“Three decades ago, Steve Jobs revolutionized the computer business. Now he wants Apple Computer to do the same with music. Earlier this year, the company launched its iTunes brand, where online users can click through 200,000 songs from every big record company, download each for 99 cents and listen to the songs on their Mac, Apple’s iPod portable music player or any other device that can record and play back the file format offered by Apple,” writes Rob Wherry for Forbes.
Wherry writes, “It’s still difficult to tell how much iTunes will boost Apple’s profits. But Charles Wolf, an analyst at Needham and Co., likes the early signs. For example, in the previous quarter Apple sold 304,000 iPods, up from Street estimates of 75,000. Wolf estimates iPods could account for $274 million in revenue in fiscal 2003, or 5% of sales. Apple’s iTunes service should also be helped by a new version of iTunes for Windows users, which should be available later in the year.”
Full article here.