Apple dominates legal video download market


According to Forbes, the research firm NPD is reporting that Apple controls about 90 percent of the legal video download market with its iTunes Store. Competitors such as Vongo, Movielink and Cinemanow all had single digit market shares. In terms of overall market, TV content accounts for 62 percent of downloads followed by music video content (24 percent) and movies with 6 percent.

About 1.2 million US households purchased at least one video from an online store in the third quarter of 2006 but five times as many downloaded video content from file-sharing networks. When it comes to unpaid downloads, adult content dominates with 60 percent.

NPD expects that illegal downloads will continue to rise but so will paid downloads, perhaps doubling or even tripling in the next year or so as additional content becomes available (eg, new studios offering content on the iTunes Store and other players like Sony and Microsoft entering the market).

Source: AppleInsider

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