone back to buying used on half.com and ripping my own tunes. If Apple doesn’t have a subscription model out soon I will probably sell it and be done with Apple. My tastes change frequently and I love to listen to all types of music. I can’t do that with purchases.

    Reply to this comment
  4. #
    Phantom Poet Graffito
    May 26th, 2005 at 2:41 am

    Mr. Wenger, there’s so much audio out there to discover. Unfortunately people don’t have the budget to explore and take chances on hearing a whole album just to decide do I really want this thing on my ipod. Its hard not to be an Apple fan; the store’s ease of use purchasing application is pure cream. But I do understand your frustration with iTunes for not adding a subscription service to your owned and purchased ipod; a deeper added value it would be. Maybe you should email Apple as an avid die-hard fan and say, hey–look, guys, if you
    want to stay in the portable device business, you’d better start servicing my investment with the “Sound of Literati”. And Mr. Wenger,
    don’t think for one second the Phantom Poet Graffito don’t want to
    lease your ipod immortal spray to the spoken spectacular. . .Always in business to give the customers what they desire!

    Reply to this comment
  5. #
    Ben Nelson
    June 15th, 2005 at 12:58 am

    I really hope Apple goes to a subscription model. I currently have 3 Ipods in my house, and 2 Macs, however I also have a Zen Micro, a subscription to Yahoo! Music service, and an XP PC. I would love to ditch the Micro and the XP PC, but I’m not paying 1 dollar per song for all songs, and 30 second previews don’t cut it. If Apple would come up with this model, I would be an Apple only customer.

    Reply to this comment
  6. #
    Bob Taglione
    August 19th, 2005 at 9:21 am

    I recently bought an ipod and now i am severly regreting it. I have now realized that ipod’s are not compatible with any of the current subrscription service providers. If apple doesn’t come out with their own subscription, then i’m selling my ipod.

    Reply to this comment

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