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Microsoft Wants to Take a Bite Out of iTunes' Market Share

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Microsoft Wants to Take a Bite Out of iTunes Market Share. Apple reported in May that they possess 82% of the digital download market. Microsoft is planning to release its own music download service based around a subscription model. In addition they are negotiating with copyright holders to allow them to transfer songs purchased from iTunes to their own secure WMA format allowing users to choose from a wide selection of MP3 players.

The fact is that Apple cannot continue with an 82% market share for much longer. Microsoft has the money to throw at this market. They also have outlets they can tie in with their music service, such as the video game market. Imagine being able to connect your mp3 player to your Xbox or PS3 to download music. Many people who own game consoles do not own computers, this is an untapped market. However, at the same time I do not wish for the demise of Apple and iTunes it is always good to have a choice.

[Cnet]

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