iTunes Strengthens Its Lead in Music Sales

According to Billboard, iTunes’ share of all US music sales for 2009 was at 26%, up more than 5% from 2008. This gives it an even bigger lead over the number 2 seller, Walmart (iTunes knocked Walmart out of the top spot in 2008). Walmart’s sales are now at 12.5%, down from 15%. Walmart and Best Buy combined don’t add up to iTunes’ share.

One factor in this, obviously, is the shift away from physical formats like CDs. In 2009, all digital sales accounted for 50.7% of music sales (up from 42.5% in 2008). If the other music download companies don’t get a major share of new accounts, Apple will completely dominate the music industry like no one else ever has. In a few more years digital sales will be the sales that matter, and iTunes accounts for more of those than all other companies combined.

Fritz Sennheiser Dies

Prof. Dr. Fritz Sennheiser, founder of Sennheiser and one of the true pioneers of audio, died Monday at 98 years of age.

Late during the evening of 17 May 2010, only a few days after his 98th birthday, Prof. Dr.-Ing. Fritz Sennheiser, audio pioneer and founder of today’s Sennheiser electronic GmbH & Co. KG, passed away. The audio industry has lost a huge figure, not only in terms of his technical expertise but also in terms of his humanity.

Through his company Prof. Dr. Fritz Sennheiser had a crucial influence on the development of sound transmission technologies and was instrumental in forging many ground-breaking developments in electroacoustics and transmission technologies. Under his guidance the first shotgun microphones and open headphones were created and he oversaw important developments in wireless radio and infra-red transmission. It was completely natural for Fritz Sennheiser to give his developers the “creative and technical freedom” they required. His humanity also shone through when – considering the significant workload involved in running an expanding company – he took time to share his knowledge with students, inspiring them with an enthusiasm for audio technology. In 1982 he retired from the management of the company, handing over to his son, Prof. Dr. sc. techn. Jörg Sennheiser.

Fritz Sennheiser continued to take a vivid interest in the company he founded in summer 1945. His enthusiasm for audio technology, his creative curiosity, coupled with a modesty that is all too rare these days, his self-discipline, sincerity and generosity in his dealings with people, will remain an example to follow for all those who knew him.

The history of the European audio industry will forever remain inextricably linked with the name of Fritz Sennheiser.

The Sennheiser Group, with its headquarters in Wedemark near Hanover, Germany, is one of the world’s leading manufacturers of microphones, headphones and wireless transmission systems. The family-owned company, which was established in 1945, recorded sales of over €385 million in 2008. Sennheiser employs over 2,100 people worldwide, around 55% of whom are in Germany. Sennheiser has manufacturing plants in Germany, Ireland and the USA, and is represented worldwide by subsidiaries in France, Great Britain, Belgium, the Netherlands, Germany, Denmark (Nordic), Russia, Hong Kong, India, Singapore, Japan, China, Canada, Mexico and the USA, as well as by long-term trading partners in many other countries. Also part of the Sennheiser Group are Georg Neumann GmbH, Berlin (studio microphones) and the joint venture Sennheiser Communications A/S (headsets for PCs, offices and call centres).

You can find all the latest information on Sennheiser by visiting our website at www.sennheiser.com

[via sennheiserusa.com]

All CDs from Universal to be cut to under $10

If they did this a year or two ago, I’d say it’s long overdue. Now, it just seems like a desperate move to save a dying format. Universal says it’s a test, and they’re calling it the Velocity program. All CDs will be priced somewhere between $6 and $10, which is a pretty big price drop from the $10 to $12 usually seen in stores. There’s a chance that the lower prices will increase sales enough that they make significantly more money, but it’s basically just life support for the format. Expect the other major labels to do the same if it works, making physical media less expensive than digital!

New Star-Studded Vampire Weekend Video

Vampire Weekend are on top the world right now. Their sophomore album Contra debuted number 1 on the Billboard 200 album chart (Their self-titled debut peaked at number 17). And now, they bring us a video for “Giving Up The Gun” directed by the Malloys (Jonas Brothers, Weezer, N.E.R.D., White Stripes). The video boasts appearances by RZA, Joe Jonas, Lil Jon, and a drunk Jake Gyllenhaal.

Check out the video below:

[vimeo]http://vimeo.com/9580833[/vimeo]

Microsoft Knew Apple “Smoked” Them With iTunes

Internal Microsoft e-mails in 2003 show that they knew Apple had beaten them to the punch in digital music services with the release of iTunes.

—– Original Message —–
From: Bill Gates
Sent: Wed 4/30/2003 10:46 PM
To: Amir Majidimehr; Dave Fester
Cc: Will Poole; Christopher Payne; Yusuf Mehdi; David Cole; Hank Vigil
Subject: Apple’s Jobs again.., and time to have a great Windows download service…

Steve Jobs ability to focus in on a few things that count, get people who get user interface right and market things as revolutionary are amazing things.

This time somehow he has applied his talents in getting a better Licensing deal than anyone else has gotten for music.

This is very strange to me. The music companies own operations offer a service that is truly unfriendly to the user and has been reviewed that way consistently.

Somehow they decide to give Apple the ability to do something pretty good.

I remember discussing EMusic and us saying that model was better than subscription because you would know what you are getting.

With the subscription who can promise you that the cool new stuff you want (or old stuff) will be there?

I am not saying this strangeness means we messed up – at least if we did so did Real and Pressplay and Musicnet and basically everyone else.

Now that Jobs has done it we need to move fast to get something where the UI and Rights are as good.

I am not sure whether we should do this through one of these JVs or not. I am not sure what the problems are.

However I think we need some plan to prove that even though Jobs has us a bit flat footed again we move quick and both match and do stuff better.

I’m sure people have a lot of thoughts on this. If the plan is clear no meeting is needed. I want to make sure we are coordinated between Windows DMD, MSN and other groups.

…. Original Message ….
From: Jim Allchin
Sent: Wednesday, April 30, 2003 4:58 PM
To: Amir Majidimehr; Chris Jones (WINDOWS); Will Poole; David Cole
Subject: Apple’s music store

1. How did they get the music companies to go along?

2. We were smoked.

jim

Via Groklaw