iTunes is generally regarded as something of hobby for Apple. After all, the program and the team behind it don’t release hardware devices, which is generally what Apple is known for. However, the iTunes group within Apple is growing, and is responsible for a massive amount of revenue in comparison to any other company. Horace Dediu takes some time to analyze the numbers:
Although iTunes/Software/Services are not usually included in a “sum-of-the-parts” total contributing to Apple’s overall enterprise value, the scale of volume and value of transactions is becoming harder to ignore.
In short, Apple’s iTunes business is a little more than half of Google’s core search business — and it’s growing faster.
Expect iTunes to be a place of intense interest in the next few years.