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Here They Go Again, Round And Round Again
March 27, 2009
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THE 'A-SIDE' - TRACK 1
"After years of suing thousands of people for allegedly stealing music via the Internet, the recording industry is set to drop its legal assault as it searches for more effective ways to combat online music piracy."
-- From The Wall Street Journal article, 'Music Industry to Abandon Mass Suits', December 19, 2008"We're pleased to be in constructive discussions with several ISPs. We're making important progress, and doing so in a manner consistent with everyone's respective priorities. We're grateful that some of the industry's leading executives came to Nashville and talked through these important issues."
-- RIAA spokesman, in Cnet, March 25, 2009I wrote about the RIAA's dropping their meaningless lawsuits last December, and I even included the first quote above in my commentary, "The RIAA Waves A White Flag ... Kinda' Sort Of."
I also noted in the commentary that The Wall Street Journal article went on to say "Instead, the Recording Industry Association of America said it plans to try an approach that relies on the cooperation of Internet Service Providers. The trade group said it has hashed out preliminary agreements with major ISPs under which it will send an e-mail to the provider when it finds a provider's customers making music available online for others to take."
This week the news is out that AT&T, one of the country's largest Internet Service Providers (ISPs), will be the first to work with the RIAA to HELP stop illegal file-sharing and downloading. (See the link to the Cnet article below: "AT&T Will Be The First To Work With The RIAA")
Now you know why I had the "Kinda' Sort Of' in my title for that original commentary.
AT&T says it is not threatening to cut off service to those people it intends to send warning letters. They aren't that stupid. Jim Cicconi, a senior executive vice president at AT&T, says "AT&T is not going to suspend or terminate anyone's policy without a court order." (Something the RIAA has had no trouble getting in the past) He said that immediately after the RIAA announced AT&T was working with them. I guess he sensed immediately AT&T subscribers wouldn't like this news all too much.
Cutting off subscribers is the last thing any ISP wants to do in a very competitive marketplace and in a very bad economy. Such a move on their part would spread like wildfire virally online and people would be dropping AT&T in that proverbial "New York minute."
In fact, it was two readers who first alerted me to this news via e-mail, and one was using AT&T as his ISP. He wrote me and said, "After all the mistakes the RIAA has made, after all the grief they have caused innocent people who were accused of illegally downloading, I can't in good conscience keep AT&T as my ISP ... if they cannot see the ire of the people who have rallied against the RIAA's injustices for years, then I must assume they haven't done their homework. I'm pulling the plug on them as soon as possible ... and there's plenty of alternatives ... and several cheaper!"
I imagine once the news about AT&T's agreement with the RIAA gets out to most people, others might do the same. Those people online and using broadband ISPs are those most aware of the RIAA's lawsuits and they are pretty vocal online about their feelings for the association and the lawsuits they have pursued.
Remember as well that a week after the original story, the Wall Street Journal did a follow-up story that said, "the Recording Industry Association of America has dumped the company it used to help it gather evidence for mass lawsuits it filed against people it claimed were illegally uploading copyrighted music. The RIAA long used a company called MediaSentry to troll the Internet in search of people who uploaded large amounts of music ... In place of MediaSentry, the RIAA says it will use Copenhagen-based DtecNet Software ApS. The music industry had worked with DtecNet previously both in the U.S. and overseas, and liked its technology, said RIAA spokesman Jonathan Lamy.." (You can read the whole article here: http://tinyurl.com/9mnf83 )
Well, gee, why would they bother hiring another new company is they were dispensing with all the lawsuits? Methinks something is rotten in Denmark. Will Rogers said, "An ignorant person is one who doesn't know what you just found out." Deduction: The RIAA people are ignorant (well, we know that actually) if they think we can't read between the lines or the broadbands..
So now, let's look at this all again. The RIAA made an announcement they were dropping their lawsuits back in December. Yet they have hired a new company to police the Internet for the evil-doers. Is there anybody who really believes they won't continue filing against people if the ISPs they work with fail at their attempts in decreasing file-sharing with e-mails and letters? Because if they don't intend to, then AT&T (and anyone else they work with) might as well tell their subscribers, "We have to send you this letter because the RIAA wants us to, but don't worry, they aren't going to do anything ... we just want to warn you they're watching." I think the chance of such a notice going out is as good as the chance of the federal deficit being eliminated in our lifetime.
All this is a little mind-boggling considering CD sales are continuing to plummet, which means label profits will continue shrinking, which means there will be less money at the end of the year in the EBITDA column, which would lead one to believe that SOMEBODY at some label might actually say, "What the hell are those guys in Washington. D.C. doing with all the money we send them each year?" (Check those salaries for the RIAA execs, they're making more than a lot of you label heavies.)
So far nobody has asked that question. And until someone does, I guess we will see the RIAA continue on whatever path they are on. They obviously have no foothold in reality if they think what they are doing is meaningfully proactive. All they are doing is causing a whole lot of people to shake their heads in disbelief as they provide more evidence of not having a clue.
This entire situation is grossly embarrassing for the RIAA and the labels. While tech knowledge increases daily among the masses, such lame actions only cause laughter among the online community and lots of 'LOLs' on online blogs about the subject.
Postscript: In the meantime, while the RIAA fiddles and Rome burns, I believe everybody at every label knows what the rest of us all know: There's a serious recession going on and people are counting every penny they make. Home prices are at the lowest level in years, auto prices are lower than they've been in years, and everybody everywhere is doing something to stimulate business at the retail level. The only companies we hear about turning in great monthly results are Wal-Mart and McDonald's. That sums up the state of things better than anything else.
With this knowledge in hand, isn't it time the industry did something to lower CD prices or create value-added packages at retail?
THE 'A-SIDE' - TRACK 2
When You're Number One, You're Having Fun
Kelly Clarkson has a smash single with "My Life Would Suck Without You" and a smash album, 'All I Ever Wanted,' which is spending a second week at #1 on the Billboard Top 200 Album Chart.
When her last album, "My December," failed amidst a plethora of Internet and media talk about her not taking label feedback, I put this quote in the newsletter from one such source: "I'm interested in what's popular, but I think we all need to take a breather and remember that instant and unwavering commercial success doesn't necessarily denote artistic genius. It certainly can, but just as often success comes from a great marketing plan, a lucky hook or stealing someone else's game. And for an artist to grow over a creative lifetime -- let's call it that for once, instead of always referring to "careers" -- she needs to take side roads and make mistakes".. -- Ann Powers, in the Los Angeles Times, in an article about Kelly Clarkson's alleged dispute with Clive Davis over her album content. ( http://tinyurl.com/3ajb6p )
I wrote Ms. Powers an e-mail back then and said while all artists take "side roads and make mistakes," no label ever conspires NOT to sell records by any of their artists. Which makes this whole Clive Davis versus Kelly Clarkson thing quite meaningless.
In an issue of Blender magazine back then, Clarkson said she told Clive Davis prior to the album's release: "I don't know you very well, and I am not a bull-[bleep]er. I get [that] you don't like the album. You're 80; you're not supposed to like my album." Ms. Clarkson went on to say in the article: "One reason I don't like working with people at the label is that they lie ... If you're going with the flow and not fighting, that's settling. I can't take that. Life is just too short to be a pushover."
In response to that I wrote despite what Kelly thought "There is nothing Clive would rather do than see Ms. Clarkson sell millions more. On the other hand, as a great record executive, Clive also has the experience and knowledge to offer guidance to artists on his roster so the label can maximize the potential of every release ... commercial success (like Ms. Clarkson's last effort, which sold over five million), needn't compromise artistic vision."
After the whole "My December" fiasco faded in the media, I think Kelly must have done some serious soul searching. At the very least, maybe she actually realized that the album just wasn't as good as her multi-platinum album "Breakaway."
Whatever the case, it's obvious after listening to the new album, wherever the songs came from, Kelly did take some label feedback ... and it sure didn't do a thing to damage her commercially at all.
And Now This...
I received an e-mail from a reader this week who suggested a film titled, "Before The Music Dies," which you can watch for free on hulu.com
You might not agree with all the things the film puts forth, but even though it is slightly dated (it was made in 2004) it's a great little film with a load of artists (Eric Clapton, Bonnie Raitt, Elvis Costello, Dave Matthews, Michael Penn, Eryca Badu, just to name a few) making commentary, and it's narrated by Forest Whitaker. A lot of what you will hear has been said in this newsletter for years.
Check it out at http://www.hulu.com/watch/62945/before-the-music-dies.
AND THIS...
Forget about Al Gore's global warming threats that we only have 10 years left to save the planet. The U.K. government's chief scientist now declares that 2030 will be the year in which food and energy shortages, coupled with population explosion and climate change, will create disaster.
So I guess we have an additional 20 years to figure out how we'll all survive.
Read about it here: http://news.cnet.com/8301-17852_3-10200257-71.html?tag=nl.e703.
What's The REAL Cost of FREE Music?
Do services like Pandora and YouTube really cut into music sales, or are the music industry's expectations unrealistic? The answers seem to be available from some data ... but, is that same data leaves as many questions unanswered as well.
Read more about it by clicking here.
AT&T Will Be The First To Work With The RIAA
If you use AT&T for your Internet service, be forewarned. The company confirmed on Tuesday they are working with the recording industry to combat illegal file sharing.
At a digital music conference in Nashville, Jim Cicconi, a senior executive for AT&T, told the audience that the ISP has begun issuing warning notices to people accused of pirating music by the Recording Industry Association of America, according to one music industry insider who was present.
Early Wednesday morning, an AT&T spokeswoman confirmed that Cicconi made the statements.
Read the rest here: http://tinyurl.com/c83e89.
Read more about it by clicking here.
Calling Trent Reznor ... Metallica's Lars Ulrich Calling
Sure, rocker Trent Reznor's example has encouraged plenty of music acts to reject the label system and search for a new industry paradigm using the Web.
But did anyone expect that among Reznor's disciples would be Lars Ulrich? Ulrich now thinks Metallica doesn't need a big record company, they can do it all independently, so maybe he wants to pow-wow with Reznor.
Read more about it by clicking here.
'Rock Band' Exceeds $1 Billion In Sales ... And The Beatles Are In The Bullpen
While the record-sales biz continues its steady slide, the music video game industry is booming. In a press release, the makers of Rock Band have revealed that after only 15 months of business, the franchise has surpassed $1 billion in North American retail sales alone. MTV Games and Harmonix also announced than more than 40 million individual tracks had been downloaded and purchased via the Rock Band platform. The Beatles Rock Band release is scheduled for September 9th, 2009.
Read more about it by clicking here.
YouTube Videos Get Pulled As Rights Issues Continue
A whole lot of videos are being pulled on YouTube because of copyright issues.
There are pros and cons to arguments on both sides of the issues, and frustration abounds.
Read more about it by clicking here.
Spiral Frog Shuts Down
Another online music experiment is no longer. SpiralFrog, the pioneering ad-supported music service, quietly closed down last Thursday. They reportedly owe $34 million.
New York-based SpiralFrog made a splash in August 2006 by attempting to offer music free of charge to the public while supporting the site through ad sales. Media outlets such as The New York Times, Reuters, and USA Today questioned whether the site might one day challenge Apple's iTunes. (How little they knew)
Read more about it by clicking here.
iTunes Vs. Amazon MP3
Watch this four-minute video on CNet to see how they rated which online music store will reign supreme.
Read more about it by clicking here.
How Come A Digital Video Download Costs More Than A DVD?
Apple on Thursday announced that it would start selling HD quality movies through its iTunes media store, but Dan Rayburn of The Business of Online Video says the business model is fundamentally flawed, as the HD downloads will cost $2-$3 more than the average DVD on Amazon. "This is just stupid," Rayburn argues, "how on earth can the studios continue to charge more for a digital download than a physical DVD?"
Digital downloads cost far less to produce and distribute than DVDs, which have manufacturing and packaging costs. Meanwhile, the bandwidth cost to download a two-hour movie is mere pennies, Rayburn says, and the online promotion of digital content is also a lot less expensive than other forms of marketing. "Yet even with all those savings, the studios charge more for digital downloads."
This is obviously a studio and not an iTunes issue, he notes, because services like CinemaNow also charge $3-$5 more for digital downloads. "How can this be the future business model for the online consumption of entertainment?" Rayburn asks. "Part of me really wants to see all the studios fail just so they learn their lesson."
Read more about it by clicking here.
Naturally 7 Sings A Different Tune
Over 3 million YouTube page views. The members of the band Naturally 7 are experts at blowing their own horns -- and they do it without a trumpet or trombone in sight.
In fact, you won't see a single instrument when they hit the stage. They are the instruments.
"People are always imitating instruments," said first baritone and arranger Roger Thomas. "People are driving; they hear their favorite song; it gets to the guitar solo part. ... They don't stop singing. They actually start imitating the instrument they hear. We just decided to be crazy enough to bring [that idea] to the stage.."
Read more about it by clicking here.
Mobile Internet, TV And Video Gaining Ground
According to comScore, Inc., among the audience of 63.2 million people who accessed news and information on their mobile devices in January 2009, 22.4 million (35%) did so daily, more than double the size of the audience last year.
Read more about it by clicking here.
JIMI STILL ALIVE ... SORT OF
According to Experience Hendrix, there's "10 more years of Hendrix music" in the vaults that could see release. Two albums will likely come out this year, as well as a reality-show style DVD of behind-the-scenes footage shot in 1969.
NIRVANA VINYL
Nirvana's "Nevermind," "In Utero" and "MTV Unplugged" LPs on 180-gram vinyl this year, while Sub Pop will handle the Bleach release
SPANDAU BALLET BACK
According to the BBC, Spandau Ballet is set for a reunion tour and a new album.
ELVIS HAS T-BONE
Elvis Costello's new album will be released on June 2nd. The album will feature Costello returning to acoustic American roots. T-Bone Burnett will produce.
KID ROCK WILL ROCK WRESTLE MANIA
Kid Rock and Nicole Scherzinger from the Pussycat Dolls, will perform at the 25th annual Wrestlemania in Houston on April 5th.
EFRON DOESN'T FEEL FOOTLOOSE
"High School Musical" star Zac Efron has dropped out of the planned remake of ""Footloose." The film is scheduled for a 2010 release and as of yet, no replacement has been named. (Is a remake of this film really necessary?)
AND OF COURSE THIS WILL ONLY ENHANCE HIS RAP RESUME
T.I. heads to court today (Friday) to learn what his prison sentence will be after previously pleading guilty to attempting to illegally purchase weapons. After serving 1,000 hours of community services, the "suggested" sentence was one year and one day. The rapper anticipates heading to jail within 30 to 60 days.
BEWARE THE IDES OF MARCH
Green Day's "21st Century Breakdown" -- the band's eighth studio record and first since 2004's Grammy-winning "American Idiot" -- has a firm release date: May 15th.
PHOENIX TO SNL
French indie pop act Phoenix, who are making lots of noise everywhere, will perform two tracks on Saturday Night Live on April 4th: "1901? and "Lisztomania," from their upcoming album "Wolfgang Amadeus Phoenix." Observe and Report actor Seth Rogen will host the episode.
PASSING
Famed Motown drummer Uriel Jones passed away March 24th after suffering a heart attack in Michigan. He was 74. Some of the songs Uriel played on include The Temptations' "Ain't Too Proud To Beg," the Miracles' "Tracks of My Tears" and Marvin Gaye's "I Heard It Through the Grapevine."
Quotes of the week
"When you talk about virginity and sex publicly, people automatically picture you naked."
-- Taylor Swift, in Allure magazine. Well, not necessarily Taylor, but it helps."One thing we pride ourselves on is that we are not spoiled brats."
-- A very disingenuous Kim Kardashian talking about herself and her sisters on "Dr. Phil" ... and good ol' Dr. Phil didn't call her out on it."Go live in the projects a few years to get some authenticity."
-- Gwyneth Paltrow, offering (much-needed) advice to her co-star in "Two Lovers," Joaquin Phoenix, on his attempts as a rap artist."I do think in Washington it's a little bit like 'American Idol,' except everybody is Simon Cowell."
-- President Barack Obama, talking to Jay Leno during an appearance on "The Tonight Show." Yeah, but nobody in Washington makes as much as Simon."I sort of have a secret desire that when I turn 55, I want to become a QVC girl and sell domestic vacuums. It's all about the hair flip and the manicure."
-- Lady GaGa, on her future aspirations (Extra). By the time you're that old, Lady, robots will be doing the vacuuming.
The B-Side - 'Blips'
THE ONION (www.theonion.com) STORY OF THE WEEK:
Oh No, Performers Coming Into The Audience
PITTSBURGH-Audience members at the Benedum Center for the Performing Arts are reporting that, oh God, no, approximately 20 extremely enthusiastic actors are approaching the edge of the stage and appear determined to continue their current musical number in the main seating area.
Attendees were oh, for the love of-they're going to make everyone sing along. "Oh, man, are they? Shit," one audience member was overheard saying as the energetic ensemble began filing down previously unseen stairs and past the front row.
Increasingly uncomfortable audience sources have also confirmed that the performers are proceeding down the aisle with crisp, larger-than-normal steps timed perfectly to the music. Even more shocking, some appear intent on interacting with non-cast members.
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.
Website
Check out attorney Ray Beckerman's website at: http://recordingindustryvspeople.blogspot.com where he prints news about the RIAA's ongoing activities
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!)