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.

Prevent Web Links From Launching iTunes

When Apple first began offering web-based previews, I was thrilled. Finally, I could click a link to a song preview without having iTunes jump in and take over! I’d just open the program if and when I decided to buy the song. Unfortunately, I soon discovered that the web preview STILL opens iTunes.

It’s really my own fault; I had sent an email to Steve Jobs asking if there was any way he could make iTunes links more annoying, and I clearly should have explained that I was being sarcastic.

But there’s good news! The Apple Blog has posted this handy guide to stop links from opening iTunes. There are detailed instructions for Firefox, Safari and Chrome (Although the Chrome solution also prevents you from easily opening it in iTunes when you want make the purchase).

[http://theappleblog.com/2010/03/15/how-to-stop-itunes-web-links-from-opening-itunes/]

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