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Wednesday, July 20, 2005

New Wireless Music Services Will Be Huge

While still in its infancy, delivery of music via cellular networks will become a big hit, according to a new study.

Music delivered over cellular data networks will become huge, with an estimated 50 million users worldwide by 2009, according to an IDC study released Tuesday. (continued...)

Besides generating revenue for wireless operators, over-the-air (OTA) delivery of music also is likely to rejuvenate the music industry, the study concluded.

"IDC believes that online and wireless music services may represent the music industry's best long-term prospects for reversing decline and promoting growth, and that these new services will ultimately be the future of recorded music distribution," Susan Kevorkian, a senior IDC research analyst, said in a statement.

The study acknowledged that delivery of music over cellular data networks is still in its infancy even though there is a lot of industry discussion about the topic. However, Verizon Wireless recently acknowledged that it is developing such a music service and Motorola is reportedly close to releasing a phone that works with Apple's iTunes music service.

Source: InformationWeek

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