Disney cashes in on music downloads
Disney is now trying to make a profit off of the growing number of people who want to download music online. They have launched an online store for people to purchase 1,500 kid songs and 19 music videos. This web site is called Disney Mix Central (DisneyMixCentral.com). It is the first time that the company has had a direct-download service. However, they do believe that this will grow as it is Disney branded and so parents will know that it is safe for their children to use whereas other music stores allow children to access unsafe content. Nevertheless, this web site’s pricing is quite similar to that of iTunes. Currently it is set up with a system wher parents will have to pay after their children have made their selections but later this year there will be a system in which parents can pay for credits and then allow their children to spend them as they wish at this web site.
Now is a good time for Disney to cash in on this market as it is expected to grow 55% from last year. So, once Disney announced this new web site their stock prices rose up 1.4% before closing. This trend will more than likely continue as more and more people will want to cash in on this.