Digital music player sales set to grow 57 percent in 2005

“Sales of portable digital music players are set to grow 57 percent this year after more than doubling in 2004, results of a global survey showed on Tuesday,” Reuters reports. “Over the next five years, shipments of MP3 music players will expand to 132 million units in 2009 from 36.8 million in 2004, market research group iSuppli said.”

“Shipments of MP3 players, of which Apple’s (AAPL.O: Quote, Profile, Research) iPod is the best known, rose by 116 percent in 2004. Most of the current media players use flash memory chips to store limited amounts of music but there will be more players with higher storage capacity as a result of small built-in hard disk drives (HDDs),” Reuters reports. “Sales of HDD-based players will increase to 56.2 million units in 2009, up from 9.8 million in 2004. By that year, HDD players will be 43 percent of the total MP3 market, up from 27 percent in 2004.”

Full article here.

MacDailyNews Note: Credit Suisse First Boston (see story) expects shipments of 1.5 million iPod shuffle units this quarter in addition to 4.2 million hard-drive-based iPods for a total of 5.7 million iPod units. Apple shipped 4.58 million iPod units in its fiscal 2005 first quarter ended December 25, 2004.

5 Comments

  1. I think the expectation for HD player to be 43 percent is dead wrong. The only reason HD player exist is because flash costs too much. That is changing and will continue to change.

    There is always be a market for HD players because they are so flexible, but I expect flash players will be a strong majority of 85% or more of the market.

  2. Dunno about that hazard’s dad. Just my personal opinion but the big difference between MP3 Players and walkmen is CAPACITY. I can carry my whole music collection with me. Flash is cool cuz it has no moving parts but unless there is a big jump in capacity, HDD players will continue to do very well.

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