[vannevar]

Streaming is going to dominate the US market, too. Between Netflix and Spotify, iTunes is in serious trouble. It's not clear to me that Apple has a viable response---iTV seems to be in limbo, and iTunes Match seems like window dressing. Apple bought some time for the old music publishing model but that time is running out.

[rsynnott]

To an extent, iTunes has done what it needed to do; it helped make iPods and then iPhones viable. By all reports, it's pretty low-margin (for a while, it was apparently negative margin), and was more about selling the devices than anything else.