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iTunes More Popular Than Most P2P Sites

bonch writes "A study by NPD Group shows that iTunes ranks #2 in popularity of music downloads, rivaling services like Limewire, Kazaa, and iMesh. The #1 service was still WinMX, but NPD believes this proves to the music industry that legal downloads can work, and that iTunes provides an economically viable alternative." From the article: "According to NPD, about 4 percent of Internet-enabled households in the nation used a paid music download store in March."

30 of 333 comments (clear)

  1. Why Should The RIAA Be Surprised? by geomon · · Score: 4, Insightful

    Although there are still millions of people who will continue to trade on p2p, having legitimate outlets supplying digital copies of music, television, and movies will become a hugely profitable venture for the entertainment industry. They just haven't figured out how to do it and still capture the largest share of the market.

    A radio program this morning on NPR discussed how the movie industry was losing money on opening day box office receipts at the same time they are making a killing with DVD sales ($17BUSD). That means that they are going to have to change not only their marketing (opening day receipts are generally a 16-24 year old market), but also their metric for gauging success.

    Overall, once they stop focusing all of their energy on litigation and lobbying for worthless copy-protection standards, they will begin to create a market-driven system that people will gravitate to and embrace.

    --
    "Rocky Rococo, at your cervix!"
    1. Re:Why Should The RIAA Be Surprised? by mabhatter654 · · Score: 2, Insightful
      but the problem is that DVD may be making gobs of money but it canabalizes the movie theaters. The industry wants their cake AND eat it too... Once they sell a DVD movie tickets go out the window... to a certian extent the public is learning to wait out for the DVD... that's killing the big box office hits.

      Frankly, there's just too much product out there... even for my limited tastes there's times that 5 movies want to "compete" aginst each other when i'd like to see them all... other times there's months with "nothing" interesting at the theatre. it's like cable TV ratings don't mean anything anymore... trying to tie interest in a product to some kind of timed demand just doesn't work anymore.

      The problem is the MBAs at the movie companies see video as "lost" sales to eyeballs... because they could have made more getting all of your family in the theater at full price. It's a problem that permeates american business right now. the mega corps aren't interested in steady long term small profits.. everyone wants the big score every time or it's "not worth it" anymore. There's so much money squandered by big companies looking to score that they miss the "real" customers and what product they actually want to pay for!!!

    2. Re:Why Should The RIAA Be Surprised? by Anonymous Coward · · Score: 2, Insightful

      I think the reason box office sales are declining has more to do with people being fed up with the current movie experience. Let's see, do you want to endure screaming children, immature teenagers, inconsiderate cellphone talkers, sticky floors, and overpriced food? ... or wait a few months to catch the movie on DVD? A lot of people are beginning to choose the latter.

    3. Re:Why Should The RIAA Be Surprised? by sickofthisshit · · Score: 3, Insightful

      You've missed the most important annoyance (or maybe you live somewhere where this sickness hasn't spread)---after paying $10 to sit in this hellhole, you STILL get bombarded by commercials. Not previews, which I like, except when they are 20dB louder than necessary, but actual "Diet Coke makes you hip, so buy more." F**k that. I could stay home and watch commercials for free, you f**kers.

      And, even when they are honest and tell you when the movie *actually* starts (so you could avoid the ads), then all the nice seats are taken, and the lights are out, and you're lucky to get two seats together.

    4. Re:Why Should The RIAA Be Surprised? by blamanj · · Score: 2, Insightful

      You've got to be kidding. Most DVDs aren't released until months after the movies are gone from the theatres. There's no way to see the film again, so there's no loss of ticket sales.

      Now there may be a set of people who won't see the movie in theatres but who wait for the DVD. I'd argue that those might be dollars gained rather than lost, since when I go through that argument, it's usually for a movie that I consider marginal, and won't pay $10 to see, but will pay $2. So that's an extra $2 they wouldn't have gotten in the first place.

  2. Stand by for BS by am46n · · Score: 3, Insightful

    Stand by for a bunch of /.ers, pretending to be representitive of the average consumer, posting as anonymous coward to tell us all how many tracks they pirated versus bought in the last week, and how this proves the stats are wrong.

  3. I feel sorry for all the people who pay for music by John+Seminal · · Score: 4, Insightful
    Most of it has so much DRM that it is unusable.

    What will happen when Apple goes bankrupt? Or when the next generation of mini-players comes out with a new DRM?

    People are paying for music, then being told how they can use it.

    Fair use is simple. I can make as many copies for myself as I want. Many DRM's make it impossible to make even a back up copy. But what if I want one copy for my MP3 player, one on a CD for my car, and one for my wifes car? Does that mean I must buy three copies?

    --

    Rosco: "If brains were gunpowder, Enos couldn't blow his nose."

  4. Comment removed by account_deleted · · Score: 5, Insightful

    Comment removed based on user account deletion

  5. iTunes safer by PenguinBoyDave · · Score: 4, Insightful

    For me it comes down to one thing...iTunes subscription ensures I'll not end up on the wrong end of a lawsuit. I can't afford the fines, and I'm not interested in trying to dodge getting caught. Not worth the risk for me.

    --
    I'm not a troll, but I play one on Slashdot.
  6. What is a P2P site? by Anonymous Coward · · Score: 1, Insightful

    I thought the whole point of P2P is that there is no "site."

  7. Re:Meanwhile, somewhere in Hollywood... by geomon · · Score: 4, Insightful

    How do these people come to be in charge of multimillion dollar companies? This should really be obvious, folks.

    Its funny that you made the same comment, in a different way, as the commenter on NPR. They said something to the effect that "these people [entertainment execs] are really smart and will eventtually figure this out".

    Until now, of course, all they have shown is that they are frightened asswipes with souless lawyers at the ready.

    --
    "Rocky Rococo, at your cervix!"
  8. Re:i think things will change... by winkydink · · Score: 2, Insightful

    I think it's a pretty safe bet to assume that the quality of ripping sw and songs has improved since 1999. For the most part.

    Me, I like the all you can eat for $/month model, but to each his own.

    --

    "I'd rather be a lightning rod than a seismometer." -Ken Kesey

  9. Re:Why Should slashdot Be Surprised? by geomon · · Score: 2, Insightful

    You're assuming that the litigation and copy-protection has had no influence on the results we're seeing.

    True, but the only way that the industry will move forward is by finding a way to work with the system as it exists today.

    Even if they were to successfully destroy the current system, it will come back at some point in the future and the next person/company will make the money they should be making now.

    --
    "Rocky Rococo, at your cervix!"
  10. Re:even completely independent music sells VERY we by AuMatar · · Score: 2, Insightful

    Since you seem to work in the industry, an idea for you- I'd be more than happy to pay 10 or 20 a month for a Yahoo like deal. But not under the current conditions. I want to own the music, not rent it (meaning if I decide to quit paying, I can still play my files). And I want it in a no DRM format (MP3 is fine). Get that, and you'll have a lifelong customer. Until then, none of these sites will be seeing my money- I refuse to buy DRM, and I don't want to pay per song (or album).

    --
    I still have more fans than freaks. WTF is wrong with you people?
  11. Not really that surprising by Gauchito · · Score: 5, Insightful

    I used to use Kazaa/Limewire to download my music before, but now I'm almost exclusively an iTunes man. I still use Kazaa for things I can't find on iTunes, but immediately buy it legally when they become available.

    I can think of several factors. First, of course, the quality of the music is much better in AAC than the ripped mp3's you find online. Second, you don't get screwed by fake or misnamed files, truncated versions, or the whole other slew of crappy files you find through P2P. Third, the legality of it vs P2P is appealing, especially when you get older and you start worrying more about not making mistakes you'll regret later.

    Fourth (and I think this one is very important, which is why I gave it its own paragraph) the interface to iTunes makes it so, so easy. Not only the iPod integration, but just the fact that making the actual purchase (after you login) is so smooth, you forget at the time you're actually spending $1 per song. You just click on the buy song button, the song is downloaded (and iTunes is still very useable while the song is being downloaded), and you don't even think that you will be billed for it later. The $1's add up, of course, but it took me a while to look at my collection and realize I had just spent $200 on music I could have gotten for free (had I really wanted to). On P2P it involves placing a search, looking through the hundreds of results you get back to find a version that looks legit and has the bitrate you want, hope that the file will still be available throughout the entire download, then wait while you're access to the song is limited by the slowest peer you're getting it from.

    About the only reason, besides the cost savings, I can think of for still going to P2P for music is if you have a music player other than an iPod and don't want to go through the hassle of burning the song to a CD before you can rerip and transfer it to the player. Unless, of course, there are AAC to mp3/ogg/wmv converters out there than can convert Apple's DRMed version, and if there are, please tell me where, because I've looked and haven't been able to find any that work.

  12. Re:Meanwhile, somewhere in Hollywood... by Anonymous Coward · · Score: 1, Insightful
    Of course, here is the problem. Maybe they've already figured out they could make more money this way.

    The question is this: Which do the studios care more about?
    1. Money
    2. Control
  13. Re:Meanwhile, somewhere in Hollywood... by MightyMartian · · Score: 1, Insightful

    Nah, more like:

    Executive: Wow, iTunes really is moving a lot of units. Get Vinnie the Two Ton Crusher on the line, we've got to demand that iTunes quadruple the price and halve their cut. Bwahahaha! Let's fuck over the consumer some more! $50 CDs, here they come!

    --
    The world's burning. Moped Jesus spotted on I50. Details at 11.
  14. Not BS by DogDude · · Score: 2, Insightful

    It's not BS. There are plenty of people using un-surveyable means of downloading entire albums, say, via IRC/Bit Torrent, anonymous FTP sites, straight IRC DCC's, etc. Personally, I don't like the way that Apple does business, so if I were to buy music online, it'd be through Yahoo.

    --
    I don't respond to AC's.
  15. Come on, you think .0001 per song is fair? by SuperKendall · · Score: 2, Insightful

    Personally I find .99 not too bad a price, and .50 about perfect for a song I really like.

    As far as I am concerned a price less than that is really unfair to the artists and does act as a disincentive for others to produce music for a living.

    That's why I do not think we'll see legit US sites ever offer what you are asking for. No artist would allow it.

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  16. and here's why. . . by jafac · · Score: 2, Insightful

    The Intel switch:

    x86 has DRM/Trusted Computing.
    PPC does not.

    I don't think this was so much a case of Steve Jobs playing hardball with IBM, as it is a case of Sony playing hardball with Steve Jobs.

    --

    These are my friends, See how they glisten. See this one shine, how he smiles in the light.
  17. Two ways out with Apple DRM by SuperKendall · · Score: 4, Insightful

    What will happen when Apple goes bankrupt? Or when the next generation of mini-players comes out with a new DRM?

    You must be thinking of the OTHER music companies, that re-authorize every month or what have you.

    If Apple went out of buisiness, you music would continue to play on your current Mac until the end of time.

    However, like you say eventually you'd want to move the music. Two options then:

    CD's - I can burn any ITMS song to CD as much as I like (limit of ten burns a playlist, but I can always make new playlists...)

    Hymn - I can convert protected AAC files into unprotected AAC files, which I can then play on anything that undrestands AAC (most PC players, not many portables) or convert it from there.

    So yeah I feel sorry for anyone buying music from anywhere other than ITMS or AllOfMP3.com. I still don't like to use AllOfMP3 though as I don't feel it gives artists as much as it should. Perhaps in the future I'll buy from ITMS, then buy the non-lossy version from AllOfMP3. Too much work though, so I probably wont...

    --
    "There is more worth loving than we have strength to love." - Brian Jay Stanley
  18. Vanilla Ice by linuxbaby · · Score: 2, Insightful
    Hey, he just brought in as an indie like everyone else. We treat everyone equally here, no matter what mistakes they've made in their past.

    :-p

  19. Re:Great but.. by mh101 · · Score: 4, Insightful

    As for an example, if I pay for all these songs and my computer would happen to crash, and it would just happen that I don't have a backup copy, I've essentially payed for something I don't have anymore.

    And this is different from physical CD purchases how? Let's say you have a CD, and it gets damaged or lost. Same scenario here, you've paid for something you don't have anymore.

    With both scenarios, you have two options - back up your music (whether by burning a data CD/DVD of iTMS purchases or ripping your CD to MP3), or risk losing your music.

    You do have a valid point, and I do agree with you, that it would be nice if your Apple ID also facilitated in keeping a record of all music you've purchased in case you need to re-download them.

    --
    Duct tape is like the Force. It has a light side, a dark side, and it holds the universe together.
  20. Re:Why I like ITMS(despite not using it) by RipTides9x · · Score: 2, Insightful

    You must be too young to remember 45 rpm vinyl "singles". They were called singles because they were produced to sell 1 song, with the bonus of having a b-side.

    They have been selling single songs via reduced media since the earliest days. It morphed into the Cassingle (cassette tape with limited length) in the mid 80's and the maxi-single (mini-cd) in the 90's.

    The record companies know whats up, they have been pushing "single" songs on us for years, even selling you entire bloated albums based off of one song, they are the masters of this. What's giving them fits, is that with todays digital downloads they cannot control the media anymore.

    Just look at the media over the years; warpable, breakable vinyl. Unreliable, degradeable, magnetic tape. Discs that are rendered useless by a single scratch. They don't want us to abandon our tired fragile media in favor of something more robust that can be backedup with a mouse click.

  21. distributed distribution by bitspotter · · Score: 2, Insightful

    Centralizaiton is not a feature.

    All this means is that iTMS is the only *single* place left. All the real action is distributed throughout the Internet. The only reason most go to bittorrent.com is to download the software - not the content.

    So, what fraction of Internet traffic does iTMS pull?

    most popular, my ass...

  22. Re:Meanwhile, somewhere in Hollywood... by Chr0n0 · · Score: 3, Insightful

    ...instead of pushing them around and spending all our efforts on advertising instead of actual, innovative, interesting products... Exactly, the US can do with more bonus in their products. Most of the audio CDs I bought in the US only has a cd and a front+back cover, nothing else.
    Compare it to the Japanese audio CDs I buy all the time? a booklet thicker than the CD, complete with lyrics! (why do the western CDs usually lack them? afraid of "infringement"? the last Japanese piano CD album I bought even has the MUSICAL SHEET with it)
    Seeing that both has the same price, I know its obvious to which one I would buy...

  23. It's not an Arguement, it's an OBSERVATION.... by microcars · · Score: 2, Insightful
    The observation that "only people who can't buy it in the first place use P2P" doesn't carry any weight.

    ???

    I never said that so please don't "quote" me like that.

    I represent the "casual downloader"

    You are their representative? Do you have a card?

    I don't think $0.99 is a fair price, with most of it going to the label.

    I see, so downloading songs from P2P is better for the artist. According the Representative of the Casual Downloaders.

    This may sound crass, but at least I'm being honest when I say that when I look for music I don't think at all about the Artist and how much money they make from my purchase.
    I also don't think about the Record Companies.
    I think about Me and how to make the process as easy for ME as possible so that I am Happy.
    That's basically it.

    I'm pretty sure most everyone I know approaches this in a similar manner and they choose a Delivery Method that is appropriate.

    --
    I like microcars
  24. defending drm by pintomp3 · · Score: 2, Insightful

    i'm really surprised at how much drm is defended here on /. well, not all drm, just apple the flavored stuff. then it becomes good drm (oxymoron?) i guess it's like getting kids to take their pills by putting it in apple sauce :)

  25. Re:I feel sorry for all the people who pay for mus by Mwongozi · · Score: 2, Insightful

    Yet it continues to get more stringent. Compare the restrictions you have now with the restrictions you had a few versions ago. How many computers can play the same tracks per day? How many times?

    Err, OK. Initially, you could play your music on up to three computers. Now it's five. And there's never been any limit to the number of times you can play a track.

  26. unimportant statistic by hammeredpeon · · Score: 2, Insightful
    That only means that Apple has the 2nd largest homogeneous network. Since p2p is heterogeneous (different platforms, programs, OSes), it doesn't matter what programs people are using.

    A more important statistic would be "number of gnutella users: X; number of iTMS users: Y".

    --
    best college pickem site ever: pickem.terrbear.org