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They Stopped Making Sense Some Time Ago
May 9, 2008
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"The magnitude of this [theft] is incalculable. We don't have an illusion that we can shut it down completely, but we do think that the suits will help get the marketplace to a fair place, where the illegal doesn't control the legal."
-- Richard L. Gabriel, lead national counsel for the RIAA and a partner at the Denver law firm Holme, Roberts, & Owen.Mr. Gabriel's above comments are in the latest issue of BUSINESS WEEK in the article "Does She Look Like A Music Pirate? Inside Tanya Andersen's private war with the recording industry. Hint: She's winning " (See the news story and link below to the full article).
I was wondering what data he might be able to provide to the public at large about how the RIAA's legal efforts have helped stop anybody, anywhere, from downloading.
There is plenty of data showing exactly the opposite, so why Mr. Gabriel thinks these lawsuits help the industry is beyond me. CD sales are declining at an increasing rate (and this year faster than ever), so certainly all the lawsuits haven't done a thing to help stop that decline or slow it down. Maybe he means that sales would be declining even more if they weren't suing people? Nah. Not even the RIAA would be stupid enough to try and make that argument. Then again....
But back to reality.
Getting "the marketplace to a fair place" would be nice. Maybe the RIAA can start by assisting the labels it allegedly serves by doing something, anything, that might help the industry get to "a fair place." One thing is certain, the lawyers aren't doing that. The ongoing litigation efforts of the RIAA are diversion from addressing real problems and trying to seek possible solutions for future success.
And yes, downloading is a real problem. But, (and I've said this now for a decade), IT'S NEVER GOING TO GO AWAY AND IT CAN NEVER BE ELIMINATED.
Next. Turn the page. Move on. Innovate and create new models for survival.
Not the RIAA.
While Mr. Gabriel was talking to BUSINESS WEEK, RIAA head honcho Mitch Bainwol was addressing the House Energy and Commerce Subcommittee on Telecommunications and the Internet about proposed net-neutrality legislation.
Mitch actually said that illegal P2P usage has "become so severe that it is causing significant congestion over our broadband networks, degrading the online experience for consumers and imposing unnecessary costs on ISPs." That's what he actually said. I couldn't make this stuff up, folks.
Exactly where Mitch and his RIAA soldiers got this information from is (at the very least) under suspicion. I certainly haven't experienced any problems whatsoever in my online broadband experience. But I wanted to be fair, so this week I asked almost everybody I know if their online broadband experience was diminished in any ways recently from "significant congestion." They all looked at me with that facial expression that says, "What the f*** are you talking about?" and replied in the negative.
Mr. Bainwol went on to say that he hoped ISPs would be willing to work with the intellectual property/content owners to seek solutions to digital copyright theft. He even hinted that if agreements with ISPs could not be reached, government action of some sorts may be necessary. That should seriously scare all of us. As Ronald Reagan once said, "The most terrifying words in the English language are: I'm from the government and I'm here to help.'"
It's grossly apparent that Mr. Gabriel and Mr. Bainwol suffer from that recently discovered advanced form of Attention Deficit Disorder, ARPITRID. That stands for "Avoiding Real Problems In The Record Industry Disorder."
Groucho Marx said "Paying alimony is like feeding hay to a dead horse."
Paying RIAA dues is not much different at this point.
And Now This...
Forbes magazine just put together a list of the 'Fastest Dying Industries' and bowling alleys, laundry services are two of the items on it.
So is music publishing. (If you disagree, drop them a note. It's their list, not mine)
Check out the list here: http://tinyurl.com/429hsk.
From the article: Music Publishing
Projected Declines: Employment: -5.4%; Revenue: -9.4%; Output: -9.7%
Digital downloading has smothered the profits of music publishers, who make money by licensing songs. Remember the Cadillac commercial with the Led Zeppelin soundtrack? That's the sound of the music industry waking up to change. Digital downloading has smothered the profits of music publishers, who make money by licensing songs. So they've turned to commercials and mobile phones for additional revenue streams.
And This...
Back in September last year I wrote the following in the newsletter: "Ubiquity is the answer to maximizing online revenues, and choosing sides with other online stores at this point in place in time is rather silly. If people can't find what they want easily, they will steal it by downloading it for free. I wonder how many execs think about such things before they make such decisions for their artists and their label? ...The answer to all online success lies in strategic alliances and ubiquity."
This week trade magazine Variety had an article titled "Media Talk Shifts From Piracy To Ubiquity" (see it immediately below), and I'm thrilled to see a major entertainment trade publication echoing exactly the words I wrote some eight months ago about this very subject.
From the article, "News Corp. COO Peter Chernin discussed that need, saying that consumers need to be able to access content at any time, in any way and at any place they desire-and for a reasonable price."
And that's what it's all about.
Media Talk Shifts From Piracy To Ubiquity
From VarietyMedia execs love to gripe about the threat of piracy to their business, but the persistence of peer-to-peer media distribution has brought on a new call-to-arms: ubiquity. On the Web, that means "be accessible everywhere." Earlier this week, News Corp. COO Peter Chernin discussed that need, saying that consumers need to be able to access content at any time, in any way and at any place they desire-and for a reasonable price.
Why? Because that's what they demand. But more than that, Chernin said that making legal content readily accessible at a reasonable price is the only way to combat piracy. Former Yahoo CEO Terry Semel, who sat in on the panel discussion with Chernin, added: "I don't think anyone's not paying attention to fraud, but the bulk of time is being devoted to where we're going."
Semel believes the open distribution strategy adopted by content providers represents a shift in the distribution of content that's as major as when the music biz went digital. Viral, organic distribution will ultimately help content owners sell more and better ads, he said.
Read more about it by clicking here.
Does She Look Like a Music Pirate?
From Business WeekInside Tanya Andersen's private war with the recording industry. Hint: She's winning
When Tanya Andersen opens the door to her modest apartment in suburban Portland, Ore., her Maltese-terrier mix, Tazz, runs over and wags his tail in a friendly hello. The 45-year-old single mother doesn't seem like much of a fighter. Yet this woman is behind a fierce assault on the music industry and its tactics for combating music piracy on the Internet.
While the recording industry has gone after thousands of people, Andersen is unusual. Of the 40,000 people the RIAA says it has targeted for legal action, at most 100 have decided to defend themselves in court, says Fred von Lohmann, a lawyer at the Electronic Frontier Foundation, a civil liberties group. Few want to pay the legal costs of fighting the music industry, so most settle cases quickly, even if they believe they're innocent. Of the people who defend themselves, only a handful have taken the next step of suing the record industry for their lawyers' fees, and only a couple have won reimbursement. Andersen, one of the few winners on all counts, is the first to file a broad lawsuit that has put the RIAA on the defensive.
Read more about it by clicking here.
Seeking A Cure For The Music Business Blues
From CNETThe plight of the music industry has played out like a 1970s disaster film, the kind where the principal characters declare that nothing on earth could threaten their state-of-the-art luxury liner or superstructure.
Crash! Cut to people gasping for air or scrambling for a seat on the lifeboat. That's where the record labels are now--scrounging for technologies and business models that can keep them afloat.
Read more about it by clicking here.
Music Blogs: The New Wall Of Sound
From CNETTechnology may have made it simple to obtain digital music, but it hasn't provided an easy way to sift through millions of tracks to find the tunes we like. The Internet has, however, connected music fans to a legion of hardcore aficionados who help steer people to new music. Think of Barry, Jack Black's rock-addicted character from the film "High Fidelity," with a blog.
The difference is that some of today's most popular music bloggers may someday be worth more than Barry ever dreamed of earning in that record store. Music blogs are nearly as old as the Web, but the past year has brought unprecedented growth, influence, and dollars to the sector as people look for help discovering new music. Now, the most popular blogs, such as Stereogum, BrooklynVegan, and Pitchfork, look less and less like Internet fanzines and more like tech start-ups.
Read more about it by clicking here.
Court Rules Web Firms Must Pay ASCAP Multimillions
The Digital Media Association is studying the decision. "The court's complex rate formula will require several weeks of additional consideration, including perhaps additional court hearings," the group stated, adding that it was disappointed that the court "ruled that online services' royalties should be based in part on service-wide revenue, not simply on revenue directly attributable to music usage."
Read more about it by clicking here.
Universal Music Group (UMG) Closes Acquisition of Univision Music Group
New Merged Company to be Known as Universal Music Latin EntertainmentUniversal Music Group (UMG), the world's leading music company, today announced that it has completed its acquisition of Univision Music Group following the recent clearance of the deal in the U.S. by the Federal Trade Commission. The acquisition results in UMG becoming the largest Latin music company in North America.
Read more about it by clicking here.
23 Album Covers That Changed Everything
Long before MTV, performers expressed the visual dimension of their art through their album covers. Every music fan has his/her favorites, but several covers stand out for their brilliance, their impact and their ability to make as much of a statement as the music they represent. Every art form has its giants, and album cover art is no exception. The work of the designers featured here spans over 40 years of music.
THE SIXTIES: Before the 1960s, most albums featured portraits of musicians, instruments or musicians playing instruments. But the 1960s spirit of exploration and experimentation found its way into music and, consequently, onto album covers.
Read more about it by clicking here.
A Bridge To The Future Of The iPod
More than six years into the iPod era, Apple still stands atop the music player landscape. But what comes next? Apple is at a crossroads in the evolution of the product that arguably saved its bacon. Without the iPod fueling Apple's profits and investments, we probably wouldn't have spent the past year talking about Apple's surging Mac business or its game-changing iPhone.
After years of double-digit gains, iPod growth has finally trailed off. The market is arguably saturated; do you know anyone who wants to take their music on the go who hasn't bought an mp3 player? But at the same time, the iPod is undergoing a bit of a revolution: it's morphing from a simple music player to a full-fledged computer.
Read more about it by clicking here.
Qtrax Finally Signs Major Record Label
Qtrax, the legal P2P music start-up, really has signed a licensing agreement with a major label this time.
On Tuesday, the company announced it has inked a deal with Universal Music Group, the largest of the four major record companies. The partnership comes four months after the labels denied the company's claim that they had agreed to supply music for the site.
Read more about it by clicking here.
Zune Struggles To Find The Right Pitch
After a decent freshman year, the Zune appears to be having a bit of a sophomore slump. In its first year on the market, Microsoft shipped 1.2 million Zunes, reaching about 3% of the U.S. market for mp3 players by the first quarter of 2007. A year later, the company's market share stands at about 4%, but that slight gain comes as Microsoft has expanded from one hard-drive model into a family of products that includes both flash-based and hard drive-based units.
As part of its announcement of a Zune video store this week, Microsoft noted that it has now sold more than two million Zunes. That would appear to show that business is not growing much despite the expansion of the product line. (To get a sense of where the competition is, Apple sold more than 10 million iPods in just the non-holiday January to March quarter).
Read more about it by clicking here.
A SHOW THAT I HOPE THEY VIDEOED
Bruce Springsteen performed his "Darkness on the Edge of Town" and "Born to Run" albums in sequence Wednesday night at New Jersey's Count Basie Theater. Proceeds from the show went towards refurbishing the theater and fans paid a minimum of $1000 per ticket.
ANOTHER NEW APPROACH
Starting this month, The Cure will release a new single each month until the September release of their 13th studio album.
DON'T DRINK & DRIVE, DEPT
Nickelback frontman Chad Kroeger has been sentenced to a $600 fine and a year-long suspension of his drivers' license for a 2006 DUI in British Columbia.
NO SNOOP IN THE U.K.
The British government is once again seeking to ban Snoop Dogg from entering the country.
THE KEYS TO BACKUP GIG FOR ALICIA ONLINE
Alicia Keys has joined the many others before her by recruiting talent off MySpace, as the songstress now seeks a backup singer via the social networking site.
PRINCELY BOOK
Prince will publish his first book, "21 Nights," in the fall. The multimedia book will document the Purple One's historic 21-night run at London's O2 Arena last year.
THIS COULDA' BEEN A CONTENDER
According to an executive producer's unearthed memo, Mick Jagger was interested in playing the lead role in "A Clockwork Orange," a part that eventually went to Malcolm McDowell, and The Beatles had also "shown an interest" in scoring the Stanley Kubrick film.
WINEHOUSE TOPS AMAZON
Amy Winehouse's "Back to Black" has replaced Coldplay's "X&Y" as the all-time top-selling album on Amazon.com, a move the retailer says was helped by Winehouse's constant news coverage.
NEW JERSEY INDUCTS 'THE BOSS'
Bruce Springsteen was among the inaugural class of 25 inducted into the New Jersey Hall of Fame on Sunday. Springsteen was on hand to accept the honor at Newark's Performing Arts Center, alongside novelist Toni Morrison, Yankee catcher Yogi Berra and retired General Norman Schwarzkopf.
MACCA ATTACKA IN PAPER
Paul McCartney will give away copies of his last year's 'Memory Almost Full' album via London newspaper Mail on Sunday on May 18th. The same paper did the freebie on Prince's 'Planet Earth' last summer.
HIPPIEFEST 'O8
Cream's Jack Bruce, Eric Burdon and the Animals and the Turtles lead the lineup for the third Hippiefest. The 22-date tour starts July 11th in Phoenix.
NEIL YOUNG BLU-RAY ON WAY
Neil Young will finally unleash the first volume of his long-awaited "Archives" on Blu-Ray as the discs provide better audio and visual quality and can be updated over the Internet. The first 10-disc installment of Archives will cover Young's work from 1963 to 1972 and be released this fall.
SO IF YOU HAD TICKETS, DON'T WORRY
The "Divas in Dubai" concert, set to feature Mariah Carey and Fergie, has been postponed after "unforeseen logistical complications" forced the show to be pushed back to the fall '08.
Quotes of the week
"Leave her alone. She's gonna be 16 soon, and then 17, and then 18, and then she might show her knees, and then what's gonna happen?"
-- Madonna, defending Miley Cyrus's Vanity Fair photo shoot, to Ryan Seacrest. And Madonna should know. After all she's shown us a lot more than her knees."Why would we get rid of Paula?"
-- "American Idol" producer Cecile Frot-Coutaz responding to questions about possibly axing Paula Abdul after her on-air brain-freeze last week. Why, Cecile? Because she's a complete cartoon, adds nothing to the show, babbles when she talks, and having Paula Abdul criticize the singing ability of others when she herself has no real vocal talent is, at the very least, inane. There's not enough room here to go into even more detail."I too was a little embarrassed by my recent topless 'scandal' and the subsequent parodies."
-- Jamie Lee Curtis, talking about the Miley Cyrus scandal, on her blog. Uh, no offense Jamie, but being topless at age 50 in the AARP (American Association of Retired people) magazine is a whole different level of embarrassment than Miley on the cover of Vanity Fair at age 16."She's kind of like a super-assistant that you can have sex with."
-- Fall Out Boy Pete Wentz, dishing on fiancée Ashlee Simpson, to People magazine. Gee, how flattering Pete."There's something fascinating watching and hearing somebody who is obviously useless, but believes for whatever reason that they're incredible. I find it addictive."
-- Simon Cowell tells Parade, on the those "useless" Idol hopefuls."Today I set off on my newest project; to grow and maintain an authentic '80s-style feathered haircut. ... I'm very excited to bring this amazing look into today's pop culture landscape."
-- Newly shorn John Mayer, giving a nod to Michael J. Fox, Shaun Cassidy and other cult stars, on his blog. And Jennifer Aniston is allegedly dating this guy?"I think nerdy stuff is sexy. I like to watch the History Channel and learn about the universe, quantum physics and stuff like that."
-- MTV's "A Shot of Love's" Tila Tequila, to People magazine. Quantum physics? Can't wait to see the guy she ends up with."I've always felt like an oddball. Even now, I'm not cool enough for the Manhattan Beach moms or sad enough for the Silverlake rockers."
-- Liz Phair, talking on the 15th anniversary reissue of her debut album "Exile in Guyville/"
THIS WEEK'S "WHO CARES?!" HEADLINE THAT COULD'VE BEEN FROM THE ONION ... BUT IT'S REAL
From Fox News Roger Friedman's '411' column this past Tuesday about Mariah Carey's getting married: 'Don't Worry, Mariah Has a Pre-nup'
Weren't you all on pins and needles about that?
The B-Side - 'Blips'
THE ONION (www.theonion.com) STORY OF THE WEEK:
Report: Olympics Mathematically Likely To Happen This Year
LAUSANNE, SWITZERLAND-Despite the numerous and varied difficulties faced by Beijing officials as the 2008 Olympiad draws nearer, International Olympic Committee members reassured the public yesterday with an announcement that, seeing as the current year was divisible by four, a summer Olympics of some sort was mathematically likely.
"Everyone knows that, right? If the year ends in a two, four, eight, or zero, you're getting an Olympics," said IOC president Jacques Rogge, ignoring for the moment the ongoing Chinese troubles with smog, incomplete athletic facilities, inadequate housing, insufficient tourist infrastructure, and widespread political and social controversy.
"And the last Games were in the winter, so this year, we'll be throwing, you know, the, uh, Summer Games. Of course. The math, you see, it all works out." Chinese officials refused to comment on any probability of the Olympics being held, saying only that in China, mathematics were known to be much more difficult.
Read the rest here and laugh: http://www.theonion.com/content/news_briefs/report_olympics.
THE RADIO INTERVIEW on 'THE AMERICAN PERSPECTIVE' - From newsblaze.com
"Steve Meyer is on the front line of global music sales and distribution which he expects will soar to pocket-bursting levels. What's more, he shares his insight and ingenuity with us. Steve gives us both historical perspective and futuristic vision as he chats with Judy about the love of his work, trends of the business and his personal points of view about success, happiness and blending life with the lust for life. Steve joins Judy and helps us discover the thrill of having it all with a sense of balance and purpose. "
You can listen to an interview I did with Judy Piazza of 'The American Perspective' by clicking here: (It runs about 15 minutes)
http://www.thesop.org/index.php?id=10306.
The Blogs
Check out a great blog by Jerry Del Colliano, the Director Executive Programs, Clinical Professor Music Industry & Recording Arts, at the Thornton School of Music,University of Southern California, by clicking here: http://www.insidemusicmedia.blogspot.com.
Box Office
Check The Daily & Weekly Box Office (and more film info) at: www.boxofficemojo.com.
TinyURL
Check out www.tinyurl.com where you can make a smaller URL that will work for any webpage you wish to link to or reference. (As you can see, I'm using it in my news stories above!)
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