Death to DRM

Slashdot blog points out that sales go up for CDs with Digital Rights Management encoding. Tjhis is a measure of the lengths that the recording industry has once again failed to foil illegal downloads. What to do? Time for a new business model.

http://yro.slashdot.org/article.pl?sid=08/08/29/230216

New Brunswick's Forward Music Group

This story, written by Adam Bowie, enumerates some of the things band managers do to maximize income streams.

http://dailygleaner.canadaeast.com/opinion/article/401327

Canada's C-61 law meant to protect the record industry

Charlotte Hunter writes for Toronto's Victoria Univesity student newspaper. This is the law meant to fine people who illegally download music from the internet. The law provides for personal transfers of CDs to iPods. The record industry likes the law. Consumers hate it.

http://media.www.thestrand.ca/media/storage/paper404/news/2008/09/01/News/Bill-C61.Takes.Aim.At.Students.Personal.Academic.Lives-3409607.shtml

"The whole performance side of the thing is what people need to learn."

Mikey Bennett is very smart. He also says that ""CD sales are down and we will soon be giving away CDs." The confounding thing about the recording business seems to be that the artist is now more important than the executives. Isn't this what musicians have been wanting for along time? In Jamaica, a leader of the music industry seems to be coming to the conclusion that the recording industry needs to find a way to survive by putting artists first.

Richard Deane is the author of this article in the Jamaica Gleaner.

http://www.jamaica-gleaner.com/gleaner/20080831/business/business5.html

Eric Nicoli - someone to follow

If someone were to do a cameo on a music industry mover and shaker, this is one of the guys I would want to focus on. He's been outside of the record industry for a year as part of his multi-million dollar buy-out from EMI. He's coming back in witha new concept. I think he has a good plan. Time for a Google Alert.

http://business.timesonline.co.uk/tol/business/industry_sectors/media/article4641190.ece

Cracker Barrel & Kenny Rogers

Interesting approach to marketing a well-known artist's catalogue. Cracker Barrel is a mid-market retailer which has sold more than 3 million units since launching it's "CB Music" label. Take that, Starbucks!

http://www.reuters.com/article/musicNews/idUSN2947082920080829

Music business is alive!

Mallory Factor reports that the NYC music scene is bustling. The music industry is not dead. The recording industry is changing, but music-lovers continue to support the music they love. Appearing in the Cleveland-based Observer.

http://observer.case.edu/Archives/Volume_41/Issue_1/Story_2782/

Burmese record industry suffers from copyright pirates

The collapse of the recording industry unpacks across political borders. The complaints also unpack in predictable ways.

http://www.mizzima.com/news/inside-burma/963-body-blow-to-burmese-music-industry-by-pirated-vcdsdvds.html

Napster Smackdown

Dissident candidates for the Board have been smacked down by Napster.

Napster is "available for sale." Yawn.

http://www.marketwatch.com/news/story/napster-concludes-dissident-candidates-unqualified/story.aspx?guid=%7B68F2D109-60C7-4DC3-A83E-81A85894DA9B%7D&dist=hppr

Essential Report on Australia's Digital Media

WSJ posts an "essential report" with lots of reference links that report on the recent collapse of recording industry business models. The video/film industry has learned a few lessons from the recording industry and so have begun efforts to exploit downloads to protect copyrights and intellectual property. Very business.

http://www.marketwatch.com/news/story/essential-report-digital-media--/story.aspx?guid=%7B25E99D3A-5B5C-4EB6-BD70-B34270308A37%7D&dist=hppr

The Bigguns and Littluns

Paul Glazkowski writes for Mashable [Social Networking News] that there is another change coming in the downloadable music industry. The Bigguns are going to squish the littluns in the next two years. And his main question is if this is better for consumers. Is this the right question? Should we pay more attention to what is better for the businesses?

How you answer that question should be a sign unto you whether you are a "suit" or an "artist."

http://mashable.com/2008/08/29/somebodies-nobodies/

Kevin Cogill -- watch this name

The LA Times reports the arrest of Kevin Cogill for distributing nine cuts from the new Guns 'n Roses recording, "Chinese Democracy." The website was antiquiet.com. Stay tuned. Kevin Cogill is going to be famous for 15 minutes starting very soon.

http://latimesblogs.latimes.com/technology/2008/08/guns-n-roses-un.html

Check out Cogill's/Skwerl's website: http://www.antiquiet.com/features/2008/06/weve-got-chinese-democracy-and-its-worth-the-wait/

No brainer idea: buy songs off the radio

Here's a story from the Telegraph in the UK. Great idea. You hear a song you like, you push a button on your car radio or playback device at home and you download the music...instantly. Cool idea, too. It's good for radio stations. It's great for the record industry. It's even good for car manufacturers.

What's the problem?

http://www.telegraph.co.uk/connected/main.jhtml?xml=/connected/2008/08/28/dlradio128.xml

Brisbane's ambitions for BIG SOUND

Here's the plan (same as in Tulsa). Build up a local festival to be a "must attend" event for the industry. Tourism. Industrial-strength investment. Finance. Creative community growth. Home values up. Expansion of the tax base.

Brisbane wants to establish a "must attend" music festival for the Southern Hemisphere. Read more about it, below.

http://www.westender.com.au/news/139/15/Qld-dancing-to-a-new-beat

Up down-under, Down in Canada

In a recent post to this blog we noted that Canadian Tories cut the subsidy for the music industry. Now the Labor Party in Australia is campaigning that they will throw $1 million (Australian) at the industry if they win in the next round of elections.

So come on. Pick one way or the other: 1) subsidize the music industry to make it more competitive in the world economy OR 2) do not subsidize the music industry in order to encourage to it to be more competitive in the world economy.

And while you're at it, let's decide once and for all what to do about our subsidies for the oil, farm, tobacco, armaments, chemical, mining, pharmaceutical, banking, and insurance industries.

http://www.abc.net.au/news/stories/2008/08/28/2348533.htm?section=entertainment

Arizona infringement decision

Mr Howell used KaZaa to distribute copyrighted music and then tried to hide the evidence by reformatting his hard-drive. That was the decision of Judge Neil Wake. The decision on the fines Mr Howell will have to pay will be released soon. Anther music pirate down with another 100 million to go. This ain't no way to fight a war.

http://www.allheadlinenews.com/articles/7012086415

Boyz II Men fan-dom rules

Here's an article in a Utah paper about Boyz II Men. It answers the question you were not asking yourself: whatever happened to Boyz II Men? Defining the relationship between musicians and their fans is very "old school," older even than Boyz II Men. This article does a great deal to illuminate a perennial favorite in the music business.

Besides focusing on their music, Boyz II Men members focused on their fans and whoever wanted to listen to them in whatever setting that seemed suitable. Lessons for the wise.

http://www.heraldextra.com/content/view/278435/147/

African music industry news

Interested in a career in Africa?

http://www.filmmaker.co.za/readarticle.php?article_id=3375

Read Write Web

Richard McManus has a terrific music industry podcast. The latest installment features the movers and shakers at Imeem, RealNetworks, Yahoo Music, and Webjay. You can check it out at...

http://www.readwriteweb.com/archives/future_of_online_music_discussion.php

Song contest

M-Audio and Avid are sponsoring a song-writing contest. Funny that the announcement is distributed to the money channel on CNN.com. That's not where one would normally look for this news. What is getting communicated and to whom?

http://money.cnn.com/news/newsfeeds/articles/marketwire/0428449.htm

Canada's competitive edge gets tax cut

Have you ever wondered about the role of governments in subsidizing and encouraging the music industry. Canada's Tories cut funding for musicians' travel to showcases and industry trade shows. You hear, above the yelps coming from the industry reps, a challenge to the idea that the creative arts need government support.

On the other hand, the CBC has a quota for Canadian music content on all of its broadcast units. Culture and politics -- who would have thought they are intermingled in anyway?

http://www.exclaim.ca/articles/generalarticlesynopsfullart.aspx?csid1=115&csid2=844&fid1=33268

Better than hiring a composer

SmartSound Music is a unique service for music editors. It can save thousands in licensing fees for films and TV shows. Bad news for composers who can customize music to a mood, a scene, etc -- SmartSound can do the same thing for dimes on the dollar. With millions of discs to choose from, music editors play a more important (not less if they hire a composer) in editing music to a scene. The "creatives" are troublesome and the music industry can create a few more less expensive jobs by sourcing underscoring from a service like SmartSound Music. The news article shows up in the WSJ's MarketWatch.

Sample the music and learn more about Sonicfire Pro's unique features at www.smartsound.com or call (800) 454-1900 to request a free on-site or online demonstration.

http://www.marketwatch.com/news/story/hit-films-tropic-thunder-bucket/story.aspx?guid=%7BB0F5C491-F3B1-40F6-A7DE-94552D5CF8A3%7D&dist=hppr

Getting pinched in Australia

Australian health clubs are feeling pinched by the mega-US recording corporations. Th record industry can't find enough income in sales so they are pursuing income wherever music is played: health clubs, coffee shops, muzak, Pandora, etc. The record industry is not ALL of the music industry -- but they sure are making a name for the entire industry.

http://fitnessbusinesspro.com/news/australian-music-licensing-affect-2608/

Talent Clearing House

MarketWatch, a service of the Wall Street Journal, reports that a music business is positioned to take advantage of the shift most businesses in the industry will have to use someday: Talent Clearing House. TCH just cleared $20 million "of music sales through its royalty administration system." This kind of business is a sign of the shifting model the recording industry must continue to pursue in order to re-invent itself. It also is beyond the control of the industry "giants" which is also a good sign. The bad news, you have to live in Wilkes-Barre PA if you want to work them.

For more information on Talent Clearing House, please visit www.talentclearinghouse.com or e-mail info@talentclearinghouse.com.

http://www.marketwatch.com/news/story/talent-clearing-house-reaches-20/story.aspx?guid=%7B789DDD4B-0988-47C0-988E-0B2BC174595C%7D&dist=hppr

Borders limiting recordings in-stores

As part of its larger efforts to survive, Borders Books reports that it's continuing to be "disciplined" and limiting its inventory or recordings in order to maximize its profit. Don't look for Hootie and the Blowfish in-store performances anytime soon. This news comes to us via AP wire service.

http://ap.google.com/article/ALeqM5i0S69B6dHSghDs5bntTCVsNZ6upwD92QN2DG0

Bandstock and other crazy ideas?

The Guardian in the UK is such a great news source. Caroline Sullivan's article highlights the sometimes crazy but always out-of-the-box ideas that the recording industry needs to pursue in order to re-invent itself. Caroline is a funny writer -- and an incisive thinker. ***

http://www.guardian.co.uk/commentisfree/2008/aug/27/internet.stockmarkets

Is the Kindle like the iPod?

The Guardian's Jack Schofield is a smart writer -- at least I feel smart reading about what interests him. Anyway, there is a great quote in this article. My bet is that the Kindle is not the iPod. I think it's more likely the equivalent of the Diamond Rio. Anyhoo, here is the quote with a link to the full article.

"Guardian editor Alan Rusbridger wrote earlier this year: "I don't think the Kindle is quite the iPod moment for newspapers, but even so, it is pretty cute." This is an area we track closely because, as he said, "no editor wants to be like a generation of music industry executives who woke up one morning to find the iPod had eaten their business".

Rather than following the example of the Recording Industry Association of America - which sued to try to stop sales of the Rio player - newspapers are more likely to adopt and support them. The big question is when."

http://www.guardian.co.uk/technology/2008/aug/14/amazon.kindle

Is the record industry the same as the music industry?

http://www.oxan.com/worldnextweek/2008-08-14/Music.aspx

Peter Gabriel pushing the envelope

I have always liked Peter Gabriel's intelligence and taste. I like some of his music although his songs often sound to me like a riff on something he has already done. No matter, Fred Goodman of the New York Times does a very nice article on Mr. Gabriel's prowess as a music industry visionary and investor.

TheFilter.com is another online service that recommends new, unfamiliar music to users. The technology may vary from site to site but the idea is very similar to the software designed at the University of Minnesota at MovieLens.org. The article by Mr. Goodman is STRONGLY RECOMMENDED.

http://www.nytimes.com/2008/08/10/business/media/10peter.html?_r=1&ref=business&oref=slogin

EMI down under

Bernard Zuel in the Sydney Morning Herald writes a nice summary article about the challenges facing the record industry and the great opportunities arising in the music industry at the same time.

http://www.smh.com.au/news/music/how-the-record-rack-lost-its-groove/2008/08/10/1218306658207.html?page=fullpage#contentSwap2

Nice quote:
In the 21st century, compact discs are much less in demand, but interest is growing in tickets for live music, merchandise, licensing in films and advertising and content provision in new media, alongside a technology-driven explosion in media. Ten years ago music marketing essentially involved print, radio and free-to-air television alone. These days there are phone companies, online music providers such as iTunes, pay TV, online media and film and television production houses.

Response:
The record industry is not the music industry. Is there a history of non-innovation among music industry leaders when new technology comes along? See piano rolls, radio, television, cable, internet, iPods, cellphones. Or does the music industry have different leaders at different times depending on what the new technology does?

Exiting EMI

■ Radiohead declined to re-sign, preferring to release albums online themselves and to sign with a small distribution label for disc sales.

■ The Rolling Stones switched back to Universal.

■ Paul McCartney left for the Starbucks label Hear Music.

■ Kasey Chambers moved to Festival Mushroom.

■ Australian indie label Eleven signed an agreement with Universal involving Missy Higgins, Silverchair, Little Birdy, Paul Mac and Kisschasy.

■ Robbie Williams did not commit to further recordings under the current regime.

■ Kylie Minogue, signed to EMI in Britain but Festival Mushroom in Australia, is said to be considering an exit.

■ Coldplay stayed under strict conditions including the use of outside promotions staff.

Music like water::Water like radio - the idea of MySpace, Imeem

Devin Leonard at CNN writes that Rupert Murdoch-owned MySpace is going to launch an ad-supported "free" music service in direct competition with Imeem, a Bay Area service that is much smaller than MySpace. Both sites are trying to "Make Free Music Pay Off" as the headline points out.

The four largest record labels (Sony, Warner, Universal) continue to try to figure out how to monetize their catalogues. Offering music for free is most like Napster et alia.

http://money.cnn.com/2008/08/07/technology/imeem.fortune/?postversion=2008080808

The Lessons of Austin

What does Austin, TX have that Tulsa, OK does not? And is there some way of imitating the lessons of Austin and apply them to Tulsa? Can you incubate a creative class in your community? What a great subject.

I have been pondering this subject while on vacation in one of the creative capitols of the world, Los Angeles. The benefits of the presence of a robust creative class are evident everywhere in Los Angeles. Driving down Washington Avenue in LA takes you through downtown Culver City -- home of Sony Studios. You drive further towards the ocean and see small, 2-bedroom houses that are selling for $1 million. You arrive at the Pacific and wander through Venice and on to Santa Monica.

What does Los Angeles, CA have that Newport News, VA dos not? Is there some way of imitating the lessons of LA and apply them to Newport News?

The question begs that we consider history. What has been happening in LA for the past 100 years that has not been happening in Newport News? What role does geography and climate play? Why does capital investment arrive in LA and not NN? Is there a creative class in NN that we don't know about? And what is my interest in Newport News, VA?

http://newsok.com/oklahomans-study-austins-music-scene/article/3278147/?dt=1217742628

Embracing the Pirates

There is a real story embedded in the good report from Andrew Edgecliffe Johnson (Financial Times). The music industry in Britain commissioned a study from the PRS' chief economist, Will Page. The report is not available online, at this point, but the report suggests that one of the recommendations is to capture some income (rather than punishing pirates) by licensing file-sharing websites. Makes sense but it means that there will still be millions of dollars "lost" to the pirates.

In any case, it's better to make some money than no money, right? Thanks to the Financial Times for getting this news on the web. When will the report (or an executive summary) make it online?

http://www.ft.com/cms/s/0/763fb67e-61bb-11dd-af94-000077b07658.html?nclick_check=1

Malaysian artists begin again to unite their agendae

The New Straits Times (Malaysia) reports on a congress of artist organizations. I have little understanding or knowledge of the music business in Malaysia. The reporter, RADIN SRI GHAZALI, provides a hint of insight into some of the bureaucratic issues facing the unification of artist organizations. Very little history is provided -- what is the problem here?

http://www.nst.com.my/Current_News/NST/Tuesday/Features/20080804180957/Article/indexF_html

MOU is not the sound a cow makes

An article by Nick Mathiason for the Guardian weighs in on the controversial approach being taken by European ISPs (and soon by an internet service provider near you), governments and music rights organizations to coordinate their efforts to enforce copyrights and to discourage music file-sharing. The form the agreement is taking is called a MOU = memorandum of agreement. Some would wonder if a MOU isn't the first step towards price-fixing.
The largest ISPs in Britain (Virgin, BT, Carphone Warehouse, Orange, Tiscali and BSkyB) are sending out threatening letters to customers suspected of high-volume downloads.
The business models that will be offered are almost identical to those being tried in this country plus the only-in-Europe model of charging a license fee to every customer. There is little support for this business model among the industry. The likely product that will be tried is a subscription model like Rhapsody. Rupert Murdoch is in support of the subscription model.
The tenor of the Mathiason article seems a little sunny when talking of the Dark Lord, but perhaps the subscription model will (one day) rule the face of the earth. iTunes continues to own the majority of the fee-for-music market.

http://www.guardian.co.uk/business/2008/aug/03/musicindustry.downloads

Using film and music as yeast in economic development brew

Oklahoma is not typically considered a hot-bed for the music and film industry. One of the exceptions that I know about is the Flaming Lips, a rock/performance group. The Lips' manager, Scott Booker, is contributing to the discussion being convened by the Oklahoma Film and Music Office. Julie Bisbee's article for The Oklahoman (Tulsa) traces some of the partnerships and festivals that are a means of establishing a vital creative community.

How important is a creative community to the economic health of a region? What is needed to foster that creative community?

http://newsok.com/in-past-few-years-oklahoma-has-become-a-place-on-the-map-for-film-music-industries/article/3278145/?tm=1217738819

The Manager and U2

Neil McCormack of the Independent in Dublin, Ireland has a nice article sketching the business model of the band, U2. The tone is a little breathy, but it points the reader in many interesting directions (e.g. U2's manager is Paul McGuinness; he articulates an oft-repeated idea that artists are now taking on the role that record companies used to play).
Managers are an incredibly important part of a popular band's success. This article offers a glimpse into the importance of Paul McGuinness in U2's success.

http://www.independent.ie/lifestyle/how-u2-have-stayed-on-top-of-the-world-1445208.html

Move to China

There's a new music subscription service in China...but it requires you to move to China!

http://opinion.latimes.com/bitplayer/2008/08/china-mp3s.html

BMG employment opportunity

The blog called "Idolator" links us to a job description for a six-figure VP in the music business that doesn't require any experience in the music business. Your UST degree in music business would give you a solid grounding in music -- I suppose you wouldn't be qualified for the VP position at BMG. BTW, "Idolator" suggests that BMG is a sinking ship...

http://idolator.com/399683/sinking-ship-seeks-captain-promises-hazard-pay-in-high-six-figures