The future of music and film distribution seems to be in the headlines almost every day. Music consumers and fans are being hit with massive fines for illegal downloading music and sharing it across peer to peer music sites and governments are introducing draconian measures to cut off abusers/users from the Internet, obviously a fate worse than death for many. Just this week a very popular site called Pirate Bay was shut down even though a movement spawned from it and its supporters had won a seat in the European Union parliament.
The question is are we trying to service the consumer, protect the artists interests or those of the music and film industry as a whole and what are the consequences for the future of music and film ?
The industry argues that every song or film copied and illegally downloaded is lost revenue amounting to billions of dollars and is damaging artists old and new. But is that really true?
I would say no as it is clear that new bands are gaining popularity through the Internet before they are taken up by music companies and old bands are being rejuvenated by file sharing and have allowed a new generation to experience their music for free and then create demand for a come back live tour and renewed CD sales. The recent death of Michael Jackson is a case in point, all his songs can be downloaded for free on the Internet but sales of his CD’s have rocketed since his death.
On the basis that the consumer is always right and that they usually do things that they feel are their right to do, can the industry fight against this trend and expect to win in the long term?
I would say no here also. If I buy a book and I read it I can pass that book on to a friend so that they can also read it. But if I copy the book and then give it away, not sell it, to hundreds of people then clearly this might deny some revenue to the publisher and author. However, that presumes that everyone I gave the book to would have been motivated to buy it and read it and this is where the music and film industry’s argument begins to break down. For music, many who download a track illegally do so because it is free and would never consider paying to listen to that song and artist. However, having heard the song they may well decide to go and buy the artists CD’s or recommend it to a friend !
What the consumer wants is choice and a fair price. When I buy a CD I may only want a couple of tracks on it, the rest I am paying for but I probably wont like and wont play. Why should I pay for something I don’t want?
Where did the file sharing mess start?
If I buy a CD of music I need a CD player to play it on which may or may not be portable and if I want to have a selection of music I need to carry a lot of CD’s.
The consumer decided that an Ipod type device was more convenient to store and play music when on the move and that required the Ripping of the original CD into a digital format called MP3 that could be easily uploaded onto the Ipod type device. This is where it all started to go wrong for the music industry.
Once in digital MP3 format the song was easily copied and could be shared with anyone on the Internet who could play the music on their PC or transferred to an Ipod. This trend was quickly picked up as it cut out an annoying step for music consumers of buying the CD and Ripping it and this turned out to be what the consumers wanted. However, it was not what the music industry wanted but at least it was only a small number of people doing this so they could live with it.
Napster made things much worse, Innovative entrepreneurial spirit got involved and created an easy way for people to share their favourite tracks with thousands of others. Napster was shut down but rose from the ashes with a pay per track business model, subsequently copied by itunes and others like Amazon, agreeing to pay royalties to the music industry for each paid track downloaded. It is worth noting that these services, despite free music downloads still being available, are experiencing a massive growth, partly driven by the inovative ipod technology. But still, consumers were now used to music for free so where does this take us?
What is fair use of an original artistic works copy? Would I be displeased if someone found my work so impressive that they wanted to share it with others and from that I became better known? The copyright laws are a minefield, not particularly well based in logic and heavily biased towards the interests of the media corporations. This is the root of the conflict that has seen the sinking of Pirate Bay.
Some music artists have recognised that, with a record company, they are dependant on their marketing and distribution which eats away at revenues and ultimately the artists earnings. Whereas free distribution of their songs through viral marketing amongst enthusiastic Internet users may produce low record sales but affords much greater exposure and recognition at almost zero cost. The latter leads to opportunities for live gigs and merchandising and ironically CD sales or paid for downloads in the end. New performers don’t have to wait to be “discovered” and promoted by music companies, they can just go ahead and do it themselves on YouTube.
One of the drivers here is technology, faster and faster internet connections, smaller personal digital media players and mobile phones with audio, video, and internet capability that turns every owner into a potential event recorder, journalist and media distributor/consumer. As quality improves to high definition video and surround sound HiFi audio, who needs a media corporation?
Obviously the real losers are the record and media companies if the viral marketing and file sharing model is widely accepted, not the artist and the consumer, this is why they are fighting so hard to make it illegal. But are the media companies missing a trick here and a great opportunity?
In any revolution there will be battles, casualties, heroes and martyrs but in the end for the entertainment industry the outcome is already decided by the consumer. The entertainment industry will have to change as you can not force a change in consumer preference or behaviour by threats and legislation. You only alienate the very people you want to buy from you and seal your own demise.
In the near future the entertainment industry will not exist in the form it does today, the big corporations will be mostly gone or radically transformed being replaced with smaller agile, innovative and social media aware marketeers and independent artists. Artists will take control of their own material and fan base, only using external companies to help them stage live events or handle merchandising as needed. I am glad to see that some are already doing this and I hope it continues with not too many music and film lovers being martyred along the way.
Until a change comes about and the war between the media companies and the consumer ends I can only recommend that you download music and films from the paid services like Amazon (link opposite) http://www.amazon.co.uk , Itunes or advertising supported site like Spotify….etc…
If you have any ideas or recomendations on this topic leave a comment.