Will Apple soon also partner with TV service providers?

The time may soon come when TV service providers are also going to compete for the rights to exclusive distribution to the Apple Tablet...

There are long running rumors that Apple will soon launch a new device that will look like the iPhone but with a much bigger screen and with great capacity: the so called Apple Tablet. Whether Apple launches such a device or not, there appears to be a market opportunity for a mid sized touch screen, media focused device.  It seems that there are also lively debates around where consumers would actually fit such a new device into their daily life.

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What Google Could Bring to Digital Music

 There are numerous reports that Google is about to launch a music service.  Whether the rumours have foundation or not I think it is worth reflecting on what role Google could play in digital music and their various assets.  Here are some initial thoughts:

 

  • Google is already a major player in the online music space via YouTube (in Europe, the home of Spotify, more people watch music video online than listen to streaming music)
  • Google shouldn’t (and probably won’t) try to be an ‘iTunes killer’.  The bottom line is that the iTunes / iPod / iPhone ecosystem is successful within that niche, but it is just that, a niche.  The 99 cents download model isn’t a mass market proposition
  • Google has its Android asset to leverage, potentially ensuring it is a truly cross platform music play
  • Google is in a unique position to target music demand at the earliest possible stage i.e. when consumers start searching for music

 

The last point is where I think Google’s core value proposition for the music industry comes in.  Apple can do little about iPod owners downloading from BitTorrent (and our survey data shows they are very likely to do so).  But Google on the other hand can.  Just imagine if when a consumer searches for a song, alongside all of those Torrent results is a heavily integrated Google music offering.

 

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eReader Holiday Outlook: Forrester Ups Its Projections By 50%

Today we launched a new report, "Forrester's eReader Holiday Outlook 2009" (full version available to Forrester clients here), which updates our projections for eReader sales in 2009 and 2010. The data in this report comes from Forrester's consumer surveys as well as interviews with vendors and retailers.

E Ink recently announced that its 2009 revenues to date were up 250%, and were exceeding its earlier expectations. We, too, are observing the eReader market growing faster than we had expected: We published a report in May, "How Big Is The eReader Opportunity?", that pegged 2009 US eReader sales at 2 million. Our new report ups that projection by 50% to 3 million for 2009, with 30% of 2009 sales occuring in the holiday season of November and December.

There are a number of reasons why eReader sales are growing faster than we had expected, which we detail in the report, including falling device prices, more content availability, better retail distribution, and lots and lots of media buzz.

All these dynamics will compound to fuel more growth next year, and we expect more changes in the market that could push eReader sales beyond 6 million in 2010, bringing cumulative US sales to 10 million by year-end 2010. To get our full perspective on what will happen next year, you'll have to read the report, but here are a few highlights. In 2010, we'll see:

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