The US audio accessory market is currently worth $80m but could reach $1bn a year, according to Yankee Group.
The analyst has upgraded its 2003 US ring tone market estimate to $80m from $50m, as customers show sustained willingness to pay premiums for the right tune. The global market is worth more than $2.5bn.
By 2008, the US audio accessory market - including ring tones, ring tunes and calling tones - will be worth $1bn. But true wireless music will not hit the mainstream for a few years, the report said.
"As ring tones are the first globally successful mobile micro-payment application, and true mobile music promises to be one of the first mobile macro-payment applications, the music industry will have a profound impact on the shape of the wireless industry," said Adam Zawel, Yankee Group wireless director.
He added that audio capabilities will improve gradually and will play a greater role as an enhancement to games and multimedia on phones and PDAs.
Cotton seedling freezes to death as Chang'e-4 shuts down for the Moon's 14-day lunar night
Fortnite easily out-earns PUBG, Assassin's Creed Odyssey and Red Dead Redemption 2 in 2018
Meteor showers as a service will be visible for about 100 kilometres in all directions
Saturn's rings only formed in the past 100 million years, suggests analysis of Cassini space probe data
New findings contradict conventional belief that Saturn's rings were formed along with the planet about 4.5 billion years ago