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Global digital media revenues grow 20 percent in 2008
The world’s top 27 digital media firms increased their earnings to $74 billion in 2008, up 20 percent over 2007 totals of $61.5 billion, according to market intelligence firm Strategy Analytics. Among the top five digital media companies, Apple’s iTunes unit grew 32.7 percent in 2008, while web services giant Yahoo grew only 3.4 percent last year. Strategy Analytics adds that companies focusing on premium media downloads like music and video are faring better in
the current economic downturn than rivals focusing on online advertising. Despite the recession and slowing digital media growth, Strategy Analytics projects a further 7 percent to 9 percent increase in 2009. “The fact that, in 2008, most of the companies focusing on consumer paid-for media in the Strategy Analytics Digital Media Index performed much better than most of the companies focusing on online advertising, could be an early indicator that we are approaching a watershed moment in the nascent digital media market, and that more focus will be put on consumer paid-for online media in the difficult years ahead,” said Strategy Analytics director of digital media research Martin Olausson in a prepared statement.