50 mln Americans to subscribe to wireless music services by 2010, pay more than $1 bln

Wireless over-the-air (OTA) music services offer mobile phone users a convenient way to buy music and provide the music industry with an exciting new distribution channel. While adoption remains low today, IDC forecasts that US wireless music services will have over 50 mln users and generate more than $1 bln in revenue in 2010, just 5 years after appearing in late 2005. A total of 22% of respondents indicated that they would buy at least one track from their service provider within the first three months of availability, assuming they had an appropriate handset. 8% of respondents age 25-44 indicated they would buy four or more tracks. It’s this 25-44 age group that IDC analysts believe could be the core base of wireless over-the-air service users, in particular those who may be new to digital music services. IDC expects music-enabled mobile phone shipments to reach nearly 60% of all handsets shipped in the US by 2010.