Warner Music's brilliant new idea: Re-hash old ones
Here at Download Squad HQ, we're (sadly) all-too-often reminded of the archaic buffoonery found in the world of big-business digital music and video. Whether it's the notion that DRM prevents piracy (hint: it doesn't) or the fact that by being blood-relatives of Since the dawn of Napster, the music industry has been crying, nay screaming, out for a digital music czar. Someone who 'gets' the digital arena. Someone who's been around the block, and never missed a beat (if you'll excuse the terrible pun) when it comes to the digital domain. So of course when Warner Music yelled from the rooftop 'We've got a Digital Music Guru!!', we believed that all equilibrium in the world had been restored. And then we read about this digital guru's next big plan, and our jubilation promptly turned sour.
Instead of genuinely innovating and offering consumers a reason to buy music, Warner Music's new Digital Guru is leading the companies initiatives to 'bundle a monthly fee into consumers' Internet service bills for unlimited access to music'. Now you may think: "Hey, that's great!", and no doubt the appeal of "free" music as part of a internet access plan, which undoubtedly it would become, is huge -- not least because it generates the labels healthy recurring revenue. But what actually entitles the labels, whose influence has long been waning, to a subscription fee?
Given the success of direct-to-customer approach shown by Nine Inch Nails' Trent Reznor, other notable artists kissing mainstream labels goodbye, not to mention the success of at least one rather large buy-to-own download store, this move certainly raises some issues.
One of which is the effective steam-rolling of anyone outside of the labels' system because, besides giving the RIAA's coffers a handy boost, it's a nice market-smothering plan that gives people second thoughts about striking it out on their own.
When all's said and done, though, we struggle to see what's so new and market-changing about this latest brainwave. If the music industry is going to counteract the last decade's decline in sales, it can't be about strong-arming consumers into buying music, or blindly paying what is effective a tax for it Nor can it be about strong-arming musicians into staying at the labels. It can only be about turning around an entire ethos of bullying and intimidation, and no industry-annointed 'Digital Guru' is going to do that.












Comments
10
Subscribe to commentsBig JohnMar 27th 2008 8:21PM
So if it's a choice... what's the big deal? As long as it's not mandatory with my ISP, I don't see the uproar.
MysteriusMar 27th 2008 11:30PM
Umm... yeah. I didn't hear anything in the post that sounded overtly wrong. While this may be an issue for independents, what do you propose that would let major labels offer easy digital downloads to consumers without potentially harming independent artists?
Did I miss something about this fee being mandatory?
MDWMar 28th 2008 12:02AM
Agreed. This actually sounds like a good idea. If you don't want, or need it - simply opt out.
But if you opt out, and still download, take your medicine. You were given the opportunity to do it for what sounds like a small fee, don't complain if you get popped after that.
This will most likely run into resistance from places like iTunes etc, who charge by the song - it could kill that whole DRM laden revenue stream for them - and as far as I'm concerned, good.
As far as what "entitles them to a subscription fee" - that's easy: they own the copyright. Like it, or not. People act as though the artists and companies that provide the music aren't entitled to anything - and in some cases, I don't think they are; See the story about the RIAA going after the guy playing his radio too loud in his shop, but I digress. (The RIAA is another monster altogether, and needs to be put down, and fast.)
They're (The label) offering what is tantamount to an olive branch, and people still want to kick them in the teeth.
Ridiculous.
Andy NorrisMar 28th 2008 12:47AM
Yeah, that's pretty much the problem -- it *will* be mandatory. I agree that it it were non-compulsory, it might be great.
But why should everyone in America with an internet connection have to shell out $60/year (the proposed "fee" is $5/month) regardless of whether they have any interest in downloading music?
That's like taxing everyone who has electricity as if they had bought a Sony TV, and telling them they're allowed to go down to the store and get a free one if they want.
Big JohnMar 28th 2008 12:50AM
@Andy Norris: You're looking beyond the scope of the article and the intention of my post. While you have a valid argument if the service is mandatory, for now it is not. The article treats it as an open ended service right now.
boxyboscoMar 27th 2008 8:53PM
It's amusing that the industry feels they have to have their own Digital Music Guru. Too bad they just can't accept the fact that Steve Jobs has become THE Digital Music Guru.
MDWMar 28th 2008 12:02AM
Jobs is a clever, maybe brilliant, opportunist who saw an opportunity and took it. Not necessarily a bad thing, but let's keep it realistic and not call him Saint Steve just yet. Keep in mind. the guy wouldn't even have a job right now if it wasn't for MS saving them from bankruptcy.
Before anybody gets riled up, I know, it was supposed to be an "investment" and a "settlement" over purported copyright infringement, but let's call a spade a spade - they were reporting 700 million in post tax losses, controlled a paltry 5.3% of the market, and were slated to cut over 1000 jobs. MS Steps in, tosses some bucks their way and voila, problem solved - granted, this helped spread Office onto Macs, and it helped with MS's antitrust problems at the time, but it is what it was, an uncharacteristically altruistic action on the part of MS to bail out a rival rather than going for the kill. Thus saving Job's career, and putting Apple where it is today.
kojo87Mar 28th 2008 1:11AM
until they come up with a way thats fair to the performers AND the consumers im just gonna stick with stealing entire albums off bittorrent
AxulMar 28th 2008 3:44AM
This already exists in France (where I live). One of our ISPs (Neuf Telecom) has a partnership with Universal for unlimited music for 10 or 15 euros a month.
ToddMar 28th 2008 9:29AM
We can end this madness. Its simply a matter of reassessing the roles being played here, We Consumers are the Recording Industry's equal, not their subordinate.
Don't sit there in silent capitulation - complain directly:
Jim Griffin
Warner Music Inc
75 Rockefeller Plaza
New York NY
10019
212-275-2000
BoardofDirectors@wmg.com