07/02/2013

Digital Music 'Becomes Mainstream'

Consumer take-up of digital music service is set to catapult to even greater heights, confirms a new report published today by recording industry trade body The BPI.

Digital Music Nation 2013 sets out the latest forecasts for adoption of networked devices and services, with innovative digital music services at the heart of the consumer experience:

•Connected cars become a reality, with more than 50m vehicles equipped with 4G or wifi networked audio systems to be sold every year by 2017.

•More than 18.7m people – nearly 7 in ten households - are expected to own tablets by 2016, with around half of tablet owners already using their devices to listen to music.

•A boom in networked home audio and speaker systems – led by companies like Sonos and Teufel – will see annual sales of well over 3m by 2016.

•Nearly 44m people are expected to be 4G mobile subscribers by the end of 2016 –around 70% of the UK population – and network operators are expected to include music services as a key part of their 4G offer.

•A fifth (17%) of Smart TV owners are already using them to access music streaming services.

These new opportunities for record companies, retailers and artists are already founded on widespread adoption and awareness of digital music services amongst consumers. A fifth of all British music buyers have now fully transitioned to digital and almost 3 in 10 people in the UK having purchased downloads or streamed music content legally in the last year.

The enthusiastic adoption of digital music services is a nationwide phenomenon. Music lovers in Edinburgh are today revealed as the nation’s biggest users of Spotify3, with new research demonstrating very high levels of awareness and satisfaction with streaming services in the UK market.

Commenting on the rapid growth of digital music in the UK, Geoff Taylor, BPI Chief Executive, said: "There has rightly been a lot of focus in the past few weeks on High Street music retail. That will continue - we must do all we can to serve music fans who love CDs and vinyl. But as well as great music stores, Britain is blessed with a world-beating array of digital music services, which fans rate very highly for ease of use and value for money.

"And this is just the beginning. Labels are striking innovative new deals with mobile networks, hardware manufacturers, app developers and start-ups. The music fan will be the clear winner, as digital services evolve to deliver even richer music experiences via super-fast broadband and 4G to tablets, smart TVs and the next generation of in-car audio."

(GK)

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