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Napster believes phone users will revive subscriptions

31 January 2007 15:59 by James "Dela" Delahunty | 3 comments

Napster hopes that consumer attitudes towards music rental services will change when more suers turn to phones that also act as multimedia devices. So far, Apple Computer's iTunes has held back competition in the online music download market because the company's iPod (the biggest selling MP3 player) can only play music from the iTunes store.

Napster Chief Executive Chris Gorog told Reuters that Apple's approach was "anti-consumer". He believes that as more users turn to mobile phones for music playback, the access to a wider market will make them aware of the benefits of unlimited music subscription services.

"The key obstacle to date to moving into mass adoption for the subscription model has been the iPod which has had the very large majority of market share with MP3 players," he said. "But the dynamic that will be happening ... in this calendar year is the phenomenon of music-enabled cell phones."

Source:
Reuters

Permalink to this article

Napster and AT&T in music deal (26 March 2007)

Disney sold 1.3 million movies on iTunes (2 February 2007)

eMusic reaches 250,000 subscribers (24 January 2007)

AOL acquires Napster for music subscription service (12 January 2007)

Napster says its improving revenue (5 January 2007)

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Discuss this article!
georgeluv (Member) 31 January 2007 18:12
"music rental service".... mmm... no thanks i like to be able to keep the things i buy. [ + quote]
SProdigy (Member) 1 February 2007 3:21
"because the company's iPod... can only play music from the iTunes store." Wow! Someone without a clue wrote this one up! [ + quote]
ZippyDSM (AfterDawn Addict) 1 February 2007 16:04
you might can play MP3s on the Ipod but you cant market it like that because apple will sue you into the ground >> [ + quote]