Feeds

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

Analyst does his sums

Choosing a cloud hosting partner with confidence

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. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Sea-Me-We 5 construction starts
New sub cable to go live 2016
Vodafone to buy 140 Phones 4u stores from stricken retailer
887 jobs 'preserved' in the process, says administrator PwC
EE coughs to BROKEN data usage metrics BLUNDER that short-changes customers
Carrier apologises for 'inflated' measurements cockup
Comcast: Help, help, FCC. Netflix and pals are EXTORTIONISTS
The others guys are being mean so therefore ... monopoly all good, yeah?
Surprise: if you work from home you need the Internet
Buffer-rage sends Aussies out to experience road rage
EE buys 58 Phones 4u stores for £2.5m after picking over carcass
Operator says it will safeguard 359 jobs, plans lick of paint
MOST iPhone strokers SPURN iOS 8: iOS 7 'un-updatening' in 5...4...
Guess they don't like our battery-draining update?
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.