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Napster vs. iTunes (Napster Responds)

In response to Apple's claim of selling 5 times as many songs as Napster in it's first week of operation, Napster's CEO, Chris Gorog, responded in an TechNewsWorld article.



Gorog expresses doubts over the statistics that Apple cited, and anticipates future growth for Napster:



    "We expect as soon as we get the word out to consumers that Napster is back, it will significantly impact our growth," Gorog said in an exclusive interview with TechNewsWorld. "We would also expect to be taking away market share from Apple on a weekly basis."



Beyond an advertising campaign, Napster is also partnering with Penn State to provide their students unlimited access to Napster's catalog of songs through their subscription service. Not all students are happy about this deal, and some feel that the money could be better spent. Still, this could represent a significant amount of mindshare if replicated at other colleges.



Apple claims they currently hold 80% marketshare of all legal music downloads and have some substantial marketing campaigns on the horizon (Pepsi, McDonalds?). Steve Jobs also made claims yesterday that the online music download business is not profitable by itself, and that MusicMatch and Napster have "started money losing businesses".

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108 months ago
Just bought another song, after hearing this.
Rating: 0 Positives / 0 Negatives
108 months ago
He's just sad that none of the new visitors bought anything because, IT'S NOT FREAKIN' NAPSTER!!!
Rating: 0 Positives / 0 Negatives
108 months ago
napster has been in the news forever. it's known that it is back out. that's complete bs. foe about a week, that's all i was hearing everywhere.
yeesh.

and that's coming from my non-apple side.
Rating: 0 Positives / 0 Negatives
108 months ago
I'm all up for the competition starting ventures that are essentially a losing effort :)

long live the simplicity of iTMS.
Rating: 0 Positives / 0 Negatives
108 months ago
One thing is a goal and a wish...other one is real hard marketing... apple is pushing really hard, more than before...
Rating: 0 Positives / 0 Negatives
108 months ago

"[Apple is] obviously comparing on the basis of downloads because they're not in the subscription business,"

Hmm, wasn't the success of the iTunes Music store largely due to the fact that it isn't a subscription service.
Rating: 0 Positives / 0 Negatives
108 months ago

Originally posted by Java
Hmm, wasn't the success of the iTunes Music store largely due to the fact that it isn't a subscription service.

Yep! I think Apples has got it right and I can't wait for them to bring the store to the UK. The upside is, I can preview CDs before I buy...

At least Apple will always be known for being first... and actually coming up with the concept. I just can't believe how all the companies seem to be against it (e.g. buymusic.com not allow Macs access, no support of AAC - that's just anal)
Rating: 0 Positives / 0 Negatives
108 months ago
He disputes the "five times" figure (1.5 million versus 300,000), but then

(1) confirms Napster sold 300,000 downloads and

(2) says Napster did "36 percent" of "Apple's business."

Well then he knows what "Apple's business is", right? 833,000 multiplied by .36 equals 300,000. So he's saying "Apple's business" is 833,000?

My guess, the 833,000 is the downloads to windows users. That plus the 600,000 apple users were buying just about equals the 1.5 million cited by Apple.
Rating: 0 Positives / 0 Negatives
108 months ago
"need to get the word out?" good luck with that, napster...

*chuckle, chuckle*

i hate being mean to all these other music services, but its so so so easy.



:D
Rating: 0 Positives / 0 Negatives
108 months ago
Roxio needs to learn NO one wants to rent music and NO one wants to pay for IT service that they are probably not even going to use.

Next thing we hear is Napster has lose in the fight over Music Stores. Apple buys Roxio for Toaster and redesigns Napster for downloadable movies from iVid*or something like that* that can be played on Macs, Windows, iPods, and be burned to DVD recordable media.
Rating: 0 Positives / 0 Negatives

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