On CBS.com: Enter for Chance to Tour Hollywood Set
BNET Business Network:
BNET
TechRepublic
ZDNet

By CNET News.com Staff
Posted on ZDNet News: Jun 7, 2005 5:27:00 PM

Apple Computer's iTunes online music store is as popular as most music-swapping networks, according to a study released Tuesday.

The survey by market research firm NPD Group found that approximately 1.7 million U.S. households downloaded a song from iTunes in March. That was good enough to earn the store a second-place ranking with peer-to-peer downloading service LimeWire.

The most popular digital music service during the month, however, was P2P site WinMX, which was used by 2.1 million households to download music during the month.

"One of the music industry's questions has been, when will paid download stores compete head-to-head with free P2P download services?" Russ Crupnick, president of the NPD Group's music and movies division, said in a statement. "That question has now been answered. iTunes is more popular than nearly any P2P service."

On NPD's list of the top 10 digital music services, iTunes was ranked ahead of file-sharing companies such Kazaa and iMesh. Other paid online music services such as Napster and RealNetworks' RealPlayer store also edged onto the list.

"These (paid) digital download stores appear to have created a compelling and economically viable alternative to illegal file sharing," Crupnick said.

According to NPD, about 4 percent of Internet-enabled households in the nation used a paid music download store in March.

Most of those who prefer legal music download sites are over 30 years of age. But many younger consumers still resort to sharing files over peer-to-peer services, NPD said.

Congress passed legislation to curtail piracy on file-swapping networks in April this year. And the Supreme Court is critically analyzing file swapping and is expected to rule on its legality soon.

SponsoredWhite Papers, Webcasts, and Downloads

  • Talkback
  • Most Recent of 14 Talkback(s)
Yeah, that's the point
Buy cable radio, buy satalite radio or just pay for online subscriptions and surf instead of listent. Then buy the CD or get it from I-tunes.

If you never hear it you never buy it.... (Read the rest)
Posted by: voska Posted on: 06/08/05 You are currently: a Guest | | Terms of Use
iTunes isn't bad  nucrash | 06/07/05
Did intelligent thinking lead to a business model that works?  chrislovesdana | 06/07/05
An some people said couldn't be done  voska | 06/07/05
Subscription sucks for 90% of users!  An_Axe_to_Grind | 06/07/05
Depends what you want  voska | 06/07/05
You so tricky!  An_Axe_to_Grind | 06/08/05
Yeah, that's the point  voska | 06/08/05
This verifies what people have been  Nullifidian | 06/07/05
Know what downloading also allows for  voska | 06/07/05
The really amazing thing is  mlindl | 06/07/05
Both legal and illegal are growing  tic swayback | 06/07/05
They needed a study to know this?  An_Axe_to_Grind | 06/07/05
I'm an addict  TWRX | 06/07/05
iTunes, it is grand champ  FilledOut | 06/08/05

What do you think?

advertisement
Click Here
advertisement

White Papers, Webcasts, and Downloads

SmartPlanet

Click Here