50 mln cellular music decks will be sold by 2009. Cellular Music Decks (CMDs) are the next 3G opportunity beyond still and video imaging, while total music-enabled device sales will scale to 54% of global handset sales in 2009, according to Strategy Analytics. Traditional GSM players are establishing an early brand position in CMDs – dedicated feature phones with cellular music as the centerpiece of functionality – clearly outpacing their Asian counterparts who are absorbed in the imaging device frenzy. Nokia, with its 3300 and 5510 handsets, and Motorola, with its aggressive pursuit of music-focused alliances with MTV and Apple, illustrate the importance that both device segmentation and branded music content will play in the emerging music-enabled device market.
MP3 is to remain a requisite format in the mobile market due to strengths in the wired broadband domain. Converged devices will account for 50% of music enabled device sales through 2006, as the technical challenges of MP3 support force it to devices with robust platforms. Sporadic Downloaders encompass the wider market opportunity in the long term. Tech savvy Digital Musicphiles are already indicating critical feature “must haves” for CMDs and music enabled feature phones.