Digital music worth USD22bn by 2017
VALUE ADDED SERVICESBy BiztechAfrica - Aug. 29, 2012, 2:48 p.m.
Research firm Ovum predicts that the global digital music market will grow at 15% annually, reaching nearly USD22.5 billion by 2017.
Ovum says revenue is being boosted by subscription services, predicted to show a strong compound annual growth rate (CAGR) of 46%, much of it on the back of bundling partnerships with service providers.
New forecasts from the global analyst firm reveal growth across most regions, except North America and Europe, where mobile music is expected to decline by 5 – 7% (excluding unlicensed, non-music, and mobile subscriptions) as ring back tones fail to make up for the decline in ringtones.
While mobile music is having a rough ride (particularly in the west), consumers are recognising the benefits of the subscription model, being able to access tens of millions of streamed songs for the price of a CD every month rather than owning individual downloads. Telcos are helping to drive subscription growth with mobile music bundles.
Mark Little, Ovum’s consumer telecoms analyst, says: “We expect the main driver of digital music in the forecast period to be subscriptions, because it is a format that can be easily bundled by service providers, as well as offered directly, resulting in increased penetration of subscriptions around the world”.
MORE VALUE ADDED SERVICES NEWS
New mobile microjobbing service offers businesses a unique crowdsourcing modelA new mobile microjobbing service is set to give businesses, NGOs and government organisations a new way to crowdsource information and interact directly with the South African public. Read More
EcoCash launches MasterCard debit cardEconet’s Mobile Money service has announced an agreement with MasterCard expected to help reduce cash dependence and increase financial inclusion through the provision of electronic payments in Zimbabwe. Read More
Subscribers to get 25% airtime bonus via Orange MoneyOrange has launched a promotion enabling its subscribers enjoy a 25% airtime bonus when they top up their airtime via Orange Money. Read More
Airtel wins case to open up M-PesaThe Communications Authority of Kenya (CAK) has ordered Safaricom to open up its M-Pesa platform after Airtel Kenya filed a petition. Read More
Revolutionary second screen partnership enhances Dream School SA impactA popular South African TV series in which youths who have dropped out of school are coached by celebrities, has expanded its reach through a partnership with WeChat. Read More
Samsung Partners in good health for Sub-Saharan AfricaSamsung Electronics is supporting the GSMA Mobile for Development mHealth programme on a range of mHealth services in Africa. Read More
New partners join ITU’s Be He@lthy, Be Mobile initiativeThe International Telecommunication Union has announced that global healthcare company GSK and Public Health England (PHE) will join Be He@lthy, Be Mobile, an initiative which it leads in collaboration with the World Health Organization (WHO). Read More
SIA Group enters African card payments sectorPerago has signed an agreement with Swish Payments to support its new m-commerce initiative in Africa and Europe. Read More
MTN partners Salt & Einstein MTS, NHIS on insuranceMTN Nigeria says it has partnered Salt & Einstein MTS and the National Health Insurance Scheme (NIHS) to help push health insurance to many people in the country leveraging on its wider reach. Read More
FEATURED STORYWidening ICT skills gap: Cause for concern
Nigeria's FDI gains could be eroded by the widening gap in indigenous skilled ICT manpower, writes Kokumo Goodie.
BEST READ NEWS
IN DEPTHKenya rolls out e-extension to improve agriculture
In a bid to curb the overwhelmed number of agricultural extension officers in Kenya, the ministry of agriculture is embracing technology with their introduction of E-Extension services, which are aimed at reaching out to over 7 million farmers annually.