Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the cele domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/hughmcguire/hughmcguire.net/wp-includes/functions.php on line 6121
Music Business Learning? – Hugh McGuire Press "Enter" to skip to content

Music Business Learning?

This is a pretty extraordinary article from Bloomberg, nominally about the hot new music site/service, Spotify (not available in Canada or the US yet).

What was striking: the execs from the music business, including Michael Nash, Warner’s SVP Digital Strategy and Business Development, finally cottoned on that the real challenge of the music business is not to fight a lost battle against P2P, but rather to find ways to make it easier for listeners to listen to their music. Check this quote:

“These types of social media are highly competitive with illegal file-sharing,” said Michael Nash, Warner’s executive vice president of digital strategy and business development.

Sites such as Spotify allow users to access the music for free rather than searching for it on BitTorrent and downloading it illegally, Mulligan said. Spotify and the Comes With Music mobile-phone music service by Nokia Oyj, the world’s biggest handset maker, “are the two strongest tools that people have to drive a genuine alternative to piracy,” he said. [more…]

That is, the music business has finally understood that suing listeners who want to listen to their music isn’t a very sensible long-term business strategy. The better strategy is to figure out how to provide more music to those people.

P2P isn’t going away, and the music business’ success will depend on doing a better job of serving their customers than Pirate Bay does.