Itunes the Downloadable Digital Content Term Paper

Download this Term Paper in word format (.doc)

Note: Sample below may appear distorted but all corresponding word document files contain proper formatting

Excerpt from Term Paper:

A iTunes expansion in the digital video space seems to be a no-brainer from a business perspective. The digital music market developed first, aided by peer-sharing sites such as Napster and Kazaa, and it is understandable that much of Apple's current focus through the iTunes store has been on selling digital music tracks and albums. However, the digital video market is growing significantly, and we can expect iTunes to provide even more robust video offerings in the future. According to the iTunes Web site, users already can download thousands of music videos and more than 350 television shows. In a sign that Apple is serious about growing its video services, the company recently launched a movie service that allows users to download feature films for $9.99 a movie. iTunes video services will only grow more as Apple faces growing competition from online music and video providers. As was discussed, Apple has faced significant competition in the online music space, and competition should grow in the online video market as well. Wal-Mart even entered the digital video market in 2007, partnering with Hewlett-Packard to offer an inline video service to compete with iTunes (Gohring and Ames). In short, iTunes has spent its early years being viewed as a digital music store and jukebox, but it is clearly evolving into a provider of multimedia content. Competition will force iTunes to continue in that direction.

We can also expect the iTunes technology to become more accessible to people who may not own iPod portable music and video players. Apple's decision to exclusively bundle the iTunes program with the iPod music and video players has caused a great deal of frustration among the public, and has led to the previously discussed lawsuits in the United States and in European countries. Signs indicate that more lawsuits can be expected. Quite simply, there is too much pressure being applied to Apple for it to continue conducting business as usual. Further, it is bound to eventually lose a lawsuit in one of the countries in which it is facing (or will face) litigation. Europe is notoriously aggressive when it comes to antitrust issues.

Whether Apple loses in court or simply sees the handwriting on the wall and decides to change its business practices, we can expect a decoupling of iTunes and the iPod to occur. The end result could be positive for iTunes - people who own portable music players other than iPods will now be able to use iTunes, although Apple will have to work hard to keep current iPod owners from migrating to other content providers. Perhaps the de-coupling will even be positive for iPod sales. The fact that iPods will be compatible with music services such as Napster could increase their appeal to some consumers who were not enamored with iTunes.,

In conclusion, iTunes has been a hugely successful product for Apple, as it has integrated well with other Apple products and has helped revolutionize the digital media market. While Apple was an early and aggressive entrant into this market, it has become crowded and there are numerous market and regulatory forces that are presenting challenges for the iTunes product. We can expect Apple to respond to these challenges by evolving iTunes into a supplier of diverse multimedia content that can be accessed by people using a wide variety of communications devices. The bread-and-butter philosophy behind iTunes, which has focused on music and a lack of cooperation with other suppliers, has carried iTunes through its first six years, but it will not carry iTunes through the next six.

Works Cited

Angell, L.C. "iTunes revenue surges 84% in 2006." iLounge, Dec. 2006. 1 Aug. 2007.

"Apple settles iTunes lawsuit." Mac News Network, Sept. 2006. 1 Aug. 2007.

Dean, Katie. "New Napster, iPod don't play nice." Wired, Oct. 2003. 1 Aug. 2007.

Gohring, Nancy. "Apple faces U.S. lawsuit over iTunes-iPod link." Computer World,

Jan. 2007. 1 Aug. 2007.

Gohring, Nancy and Ames, Ben. "Wal-Mart enters digital video market with HP service."

Network World, Feb. 2007. 1 Aug. 2007.

McCullagh, Declan and Broache, Anne. "The tax man cometh for iTunes." C. News, April 2006. 1 Aug. 2007.

"Napster launches a campaign against Apple's iTunes." Ubergizmo, Feb. 2005. 1. Aug. 2007

"Napster must stay shut down." BBC News, March 26, 2002. 1. Aug. 2007

Solli, Morten. "Apple fails to meet Norwegian iTunes demands." Computer World, Aug. 2006. 1 Aug. 2007.[continue]

Cite This Term Paper:

"Itunes The Downloadable Digital Content" (2007, August 01) Retrieved December 5, 2016, from

"Itunes The Downloadable Digital Content" 01 August 2007. Web.5 December. 2016. <>

"Itunes The Downloadable Digital Content", 01 August 2007, Accessed.5 December. 2016,

Other Documents Pertaining To This Topic

  • Modern Firm

    Firm The present day approach of the modern firm towards business is concentrated on "strategic planning." The top management which has the inclusion of the board of directors, and corporate planners has their role to play in the overall strategic management of companies. However, the starring roles remain for the general managers of the firm and its significant and competent operating levels. Strategic management concentrates on 'second-generation planning' which is

  • Apple Strategic Marketing Analysis Apple

    In addition, the traditional iPod platform is being scaled back as the benefits this platform provides consumers can be found in all other platforms, often accentuated with other forms of digital content as well, from e-books and published materials to movies, television shows and other forms of video content. Market Analysis The future of Apple's profitability is entirely based on the success of their iPhone and iPad investments and the transformation

  • Internet and Global Finance Strategies

    Internet and Global Finance Strategies Within the present competitive business environment, firms are continuously looking for various strategies to be ahead of their competitors and achieve competitive market advantages. Many firms have identified that internet technology is a powerful tool to enhance competitive market advantages. The traditional organizations have identified that internet is a powerful tool to deliver value to customer and presently, the internet technology has enabled firms to coordinate

  • Apple Inc An Assessment and

    Table 2: Distribution of Revenue by Product Area Source: (Apple Investor Relations, 2008) (Prudential Equity Group LLC, 2006) Planning The cornerstone of Apple's planning processes is the continual development of products and services that compliment the product and services ecosystem shown in Figure 1 (Apple Investor Relations, 2008) (Prudential Equity Group LLC, 2006). Figure 1: Apple Product and Services Ecosystem Source: (Apple Investor Relations, 2008) (Prudential Equity Group LLC, 2006) For Apple, their future planning revolves

  • Apple Inc iPhone Apple Inc I Phone

    APPLE INC: iPhone Apple Inc.: I Phone The mobile telecommunications industry is considered one most important sector within the community market, which represents half of the 1.1 billion euros they billed annually worldwide (Merkow and Breithaupt, 2006, p66-69) Since the technology created in the 40s of last century, to the art terminals, you can say that the mobile phone has a global history in the sense that its development has slowed or

  • Best Buy s E Commerce Strategies Best

    Consumers' high level of interest in all these products and their build-to-order configurations also point to significant bargaining power of suppliers. Suppliers of MP3 players, cell phones and convergence products also have a significant bargaining power relative to Best Buy and other retailers, and this is especially true of Apple with their series of iPods. MP3 as the market standard for music formats has correspondingly lead to significant bargaining power

  • Sony Corporation the Recorded Music Industry Is

    Sony Corporation The recorded music industry is in a state of flux. Thanks to technology, new opportunities have been made available, however, new challenges have emerged as well. The most significant concern is piracy, especially with peer-to-peer file sharing over the Internet. Sony Corporation's business unit, Sony BMG, is a new merger of Sony Music Entertainment and Bertelsmann AG. The merger occurred as an effort to take advantage of economies of scale

Read Full Term Paper
Copyright 2016 . All Rights Reserved