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Apple's kiosk patent: Are wireless iTunes downloads on the horizon?

Apple's recently granted patent for what appears to be an iTunes kiosk has the potential to turn the digital-download space on its head — or will it simply be another player in the game?

June 3, 2009

On May 7, Apple Inc. was granted a patent for a "Media distribution kiosk with virtual connector for interfacing with a personal media device" — or, as it has come to be known by speculating geeks around the world, the "iTunes kiosk."
Virtually anything the Cupertino iconoclasts do raises eyebrows, and this hypothetical kiosk is particularly interesting, as it appears to eschew the physical link that today is necessary to connect an MP3 player to a kiosk, opting instead for a wireless one.

The patent describes a method for establishing a wireless data connection with a device after "determining the physical presence of a first media device in proximity to a media-distribution device."In other words: The kiosk senses when an iPod is within range, then establishes a wireless connection with it. No more juggling of memory cards, no more proprietary cables.

Apple kiosk will 'raise the bar'
Patents get filed all the time — often as a pre-emptive strike against competitors — and there is no solid evidence that Apple actually plans to build and deploy the machines. If it did, Apple certainly would not be the first company to attempt to monetize digital media via kiosk, but it would arguably bring some serious firepower to the competition. (Apple would not comment on this story.)
"One of the things that Apple has done effectively is to set the benchmark for ease of use and user experience," said Eduardo Braniff, director of marketing communications company Imagination. "Whether or not you have an Apple product, you are familiar with their interface — flicking through things, the design, the intuitive nature. I can't predict whether it's going to trump all the others, but what it's going to do is raise the bar of interface design and ease of delivery. I think it's good to have somebody out in front that way."
A rendering of the "media distribution kiosk" from Apple Inc.'s patent filing.
Jason Goldberg, vice president of marketing for retail
merchandising firm MTI, thinks the Apple kiosk is a great idea, especially for travelers. He points out that iPods have long been available at airports — increasingly from vending machines (link to Zoom story) — but the user still has to take them home and sync them up with iTunes to import content. The iTunes kiosk would effectively eliminate that step.
Apple's approach to DRM and its proprietary iTunes/iPod connection remains a sticking point for many, however.
"Apple is the 800-pound gorilla of digital content delivery, but their strategy is based upon the content being locked to their device to prevent piracy," said Brad Gleeson, senior vice president of business development for MOD Systems, which sells its own in-store digital media solution.
He noted that MOD's solution, in contrast with Apple's closed system, which ties an iPod with a specific user account on iTunes, is built upon industry-standard SD cards and open-standard digital rights management, which allows content to be portable, as well as played on third-party devices with the appropriate slots.
"It's an uphill battle to compete with Apple's device dominance, but we believe consumers value choice, and a self-service digital media delivery platform, such as what MOD is pioneering, will be a viable and complimentary option for the digital media marketplace," he said. "If anything, this patent validates our business model. Apple's concept will undoubtedly do well, (but) we will be happy to be a successful complementary alternative to the closed Apple solution."
Braniff says the viability of digital-download kiosks depends as much on their offerings as it does on the technology.
"It's going to come down to, where is the best content," Braniff said. "At the end of the day, what I'm taking with me is the content, not the experience of using a kiosk. What we are after are our favorite books, or that track we want or that movie we want to watch. The content piece is very important in terms of who is going to dominate the market."
 

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