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Apple: Game, Set and Match? Analysing the Company’s Music Business

Published by: Generator Research Limited

Published: May. 8, 2006 - 18 Pages


Table of Contents



iPod Forecast

Background

Modelling Approach

Scenario 1

Scenario 2

iTunes Forecast

Benchmark: The CD

Total Market Size

Apple’s Market Share

Summary

Some Big Numbers

What Does it All Mean?

Annexe

Data Roundup

Abstract

  • Revenue Projections
  • iTunes and iPods
  • WiPods & Hi-Fi Products
  • iPod vs Walkman
  • Market Scenarios
  • Data Roundup
How long can Apple maintain its vice-like grip on the market?

Many senior people in the industry are seriously concerned that we are now witnessing the emergence of an 'ebay' of digital media: a global category leader whose market momentum is such that even well-funded rivals are privately admitting defeat.

But others laugh at such a suggestion, observing that digital downloads still only account for about 5% of industry sales and it is way too premature to be making such a call.

So which view is closest to the truth?

This report aims to answer this question by reviewing Apple's approach to the market so far and assessing the company's options for the future as well as those of rivals and others in the value chain.

The report contains a revenue forecast for the Apple's digital music business from 2006 to 2010, including both devices and music downloads.

A scenario-based approach is employed to illustrate several different market 'worlds' which vividly illustrate what the future might hold.

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