Sunday, April 28, 2013

Apple's success model | iTunes celebrates its 10th Birthday - BILD

Ten years ago, on 28 April 2003 Apple with its iTunes Music Store was at the start. It was an opportune time – the music industry was desperate


CD sales were on the decline. On the Internet music piracy was rampant with new file sharing networks such as Napster. And own subscription services the publishers hardly found the net users because of complicated operation and cumbersome copy protection requirements. Accordingly, the industry was curious how the new service would develop.

It was then not so easy to get all to a table, Eddy Cue, vice president of Internet software and services at iTunes recalls. “Our message to them was that piracy can not be hit with lawsuits or television advertising, but only by actually offering, which was also available through piracy, and that people would actually pay for it.”

class=”crossheading”> From zero to boom

However, the iTunes Music Store was much more than a solution: he changed the way we consume music as well as our access to entertainment content. He is not only the world’s largest music retailer, but also dominates the digital video market.

But while Napster legal download platform is only an offer by many today, with its iTunes apps most profitable. The Digital Store is now accessible in 119 countries. In iTunes this week reported a record turnover of 2.4 billion dollars (1.8 billion euros) for the first quarter. Meanwhile, over 25 billion songs have been downloaded. Currently, there are 393 songs per second, the company expects ago. The range has now grown to 26 million tracks.


These figures are also proof that illegal music downloads hurt the industry is not as strong as is often claimed. A recent EU study shows that legal offers even benefit from online piracy.

the tenth anniversary on Sunday now raises the question of whether the iTunes hegemony will also survive the next decade – after all, with subscription services like Spotify or other providers such as, Netflix, Watch Ever Hulu or competition available.


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Apple co-founder Steve Jobs put the maximum price at that time was 99 cents per song and the listeners more freedom in terms of transferability and ownership rights. “We were able to convince the record label which we have a business proposal, which would be better in the long term for them and gave them the opportunity to compete against piracy,” says Cue, who was instrumental in the development of iTunes.


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increases the total sales of digital music tracks, the number of albums sold has declined as the profit in the industry over the past ten years. The singer and actress Jennifer Lopez says iTunes has completely changed the music industry. Now consumers have the power, not the record companies.

to speculation about a subscription service from Apple says cue, users still preferred the iTunes model. A premium subscription would cost $ 120 per year. That was more than the average customer spend music. If the customer against buying a title, he owns it. Who wants to create a music library and pay 99 cents or $ 1.29 per share, or up to $ 9.99 for an album, get a higher value than the subscription says Cue.

are the most successful songs from the start:

  • 2003: Hey Ya! – OutKast

    2004: Vertigo – U2

    2005: Gold Digger – Kanye West & Jamie Foxx

    2006: Bad Day – Daniel Powter

    2007: The Sweet Escape – Gwen Stefani feat. Akon

    2008: Viva La Vida – Coldplay

    2009: I Gotta Feeling – Black Eyed Peas

    2010: Love the way you lie – Eminem & Rihanna

    2011: Party Rock Anthem (feat. Lauren Bennett & GoonRock) – LMFAO

    2012: Call Me Maybe – Carly Rae Jepsen

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