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ZOOMING IN
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REPORT
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TREND HUNTER
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EBCENTER KNOWLEDGE
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ITEMS OF INTEREST
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ZOOMING IN
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REPORT
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Mobile Music Business to Peak in 2007
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Title: Digital Music Report 2007 Source: International Federation of the Phonographic Industry (IFPI) Date: January 17, 2007 Abstract: 2006 was a good year for the digital music business, with trade revenues doubling to reach $2 billion. However, these results did not offset the fall in compact disc sales, a market which saw an overall decline of 3% during the past year. Accordingly, John Kennedy, president of the IFPI, has called upon governments and judges to take actions allowing for ground to be gained in the fight against piracy. However, this is not the only problem. Despite the fact that subscription music services such as Rhapsody, Napster and eMusic last year experienced a 25% growth, that progress could run into some obstacles due to the incompatibility between digital music players. Meanwhile, the success of social networking sites such as MySpace and YouTube has spurred industry interest in developing new business models. In Spain, digital music trade accounted for 22 million euros, a figure that represents 6% of the total national music market. The IFPI report predicts that 2007 will be a crucial year for mobile music, especially in the case of the US. Nevertheless, in Europe this market is slower to develop due to the high price of connections and the fact that 3G technology is not yet widespread in some countries. At the other end of the scale is Japan, where mobile phone downloads account for 90% of the country’s digital music sales.
Full Story
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TREND HUNTER
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CES 07: Electronics Take Over the Room
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The 40th annual Consumer Electronics Show (CES 2007), held this January, highlighted the importance of digital entertainment for the growth of the worldwide consumer electronics industry. Mobile telephones, personal computers, video consoles, multimedia devices and, above all, flat-screen LCD and plasma televisions. The latter will gross $26 billion during 2007 in the US alone, according to the Consumer Electronics Association, the organizer of the event held annually in Las Vegas. Among the stars of this year’s show were: device convergence; Windows Vista, the new operating system from Microsoft; and the DVD war, namely the strategies for facing the existence of two different formats, Sony’s Blu-ray and Toshiba’s HD DVD. Meanwhile, shifting to the MacWorld stage in San Francisco, Apple president Steve Jobs officially introduced his company’s iTV, which allows the user to view computer content on the television set and, more importantly, the iPhone, a mobile phone with which the company is hoping to repeat its iPod success, which equates to an 80% market share in the US.
Report in El País Images and videos CES 07 Official website of CES 07
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EBCENTER KNOWLEDGE
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ITEMS OF INTEREST
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Copyright 2008 e-business Center PricewaterhouseCoopers & IESE Business School.
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