A finding that consumers infringe the public performance right each time their phones ring in public threatens to stigmatize millions of consumers as lawbreakers.
- Digital rights organizations Electronic Frontier Foundation, Center for Democracy & Technology and Public Knowledge
In Wendy Davis, "ASCAP Strikes Sour Chord With Consumer Advocates," Online Media Daily, July 6, 2009
The Electronic Frontier Foundation, Center for Democracy & Technology and Public Knowledge have together filed papers asking a Federal district court in New York City to rule against the American Society of Composers and Publishers (ASCAP). ASCAP was founded in 1914 to collect money--"licensing fees"--for its members whose copyrighted musical compositions are performed in public, including on radio and in theaters. In recent years, ASCAP has taken the initiative to collect licensing fees in digital media such as the internet. Now the organization is arguing that it is entitled to licensing fees for ringtones because, it says, the playing of ringtones is a "public performance." It wants AT&T to pay the fee for the ringtones it sells to its customers.
The Electronic Frontier Foundation, Center for Democracy & Technology and Public Knowledge reject ASCAP's argument about the public nature of a mobile phone's ring, comparing it to a person playing a CD in a car with the window down. The group notes too, that if the court forces AT&T to pay, the charges will be extended to consumers.
Showing posts with label recordings. Show all posts
Showing posts with label recordings. Show all posts
Friday, July 10, 2009
Tuesday, June 16, 2009
The Fall of the Large Retail Music Store
Unfortunately the large retail music store is a dinosaur. It does matter because it was also a social gathering space, and that's one thing that buying music online lacks.
- Tony Beliech, a former Virgin Megastore employee
In Ben Sisario, "Retailing Era Closes With Music Megastore," New York Times, June 15, 2009
The real estate firms that own the last of the large record stores in New York City have determined that the land is worth far more than the store sales are worth. They are consequently shutting the store and leasing the location to a fashion chain. Mundane as this reason for closing is, it does reflect the larger trend away from CDs and other physical music recordings. "From the industry's peak in 2000 -- when some 785 million albums were sold -- until the end of 2008, album sales fell 45 percent, according to Nielsen SoundScan. Even with the rise of iTunes and other online outlets, however, CDs have remained consumers' format of choice, though that advantage is slipping. As recently as 2006, CDs accounted for more than 90 percent of album sales. Last year that proportion dropped to 84 percent, and so far in 2009 it is 77 percent."
There are also still many small music stores in New York City, some even still selling vinyl records. Most album sales today are made at chains such as Walmart and Best Buy; FYE is also a factor. ''The Titanic that is physical media started slowly sinking in 2000,'' said Michael McGuire, an analyst with Gartner, a market research firm, when asked about Virgin. ''Certainly this is a traumatic event for those who worked there, but it's an expected product of the digital transition.''
- Tony Beliech, a former Virgin Megastore employee
In Ben Sisario, "Retailing Era Closes With Music Megastore," New York Times, June 15, 2009
The real estate firms that own the last of the large record stores in New York City have determined that the land is worth far more than the store sales are worth. They are consequently shutting the store and leasing the location to a fashion chain. Mundane as this reason for closing is, it does reflect the larger trend away from CDs and other physical music recordings. "From the industry's peak in 2000 -- when some 785 million albums were sold -- until the end of 2008, album sales fell 45 percent, according to Nielsen SoundScan. Even with the rise of iTunes and other online outlets, however, CDs have remained consumers' format of choice, though that advantage is slipping. As recently as 2006, CDs accounted for more than 90 percent of album sales. Last year that proportion dropped to 84 percent, and so far in 2009 it is 77 percent."
There are also still many small music stores in New York City, some even still selling vinyl records. Most album sales today are made at chains such as Walmart and Best Buy; FYE is also a factor. ''The Titanic that is physical media started slowly sinking in 2000,'' said Michael McGuire, an analyst with Gartner, a market research firm, when asked about Virgin. ''Certainly this is a traumatic event for those who worked there, but it's an expected product of the digital transition.''
Friday, February 27, 2009
Can Hosting Illegal Music Links Be Legal?
Defendants deliberately refuse to take any meaningful steps to deter the rampant infringement on their Web sites, even though they have the ability to do so.
- EMI, in a lawsuit against the SeeqPod and Favtape music sites
In Wendy Davis, "EMI Sues Music Search Engine, On-Demand Site," Online Media Daily, February 25, 2009
The record label EMI is suing music search engine SeeqPod, music-on-demand site Favtape, and the companies' investors for copyright infringement. EMI says that the two are helping consumers to procure copyrighted music that is circulating on the web illegally. The activities of the sites, however, raise difficult issues regarding the definition of copyright infringement. According to the Digital Millennium Copyright Act's, even websites that host materials found to be violating copyright are not liable if they take off the material as soon as they find out. Courts have tended to safe harbor provisions might protect even companies that host infringing material from liability, provided they remove it in response to takedown requests. Links to unlawful material would also seem to be exempt until the firms posting the links are notified they should not be there.
The record label's executives contend, however, that SeeqPod and Favtape know that many of their links are to illegally versions of songs, and that this knowledge should make what they are doing illegal. They further contend that sites that legally license the label's music are being harmed by the existence of Seeq and Favtape.
SeeqPod already faces a separate copyright lawsuit by Warner Music, filed in January 2008. Both cases raise an important issue that will help shape the ability of the music labels to control their music online.
- EMI, in a lawsuit against the SeeqPod and Favtape music sites
In Wendy Davis, "EMI Sues Music Search Engine, On-Demand Site," Online Media Daily, February 25, 2009
The record label EMI is suing music search engine SeeqPod, music-on-demand site Favtape, and the companies' investors for copyright infringement. EMI says that the two are helping consumers to procure copyrighted music that is circulating on the web illegally. The activities of the sites, however, raise difficult issues regarding the definition of copyright infringement. According to the Digital Millennium Copyright Act's, even websites that host materials found to be violating copyright are not liable if they take off the material as soon as they find out. Courts have tended to safe harbor provisions might protect even companies that host infringing material from liability, provided they remove it in response to takedown requests. Links to unlawful material would also seem to be exempt until the firms posting the links are notified they should not be there.
The record label's executives contend, however, that SeeqPod and Favtape know that many of their links are to illegally versions of songs, and that this knowledge should make what they are doing illegal. They further contend that sites that legally license the label's music are being harmed by the existence of Seeq and Favtape.
SeeqPod already faces a separate copyright lawsuit by Warner Music, filed in January 2008. Both cases raise an important issue that will help shape the ability of the music labels to control their music online.
Friday, January 30, 2009
The RIAA's Next Step?
Perhaps we have a chance to rebuild the music business after a period of tremendous looting.
- Rick Carnes, president, songwriters Guild of America
In Greg Sandoval, "Sources: AT&T, Comcast may help RIAA foil piracy," CNet.com, January 28, 2009
Reliable rumors are circulating that AT&T and Comcast, two of the nation's largest Internet service providers, will be among a group of internet service providers (ISPs) that help the Recording Industry Association of Amera (RIAA) to battle illegal file sharing. The RIAA is a lobying group that represents the four largest recording companies. It said last month that it would no longer battle piracy by filing lawsuits against individuals. This approach through the ISPs may represent their new tack.
The approach would involve the RIAA's telling the ISP to send a presumed copyright violator a "take-down notice"--a request that the person stop offering music files for uploading onto the internet. If the person doesn't listen by the third notice, the ISP would stop the person's internet connection. "The entertainment industry has been trying to get laws passed throughout the world that would force ISPs to implement a 'three strikes' policy."
No word has emerged so far about what the music industry would give ISPs in return for their circulation of the notices and for pulling subscription-paying customers off their services. One model may be found in Disney's relation with Verizon. In return for sending the take-down notices, Verizon got permission to transmit twelve Disney TV channels over its broaband (FiOS) network.
- Rick Carnes, president, songwriters Guild of America
In Greg Sandoval, "Sources: AT&T, Comcast may help RIAA foil piracy," CNet.com, January 28, 2009
Reliable rumors are circulating that AT&T and Comcast, two of the nation's largest Internet service providers, will be among a group of internet service providers (ISPs) that help the Recording Industry Association of Amera (RIAA) to battle illegal file sharing. The RIAA is a lobying group that represents the four largest recording companies. It said last month that it would no longer battle piracy by filing lawsuits against individuals. This approach through the ISPs may represent their new tack.
The approach would involve the RIAA's telling the ISP to send a presumed copyright violator a "take-down notice"--a request that the person stop offering music files for uploading onto the internet. If the person doesn't listen by the third notice, the ISP would stop the person's internet connection. "The entertainment industry has been trying to get laws passed throughout the world that would force ISPs to implement a 'three strikes' policy."
No word has emerged so far about what the music industry would give ISPs in return for their circulation of the notices and for pulling subscription-paying customers off their services. One model may be found in Disney's relation with Verizon. In return for sending the take-down notices, Verizon got permission to transmit twelve Disney TV channels over its broaband (FiOS) network.
Monday, September 29, 2008
Does MySpace Music Point to the Future of the Music Industry?
If this works, then that is a good statement for the future of the music business. And if it doesn’t, then it tells where the industry is going. In other words, this is a must-win move for the record labels, who are increasingly looks hapless and, well, unable to deal with change.
- Om Malik, media-industry blogger
In Om Malik, "The Fact & Fiction of MySpace Music, Gigaom, September 24, 2008
On September 24, MySpace, the social-networking site owned by News Corp, introduced a service that lets users listen to streaming audio for free. They can also purchase song downloads, and make playlists. Four of the five major music companies (EMY, Warner Music, Universal Music, and Sony BMG) are on board in this joint venture with MySpace (EMI so far is missing), with the streaming part supported through advertising.
For MySpace, the new business is an attempt to derive more revenue from its site. Although it has about 120 million visitors to its site, MySpace has not been getting the amount of advertising this number would suggest. An important reason is that many advertisers don't want to take the chance of putting their messages next to lewd photos or writings put up by MySpace members. This new sub-site will, the firm hopes, provide a safer haven for commercial messages.
For the major music firms, MySpace Music represents yet another hope for finding revenue during a period in which CD sales are declining, piracy is still rampent, and Apple's iTunes, though successful, is not giving them the kinds of profits they want. Although hope runs high for great success among major recording-firm executives, Om Malik notes that his discussion with people in the record business, particularly among independent labels, was more sobering. He quotes MySpace's chief operating officer, Amit Kapur, as having told the Wall Street Journal, "We’re not only going to be [the music firms'] home on the Web…We’re going to be the place they make a living.” Malik comments, "Perhaps Kapur is right, and as one of our readers pointed out, they will be able to generate a lot of revenue through ticket sales and merchandise. But I wonder how many ways that revenue will be sliced and how much will actually end up in an artist’s pocket. What do you guys think?"
- Om Malik, media-industry blogger
In Om Malik, "The Fact & Fiction of MySpace Music, Gigaom, September 24, 2008
On September 24, MySpace, the social-networking site owned by News Corp, introduced a service that lets users listen to streaming audio for free. They can also purchase song downloads, and make playlists. Four of the five major music companies (EMY, Warner Music, Universal Music, and Sony BMG) are on board in this joint venture with MySpace (EMI so far is missing), with the streaming part supported through advertising.
For MySpace, the new business is an attempt to derive more revenue from its site. Although it has about 120 million visitors to its site, MySpace has not been getting the amount of advertising this number would suggest. An important reason is that many advertisers don't want to take the chance of putting their messages next to lewd photos or writings put up by MySpace members. This new sub-site will, the firm hopes, provide a safer haven for commercial messages.
For the major music firms, MySpace Music represents yet another hope for finding revenue during a period in which CD sales are declining, piracy is still rampent, and Apple's iTunes, though successful, is not giving them the kinds of profits they want. Although hope runs high for great success among major recording-firm executives, Om Malik notes that his discussion with people in the record business, particularly among independent labels, was more sobering. He quotes MySpace's chief operating officer, Amit Kapur, as having told the Wall Street Journal, "We’re not only going to be [the music firms'] home on the Web…We’re going to be the place they make a living.” Malik comments, "Perhaps Kapur is right, and as one of our readers pointed out, they will be able to generate a lot of revenue through ticket sales and merchandise. But I wonder how many ways that revenue will be sliced and how much will actually end up in an artist’s pocket. What do you guys think?"
Thursday, August 7, 2008
Sony Buys All of Sony BMG
It’s a less risky business. The advent of the cellphone as a conveyor of music globally takes away a lot of the risk.
-Howard Stringer, chairman of Sony Corporation
In Mark Landler, "Sony and BMG End Their Partnership in Music," New York Times, August 6, 2008
Sony and Bertelsmans recently announced they will disband their four-year-old joint music venture, Sony BMG. Bertelsmann decided that the recording business would continue to tank and that the value it had in the venture would continue to decline, so it sold its stake to Sony for $900 miillion. Sony accepted the gamble of owning the recording company because its executives believe that the purchase of of music through cell phones and Sony's PlayStation Network will bring in stable revenues despite internet piracy. Also building revenues would be increased music sales in huge markets such as China and India, Stringer said.
For its part, Bertlesmann seems to be turning away from consumer media to invest in new service businesses such as education. Last month, the company sold its North American book and record clubs to a private investment firm. Bertelsmann did, however, keep one part of its music legacy: its administration of rights of European musical artists, a business that generates a small amount for such a big company--less than $20 million a year in sales. To Bertelsmann executives, though, artists rights is one area of the music industry with decent prospects, and one that fits with Bertelsmann's growing emphasis on service companies.
--> See chart in article: Share of US music album sales, 2008 -to date
-Howard Stringer, chairman of Sony Corporation
In Mark Landler, "Sony and BMG End Their Partnership in Music," New York Times, August 6, 2008
Sony and Bertelsmans recently announced they will disband their four-year-old joint music venture, Sony BMG. Bertelsmann decided that the recording business would continue to tank and that the value it had in the venture would continue to decline, so it sold its stake to Sony for $900 miillion. Sony accepted the gamble of owning the recording company because its executives believe that the purchase of of music through cell phones and Sony's PlayStation Network will bring in stable revenues despite internet piracy. Also building revenues would be increased music sales in huge markets such as China and India, Stringer said.
For its part, Bertlesmann seems to be turning away from consumer media to invest in new service businesses such as education. Last month, the company sold its North American book and record clubs to a private investment firm. Bertelsmann did, however, keep one part of its music legacy: its administration of rights of European musical artists, a business that generates a small amount for such a big company--less than $20 million a year in sales. To Bertelsmann executives, though, artists rights is one area of the music industry with decent prospects, and one that fits with Bertelsmann's growing emphasis on service companies.
--> See chart in article: Share of US music album sales, 2008 -to date
Thursday, July 3, 2008
Music Downloads Rise While Physical Recording Sales Dip
Some future researcher, pouring through Yahoo!'s old files, may be very amused that I made a big deal about a digital album reaching a measly 354,000 copies or an individual song hitting a mere 4 million downloads. I hope so.
-Paul Grein, Yahoo Chartwatch columnist
In Paul Grein, "Week Ending June 29, 2008: Viva La Download Or Death And All His CDs," Yahoo Chartwatch, July 2, 2008
In just two weeks, Coldplay's Viva La Vida has sold more downloads than any album in digital history. The old record was held by John Mayer's Continuum. Viva La Vida sold 66,000 downloads this week, bringing its two-week total to 354,000. Continuum has sold 353,000 downloads since its release in September 2006. "The paid digital download medium scarcely existed five years ago and now it's the biggest growth area in the music business. (It may be the only growth area in the music business.)"
Despite their strong growth, of online music sales still relatively small compared to sales of physicla recordings. They may, however, portend a long-term trend. In the meantime, the slowdown in music sales continues. Just three albums topped 1 million copies in sales (CDs and digital downloads combined) in the first six months of 2008, the lowest total since Nielsen/SoundScan set up shop in 1991. By contrast, six albums sold 1 million copies in the first six months of 2007. Fully 16 albums hit the million mark in the first half of 2006. "The business hit its peak in 2001 when a whopping 37 albums reached the 1 million mark in the first 26 weeks of the year."
-Paul Grein, Yahoo Chartwatch columnist
In Paul Grein, "Week Ending June 29, 2008: Viva La Download Or Death And All His CDs," Yahoo Chartwatch, July 2, 2008
In just two weeks, Coldplay's Viva La Vida has sold more downloads than any album in digital history. The old record was held by John Mayer's Continuum. Viva La Vida sold 66,000 downloads this week, bringing its two-week total to 354,000. Continuum has sold 353,000 downloads since its release in September 2006. "The paid digital download medium scarcely existed five years ago and now it's the biggest growth area in the music business. (It may be the only growth area in the music business.)"
Despite their strong growth, of online music sales still relatively small compared to sales of physicla recordings. They may, however, portend a long-term trend. In the meantime, the slowdown in music sales continues. Just three albums topped 1 million copies in sales (CDs and digital downloads combined) in the first six months of 2008, the lowest total since Nielsen/SoundScan set up shop in 1991. By contrast, six albums sold 1 million copies in the first six months of 2007. Fully 16 albums hit the million mark in the first half of 2006. "The business hit its peak in 2001 when a whopping 37 albums reached the 1 million mark in the first 26 weeks of the year."
Saturday, April 19, 2008
Monetizing Music Through Sponsorship
We know that with both Gen X and Gen Y consumers, music is their No. 1 passion point. But we also know that they don’t always want to buy it. .... People want content to be free. With that in mind, we still need to monetize it. So, partnering with a brand is an interesting way to do that.
-Brad Gelfond, VP-brand partnerships and asset development at Warner Bros. Records
The comment reflects how the recording industry is looking for new business models.
In Claude Brodesser-Akner "Ashley Tisdale's Deodorant Promos for Unilever Show Rules Have Changed," Advertising Age, April 17, 2008.
-Brad Gelfond, VP-brand partnerships and asset development at Warner Bros. Records
The comment reflects how the recording industry is looking for new business models.
In Claude Brodesser-Akner "Ashley Tisdale's Deodorant Promos for Unilever Show Rules Have Changed," Advertising Age, April 17, 2008.
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