Apple, Inc. will transform iTunes into a wireless service for the new iPhone, or create a wireless offshoot of the popular online music service, within the year, Pike & Fischer predicts in a new report.
Apple will have to take such a step to remain competitive, as consumers will increasingly demand the ability to download music and video clips over the air, the Silver Spring, MD-based company argues in an analysis of the U.S. mobile broadband market.
“Consumer expectations will advance to the point where they will eschew reliance on a PC and cable to get content onto their iPhones and other portable devices,” says Pike & Fischer Senior Analyst Tim Deal, lead author on the report, in the press release. “Apple will therefore be forced to offer over-the-air downloads to remain competitive.”
AT&T, the exclusive distributor of the iPhone, has launched its own music download service for its wireless customers. But that service does not work with the Apple device, which hit the market June 29. AT&T rivals Verizon Wireless and Sprint Nextel also offer music downloads for their customers.
The report also predicts that Apple will have to revisit its pricing strategy for the iPhone, which can run up to $600, after the device has been on the market for a few months and demand starts to fluctuate. Additionally, Verizon Wireless is likely to launch an iPhone alternative, in collaboration with a handset manufacturer such as Samsung, in time for the 2007 holiday season, according to the report.
Pike & Fischer, a BNA company, offers a host of legal and business products covering the telecommunications industry. This new report, U.S. Mobile Broadband Services – 2007 Competitive Analysis and Strategic Outlook (US$799) is available at www.broadbandadvisoryservices.com.
All of the components are seemingly in place for such a service – if Apple wants to go in that direction.
The only thing I want is iTunes store available in Mexico
Over the air, over the sea…in space…whatever….
@ Mikey…
I’m gonna be in Guadalajara and in Cancun on August 18th – 28th…Any suggestions for free wifi? I plan to travel and document my expierence with my iPhone in Mexico…similar to my documentary in Las Vegas, the weekend of the initial release.
gracias!
iPhone in Vegas
Great…more stock price manipulation. Set ’em up and watch ’em fall hey?!
iTunes is and will carry on being highly successful with or without over he air downloads…
End of story.
Can I use iTunes on my brown Zune?
Apple is rarely first to market with a new product or service…they are usually just first at making those products and services amazing. They will come out with streaming iTunes when they’re ready…and continue to bury the “competition”.
Sorry, Apple doesn’t “have” to do anything the analyst says.
My MBP is much snappier after the server upgrade!!
Another analyst who doesn’t get it. Comparing other music download sites to iTunes is not a good for their clients. Look at all the iPod/iTunes sites that offered downloads that were touted as competitive by analsts. Most are bankrupt or hemoraging money. Apple has iTunes and no one else does. Therefore; Apple wins!
I’m not so sure that people are clamoring for this just yet. It sounds cool and seems like a logical next step, but except for teens who are willing to pay ridiculous prices for ring tines, how many really need to download Kelly Clarkson or Dude, Where’s My Car? while on the way to work?
This kind of seems like a solution with no real problem (a la M$) and also diverges from tethering people to iTunes on their home computer.
I don’t buy it.
And how did this frigtard arrive at his brilliant conclusion? By anal extraction, I presume?
I would use it. I’m no teenager, but when I hear a song are think of a song, and I could download it instantly, I would buy a lot more from iTunes. By the time I get home, half of the time I forget what I was looking for. This would drive impulse iTunes sales.
Wow, I didn’t think it was possible, but the server upgrade has not only improved page loads, but also raised the general respect and intelligence of the posters here! I have to agree that Apple will do what it wants when it wants to, not when analysts think they should … or even “when customers demand it.” And yes, that’s (generally) a good thing.
oops … it looks like I spoke too soon
Analyst…. you mean ‘rumor monger’?
Silly analysts. Look at how long it takes the iPhone to dl a webpage over edge, do they actually think apple is stupid and will offer this when it’ll take a customer 5 Min to dl a song. Not to mention the problems assoicates with navigating sites like that and attempting to listen to a preview. All together it would be 8-9 Min for an individual to get ONE song. Until wireless broadband is available for their devices it ain’t happening
As if there weren’t enough complaints about the speed of the EDGE network — let’s download songs over it! (I, by the way, demand them in the Apple Lossless format, at about 22 MB for a 3-minute song.)
Stevin beat me to it. Always two minutes late. Story of my life.
Funny DJ..!
I agree with R. Who needs to download songs over their slow mobile phone connection? The iPhone/iPod is a listening device. You spend time on your computer sorting your library and selecting which songs/podcasts/videos you want to load onto it.
Every analyst has got the iTunes/iPod killer service/product wrong so far, so let them carry on slamming Apple for its inability to ‘stay competitive’.
Now where’s my Zune turd so I can get on the ‘social’?
PEOPLE. First we see the word analyst. We pause and think. Then we laugh at what ever they say.!!!! LOL LOL
Analyst,” Apple must offer an FM player in its iPods cause everyone else does.”
“Apple must offer subscription music cause everyone else does.”
bla,bla,bla.
No talent people telling us what we must believe. Its way too sad. 🙁
en
And then Apple will place Music Stores everywhere (physical ones, that is), in which there will be computers (Macs?) or terminals with a secure wireless connection in order to sell digital downloads….Bring you own iPod, or iPhone (everybody with an iMac or a Mac Mini can also carry it, if they carry also the display and keyboard, in the last case, just the keyboard in the first), and then go loaded with the music you like (and can pay for)
Can’t you do it already from home? Sure…but there’s the admission fee. Think as a club for select snobs…oops, members
Doomed, Apple, aren’t you?
Everytime i think about, Apple is turning in……something different. We’ll see
The average time to load this page (3 loads) was 18 seconds. I don’t notice much of any difference with MDN’s new server. We’ll see what happens on a busy day, maybe like later on today.
I guess maybe I’m set in my ways, but I just don’t see it. Do that many people really want to download music while out and about? I mean, aren’t the other guys offering this folding up… “blood on the click wheel” ya know? And as others have mentioned, just the sheer pain of downloading music over an EDGE connection would seem to keep Apple from doing this. Seems Apple is pretty good about NOT doing things that would be painful for the end user, even if they’d be kinda cool.
There is NO iPhone alternative! Neither Verizon nor any other cell phone service or cell manufacturer has an alternative to the iPhone.
The iPhone is unique because of the OS, and not because of its design.
There are many sexy cell phone designs, but not OPERATE like the iPhone, because none have an intuitive user interface.
If you watched the interview between Wally Mossberg and Super Steve from June, Stevie talks about how you DO NOT want to have to copy back songs you bought on your wireless device to your computer. (you loose your device, you’re toast) It’s a better experience to look for music from your computer. I can see sending an email of some sort from your phone (phone home icon
” width=”19″ height=”19″ alt=”tongue wink” style=”border:0;” /> ) to home (what ever home ends up being) telling it to purchase the song for you. Then when you get home, you have it.