According to a Billboard article published Wednesday, Neilsen Soundscan has reported an 11% decline in album sales during the first half of 2008, compared to the same period in 2007. Consumers purchased 204.6 million albums between January and June, over 25 million less than a year ago, but luckily not as sharp a decline as the 15.1% that occurred in the first half of 2007 as compared to 2006. Nielsen Soundscan told Billboard that the "drop is fueled largely by the 16.3% decrease in CD sales" despite digital album sales rising 34.4& to account for 15.4% of sales (31.6 million units).

Digital growth is still a productive and lucrative spot for the music industry, with single track downloads growing 30% to 532.7 million units in the first half of the year over first half sales in 2007 of 417.3 million units. Universal Music Group is still the most dominating music company, despite dropping .3% to 31.2% in sales. Sony BMG Music Entertainment and EMI Group also fell, with Sony BMG dropping .5% to 24.8% and EMI dropping 1% to 9.4%. The only major music company to gain any ground was Warner Music Group Corp. (NYSE: WMG), rising .8% to 20.8%. Independent music companies also rose in the first six months of 2008, capturing 13.9% of the market -- up 1%.

Declines in album sales are a constant trend in the music industry, so an 11% drop is no real surprise but the lowered decline over one year ago should cause some relaxation. The only problem with the drop in decline is that album sales are still falling off. Even though Nielsen Soundscan and Billboard both commented on the hope provided by single track downloads, the industry still looks to album sales to justify the recording and marketing of music. If that trend would change, single track downloads would make an obvious market to rely on. Instead, reports about declining album sales will still continue while single track downloads continue to grow.

AC/DC has become the latest veteran music act to join with Wal-Mart Stores, Inc. (NYSE: WMT) to release a new album solely with the retailer, according to the Wall Street Journal. The currently untitled album is expected later in the year and will be the first album of new material from the Australian rockers since 2000, while a tour in support is also expected to follow the new release. Although slated for release solely in Wal-Mart stores, the album is distributed by the band's longtime label Columbia Records, a part of Sony BMG Music Entertainment.

AC/DC follows a number of large selling artists: Garth Brooks, the Eagles, and Journey. The Eagles famously released their first new album in 28 years with Wal-Mart and according to Nielsen Soundscan for Billboard, Long Road Out of Eden has sold almost 3 million copies in the United States. Journey released an album of new material and newly recorded hits last month with Wal-Mart. In addition to this coup from Wal-Mart, AC/DC continues to remain one of the only acts not present in Apple Inc.'s (NASDAQ: AAPL) iTunes Store, the largest music retailer.

The band's music has been available in digital from from Verizon Communications (NYSE: VZ) VCast Music service since March 2007, but only in album form -- a format iTunes does not support. However, AC/DC digital downloads were not available on Verizon phones as full albums were too large. The new album from the band certainly has excellent prospects with Wal-Mart, but an even greater coup for the retailer would be to score the digital catalog for sale on the company's own digital store.