
This week record label EMI
signed a deal with SpiralFrog to provide lyrics (ad-supported) from their artists to SpiralFrog users, and allow free access for US residents to the music available from EMI. Good news for listeners, but something I read in the article on USA Today bothered me a bit. It was the statement by Roger Faxon, EMI'ss co-chief executive, that EMI wants to "recapture consumer demand, which has been hijacked by online piracy." He apparently doesn't quite know what he's talking about. Consumer demand is all but gone
not because of online piracy, but because recording companies
refuse to give consumers what they want. That is what it comes down to, they are inflexible and still producing CDs when the whole consumer population is moving toward using
other avenues to get their music. This is the age of convenience, as
mentioned in this story, where people bought and downloaded more songs OTA than expected in the UK. UBC Media got an 83% acceptance rate among users, which surprised them, and isn't bad. Like
Blockbuster, recording companies need to get with the program, or they will be wiped out in the near future. The companies with the big lead (like Apple, Napster, rhapsody, others) in the digital music arena will not stand still and wait for the others to catch up, they will (and already do) dominate the market, and will continue to do so. EMI and others need to wake up and smell the downloads.
Tags: digitalmusic, downloads, EMI, news, SpiralFrog, UK, USATODAY
Comments
2
Subscribe to commentsGary Bourgeault (bizofshowbiz.com)Sep 8th 2006 12:07AM
The music industry and Hollywood continue in their ignorance and tied down by their past alliances. The huge box stores are pressuring them to not go down the downloadable avenue anytime quickly.
I don't see how they don't understand that they could not only free up inventory through download kiosks, but also free up space that could be used to sale other goods.
EricSep 10th 2006 12:33AM
SpiralFrog will also be heavily DRMd. Thanks but no thanks.