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Business News Digital
Amazon second in US download market, just
By CMU Editorial | Published on Thursday 18 December 2008
Amazon’s MP3 download service is now second place in the US digital music market, albeit some way behind iTunes, and pretty much equal with eMusic and Real’s Rhapsody.
As much previously reported, those in the music industry who dislike Apple’s market dominance in the digital music space (they have over a 70% market share) have long hoped that Amazon are the one brand who can successfully take on iTunes, especially as the demographic buying digital music expands.
In fact the major record companies were so supportive of Amazon’s late-in-the-day attempts to enter the digital download market that they dropped their long-held attachment to digital rights management technology so that the etailer could ensure its digital music offer was iPod compatible (the only DRM technology that works on the market leader iPod is Apple’s, which is only made available to the iTunes Music Store).
Rating where download stores sit in the market is a bit tricky because of the different business models that exist, but Amazon’s equal second place status has been stated by the Wall Street Journal.