Music Fans Dodge Fees With Handset 'Sideloads'

Smartphone users are choosing to share music rather than pay for downloads
By Jim O'Neill,  Newser User
Posted Jan 19, 2008 7:50 AM CST
You can now listen to the music from your iPhone in the car with Belkin's new TuneBase FM for iPhone and iPod and TuneCast Auto for iPhone and iPod (Photo   (Associated Press)
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(Newser) – Apple has sold 4 million iPhones since last summer’s launch, and it’s become the industry leader in mobile web access, while having just 1% of the handset market, reports Reuters. But the sleek smartphone hasn’t appeared to have made a bump in music downloads. Overall, downloads to handsets have been a disappointment to the music industry.

Users, instead, are sideloading from their computers or other devices, said M-Metrics in a new study. And much of that music is streamed between computer users, with no cash going to music companies, worrying execs that the era of purchased downloads could be coming to an end. Already, European mobile users listen more often to shared than to purchased music.