40% of Music Purchases To Be Digital Downloads By 2012

Apr 27th, 2008 | By | Category: General

Digital music sales will represent 40% of all music purchased worldwide by 2012, according to the research firm In-Stat. Digital music downloads represented 10% of the total worldwide music market in 2007, up from 6% in 2006.

Factors contributing to this growth include the global expansion of broadband, continued demand for single-track downloads, and expanding music catalogs. Another key driver is the potential for market growth in full-track downloads to mobile handsets in markets other than Japan, which currently is the primary market for this type of digital music format.

Factors limiting the growth of digital music sales, according to In-Stat, include piracy, incompatible services, DRM and weak consumer demand for subscription services.

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