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FEATURED COMPANIES

  • Apple
  • ClickStar
  • Microsoft
  • MTV/Urge
  • RealNetworks
  • TiVo2Go
  • MORE

The popularity of single track downloading, expanding digital catalogues, and the rising demand for music videos are factors contributing to the growth in the digital music market. We expect that by 2011, online sales of digital music will represent 26% of all music purchased worldwide.

The Internet is now an essential distribution channel for digital music; and over the next year, online social networking sites, such as YouTube and MySpace, will develop as key drivers of online music and video. Music downloaded to mobile phones is also a key development in the delivery of digital music.

Our latest report includes new primary research about consumers' behaviors and preferences regarding both online music and video. It also provides an overview of the worldwide online music market, including forecasts for physical media bought online, download/subscription revenue, and regional segmentation. A forecast for full-length songs downloaded to mobile phones is also included in this report.

Executive Summary
Introduction
Digital Content Distribution Business Models
Pay-per-Download Services
Subscription-based Services
Emerging Business Models
Social Networking
Advertising-Supported Services
Online Content Services
Online Sites Offering Both Music and Video
Napster
RealNetworks
Wal-Mart
Microsoft
Yahoo
Apple
Sony
Video-centric Online Sites
BitTorrent + Warner Brothers
CinemaNow
ClickStar
Movielink
MTV/Urge
Vongo
EchoStar + Archos
TiVo2Go
Digital Video Consumption
TAP Survey: The Earlier Adopter
Primary Method of Connecting to the Internet at Home
Online Music Survey Data
Have You Downloaded Music from the Internet?
Amount Paid for Online Music
Online Music Service Used Most Often
Online Music Preferences—Single Track/Album Downloads vs. Subscription-based Music
Online Music Shopping Behavior
Online Video Survey Data
Online Video Site Most Used
Amount Spent on Online Video
Online Video Search Behavior
Consumer Electronic Device Ownership
Digital Music Forecasts
Worldwide Total Market and Online Revenues
Physical Media Bought Online vs. Downloads/Subscriptions
Regional Segmentation
Mobile Music
Full-Length Tracks Downloaded to Mobile Phones
Regional Segmentation
Methodology
Technology Adoption Panel (TAP)
Related Reports

List of Tables
Table 1. Primary Method of Connecting to the Internet at Home
Table 2. Have You Downloaded Music from the Internet?
Table 3. Amount Paid for Online Music
Table 4. Music Service Used Most Often to Purchase Music in the Last 12 Months
Table 5. Online Music Preferences
Table 6. Online Music Shopping Behavior
Table 7. Which, if Any, of the Following Do You Do with the Music After Downloading It?
Table 8. Did You Download or Stream Video from the Internet?
Table 9. Online Video Site Used Most often
Table 10. Amount Spent on Online Video
Table 11. Online Video Search Behavior
Table 12. Which, if Any, of the Following CE Devices Do You Own?
Table 13. Total Worldwide Music Market vs. Total Online Music Market, 2004–2011 (US$ in Millions)
Table 14. Physical Media Bought Online vs. Downloads/Subscriptions, 2004–2011 (US$ in Millions)
Table 15. Regional Distribution of Online Music Revenues, 2004–2011 (US$ in Millions)
Table 16. Worldwide Revenue for Full-Length Tracks Downloaded to Mobile Phones, 2005–2010 (US$ in Millions)

List of Figures
Figure 1. Worldwide Online Music Market, 2004–2011 ($US in Millions)
Figure 2. Primary Method of Connecting to the Internet at Home
Figure 3. Have You Downloaded Music from the Internet?
Figure 4. Amount Paid for Online Music (US$)
Figure 5. Online Music Shopping Behavior
Figure 6. Did You Download or Stream Video from the Internet?
Figure 7. Amount Spent on Online Video
Figure 8. Apple iPod Owners, by iPod Model

- Napster
- RealNetworks
- Wal-Mart
- Microsoft
- Yahoo
- Apple
- Sony
- Video-centric Online Sites
- BitTorrent + Warner Brothers
- CinemaNow
- ClickStar
- Movielink
- MTV/Urge
- Vongo
- EchoStar + Archos
- TiVo2Go

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