Major news which could very well spell the end of Noika, Motorola,
Samsung, LG and on and on... especially within the very non-competitive
Cell Market. It looks like the iPhone has scored a massive hit, not only
in record sales but by the people that own the content.
"Nobody wants to use an "non-ipod" in their Phones, we all know that,
but now the leading content company says the same thing is going to
happen to all other MEDIA types."
Wow!
From Time Warner's Chief:
"You need to look no further than Apple's iPhone to see how fast,
brilliantly written software presented on a beautifully designed device
with a spectacular user interface will throw all the accepted notions
about pricing, billing platforms and brand loyalty right out the window.
And let me remind you, the genesis of the iPhone is the iPod and iTunes
- a music device and music service that consumers love."
Quote from --- CEO Edgar Bronfman, Head of Warner Music
Wow What a SMART GUY!
The boss of Warner Music has made a rare public confession that the
music industry has to take some of the blame for the rise of p2p file
sharing.
Speaking at the GSMA Mobile Asia Congress in Macau, Edgar Bronfman told
mobile operators that they must not make the same mistake that the music
industry made.
"We used to fool ourselves,' he said. "We used to think our content was
perfect just exactly as it was. We expected our business would remain
blissfully unaffected even as the world of interactivity, constant
connection and file sharing was exploding. And of course we were wrong.
How were we wrong? By standing still or moving at a glacial pace, we
inadvertently went to war with consumers by denying them what they
wanted and could otherwise find and as a result of course, consumers
won."
Mobile operators risk the same, he said. Fewer than 10% of mobile owners
buy music on their handset, the vast majority of which is ringtones.
"The sad truth is that most of what consumers are being offered today on
the mobile platform is boring, banal and basic," he said. "People want a
more interesting form of mobile music content. They want it to be easy
to buy with a single click - yes, a single click, not a dozen. And they
want access to it, quickly and easily, wherever they are. 24/7. Any
player in the mobile value chain who thinks they can provide less than a
great experience for consumers and remain competitive is fooling
themselves."
Bronfman suggested that mobile companies have much to learn from Apple,
despite being critical of and iTunes in the past.
"For years now, Warner Music has been offering a choice to consumers at
Apple's iTunes store the option to purchase something more than just
single tracks, which constitute the mainstay of that store's sales," he
explained. "By packaging a full album into a bundle of music with
ringtones, videos and other combinations and variation we found products
that consumers demonstrably valued and were willing to purchase at
premium prices. And guess what? We've sold tons of them. And with
Apple's co-operation to make discovering, accessing and purchasing these
products even more seamless and intuitive, we'll be offering many, many
more of these products going forward."
And the iPhone and iPod touch shows that approach can be made to work on
mobile platforms, he said.
----
So to sum up, you have iTunes or no revenue. Everyone in the industry
knows that, but it's good to see the Media companies finally waking up
to the new reality.
iPods are WONDERFUL, there is exactly zero chance at this point in time
that anyone will unseat it for the next 30-40 years. It's set in stone.
http://snipurl.com/1trbv