Umair Haque / Bubblegeneration
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Design principles for 21st century companies, markets, and economies. Foreword by Gary Hamel. Coming January 4th. Pre-order at Amazon.

Wednesday, August 24, 2005

DRM vs Plasticity

Gen commented and gave this killer data set on the hypergrowth (no kidding) of KDDI's new mobile music download service...nice confirmation of the intuition that, when it's done right, this space offers hhhuge potential.

-- umair // 5:29 PM // 3 comments


Hi umair,
An observation for me has been most of your technology post relates to internet, other areas ( like telecom importantly, seminconductors, networking enterprise software etc are almost non existent). I am sure you might understand the dynamics of those areas too very well but why no posts on them.

// Blogger Rajan // 6:54 AM


Thanks Umair.
// Blogger Gen Kanai // 11:14 AM

Just a few other thoughts on this data. Note:

- this service is a "walled garden" such that those songs are unusable on any other device other than the original mobile it was downloaded to.

- Japan has had a CD rental marketplace for decades, where customers can "rent" a CD for a few hundred yen (a few dollars) albeit the newest music is not available

- All of these customers are on KDDI/AU's 3G "WIN" network and are almost all on an "unlimited bandwidth" package (in contrast with 2G services which charged users by the packet! can you imagine?!?!)


So, my point is that even though the cost for this service is (to me at least) higher than iTunes and less "portable", there is enormous demand for downloading "full songs" to one's mobile.
// Blogger Gen Kanai // 11:20 AM

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