Apple’s AirPlay drives iTunes momentum in online movie market share

“A new report from research firm IHS suggests that Apple’s iTunes share of ‘consumer spending for movie electronic sell-through (EST) and Internet video on demand (iVOD)’ grew during the first half of 2011, the first time since 2009, despite an increase in competition from Walmart and Amazon,” Todd Haselton reports for BGR.

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“iTunes had a 65.8% market share during the first half of this year, up from 64.9% during the first half of 2010. It also had the largest increase in revenue growth among its competitors,” Haselton reports. “‘Much of iTunes’ success can be traced to the rising usage of Apple’s AirPlay system, which allows wireless video streaming to consumer electronic devices including televisions,’ said IHS research director Arash Amel. ‘This has expanded the reach of iTunes to new platforms, boosting sales of movies from the system.'”

Read more in the full article here.

[Thanks to MacDailyNews Reader “Lynn Weiler” for the heads up.]


  1. Apple needs to realize it’s momentum is due to Asia especially China .
    AirPlay is great , but the hardware Apple TV is mediocre and lacking in content .

    Apple should concentrate on emerging market more .

  2. To me, Apple TV is a museum piece, a curiosity that does nothing, like a Seinfeld episode. It’s a latter day Cube, a complete waste of time. If you like watching pokey 720p videos, go right ahead. I like mine 1080p and Apple ain’t telling me what to do.

    1. Most of the value comes from the content. I expect it to be a repeat of the iPod, where the vast majority accepted lower audio quality in exchange for mobility, convenience, and price flexibility. Quality eventually permeated.

      Surveys (vagarious as they are) show that most viewers can’t accurately assess video quality, anyway.

      1. I use a Mac mini as a video server and can’t see why I should compromise on video quality. There would be instances where I would be willing to sacrifice portability for loss in quality but Apple TV doesn’t fit the bill unless Apple cranks up the resolution.

        1. I have spent more money on AppleTV shows since they introduced iTunes in the cloud for TV shows than I ever have before. The problem with ripping shows from dvd or downloading them from the internet is that it takes a lot of time to download, convert and tag the file, then it takes up space on my computer.

          I’ve been wanting to watch the new season of Entourage on HBO after having bought the 7th season on my AppleTV last week. I thought about getting it via torrent, but ultimately I would rather spend my money in defense of waisted time and hard drive space. I will wait till it is on AppleTV. And I won’t ever buy another season of a TV Show on DVD again. AppleTV with iTunes in the cloud is so so easy and convenient. I don’t know why people aren’t talking about what a killer app that is for AppleTV. You can still download the files for offline use to any apple device, which is also convenient, but this really is like iTunes for your television and better than Netflix because you have access to premium content. Premium content that doesn’t come and go at the whims of content providers. And yes it costs money, but it’s worth it. Seriously

    2. The Cube was an awesome computer design, hardly a waste of time. It was too expensive for the market. In contrast, the AppleTV2 is cheap enough to be an impulse buy for most people. For people like me, who don’t have cable or a Wii (for Netflix), it is well worth it.

      1. I see your point and entirely agree with you. It’s a convenient video server. My library, on the other hand, comes from Blu-Ray Discs making Apple TV less suitable than a Mac mini. I don’t think it’ll be that difficult for Apple to crank up the video output to 1080p but then you’d butt up against bandwidth limits and online delivery so I understand where they went with this.

        1. Balmer. Its all about bandwidth right now! Just like everything else Apple does, it takes baby steps to make sure the concept works, the tech works etc. As a web streaming device, ATV is excellent. Especiallly for the price.

      2. You are right about the Cube. Although not a big commercial success, it laid some groundwork for the Mac mini, MBA, iOS devices in terms of compact packaging and passive cooling of densely packed electronics. Similarly, I like to think of the Mac Classic and the 20th Anniversary Mac as the inspiration for the current iMac. Sometimes it takes a few tries to hit the home run. Apple is willing to take some chances.

  3. AirPlay is the secret sauce of iOS.

    Live streaming The iTunes 2011 London Concert Series from the iPhone to the HDTV proved that handily!

    Broadcasting through the app to the TV via AirPlay; the new global television network.

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