“Don’t call it a comeback yet, but Sony has a new lineup of digital music players that are slicing into the popularity of Apple Computer’s iPod device in Japan,” Reuters reports. “Apple is still squashing Sony in Europe and North America, where the iPod has achieved iconic status and a big selling point is the availability of iTunes, an easy-to-use music download service that has not yet been launched in Japan.”
“While Apple remains the top seller of hard-drive players in Japan, there has been a decisive momentum swing in the Japanese market, with Sony securing the top position for memory-type players in both May and June, knocking Apple and its iPod Shuffle device into second place,” Reuters reports. “According to market research company BCN, Sony’s share of the Japanese market for flash memory players went from just 4 percent in March to 16 percent in April and shot up to 27 percent in May and June. Apple’s share has fallen to under 20 percent… Sales of the hard-drive units have been less impressive, but that is not surprising as Sony’s only players on the market are 20GB and 30GB models, leaving it without a product to go head-to-head with Apple’s hot-selling iPod mini device.”
“Sony’s new Walkmans have not sold as well in Europe and North America and that several hurdles remain to its success in those markets,” Reuters reports. “One is Apple’s entrenched position. According to industry data, Apple holds 60 to 70 percent of the U.S. digital music player market and is also very strong in Europe.”
“Based on the hardware, they look very sharp. But Sony’s big challenge has always been to create software that is easy to use right out of the box,” said Jon Erensen, a U.S.-based analyst at research company Gartner who tracks the music player market,” Reuters reports. “Erensen said lack of an iTunes online store aimed at users in Japan was a major reason behind Sony’s success in its home market. That could change if Apple, as a newspaper reported, unleashes iTunes in Japan next month.”
Full article here.
MacDailyNews Take: Sony has 27-percent of the flash-based market share in Japan. That’s about the gist of it. Color us not shocked. We’re also not the least surprised that this story surfaced the day after Apple announced record earnings, revenue and massive iPod sales and strong Mac sales. So, if BCN’s data are correct, congrats to Sony: one in four flash players purchased in Japan in May and June were Sony brand players. Hey, did they exclude PSP or count it? No matter, that percentage may be their high water mark. iTunes to the rescue! The iTunes Music Store Japan will rewrite that market and Sony’s share will shrink back to “small as a pack of gum” size. Have you tried Sony’s online music store? If not, down some Pepto first, you’ll need it. Sony would be well advised to screw with Apple’s Sony licensing for the Japan iTunes Music Store ad infinitum.
Related MacDailyNews articles:
Apple shares surge in after hours trading on stellar earnings report – July 13, 2005
MacDailyNews’ live coverage of Apple Q3 2005 earnings conference call – July 13, 2005
Apple smashes street with record revenue, earnings; shipped 6.155 million iPods – July 13, 2005
Apple Q3 2005 Macintosh and iPod unit results – July 13, 2005
Sony debuts US$199 1GB iPod shuffle killer, bills it ‘small as a pack of gum’ – July 06, 2005
Sony’s portable music player sales tumble in face of Apple’s iPod success – January 28, 2005
Mossberg: Sony Walkman ‘laborious, weak, lousy, confusing, stinks’ vs. Apple iPod – July 28, 2004
Washington Post: Sony’s internet music service ‘is an embarrassment to the company that gave the world the Walkman – May 29, 2004
Apple should take this as constructive feedback – they don’t want to have a player that people buy only because of iTunes…
the shuffle needs a display. they are going to be outdone by good offerings from Sony and others without it.
the psp shouldn’t count
it doesn’t count as stereo sales when someone buys a Hummer even though there is a stereo in it
Yes, Apple should really read that as a sign to move forward with their flash player product– put a display in it. Of course I’m an iPod fan but that Sony Flash player with the electroluminescent display is really cool and sleek.
I wonder which music company was holding up the iTMS debut until their new flash based players got a foot hold. Could it be Sony? They are doing it in Oz. Wouldn’t put it past them.
Yeah, and that was no plane that crashed into the Pentagon on 911 either.
The sony flash blased players are HOT.
don’t get me wrong, i’m a huge ipod fan as my 20 gig hardly leaves my side, but the flash based sony player w/screen smokes the shuffle in looks and functionality.
don’t be blinded like MDN…MDN i love you but sometimes you’re too biased it’s on the borderline of idiocy. Just for 1 second look at the players and judge the players, not the music store.
The shuffle doesn’t really need a display at all, what apple should do is intro a new type of ipod the takes on the elements of the shuffle +display in the 2Gig and maybe eventually the 4gig range and bump the mini to the 6gig and 8gig range (when enough 8gig mini drives are available in quantity)
The Shuffle has lot’s of style and I’d buy the one without the screen thank you: it’s less nerdy.
Apple should leave the shuttle as is…
They should introduce a new version with a screen at the same price and drop the current Shuffle’s price even lower.
I was in Japan a couple of weeks ago, and it was obvious that there were at least as many Sony players around people’s necks as Shuffles. Loosing market share is never a good sign and Apple will notice that, too. A Japanese music store is really due.
MDN: These “news” were actually reported already a while ago.
I own a Shuffle and I think is is great but its value is that it carries a good handful of songs for $99. It is not much to look at. It works great with iTunes and that’s a big plus. I also own an iRock flash player with display and FM. It does not support AAC but for ease of use flexibility and style it blows away the Shuffle. Apple needs to re-ignite their design team in time for the school buying session.
Shuffle definitely needs a cool little display, something minimal like Sony have done. It is THE reason I was put off purchasing the Shuffle. If I was blind it would have made more sense.
Don’t worry. Sales of this Sony thing will fall once people realize that the battery life is exaggerated and that ATRAC is horrid. A display is crap when there is no way to navigate through songs, and when you can’t see it outside. It also only supports USB 1.0. OK, fine, so it has an FM tuner. So what? When I listen to radio, I spend most of my time changing stations because of commercials, so I gave up on radio a long time ago. A relic of a bygone time.
I’ve yet to buy and iPod. I like Apple’s flash based iPod but I DO NOT LIKE
it without a display and I also don’t like the shuffle only feature. I want something that I can use almost like a regular iPod but in a flash based unit. And I want it from Apple.
– Mark
If we’re talking about the Network Walkman, the display is useless as it only displays info on the song in play. What’s the added value in that?
Showing the battery life is good, however.
Sony owns the majority of Sony/BMG music. This operation (Sony/BMG) is the only thing stopping iTMS Australia. I wonder if they are also blocking iTMS Japan. Sounds like an anti-trust lawsuit to me.
Japanese consumers are notorious for going with one of their own (Sony) over any foreign alternative when it comes to electronics, cars, etc. Therefore, I doubt Apple will ever have the iPod marketshare in Japan that they enjoy in the US and Europe regardless of what they ever do. Many Japanese consumers will go with the Sony mainly because it says Sony on it. Whether you find that politically correct or not, it’s simply a fact of life…
Funny the music stores will say ‘we can’t compete because of the ipod’
and the ipod competitors will say ‘we can’t compete because of the store’
DAMN THAT JP STORE SHOULD HAVE BEEN OUT AGES AGO…
When it comes out Sony’s cooked (pfft, okay, it’s not like they’re making a shitload on anything not called Playstation anyway)
BTW. PSP sales are shit
Now there’s a motive for Sony to hold up iTMS in Japan, and probably Australia. If this happened in the U.S. or Europe, there would be a hefty price to pay for such ethically-questionable activity. I don’t see it happening in Japan, but does Australia have some kind of justice department to investigate this?
They only way to stop Apple is to prevent them from opening iTMS. These so-called competitors can’t compete on a level playing field, or even one slanted in their favor. They have to keep Apple from stepping onto the field to have a chance. And I thought Apple was the small underdog in the consumer electronics world.
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Wether or not Sony is playing a little dirty, its good to finally see a spark of competition to keep Apple on its toes.
Apple is just like every other company. You get a little market share, you get comfortable, you get lazy.
The Sony player is crap. It won’t play iTunes music, you have to lug the connecting cable around with you if you plan on plugging it into your computer, and it costs much more than an iPod Shuffle.