eMarketer’s latest report predicts that 2010 will be a digital music tipping point, but not necessarily driven by download stores like iTunes. The company claims US spending on recorded music will increase at a compound annual growth rate of 11.04% over the next four years, but that this year will be when digital spending overtakes physical ($3.39 billion versus $3.11 billion). And eMarketer thinks the growth is going to be in the cloud. “While the first generation of US digital music services was predominantly download-based, the next iteration is likely to be based around subscription models,” says senior analyst Paul Verna. “US consumers are growing accustomed to accessing digital content on remote servers via Web browsers. Extending this paradigm to music files is a logical step, and one that content owners are determined to make work.” Source: Hypebot

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