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Once Upon A Time In The Record Business
March 9, 2007
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"Yeah, you do have a hit record. One-hit wonders. It's a very common tale."
-- Tom Hanks, as Playtone Records executive Mr. White, in "That Thing You Do".While watching "That Thing You Do" (and if you haven't seen it, it's a wonderful little film about a rock 'n' roll band making it very briefly in the '60s), I found myself captivated by Tom Hanks' record promo-exec character, Mr. White.
Hanks plays the role well, and he has so many great one-liners during the course of the film, you have to watch it twice to really catch them all. Many of you would recognize a lot of real promotion people from the "glory days" whom Hanks has rolled into one great character.
While watching the film recently with a friend of mine, he asked me if it was ever as easy to get a record played at radio as the film might suggest. The answer, of course, is no, but I did explain that, at one time, label promotion people and radio's Top 40 program and music directors actually worked TOGETHER to find the best new music to benefit both the radio station and record sales. And it was actually fun doing what we had to do.
A reader of this newsletter e-mailed a while back and told me he was riding in an elevator with a company attorney and the lawyer looked at him and said, "You used to do promotion, right?" And the reader replied, "Yes, for years." And the lawyer asked him, "They tell me it used to be fun to be in this business, is that true?" Yes, it's true. We had fun, we broke a ton of records, radio and records people were best friends, and we celebrated each others success stories.
Then along came then-New York Attorney General Eliot Spitzer (now Governor), the allegations of rampant payola, the multi-million dollar fines, the alleged "cleaning up" of the record-radio relationships, and all to benefit the listeners, new artists struggling to get airplay, and all the other wonderfully politically correct promises. (Despite the fact, that there was no rampant payola in actuality discovered after all was said and done.)
This week, four major radio broadcast companies have tentatively agreed to pay the government $12.5 million and provide 8,400 half-hour segments of free airtime for independent record labels and local artists in separate agreements aimed at curbing the persistent practice known as "payola." (See the article below, "Radio Broadcasters To Pay $12.5M, Give Indie Tunes Some Play.")
Rather than go into a lengthy diatribe of how ridiculous and laughable I think this settlement is, I implore all of you to read "The Hypocrisy of The Payola Settlement" by Professor Jerry Del Colliano from USC at: http://tinyurl.com/2p6tvr. (Jerry, by the way, was the founder of Inside Radio, so he knows well what he writes about. It's so well written, after reading it you too will be wondering who, if anybody, will benefit from this. (But let's not forget the FCC collected tens of millions in fines!)
The once-symbiotic relationship between radio and records is mostly shattered now because of all these fines. Radio stations get licensed by the FCC, so they are not about to do anything that will ever put them under the spotlight again. So labels will now have to work harder than ever to get respectable airplay on new artists (thank god for the secondaries who still listen to new music), and have to maintain a safe distance from radio people who make music decisions, lest they, too, be questioned about promotion practices.
I'm glad I had the opportunity to work in the business when radio and record people weren't afraid to grab a bite to eat together, to go to a movie together, to play new music for each other until the wee hours of the morning at the studio or at our hotel rooms when we were on the road, to talk about our lives outside the business, to just hang out and get to know each other. It made all our jobs that much more enjoyable, and it made us all better professionals because we knew and understood each others jobs.
Like I said, the record and radio people back then broke a ton of new music. Many of the artists broken in the '70s and '80s are still making records today. Many of them receive airplay every day on classic-formatted stations all over the country. Many still tour to very respectable audiences. Many still sell Greatest Hits packages and catalog.
I don't think many of the new artists on the radio today will be able to do the same in 10 or 20 years. I think we're going to see a whole lot more of "one-hit wonders" as radio tries to satisfy an audience that consumes new music like junk food (witness the success of the "Now That's What I Call Music" volumes as evidence) and uses the "flavor of the month" for their cell phone's ringtone.
Perspective: Forget DRM. It's The Music
By Charles Cooper, Executive Editor, cnet.comPushing my vacuum cleaner around the living room last week, I suddenly did a double take. Chockablock with records, cassettes and CDs, the wall unit across from me contained my 35-year-old history as a music consumer.
Truth be told, I did download a few digital-music files here and there during Napster's heyday in the late 1990s. (Personal note to the RIAA: They've all since been deleted. I swear on my pet rock.) But I paid for most of the rest of my collection, down to the last penny. I bet you can say the same for the majority of the music-listening public.
So it was with a mix of amusement and disappointment that I read about the recent get-together for music industry executives, where the folks invited as talking heads took turns bashing Apple CEO Steve Jobs and offering pale prescriptions about how to fix what ails their business.
Read more about it by clicking here.
EMI Rejects Warner Music's $4.1 Billion Bid
Britain's EMI Group has rejected a 2.1-billion-pound ($4.1 billion) cash takeover proposal from Warner Music Group, saying on Friday that accepting such a deal would not be good for its shareholders.
"The board concluded that it is not in the best interests of EMI shareholders to entertain a preconditional offer which would entail prolonged regulatory uncertainty and unacceptable operational risk at a critical time for the company," EMI said in a statement.
The world's third-largest music company and home to Robbie Williams and Coldplay, EMI, said it held a board meeting on Friday after receiving a nonbinding proposal from Warner, which indicated that it might be prepared to make a bid at 260 pence per share.
Read more about it by clicking here.
Has Rap Music Hit A Wall?
Maybe it was the umpteenth coke-dealing anthem or soft-porn music video. Perhaps it was the preening antics that some call reminiscent of Stepin Fetchit.
The turning point is hard to pinpoint. But after 30 years of growing popularity, rap music is now struggling with an alarming sales decline and growing criticism from within about the culture's negative effect on society.
Rap insider Chuck Creekmur, who runs the leading Web site Allhiphop.com, says he got a message from a friend recently "asking me to hook her up with some Red Hot Chili Peppers because she said she's through with rap. A lot of people are sick of rap ... the negativity is just over the top now."
Read more about it by clicking here.
Rock Archive Web Site Countersues Bands, Labels
NEW YORK (Hollywood Reporter, ESQ.) - A rock archive Web site is fighting back against a copyright lawsuit brought by some of music's most notable classic rock acts, dragging two major record labels into the battle.
In December, Led Zeppelin, the Grateful Dead, Santana and the Doors sued Wolfgang's Vault claiming that the Bill Sagan-owned Web site violates intellectual property rights by selling merchandise and streaming concert archives belonging to the musicians. In response, Wolfgang's Vault attorney Michael Elkin recently filed a 40-page counterclaim against the musicians and their labels, Sony BMG and Warner Music Group.
"Far from being about bootlegging, consumer confusion or infringement of any sort, this case is actually a blatant attempt by two of the largest record labels in the world -- using artists as a front -- to secure new income streams and destroy a legitimate business," the suit says.
Read more about it by clicking here.
Movie Firms Working On Digital Film System
Tired of being turned away at the theater box office when a movie's sold out? Unhappy there's no art-house theater in your neighborhood to cater to your hoity-toity theatrical tastes? Those days could be ending, say representatives of Universal Pictures, Warner Bros. Entertainment and a company called Digital Cinema Implementation Partners.
The three are working on a new digital film delivery system that, if successful, could give theater operators the flexibility to put a popular movie on an extra screen as quickly as the demand for it arises. At the same time, theater operators could boot out a surprise stinker and even book in for a day or two an art-house film with a small but devoted audience.
Read more about it by clicking here.
Radio Broadcasters To Pay $12.5M, Give Indie Tunes Some Play
Exasperated listeners weary of hearing the same songs over and over on the radio may have something to cheer about: a pair of innovative deals that could shake up the music playlists of some of the nation's largest radio-station chains.
Four major radio broadcast companies have tentatively agreed to pay the government $12.5 million and provide 8,400 half-hour segments of free airtime for independent record labels and local artists in separate agreements aimed at curbing the persistent practice known as "payola," the Associated Press has learned.
Read more about it by clicking here.
The Last Days of Internet Radio?
A decision by the Copyright Royalty Board to raise royalty fees could put some small online radio stations out of business
On Monday, the Copyright Royalty Board, which licenses a variety of copyrights and organizes royalty fees, decided to raise royalty fees, a move that could cripple the fledgling Internet Radio business.
Royalty fees have traditionally been calculated as a percentage of revenue--a good thing for smaller radio Webcasters. However, the new rule says Web outfits should begin paying on a per-song, per-listener basis. "The more intensively an individual service is used and consequently, the more the rights being licensed are used, the more the service pays, and in direct proportion to the usage," reads an excerpt from the 115-page ruling.
As is, most radio Webcasters survive on thin ad margins due to their small audiences; the new rules would put many stations under. For example, AccuRadio, a Webcaster, makes about $500K in ad revenue. It currently pays $50K in royalty fees. Under the new rules, its royalty fees would be jacked up to an astonishing $600K, according to 2006 usage figures. AccuRadio's owner says: "I don't think any of the operators would break even."
Read more about it by clicking here.
MTV To Build "Thousands" Of Sites Around Brands Embraces Web chaos to regain viewers
MTV Networks, whose TV networks include MTV, Comedy Central, Nickelodeon and Spike TV, is set to unveil a bold new Web strategy to build thousands of new Web sites where users could watch, contribute and even re-edit its television programs. Sites will be built around everything from personalities to particular aspects of its shows.
The new Web strategy is a brave move for MTV, whose name became almost synonymous with youth culture in the 1990s. However, the rise of Internet media and in particular, social networking and video sharing sites like MySpace and YouTube, loosened its grip on its key market.
The new Web sites are part of a broader effort by MTV parent Viacom to distribute content from its properties through multiple channels, though decentralization could dilute corporate branding. "People tend to find content on the Internet through thousands of front doors, as opposed to one," said Mika Salmi, president of the media giant's digital unit. MTV has already constructed interactive virtual worlds around "Laguna Beach," "Nicktropolis" and "The Hills."
Read more about it by clicking here.
Yahoo China Sued For Alleged Copyright Breach
Music industry giants including Warner Music Group are suing Yahoo China for alleged copyright infringement by providing links to unlicensed music, trade organization IFPI said on Wednesday.
Beijing's No. 2 Intermediate Court has accepted the case, which was filed in early January by 11 companies and seeks damages of $710,686 (5.5 million yuan), said Leong May-seey, the International Federation of the Phonographic Industry's (IFPI) Hong Kong-based regional director for Asia.
Read more about it by clicking here.
THIS WEEK'S 'WHO CARES?' NEWS ITEMS
ITEM #1: Kelis (so far a one-hit wonder) was arrested in Miami and charged last Friday with misdemeanor counts of disorderly conduct and resisting arrest without violence after she allegedly rushed toward two female undercover police officers posing as prostitutes and screamed racial profanities at them, police said. Maybe, she just wanted a "Milkshake" from them.
ITEM #2: George Michael is facing an additional drug charge stemming from an October incident in which British police found him slumped over his steering wheel at an intersection in London. The singer stands accused of driving while unfit through drugs and being in charge of a car while on drugs. The question is: How was he unfit for driving if he was sleeping?
ITEM #3: Rosie O'Donnell revealed on an episode of "The View" that aired Friday that she began seeking treatment for depression following the Columbine school shootings in 1999 and that part of her therapy involves hanging upside down for up to half an hour a day. Maybe if she hangs upside down for a longer period of time, she'll actually be funny again.
CONGRATS
CONGRATS #1 TO: To Chris Daughtry, whose album, Daughtry, topped the Billboard 200 for the second time since its release in November 2006. "American Idol" is using his song "Home" as the official goodbye music for ousted contestants this season. In addition, the album was certified double platinum by the RIAA this week. (Congrats to Clive Davis and his entire team on an incredible job!)
CONGRATS #2 TO: To Kenny Loggins, who was inducted into Hollywood's RockWalk Wednesday, in recognition of his four-decade career in music.
BEING BOBBY BROWN
Bobby Brown reportedly backed out of a deal to work as an employee of Washington radio station Hot 99.5 for one week in exchange for the station putting up $19,000 to settle his back child support payments and court fees and get him out of jail. In an on-air phone conversation with the Kane Show Friday, Brown said he had "changed his mind," then hung up.
FOR THOSE WHO MIGHT BE WAITING
The White Stripes hope to release their sixth full-length album, "Icky Thump," later this year, the Detroit rock duo said in a message on the band's official website. The Beastie Boys wrapped up their first new album since 2004's "To the 5 Boroughs," due out this summer.
DIDDY DOES BAD
Diddy is being sued by real estate broker Gerard Rechnitzer, who claims the rapper assaulted him at a post-Oscar party at the Hollywood Roosevelt hotel last month.
REUNITED FOR THE CEREMONY
The assorted members of Van Halen -- Eddie and Alex Van Halen, David Lee Roth, Michael Anthony and Sammy Hagar -- confirmed to the Rock Hall that they will attend the event, but declined to perform. (Now let's see if they all really do show up.)
ONE CAN ONLY HOPE THE PRODUCERS KNOW THAT THEY ARE DOING
Jerry Springer is hosting the second season of "America's Got Talent" when the NBC reality competition returns this summer, the network said Monday. (The question is, does Jerry have talent?)
AT $100 A SECOND, THEY MUST BE FANS
Michael Jackson arrived in Japan last weekend, where he hosted an exclusive VIP party and spent 30 seconds to a minute of exclusive face time with guests who shelled out about $3,500 each for the privilege. If his record sales never happen again, this could be his next career.
IF YOU ALREADY HAVE WINDOWS VISTA AND USE iTUNES
A new version of Apple's iTunes software released Monday addresses a number of compatibility issues with Microsoft's Windows Vista, but a few problems remain. The updated version supports the upcoming Apple TV product and includes an improved album-sorting feature, but still does not fully support Windows Vista. The new download, iTunes 7.1, is available on Apple's website.
LIBRARY OF CONGRESS GETS "SATISFACTION"
This week, The Library of Congress selected 25 culturally significant recordings, including the Rolling Stones' "(I Can't Get No) Satisfaction," the Velvet Underground's "Velvet Underground and Nico," and Paul Simon's "Graceland," as the 2006 picks for inclusion in the National Recording Registry.
THESE KIDS HAVE NO CHANCE OF GROWING UP NORMAL
While Britney Spears wiles away her days in rehab, Kevin Federline took their two sons (and his mother, brother, a nanny and two bodyguards) to Las Vegas last weekend, where he was scheduled to make a paid appearance at the Mirage Hotel & Casino.
FAITH & TIM DO IT AGAIN
Country superstars Faith Hill and Tim McGraw will return this summer for another go-round of their hugely successful Soul2Soul tour. The tour will kick off June 6 in Omaha and end Aug. 10 in Anaheim, CA. Last year's version was selected as Pollstar magazine's "Major Tour of 2006," in front of tours by such powerhouses as Madonna and The Rolling Stones.
GENESIS DO IT AGAIN
Phil Collins, Tony Banks and Mike Rutherford -- Genesis' basic lineup in the late '70s and early '80s -- will reunite and kick off a 13-city North American tour Sept. 7 in Toronto after a summer tour in Europe.
EVEN IF SHE CAN'T SING, BIG BUCKS AWAIT
She didn't make it on "American Idol," but Antonella Barba (the one who's had racy photos splashed all over the Internet) has got options. "Girls Gone Wild" founder Joe Francis is offering the New Jersey native $250,000 to join the franchise and serve as the celebrity host of an upcoming release. In addition, SugarDVD, an adult film online rental center, offered Antonella big bucks to join the company as its celebrity spokesmodel. Now that she's not in the Final 12, these offers might be looking pretty good.
BLUES TRAVELER TRAVELS TOO FAST
Blues Traveler frontman John Popper was popped for possessing a controlled substance and drug paraphernalia when police clocked the car he was riding in at 111 mph and, upon pulling it over, discovered marijuana, an assortment of weapons and a few other choice items.
2006 Industry Conferences
Date Name Location SWSX 2007 March 9-18 Austin, TX DIGITAL MEDIA SUMMIT March 13 & 14 Hollywood, CA 2007 ASCAP "I Create Music" Expo April 18-21 Los Angeles MUSEXPO 2007 April 27 - May 2 Los Angeles, CA
Quotes of the week
"He was a great friend, and I look forward to being his friend in the future."
-- Viacom chief Sumner Redstone, who severed Paramount's professional ties to Tom Cruise last summer after calling the actor's couch-jumping conduct "unacceptable," telling People he wants to renew his friendship with the actor. Sumner, I'd say good luck on that one, but I don't think good luck can mend that bridge you burned."What an honor. An honor to receive and an honor for you to give to me."
-- Stephen Colbert, upon accepting the inaugural Person of the Year award at the U.S. Comedy Arts Festival on Friday in Aspen."Jennifer Hudson said 'American Idol' was a 'stepping stone' for her. Stepping stone? It was her big opportunity to become noticed, and she got noticed, and she got 'Dreamgirls.'"
-- American Idol's Simon Cowell at the 24th Annual Paley Festival at the Directors Guild of America in West Hollywood. Cowell took part in a panel discussion about the show at the Museum of Television & Radio event."I'm really pissed off with men right now, I don't think they can love me right. I'm going through a phase where I'm so depressed about blokes. It's horrible being a young girl looking for love in all the wrong places. It's a waste of time."
-- Joss Stone, in the UK edition of Harpers Bazaar in its April issue."I don't know what's going on in Britney's head, but my attitude is I couldn't care less. She should go back and live with her mum for six months."
-- Simon Cowell"I scream a lot!"
-- Madonna, on how she handles stress, to British Elle magazine."I'm quite happy to be thrown around, and hopefully my leg will stay on."
-- Heather Mills, on the possibility that her prosthetic leg may come undone during competition on "Dancing With The Stars," to TV's Extra."At my age -- breathing."
-- Joan Rivers, 71, on what makes her happy.
The B-Side - 'Blips'
MAYBE THEY SHOULD HAVE CALLED IT A "WOO-WOO", BUT HARD TO BELIEVE THIS IS HAPPENING IN THE YEAR 2007: A Westchester, N.Y., public high school in Cross River suspended three 16-year-old girls for saying the word "vagina" during a reading from "The Vagina Monologues." Later, one of the girls' suspensions was put on hold until after a Board Of Education meeting.
John Jay High School Principal Richard Leprine said the girls were punished because they disobeyed orders not to say the word "vagina." The school is in Cross River.
Their stand is being applauded by Eve Ensler, the author of "The Vagina Monologues," who said the girls were right for "standing up for art and against censorship." Ensler called the school's position "a throwback to the Dark Ages."
Ensler, a graduate of Scarsdale High School, said she called the girls to support them.
Honor students Megan Reback, Elan Stahl and Hannah Levinson, included the word because -- as Levinson said "we knew it was the right thing to do. Since we're comfortable saying it, we should make other people comfortable saying it."
The Blogs
Check out a great (that I contribute commentary to) 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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