In another move for global tech dominance, Apple has recently announced that it is in talks with licensing music for an online radio service. In response to this, Pandora, another leading online streaming radio giant,Â had their stock plunge. Without even formally entering the market, Apple’s effects is already being felt on the streaming market.
This is potentially going to have a huge effect on the market, as Apple will almost certainly offer the application on their phone platforms. Pandora is also currently among the entertainment apps (accompanied by ESPN’s,Â DirecTV’s mobile app, etc.) and it can be inferred that this will hurt the availability of Pandora on Apple devices.
What is the most condemning for Pandora is that they get about 40%+ of their usage from iOS devices, and it can potentially lose a chunk of it’s market. Along with this, Pandora has over 70% of the online radio market, and around 6% of the entire radio market. This decision for Apple to come into the streaming market is going to have a definite effect, especially with the control Apple has with its iTunes store. With that kind of large paid market, it can be assumed their streaming market will only do better.
All of this is coming on the heels of a huge Apple win over Samsung in a patent dispute, and right before theÂ rumored release of their iPhone 5. Apple is looking good to take on the mobile computing device market in the upcoming year. Apple has taken an aggressive approach in topping the mobile market, and it will be an even more exciting year for Apple fans andÂ enthusiasts.