Friday, July 4, 2008

Internet + Music = Success or Failure?

Should downloading music for free be considered as criminal activity? The logical answer is YES but a portion of the population have downloaded or burned music for free. In most cases we know or are these people and I doubt we would label them or ourselves as criminals. For most listeners, we don't care how we get our music, just as long as we get it. There are copyrights and acts protecting the rights of music labels and musician/artists from illegal file sharing. But who is really getting hurt? Most people would say that musicians take a hit but it's actually quite the opposite.

In a nutshell, the traditional way of distributing music goes in this manner: musicians make the music while the record label will provide the money upfront for studio time and distribution. A significant amount of money is invested but the labels are banking that the musicians will become big and sell a lot of albums. The amount sold will dictate the record labels profits. However, on the flip side, musicians only get a small fraction of these profits. Their earnings are dependent on them performing in live venues or to "tour". (Looking at prominent musicians/artists' touring schedule, it appears that they perform every other night.)

Based at that information it is no surprise that the industry is opposed to internet music downloading. If a certain album is downloaded for free, in theory it is detracting from record sales. Thus their investment was a waste. As for the musicians, it's a matter of ethics. Some artists will say that is wrong because of general principle, while others will have a liberal point of view. They will argue that free file sharing is a method of marketing/advertising. It helps get their name out which results into a larger fan base.

Yet, it's not all peaches and cream for some artists. Some argue that touring is not a reliable source of income because it is hard to find "gigs". Additionally, the increasing costs of travel and accommodations do not make it easier.

Consequently, free file sharing has to be restricted. If people are allowed to file share with not costs where does it end? If the musician/artists are smart the internet and technology helps them in two ways: distributing through the internet and producing music with readily available software. Basically they have full control of their music and the manner in which it is distributed. The internet and MySpace have created an abundance of "indie" artists who are reaping the benefits from the internet.

At the same time labels have to embrace the internet. It is another avenue for revenue and compared to traditional methods of distribution, the music is easily accessible. In the present, music labels are finding new ways to distribute music and entice customers. Partnering up with internet companies which allow customers to stream a predetermined amount of music for free each month has proven to be successful for cetain record labels in the UK. Research has shown that customers are still willing to pay for an album in support of their favorite artist(s). Regardless if they are able to obtain the album for free.

1 comment:

Lilly Buchwitz said...

Interesting research/links.