Microsoft preparing to revamp music toward subscriptions
Tags: Microsoft, Music, Apple, Marketing
CNET reports that Microsoft is preparing to launch a subscription service for its Music Store. We've noted the challenges associated with both Janus and subscriptions from the likes of Napster before. Yet, I don't think Microsoft understands that this is a marketing and not a technology challenge yet. The article has a fairly damning statement to that effect:
Given that Apple's iTunes now accounts for more downloads than all peer-to-peer networks, and that the iPod, which won't play Microsoft-encoded music, now controls 82% of the player market, Microsoft is going to have to do a lot more than rework its music store to succeed in this market. Bill Gates might actually have to look up Steve Jobs phone number.
CNET reports that Microsoft is preparing to launch a subscription service for its Music Store. We've noted the challenges associated with both Janus and subscriptions from the likes of Napster before. Yet, I don't think Microsoft understands that this is a marketing and not a technology challenge yet. The article has a fairly damning statement to that effect:
"The most important question is what ability Microsoft and its partners have to explain this model to consumers," said Jupiter Research analyst Michael Gartenberg. "At this point, the whole online music market is centered around Apple and the other guys."
Given that Apple's iTunes now accounts for more downloads than all peer-to-peer networks, and that the iPod, which won't play Microsoft-encoded music, now controls 82% of the player market, Microsoft is going to have to do a lot more than rework its music store to succeed in this market. Bill Gates might actually have to look up Steve Jobs phone number.
posted by Carl Howe at
5:12 PM
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