MANHASSET, N.Y. — Propelled by the surging growth in demand for hard disk drive (HDD)-based products, shipments of MP3 players are expected to rise by nearly a factor of four from 2004 to 2009, said market research firm iSuppli Corp.
Total MP3 player shipments will expand to 132 million units in 2009, rising at a compound annual growth rate (CAGR) of 29.1 percent from 36.8 million in 2004, the firm predicts.

The MP3 player market mushroomed suddenly in 2004, with shipments rising 116 percent as hundreds of products arrived in response to the overwhelming success of Apple Computer Inc.'s iPod. While growth will slow in 2005, MP3 player shipments are slated to rise 57 percent from 36.8 million to 57.7 million, said iSuppli.

The iPod has demonstrated the appeal of HDD-based MP3 players, which can hold far more music than can flash-memory-based units. Competitors have been moving quickly to offer products that ape the iPod's use of a 1.8-inch HDD, which can support the storage of several thousand songs and hours and hours of music playback.

HDD-based MP3 player shipments will grow at a CAGR of 41.8 percent from 2004 to 2009, iSuppli predicts. Shipments will rise to 56.2 million units in 2009, up from 9.8 million in 2004.

By 2009, iSuppli expects HDD-based products to account for nearly half of all MP3 shipments at 42.6 percent, up from 26.6 percent in 2004.