Bono applauds Radiohead for the method used to release 'In Rainbows' originally appeared on BloggingStocks on Mon, 30 Jun 2008 18:46:00 EST. Please see our terms for use of feeds.

Free Nine Inch Nails album set for physical release in July originally appeared on BloggingStocks on Wed, 18 Jun 2008 16:30:00 EST. Please see our terms for use of feeds.

Continue reading Court allows transfer of promotional CDs

Court allows transfer of promotional CDs originally appeared on BloggingStocks on Mon, 16 Jun 2008 16:45:00 EST. Please see our terms for use of feeds.

Bloomberg reported Thursday that News Corp.'s (NYSE: NWS) MySpace asset wants to leverage its mindshare to sell music. Not a huge leap of logic there -- MySpace is a touchstone for the online-savvy youth, a group that enjoys consuming songs and going to shows. Only problem is, the MySpace generation also intersects with another club -- the iPod generation -- and going against Apple (NASDAQ: AAPL) won't be a simple task for Rupert Murdoch and his social-networking empire.

Bloomberg points out an another interesting issue for MySpace -- its buzz appears to be weakening somewhat. I found it very interesting that Facebook is challenging MySpace's dominance in terms of user growth, and that Google (NASDAQ: GOOG) may not be doing as well with its MySpace deal as perhaps it theoretically should be.

This music initiative, called MySpace Music, is intended to aid top-line sales expansion. Remember the days when MySpace was the undisputed god of the web? Hey, it's still a major online brand, no question, but I find it funny how, in certain respects, MySpace just isn't the untouchable social network that it once was. It definitely calls to mind the axiom dictating that the hot domain one year might not be quite the zeitgeist the next; I've certainly been hearing more and more about Facebook than I have about MySpace these days.

Continue reading MySpace wants to tune in to music profits

MySpace wants to tune in to music profits originally appeared on BloggingStocks on Fri, 04 Apr 2008 09:58:00 EST. Please see our terms for use of feeds.

U2 signs long-term deal with Live Nation originally appeared on BloggingStocks on Mon, 31 Mar 2008 17:58:00 EST. Please see our terms for use of feeds.

EMI planning to join Nokia for new music/phone program originally appeared on BloggingStocks on Thu, 20 Mar 2008 15:18:00 EST. Please see our terms for use of feeds.

Rumors now frequently circulate about massive music acts leaving their long-term record labels. Last spring Paul McCartney defected from EMI after 45 years to join Starbucks' (NASDAQ: SBUX) Hear Music label. Madonna left Warner Music Group (NYSE: WMG) last fall. Other artists have followed suit, while some who are still signed have started speaking out against their labels. In this most recent case, Irish rock band U2 is rumored to be leaving Vivendi's Universal Music Group to sign up with Live Nation (NYSE: LYV).

Although I wouldn't blame the artists for leaving their labels, as long as it is in their best interests and increases fans accessibility to the music, it is certainly going to affect the record industry long-term if the defections continue. At the same time, many critics and bloggers would point out that the acts switching labels are already past their prime -- their big hits and money-making lies with albums that came while they were at the labels. That may be true for acts like McCartney, U2, and Madonna, but the best example of this -- Radiohead -- is hardly through making the huge hits they enjoyed while with a major record label.

Radiohead, if you remember, is that "little" band that caused such a stir last October when it decided to release its new album, In Rainbows, to fans in a pay-what-you-want model. When the album was released on CD earlier this year it hit #1 in numerous charts around the world.

Obviously, none of these acts would have achieved such huge successes without major record labels, and it is impossible to say that the future of the record industry is without music labels. These rumors and the actual occurrences indicate that companies like Live Nation and Starbucks, while not necessarily oriented primarily for music distribution, are making better gains than the labels. This will not be ignored for long so the rumors may cease, and only indicates the movement music acts are making for the time being.

U2 rumored to leave major record label originally appeared on BloggingStocks on Thu, 07 Feb 2008 15:41:00 EST. Please see our terms for use of feeds.

Amazon music download library grows with addition of Warner Music Group originally appeared on BloggingStocks on Thu, 27 Dec 2007 18:57:00 EST. Please see our terms for use of feeds.

In the United Kingdom, retailers have "urged the music industry to drop piracy protection for online downloads after new figures showed the average Briton has bought fewer than three digital tracks in the past three years" according to the Financial Times. The Entertainment Retailers Association also states that anti-piracy methods have inhibited growth in the digital market and are "working against the consumer interest." The three tracks in three years figure is slightly hard to believe, but another point in the article made me think about the upcoming holiday season and digital music players.

The Financial Times remarked that the ERA is urging the music industry before the Christmas season because hopes are that digital sales could grow tremendously in January for consumers that want to load up their new players. While the average user might not be able to tell the technological benefits of Digital Rights Management (anti-piracy) free tracks, they can certainly enjoy the ability to easily transfer said track without having to worry about the tedious protection measures. Unfortunately, anti-piracy protection seems to inevitably require the consumer to sign in and confirm purchases, no matter the length of time since it has occurred.

DRM-free technology (anti-piracy) software has come under fire since February when Apple Inc.'s (NASDAQ: AAPL) Steve Jobs challenged the music industry to drop usage of the technology. So far the challenge has only been partially successful with London-based EMI the only music company to fully drop DRM and offer higher quality tracks for sale in various digital stores, including iTunes. The other music companies have not been as quick to adopt a DRM-free position, with Universal Music Group the only other label even beta testing files without it.

Continue reading Post-holiday iPod-iTunes sales based on anti-piracy software?

Post-holiday iPod-iTunes sales based on anti-piracy software? originally appeared on BloggingStocks on Sat, 01 Dec 2007 16:10:00 EST. Please see our terms for use of feeds.

In a news piece that is gaining more and more momentum, Rolling Stone issued an article on Friday featuring an interview with hip hop artist Nas about his new album and Universal Music Group's decision to back his choice for title. Meanwhile, New York area legislators are demanding the State Comptroller withdraw a pension fund from UMG unless the title is changed, arguing that UMG and Nas are "profiting from a racial slur that has been used to dehumanize people of color for centuries."

Nas can certainly feel confident with his title choice, as the record label has backed him and offered no comment for the piece. According to the rapper, the controversy surrounding the album "is like talking to your children about sex. It's hard, but it's important." Despite the difficulties that may raise among whoever talks about the album, as Nas also states it is "just an album." Listeners and fans will decide to buy the album presumably on their like or dislike of Nas's past work and if reviews are positive for this album.

Of course, listeners may be enticed to purchase the album strictly for the title, or they may be turned away. No matter the controversy surrounding the decision, or the decision itself, in the end it appears like any other marketing stunt. Universal Music certainly has nothing to lose in the venture; the company's share in the music industry is around 30% and they have a wide lead over the next competitor, Warner Music Group (NYSE: WMG), at 25%. In any case, in a month we can see if the controversy amounts to anything and what kind of reception the album will have.

Record label backs Nas album title choice originally appeared on BloggingStocks on Sun, 28 Oct 2007 17:10:00 EST. Please see our terms for use of feeds.

Sony BMG posts loss despite larger profits originally appeared on BloggingStocks on Thu, 25 Oct 2007 17:30:00 EST. Please see our terms for use of feeds.

More is less: Apple's iTunes to offer 99-cent DRM-free tracks originally appeared on BloggingStocks on Wed, 17 Oct 2007 19:31:00 EST. Please see our terms for use of feeds.

Universal recruits record companies to compete with Apple's (AAPL) iTunes originally appeared on BloggingStocks on Fri, 12 Oct 2007 16:30:00 EST. Please see our terms for use of feeds.

Universal Music Group to offer unprotected downloads originally appeared on BloggingStocks on Fri, 10 Aug 2007 13:00:00 EST. Please see our terms for use of feeds.

Billboard reported music sales for the first half of 2007 according to Nielsen SoundScan this morning. To no surprise, physical formats have dropped 15.1% in the period while digital sales have increased 48.5%. Single track downloads, the most popular format of digital sales, are responsible for that boost - 417.3 million tracks were sold in the first half, a significant boost over the 281 million of the first half of 2006. Of course, even with the continued growth of digital sales, the industry is not in good health (this is nothing new).

The report notes that among the labels, Universal Music Group sold the largest share of sales with 31.6% over the 25.2% and 20% of Sony BMG and Warner Music Group (NYSE: WMG) respectively. Independent music labels disconnected from the majors accounted for 12.85%, while EMI Group PLC (LSE: EMI) only maintained a 10.3% share despite the company's introduction of Digital Rights Management technology free tracks midway through the time period.

According to the article, with the combined numbers of physical formats and the translation of digital sales to the corresponding physical value, there is only 9.1% decrease compared to the first half of 2006. Despite the apparent "good" news that the lesser number means, the music industry is still falling apart in all sectors. Digital track sales make it apparent that the album truly is dying and that a new model is needed. The music industry will have to start completely over from scratch because the continued decline makes it obvious that survival is becoming less and less an option.

Music sales decline -- the album is dying originally appeared on BloggingStocks on Thu, 05 Jul 2007 16:30:00 EST. Please see our terms for use of feeds.

If I told you that only 3% of online households in the United States have bought music from iTunes in the past year would you believe me? Forrester Research issued a report last week declaring that the 3% of households that have purchased music from iTunes store spent a total of $35 for the year, and half of them spent only $3 or less at a single time. Analyst Josh Bernoff chalks this up to, "even at 99 cents, most consumers still aren't sold on the value of digital music."

So where do the roughly 20% of people who own iPods get their music from? My best guess is through the illegal peer-to-peer networks, which continue to give the music industry its biggest challenge to greater profitability.

This is evident in the deal Universal Music Group CEO Doug Morris struck with Microsoft Corp.'s (NASDAQ:MSFT) Zune wherein Universal receives $1 royalty fee for every Zune device sold by Microsoft. Mr. Morris hinted that he'll seek a similar rate from the iPod when it comes time to renegotiate UMG's iTunes licensing agreement this year.

Apple Computer Inc. (NASDAQ:AAPL) simply needs to find a better way to induce the remaining iPod owners to visit the iTunes Store. Maybe a new pricing scheme, freebie promotions, frequent buyer club with points?

Report: Not many iPod owners use iTunes store originally appeared on BloggingStocks on Mon, 11 Dec 2006 09:55:00 EST. Please see our terms for use of feeds.

Universal Music sues MySpace.com...here we go originally appeared on BloggingStocks on Mon, 20 Nov 2006 13:25:00 EST. Please see our terms for use of feeds.