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July 1st, 2005, 20:59 GMT

Podcasts Will Go Mainstream and Will Have Ads

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Two days after Apple implemented podcasts into iTunes, Gartner has published a report which analyzes this strategy and makes some interesting suggestions.

After making a short presentation of the circumstances that led to the Apple's decision of releasing iTunes 4.9 with podcasting support, the Gartner report says the Cupertino company will monetize podcasts
by using the same strategy it has used for music download.

The key element of this strategy is of course iPod and Apple will continue to promote this product as the main podcast tool. Apple's decision to assign podcast selection to iTunes by an editorial staff is welcomed.

Gartner's report considers that podcasts can generate income in two ways: by inserting ads and by sponsored podcasts. Gartner considers that Apple will launch as soon as possible applications which will allow ad insertion.

Gartner concludes the report with a suggestion to all content distributors: It's time to get aggressive in offering podcasts. Don't let return on investment be an immediate concern. Compared to the usual style used by Gartner in analyzing new technologies, podcasts are looked up with enthusiasm, which tells us we are witnessing the birth of a huge business.

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