Only 5% of iPod Music from iTunes
Filed in archive Analysis by Marc on September 29, 2006
. Furthermore 83% of users do not buy digital music on a regular basis. Jupiter said there is no easy way to separate user segments. "Digital music buyers do not necessarily stop file-sharing upon buying legally." On the plus side, MP3 player owners are more likely to buy more music.
The study makes it clear that authorized services like iTunes only tap a small part of user demand for music. The major labels need to be more innovative about both pricing and distribution if they are to generate higher revenues.
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