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  3. Music Industry Analysis 1999-2003
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  5. Co-evolutionary dynamics in the music industry

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USD 5. Sign in to Purchase Instantly. Overview Introduction: Paul Cooke formed one of the biggest bands in the 's Sade, and continued to work in the music industry throughout the 80's and the 90's in various incarnations from experimental music maker to digital record label owner and music publisher. The articles featured in this work are taken from those articles published by TagItMedia Inc, between and Paul's dissertation 'New Media in Cyberspace' as presented to Lincoln University in can also be found published online at Music Dish as well as currently available online via Amazon in paperback and ebook format.

If you want further reading on the subject of digital media, the music industry and the evolution of a music distribution model that changed the face of the music industry forever then please visit the Amazon website for further details. Product Details About the Author. About the Author Paul Cooke was the founder member of the band Sade in and went onto create the songs and drums on the bands biggest hits to date, 'Smooth Operator' and 'Your Love is King'.

Paul recorded the album 'Diamond Life' with the band in and the album went onto be the biggest selling album for a UK female singer ever This is Paul's autobiography and story on how he founded and created the band and the music for one of the biggest female artists in UK history.. Average Review. Write a Review. With the A la carte sales models increasing in popularity, consumers no longer download entire albums but rather choose single songs.

The initial stage from approximately to of the digital music revolution was the emergence of peer-to-peer P2P networks that allowed the free exchange of music files such as Kazaa and Napster. By , the cost of hard drive space had dropped to a level that allowed pocket-sized computers to store large libraries of music. The iPod and iTunes system for music storage and playback became immensely popular, and many consumers began to transfer their physical recording media such as CDs onto computer hard drives.


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The iTunes Music Store offered legal downloads beginning in , and competitors soon followed, offering a variety of online music services, such as internet radio. Digital music distribution was aided by the widespread acceptance of broadband in the middle of the decade. The chief economic impact of these changes was a dramatic decline in revenues from recorded music. In the 21st century, consumers spent far less money on recorded music than they had in s, in all formats. Total revenues for CDs , vinyl , cassettes and digital downloads in the U.

The popularity of internet music distribution has increased and by more units were sold over the internet than in any other form. The major record labels consistently failed to heed warnings or to support any measures that embraced the change in technology. This failed to slow the decline in revenue and was a public relations disaster. The turmoil in the industry changed the balance of power among all the various players. The major music-only stores such as Tower Records which once wielded considerable influence in the industry went bankrupt, replaced by box stores such as Wal-Mart and Best Buy.

Recording artists began to rely primarily on live performances and merchandise for their income, which in turn made them more dependent on music promoters such as Live Nation which dominates tour promotion and owns a large number of music venues. Many newer artists no longer see any kind of " record deal " as an integral part of their business plan at all. Inexpensive recording hardware and software made it possible to create high quality music in a bedroom and distribute it over the internet to a worldwide audience.

Music Industry Analysis 1999-2003

This has given consumers unparalleled choice in music consumption and has opened up performers to niche markets to which they previously had little access. Napster was an online music file sharing service created by Shawn Fanning while he was attending Northeastern University in Boston and operating between June and July Napster, Inc. The court found that Napster was contributory liable for the copyright infringement of its end-users because it "knowingly encourages and assists the infringement of plaintiffs' copyrights.

A number of studies have found that file sharing has a negative impact on record sales. Examples of such studies include three papers published in the April issue of the Journal of Law and Economics Liebowitz, Rob and Waldfogel, Zentner. Liebowitz argues in a series of papers , that file sharing had a significant negative impact on record sales. In March the Wall Street Journal found that CD sales had dropped 20 percent in one year, which it interpreted as the latest sign of the shift in the way people acquire their music. BigChampagne LLC has reported that around one billion songs a month are being traded on illegal file-sharing networks.

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. The decision represents an abrupt shift of strategy for the industry, which has opened legal proceedings against about 35, people since Critics say the legal offensive ultimately did little to stem the tide of illegally downloaded music.

And it created a public-relations disaster for the industry, whose lawsuits targeted, among others, several single mothers, a dead person and a year-old girl. Instead, the Recording Industry Association of America said it plans to try an approach that relies on the cooperation of Internet-service providers.

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With the explosion of formats and the creation of legitimate digital content, the IFPI observed that three main business models have risen to dominance. They are a-la-carte, subscription service, and advertisement -based.

The music industry and the digital revolution

They are known to consumers as "Download Stores". The leading provider is iTunes Store Apple Inc. Many hundreds more stores operate worldwide, often prominent only in particular countries or specialist genres.


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  • A third kind of operator never retails directly to the public, instead offering branded whitelabel stores and portals for organisations including bricks-and-mortar music stores, mobile telephony operators and ISPs. Some services which initially only offered streaming of tracks now also offer a-la-carte downloads, either through third parties e. Spotify or fully integrated Deezer , Juno Digital , Rhapsody etc. Bill Carr, vice president of digital media for Amazon.

    A subscription service offers the consumer unlimited downloads for a monthly fee. This approach, according to the Open Music Model , is theorized to maximize revenues in the long run. Advertisement -based services offer music free of charge to the consumer, while funding is derived from advertisement. Music and YouTube multimedia provider. Many of these services are internet radio stations, as they offer continuous streaming music, while others are not continuously streaming.

    Co-evolutionary dynamics in the music industry

    Many of these services offer multimedia or additional services. For example, MySpace owned by Fox Interactive Media offers social-networking as its flagship service. See also List of Internet radio stations. YouTube owned by Google Inc. The site is also testing three new landing pages dedicated to the popular categories of news, movies, and music. Each page will be populated with the most popular content on the site related to that category.