Ten years after the launch of iTunes, Apple takes a new turn. The group wants to defend its turnover and the “loyalty” of customers.
The drum roll lasted for weeks … Monday evening, Apple has finally unveiled its service music on demand, during the developer conference that the group organizes this week in San Francisco. As expected, the undisputed champion of “tech” world – and the first market capitalization in the world – relied on Beats, the nugget of Dr. Dre and Jimmy Iovine, bought there just a year through 3 billion dollars to offer a pay service – Apple Music. It will be possible to access it for ten dollars a month early July
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At that price, it must convince the barge with features (and content) that you can not find elsewhere. On stage, so Jimmy Iovine has not saved to praise the merits of this application for listening online songs or radio shows, and communicate with artists (so Soundcloud). Apple has also chosen to couple its recommendation engine with human suggestions. “It’s hard for an algorithm, to bring emotion” , Judge Jimmy Iovine
Read more:. “Apple Music: other platforms streaming on the alert”
For Apple, undisputed champion of selling songs to the unit since 2003 and creating the iTunes service, the operation of the second session of gaits. The Cupertino company had suffered for two years from the emergence of streaming, popularized in France by Deezer, and the rest of the world by Spotify.
This transpires in the figures: in 2012, Apple had reached $ 8.5 billion in revenue through music, which represented the bulk of total store business home digital content, iTunes. Last year, the picture was not the same. In 2014, while revenues increased from iTunes, it is in spite of lower revenues music … To believe the American press, Apple has even seen its sales “music” lose more than 12% per year last …
Double Issue and major
For Tim Cook, Steve Jobs’s successor at the head Apple, objective, major, is to reverse the music-related curve. The challenge is also twofold: it is, on one hand, to rebalance some of the company accounts for the services, at a time when the iPhone represents a growing share of turnover, Business. And on the other, building on a music service, the group also hopes to increase the loyalty of its customers who will likely find it harder to give Apple and its universe once they have made their ideal and customized nightclub.
On landing in music on demand, however, Apple does not happen in virgin territory. The pioneers are in rapid expansion phase (Spotify, Deezer) and new ones (Tidal) show themselves ambitious. Most importantly, Apple will face the juggernaut of online music, YouTube. The video platform Google has become a giant jukebox – and free.
Read more: “Streaming: the difficult equation of freemium”
More young people attracted by YouTube Apple is perhaps their parents, who can afford its services and especially its terminals. The group can from the start to build on its installed base of nearly 1 billion iTunes accounts, his undeniable expertise in the field of “buzz” and its deep pockets. According to AP, the staff of Cupertino is already 100 million on its streaming offer.
Julien Dupont-Calbo
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