• Apple Still Rules U.S. Movie Download Market

    IHS iSuppli, a market research firm, released new data on the U.S. Movie Download market yesterday. The report shows that Apple and iTunes is still very much on top compared to other companies and other digital stores.

    The news is not all perfect, however, as there seems to be more consumers who are considering using other stores other than Apple's iTunes for movie downloads. Apple's numbers are down from just a year ago. In 2009, 74.4% of consumers chose to purchase their movies from iTunes, while in 2010, it seems that number shrunk to 64.% of customers. This is still a strong majority, and light years ahead of Microsoft, the next closest competitor. Microsoft only held 17.9% of the market share, yet that was up from just 11.6% a year ago.

    Sony has the only digital store with significant market share, now holding 7.2% of the market, up slightly from 5.7% a year ago. Other companies make up for the remaining 10.4% in 2010.

    iSuppli adds that iTunes "showed remarkable competitive resilience last year… staving off a growing field of tough challengers." They also note that the movie download market grew significantly in 2010, which could attributed to straing Microsoft Xbox sales, 2nd Generation Apple TV sales, and the expansion of Wal-Mart's Vudu service.

    One final note, the report omitted the popular streaming service Netflix, on the grounds that it offered subscription-based movie streaming, rather than the pay-per-view model that the other companies utilize.

    iSuppli Report
    image: iSuppli
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