Analyst: Apple could ‘flick the switch on subscriptions’
Merrill Lynch analyst Steven Milunovich said today that Yahoo’s low-priced subscription music service could cause Apple to offer a similar plan of its own through iTunes. “Apple could flick the switch on a subscription model,” Milunovich said in a research note obtained by iLounge. “Yahoo clearly is a problem for Real Networks and Napster, but will it hurt Apple? We do think Yahoo’s entry could cause Apple to offer iTunes as a subscription model later this year, especially if there is evidence of share loss.” He noted that subscriptions account for about 15% of the legal download market with iTunes holding over 70%.
Milunovich also said Apple is working to protect iPod profits. “Meanwhile, Apple isn’t standing still,” he said. “Industry observer Robert Cringely examined the new Tiger OS and found unused icons and support of the H.264 codec that hint at video capability on the iPod and an iTunes video store. Similarly, we have speculated that an iPod running video clips could be out for Christmas and that H.264 was important to future hi-def plans. Cringely also believes Tiger may have support for competing music formats, indicating that if iPod margins get squeezed Apple might license its software and switch to software-driven profits. That’s more of a stretch though Apple does appear to have learned from past mistakes.”
- Apple Music service to include social pages for artists
- Apple streaming music service to provide limited free listening options
- OpenTV sues Apple for alleged patent infringement
- Report: Apple still missing key music streaming deals in time for WWDC debut
- Apple vying for artist exclusives for streaming music service; family plan?
- Apple releases iTunes 12.1.2 with OS X Photos app support
- Report: iOS 9 will bring new security features, improve legacy device support
- Report: Apple’s push for local content may delay Apple’s TV service
- Adobe dropping Photoshop Touch in favor of more focused apps
- Report: Dual app viewing, multiple logins coming to iPad
- Transit coming to Apple Maps in iOS 9?
- Apple and IBM expand MobileFirst apps to Apple Watch
- Report: Pebble facing financial struggles?
- iOS 9 to include new Home app for HomeKit?
- Report: Apple to bring Apple Watch font to iOS 9
- Leak reveals Flow by Outlook, a Microsoft email messaging app for iPhone
- Apple iPhone Lightning Dock
- Witti Notti and Dotti
- PhoneSuit Elite 6 and Elite 6 Pro Battery Case for iPhone 6 and iPhone 6 Plus
- Wren V5US Speaker
- Skech Base for iPad Air 2
- Anova Culinary Precision Cooker
- Phiaton MS 100 BA Earphones
- Olloclip Ollocase for iPhone 6
- AKG Y50 On-Ear Headphones
- Audio-Technica ATH-MSR7 SonicPro Over-Ear Headphones
- Will removing a credit card from Safari also remove it from Apple Pay?
- Can I mute Handoff calls coming into my Mac from my iPhone?
- How do I keep my iPhone calls from ringing on my Mac?
- Why doesn’t Traffic show up on my Today Notifications Screen?
- Why doesn’t my iPhone reconnect to Wi-Fi after I turn it on?
- Why can’t I see the iPad-style landscape view on my iPhone 6 Plus?
- Is there a point to having both iCloud Photo Library and iCloud Photo Stream enabled?
- Why can’t I set a longer passcode timeout on my iPhone 6 Plus?
- Can I turn off Message Read Receipts for only some users?
- How do I share one iCloud Photo Library within a family?