CD/DVDs TO BECOME OBSOLETE?
Filesharing technology may be the harbinger of doom

PCWORD/MACCENTRAL are of the mind that filesharing tech will eventually supplant CDs & DVDs as the prime way people will be getting their entertainment. And they may very well be right.

"Forrester Research claims that new distribution channels like the iTunes Music Store stand to completely replace physical media like CDs and DVDs. "The end of physical media is nearing," said the company.

A new report entitled "From Discs to Downloads" states that 20 percent of Americans participate in some form of music downloading activity, and half of those admit to buying fewer CDs. The report says that in five years' time, a third of all music sales will come from downloads, and video file sharing will increase as well.

Forrester expects that almost 15 percent of the movie rental business will come from on-demand movie services; as it stands now, 20 percent of "young file sharers" has already downloaded a feature film from online services.

Short Sighted?
Forrester principal analyst Josh Bernoff said that "a massive power shift in the entertainment industry" is coming.

"Entertainment executives focused on the short term--fighting piracy--are losing track of the long-term consequences. On-demand services are the future of entertainment delivery. CDs, DVDs, and any other forms of physical media will become obsolete," he said."

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