Music streaming has now established itself as Sony Music’s largest money-making format, whereas downloads are shrinking fast.
Not only is music streaming crushing downloads, they are now generating over double the revenue for Sony than they receive from iTunes and other similar music download stores.
Sony Music’s total revenues from music for the 2nd quarter grew by 8%, according to its new earning report.
The company generated music revenues, which included recorded music and publishing, for the three-month period ending in September 30 of $1,4bn, with operating income reaching $164m.
As mentioned the biggest driver for this growth, was music streaming, which accounted for 41.5% ($303m) of Sony’s quarterly revenues, which marks a year-on-year growth of 26.6%.
Surprisingly, physical sales still make up a similar chunk of their revenue as streaming, at 40% of its Q2 revenues. On a downside, downloads continue to shrink and only account for 18% of revenues of Q2 and are plummeting 31.6% year-on-year.
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