Feeds

iTunes to yield 5% of Apple's revenues in 2006

Analyst does his sums

Security for virtualized datacentres

Apple will have sold 1.365bn songs through the iTunes Music Store by the end of 2006, investment house Piper Jaffray calculates.

According to a note send by PJ analyst Gene Munster to investors this week, relayed to the rest of the world by iLounge.com, that's 55.6 per cent more than the company had previously forecast.

The revenue realised will account for five per cent of Apple's sales next year, Munster writes.

His reckoning works along the following lines: “Assuming 133m iTunes downloads in the June quarter and applying that across the reported 6.2m iPod shipments, Apple is averaging 6.1 iTunes downloads per iPod - based on the entire iPod estimated installed base through June 2005. If we apply this 6.1x ratio to our cumulative iPod installed base estimates through 2006, iTunes downloads for 2006 would be 1.365bn."

The Register's back-of-an-envelope estimates based on the Apple's iTunes sales announcements to date suggest ITMS will sell just under 1.12bn songs during 2006 for a grand total of 2bn songs through to mid-January 2007. It should pass the billion-song mark February/March 2006, a few months after we previously forecast, but still an impressive growth rate.

Our figures assume no sales from iTunes Japan, which is clearly ridiculous, even had the Japanese store not proved as successful as it has. We look forward to Apple's next iTunes sales announcement to adjust our model accordingly. ®

Intelligent flash storage arrays

More from The Register

next story
Of COURSE Stephen Elop's to blame for Nokia woes, says author
'Google did have some unique propositions for Nokia'
FCC, Google cast eye over millimetre wireless
The smaller the wave, the bigger 5G's chances of success
It's even GRIMMER up North after MEGA SKY BROADBAND OUTAGE
By 'eck! Eccles cake production thrown into jeopardy
Mobile coverage on trains really is pants
You thought it was just *insert your provider here*, but now we have numbers
Don't mess with Texas ('cos it's getting Google Fiber and you're not)
A bit late, but company says 1Gbps Austin network almost ready to compete with AT&T
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.