DTC Projects $7 Billion Online Music and Video Market by 2008
DALLAS--(BUSINESS WIRE)--July 13, 2004--The emerging online media services market -- which allows broadband consumers to legally obtain music and video over the Internet -- is set to generate nearly $7 billion in revenues by 2008, according to Online Media Services: Forecasts, Business Models and Analysis, newly published by Digital Tech Consulting (DTC).
"With more than 90 million broadband Internet subscribers worldwide, the evolution of digital rights management and more clearly defined legal boundaries, a fertile market is beginning to take root," said Antonette Goroch, DTC senior analyst.
Though revenues from online music and movies/video totaled just $250 million in 2003, DTC's research shows exponential growth, driven by a variety of new revenue streams, including premium subscription and per-unit content sales. DTC estimates that online media sales over the next five years will be dominated by per-unit content sales, such as the Apple iTunes Music Store model.
"The picture is different when it comes to video and movie content, with subscription sales making up the majority for the next several years," said Goroch. "Streaming-based video subscriptions are the norm with content primarily repurposed from broadcast TV. Movies are predominately distributed through a per-unit sales model, but make a small percentage of both users and revenues due to immature services with limited catalogs."
The Online Media Services report brings a breadth of understanding to this moving target by analyzing the market's underlying dynamics in three basic ways:
-- A comprehensive overview of today's market, including currently operating and launch-pending services, subscriber and download counts through 2003, per-service market share and a service-viability analysis.
-- A description and analysis of the current business economics of online media services, outlining the main categories of online revenue streams, the basic variable and fixed costs of an average service, and the key metrics necessary for a profitable service or contributing revenue stream.
-- Detailed and data-packed five-year market forecasts extending to 2008, broken down by worldwide broadband subscribers, worldwide premium subscribers, average revenue per subscriber and per-unit music sales, to name a few.
The Online Media Services report is available for $1,295 from DTC. A detailed table of contents is available at www.dtcreports.com.
About DTC
Digital Tech Consulting (DTC) is a market research firm providing strategic information and analysis to help companies succeed in the consumer digital marketplace. DTC provides market intelligence reports, product and services forecasts, and analysis of industry business models and market conditions in the consumer digital marketplace.
Contacts
Digital Tech Consulting, Dallas
Charity Reaves, 214-915-0930 ext. 2
charity@dtcreports.com
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