Analyst says Apple “stands to benefit greatly” from Pepsi partnership

“The analysts speculate that if half the 100 million tracks available through the Apple/iTunes promotion are redeemed, “it will increase iTunes downloads over 100 percent”. This will also increase Apple’s market share in comparison to rival vendors.

The report looks at the true strategy behind the store—increasing iPod sales. As most competing players utilize an incompatible file format, IDC says: “Apple stands to develop a built-in market for the iPod”. It agrees that if users use and choose iTunes then they will be more likely to buy Apple’s music player in preference to competing products.

The conclusion? “Apple stands to benefit greatly form this promotion and carry its momentum forward”.”

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