Apple’s MP3 devices are currently in a phase reminiscent of the golden era of the Sony Walkman, capturing 44% of the market with an estimated consumption of 30 million units this year and projected to reach 43 million next year.
The closest competitor, Creative, has only managed to secure 16% of the market share. Overall, sales of music players have doubled compared to 2004.
Despite some concerns regarding the iPod nano’s screen, Apple continues to thrive with the iPod video, having seen over 1 million video downloads in just 20 days.
Other notable highlights this year include the launch of the first iTunes phone, which received mixed reactions, and the rollout of Apple’s podcasting service.
Many rival companies have banded together to counter Apple’s dominance. Microsoft and MTV are encouraging users to move away from iTunes, while Samsung has partnered with Napster, Yahoo, and Microsoft to apply pressure on the “Apple” brand. Sony has also intensified competition in the digital music market by releasing software that allows audio and video file transfers to the PlayStation Portable via USB cable.
Additionally, Apple has faced some legal challenges, as Creative filed a lawsuit concerning patent rights related to music players, and users of the iPod nano have complained about the product’s poor quality. The company’s revenue has also fluctuated somewhat, with studies suggesting that frequent headphone use could lead to hearing loss and negatively impact health.
