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You Can Tap Hypebot's Collective Intelligence

Earlier this week we asked Hypebot readers to take a look at Overlay.tv and share what they thought of the video tagging service and how it could be used in the music industry.  We received some very thoughtful and interesting responses that should provide some insights to help the Overlay team as the roll out their product.

Perhaps you're involved in a music 2.0 start-up or new product test and you'd like to tap into the collective intelligence of Hypebot's unique community of music and tech professionals?

If so, see how it worked for Overlay.tv and share your perspective.  Then lets us know in the comment section here or email me privately how the Hypebot community can help.

The Week's Top Music Industry News: Indies on MySpace, Imeem Buys Snocap, Video On Net & Much More

> Problems lie ahead for digital music distributors as labels demand lower fees and more services.

> A letter to labels from The Orchard's CEO leaked to Hypebot showed concern for how the new MySpace Music will treat indie record labels and artists. A Hypebot commentary shed additional light on the issue.

> Music based social networker imeem bought Snocap.

> Last.fm says full song streams sell music.

> Island Def Jam and TAG men's body spray have formed a new hip-hop record label, TAG Records to be led Jermaine Dupri.

> Coverage of two video sites run by indie music blogs that launched this week: Pitchfork.tv and Videogum. Vote on which one you think will be the most popular.

> Virgin Megastore sales are up a surprising 11.5%.

> Zune has cut deals with several major Latin American music sites.

> Wikipedia beats MySpace as the top go to place for band and music info.

> Music contest site OurStage.com has partnered with some of America's largest music festivals.

> A new study says only 40% of music will be sold via downloads by 2012.

> Overlay.tv asked Hypebot readers to comment on their video tagging service and tell them how it can be used by the music industry.

> An interview with the head of Penny Distribution.

> The first Digital NARM Conference is taking shape.

> User awareness of iTunes is up and MySoace is down.

> HELP WANTED: Megaforce is looking for a marketing and digital coordinator and ArtistExcite seeks a marketing and business development staffer.

Hypebot Is Migrating

PLEASE REPORT TECH PROBLEMS

Hypebot has been operating under two URL's for some time now Hypebot.com and another via our blog software provider at hypebot.tyepad.com. That's been messing up some of our stats, etc. So today I tired some web wizardry called domain masking to unit them under the single Hypebot.com domain.

Supposedly it's seamless and all the old links still work. But just in case you experience any weird problems with links, RSS readers, etc. please email me here and I'll do my best to fix them pronto.

OurStage Partners With Bonnaroo, Newport, Bumbershoot & Other Fests

OurStage has formed partnerships with a number of top music festivals  including Bonnaroo, Noise Pop, Newport Folk Festival, JVC Jazz Festival Newport, Bumbershoot, SoulFest and Afro-Punk. Each will tap OurStage to help fill out their line-ups using fan-driven music filters to identify the best emerging talent on the site.

Bonnaroo is using OurStage to host an online contest to play Bonnaroo 2008 and launched a Battle for the Roo channel. It is free to enter running through May when the Roo team will select from the top fan ranked bands to play the festival.

OURSTAGE VS. SONICBIDS -
OurStage claims a tamper-proof judging process offering artists a free showcase and the industry insights into how music tests. That OurStage offers artists free entry is in contrast to the Sonicbids model which asks artists to pay to participate for a juried (rather than fan driven) chance to perform at similar fests and events. Which model - fan reaction or experienced ears - will provide the best results for the artists and the festivals?

Read recent Hypebot 4QFor Interviews with the CEO's of OurStage and Sonicbids.

IDJ, J. Dupree & Body Spray Form Label

DOES MUSIC MAKE THE BRAND OR THE BRAND MAKE THE MUSIC?

Island Def Jam and Procter & Gamble's TAG men's body spray have formed a new hip-hop record label, TAG Records to be led Jermaine Dupri. TAG Record's first artist will be announced in May. 

In addition to an album release, the TAG Brand will showcase TAG Record's artist and Jermaine Dupri across various TAG brand advertising and marketing initiatives throughout 2008. The partnership was brokered by the New York based ACME Brand Content Company. (press release)

VIDEO AFTER THE JUMP.

Friday's Briefing: EU Stops ISP Blocks, NZ Mobile Music Soars, D.I.Y. MTV & More

> European Parliament members have voted to stop the ISP disconnection policies those introduced in France and proposed in the UK and elsewhere to fight illegal music downloads. (PaidContent UK)

> A look at Caroline's digital only campaign for French pop star Yelle and how EMI and others are using digital only releases and campaigns to test the waters for new artists. (cNet)

> Vodaphone has become the top seller of singles in New Zealand. (NZ Herald) Don't miss the mobile download trend.

> Passalong Networks has launched its 200th StoreBlocks digital music store. (press release) This is the kind of system that could build the next generation of niche download stores. 

> A look at the sale of download cards. (Star Ledger) My biggest problem is that at $12.99 they cost more than a normal download. And why not a system to move catalog where if a store doesn't have a CD in stock they can generate and sell a slightly discounted download card?

> MP3tunes.com has added AutoSync between computers to its music locker service. (press release, MP3tunes)

> Voting has begun for this year's best of the net Webby Awards. (here)

> The Electronic Frontier Foundation is supporting the eBay seller whose getting sued by Universal of CD promo re-sales (EFF)

> Live video broadcaster USTREAM.TV has rasied $11M in first round funding. (PaidContent) I've been surprised that more labels and bands aren't using these services. Today I saw a Portland, ME radio station streaming live video of its morning show in a smart use of the technology.

EMI Wins ASCAP Publisher Of The Year

Last night, EMI Music Publishing was named publisher of the year for a record 14th time by ASCAP at their annual Pop Music Awards. EMI songwriters including Fergie, Beyonce, Nelly Furtado and Stargate’s Tor Eric Hermansen also won ASCAP awards.

Top Music 2.0 Posts

JOIN THE MUSIC 2.0 DISCUSSION

Recent Hypebot posts that are getting a strong reaction from readers and across the net:

> A new study says that only 40% of music will be sold digitally by 2012

> Digital music distribution is undergoing major changes

> Will MySpace Music be fair to indie artists and labels?

• The Orchard sent a letter to labels expressing concern
• Here is the full text of the letter
• Our commentary and call for action

> The founders of Overlay.tv asked Hypebot readers to take a look at the site and tell them what they thought. Add your comments.

Study Says Only 40% Digital Music By 2012

Digital sales of music represented 10% of the total worldwide music market in '07 up from 6% in '06, according to In-Stat.  By 2012, digital music sales will represent 40% of all music purchased worldwide.

Factors contributing to this growth include the global expansion of broadband, demand for single-track downloads and market growth in mobile downloads to mobile handsets in markets beyond Japan wear over-the-air already dominates. Recent research by In-Stat found the following:

• Sales for online digital music reached $3.05 billion in 2007, up 48% from 2006.
• Revenue for worldwide full track mobile downloads will reach approximately $4.2 billion by 2012.
• Most who accessed online video (72.3%) in 2007 did not pay for the video they saw

40% by 2008 worldwide seems like slow growth to me and others have predicted more aggressive numbers. What do you predict?

Interview: 4QFor Nick Fitzsimmons Of Penny Distribution

We continue our ongoing 4QFor (Four Questions For) series with Nick Fitzsimons of Penny Distribution a music distribution, marketing and promotion service based in San Francisco. Nick also blogs about the industry here. (Read more 4QFor interviews with the heads of RouteNote, OurStage, Sonicbids, imeem, We7, ReverbNation, New Music Strategies and Nimbit here.)

Q1. What major changes to you foresee in the music industry in the next year?
I think the major revenue streams that used to make up the majority of an artists earnings (CD sales mostly) have been shattered into hundreds of tiny pieces.  There's been a shift in focus to other revenue streams (publishing, subscription based models, ad-supported models, online marketing, cross promotion) and I think this trend will only speed up with upcoming legislative changes to, for example, internet royalty rates as well as changes in the publishing industry.  Recorded music has become increasingly less valuable to an artist and will continue to become less so – but opportunities to make a viable career in music are more numerous than ever before.

Q2. How are you and your company prepared to benefit from these changes?. –  Right from the outset, we saw a need to re-establish the trust between artists and labels.  Providing flexibility and transparency for artists is the key – We wanted to empower artists to take a look...

Thursday's Music 2.0 Briefing: MySpace Music Buzz, Chart Action, Radio Woes & More

HYPEBOT FEATURES:

• This week's Coalition of Indie Music Store Charts
• Last.FM says full song streams sell music
• Zune cuts deals with major Latin web sites
• Full text of The Orchard MySpace letter to labels
• Commentary: Indie Treatment At MySpace Music

> MYSPACE MUSIC BUZZ

• "How MySpace Music could beat iTunes" from The Industry Standard plus some additional thought from the author Mellisa Chang.
• Gerd Leonhard comments that MySpace music is more about artist empowerment and than about sales and in what is both a great sound bite and a terrific idea calls for a "Google Apps For Musicians". (I want to be part of that development team if anyone is listening.)
• But all this talk is a bit premature since we have no idea how open the platform will be or what they will charge indies. Read my commentary here.

> CHART ACTION: In case you still care, George Strait is predictably #1  and R.E.M debuted at #2 with 115,00 units sold.  Its their best debut in a dozen years. EMI is having a good month as distributor for this week's debut album from Trina.  The album charted at #1 on the R&B/Hip Hop chart and #6 on the Billboard Top 200 Chart selling more than 200k digital singles, mobile ring tunes and ringbacks prior to street date.

> A RadioNext study that Kurt Hanson is sharing in advance pieces on his RAIN blog shows that manty people listen to radio more because it is convenient that compelling. What happens when ubiquitous wireless makes net radio just as convenient?

> I got some negative comments from readers for lumping Pitchfork.tv and Sterogum's Videogum together. To explain my logic, in addition to the fact that thetlaunched within 24 hours of the other (coincidence?), both are brand extensions of popular indie music blogs. My question has been which will be the most successful approach - extend your brand within its niche as Pitchfork.tv has done or believe that people trust your tastes to the point they'll also follow your advice on film and all of indie culture as Videogum.  Register your vote in our poll. And here's some AP coverage of the Pitchfork launch.

> New Music Strategies Andrew Dubber has a short and worthwhile new ebook called Five Things That Are Still True about music culled from his blog. Here's the pdf.

Coalition of Independent Music Stores Charts For 4/9/08

CIMS Top 25 Debuts for 4-8-08
1 CAVE,NICK & THE BAD SEEDS DIG LAZARUS DIG!!!
2 BREEDERS MOUNTAIN BATTLES
3 TAPES N TAPES WALK IT OFF
4 CLOUD CULT FEEL GOOD GHOSTS (TEA-PARTYING
5 NINE INCH NAILS GHOSTS I-IV
6 MAN MAN RABBIT HABITS
7 CARLL,HAYES TROUBLE IN MIND
8 ECHO BLISS SHED MY SKIN
9 TORCHE MEANDERTHAL
10 CUT COPY IN GHOST COLOURS

Read the rest of the Top 25 Debuts, Top Vinyl and the CIMS Top 200 after the jump.

Last.fm Says Full Song Streams Sell Music

Last.fm releases stats todat that its says proves that free on demand full song streams have a direct impact on sales.  Since this additional service launched on the site in January, overall CD and download sales through Last.fm's partnership with Amazon.com increased 119%.

Alongside an increase in overall visitors, which has spiked since the site started offering catalog access, Last.fm says the jump was also fueled by existing users purchasing 66% more albums and tracks than they did prior to the launch of free-on-demand music. Last.fm also has affiliate deals with iTunes and 7Digital...

Zune Goes Latin

Zune today announced a collaboration with MSN Latino and partnership with Remezcla.com to be the exclusive music sponsor for each site. The new co-branded online platform will launch on April 15.

The arrangement...

Commentary: Indie Treatment At MySpace Music

Wired's Listening Post, Idolator and others have picked up on the story that Hypebot broke yesterday revealing The Orchard's concerns over indie treatment at MySpace Music. How MySpace and other music 2.0 companies compensate indie artists and labels will play a major role in shaping the the next iteration of the music industry. Indies have to make money somewhere.

On one hand, it is important to be patient with revenue demands. Some digital distributors have advocated staying away from services like imeem whose payment plans are a bit vague, but labels and artists should not ignore the potential of these new music discovery vehicles. Why not make a shorter deals which can rescinded in a year or so as a payment history develops?

Full Text Of Orchard MySpace Letter To Labels

Digital distributor The Orchard sent an email expressing concern over how MySpace Music may be treating indie artists and labels. In a commentary I wrote about how MySpace and other music 2.0 companies treat indies will shape the next phase of the industry and the importance of indies sticking together for fair treatment. Here is the full text of the original email from Orchard CEO Creg Scholl:

Orchard Artists & Labels,

Most of you have probably read news of MySpace’s intended music service launch.  If not, you can read a bit about it here:

http://www.digitalmusicnews.com/stories/040308myspace/view

Given the vital role MySpace plays in many of your careers, we wanted to take a moment to assure you that we’re on it, and also share a perspective:

• We are in conversation with key executives at MySpace...

Vote: Videogum vs. Pitchfork.tv

Opinion Polls & Market Research

Wednesday's Music 2.0 Briefing: Digital Save Industry...in 2010, Don't Sell Your CD Promos & Much More

HYPEBOT FEATURES:

• iTunes is up and MySpace down in new a consumer awareness poll
• VirginMegaStore sales up a surprising 11%
• Help test Hypebot's collective intelligence by reviewing Overlay.tv
• Videogum has launched in beta

> New digital music services will halt the decline in European music sales by 2010, according to a new JupiterResearch report. Jupiter analysts believe that "next-generation digital music services will unlock future music industry revenues and will drive mass market adoption of digital music services." (MacWorld)

> DON'T SELL YOUR PROMOS! - Universal is sueing an eBay CD re-seller who listed 26 UMG promos for sale. (P2PNet) Doesn't Universal have better things to do with its time and resources?

>Perry Farrell is working with Apple on a set of special Lollapalooza artists collaborations that will be sold only via iTunes.

> Don't give up on radio yet. A new survey showed that 61% of Americans still listen to the radio at least once a day (but how long and to what?). But ad revenue was down 2/3% in 2007 and the trend is expected to continue in 2008.

> Slacker now has agreements with publishers EMI, Sony/ATV, Universal and Warner/Chappell  The new deals give Slacker the content rights to enable Personal Radio that can be played everywhere on Slacker Portable Radio Players.

> Look at digital music from the consumer's perspective at our sister blog OurDigitalMusic.com

User Awareness: iTunes Up, MySpace Down

A new Ipsos study of overall consumer brand awareness shows continued growth for iTunes among fee-based music services. MySpace, who is just becoming a true paid service, suffered declines in both awareness and perception. Other services are generally holding their own. CLICK ON EACH IMAGE TO ENLARGE.

Megaforce Seeks Marketing/Digital Coordinator

As a service to the industry Hypebot publishes free job openings and internships. Email yours here and see more opportunities on our free music industry job board.

Position: Marketing/Digital/Administrative Coordinator

• Marketing, Digital administration and general office administration

Company: Megaforce Records/Transdreamer Records

Location: New York

A Test Of Hypebot's Collective Intelligence

Almost every week I get emails asking for my opinion of new music 2.0 sites and services. If they interest me at all, I'll I spend a few minutes exploring the offering and give my quick opinion.

Recently I realized that it might be interesting for Hypebot readers to get a behind the scenes look at a music site or service in beta and express your opinions about the offering. At the same it could also be more helpful to the company looking for advice. Many minds are better than one.

Overlay.tv has graciously agreed to be the Hypebot's first "collective intelligence" experiment.  Currently in public beta, Overlay.tv is a product that they believe could be of service to the music industry and some big name artists agree.  Here is...

Videogum Launches In Beta

Just one day behind Pitchfork.tv, Stereogum's Videogum music tv destination has launched in beta as originally promised. There's a whole lotta "Coming Soon" spread around the site, but it covers a broader range of music and shows come promise with a more playful style than Pitchfork.tv.

Check them both out and tell us what you think do far:

PITCHFORK.TV vs. VIDEOGUM.COM

Virgin MegaStores Sales Up Surprising 11.5%

Against the backdrop of a challenging U.S. marketplace Virgin Megastores achieved one of the most successful years the U.S. chain has ever had. Sales for the fiscal year '07 were up 11.5% nationally on a same store basis and up more than 10% in the NYC market. The chain's five largest stores had double-digit growth last year; with Orlando up 24% and the west coast flagship Hollywood store up 21%.

Diversification has been a major. In 2007 DVD sales were up 13.9%, fashion sales up 35.5%, video games up 93.9%, and book sales up 19%.

EMI Publishing Signs Elizondo

EMI Music Publishing has signed a global deal with writer and producer Mike Elizondo. Elizondo has written for artists as diverse as Eminem, Natasha Bedingfield, Eric Clapton and Gwen Stefani and was this year nominated for the Producer of the Year Grammy for his work on Maroon 5’s "It Won’t Be Soon Before Long".

Orchard Voices MySpace Music Concerns

DIGITAL MUSIC IN TRANSITION

Read Part 1: Turmoil In Digital Music Distribution here.

Part 2: One of the largest digital music distributors, The Orchard, has expressed concerns about MySpace Music and the deal being offered - or not offered - to independent artists and labels.

In an email to labels and artists obtained by Hypebot, CEO Greg Scholl expressed an understanding of how important MySpace was for many indies and the revenue opportunity it could present.  But Scholl also expressed concerns about how fairly his clients may be treated:

"...it is unclear whether and how the equity the participating major labels received will be shared by them with their artists, or with the independent labels they simply distribute...To our understanding, independents have not been offered any equity.

"... Digital retail is fairer than physical brick-and-mortar retail ever was.  iTunes ...helped to shift music industry dynamics towards a more level playing field...In that light, if reports are true, the apparent MySpace licensing approach is troubling.  It hearkens back to a time none of us wants to revisit ... Where independent artists and labels were third-class citizens in the global music economy..."

COMMENTARY: Scholl is right to be concerned with how indies may be treated in an environment controlled by News Corp owned MySpace and the major labels.  But given the fickle nature of MySpace's customers, they do so at their own peril. Only if MySpace is a fair and open eco-system will music - major or indie - thrive within it.

Not convinced? Remember the SNOCAP pricing furor that kept many artists away and in part led to the once rising star being sold this week to imeem. 

Tuesday's Music 2.0 Briefing: Videogum Late, mTracks & Sellaband Funding, Much More

HYPEBOT FEATURES:

• EXCLUSIVE: The Orchard Voices Concern Over MySpace Music
• imeem has bought SNOCAP
• Digital NARM takes shape
• New Help Wanted & an LA PR Internship

  > Stereogum appears to be missing today's announced launch date for its online video site Videogum.  Rival Pitchfork launched Pitchfork.tv yesterday.

> Music community and indie download site mTracks is receiving $550,000 in angel funding. I admit to never having heard of mTracks, but since they claim 100,000       visitors per month and content from more than 5,500 indie artists and labels they appear to be worth paying attention to.

> Dutch based fan to band funding site Sellaband grabbed $5 Million of its own funding to move into the US.

> Street team and fan club software provider FanCorps has launched its own street team for hire Special Forces.

> FYIMusic.ca will provide Canadian music industry news, event information, and a spotlight on Canadian performers edited by veteran music industry reporter David Farrell.

> Listening Post takes a look at how digital  is changing album cover art and the possibilities that lie ahead. 

> WE WANT YOUR NEWS STORIES & TIPS.  Yes, Hypebot wants those juicy tips and rumors. Email them to me privately here. But also make sure we're on your corporate press release list via email to hypbebot@skylineonline(dot)com.

> Get your daily dose of rock and roll wisdom @ RockDose.com

Digital NARM Takes Shape

STAY TUNED FOR A CHANCE TO WIN A PASS TO DIGITAL NARM FROM HYPEBOT

The National Association of Recording Merchandisers (NARM) has announced that this year's 2008 Convention will feature a two-day Digital conference on May 6 - 7 in San Francisco.

Offering both results oriented info and networking, Digital NARM is designed to create discussion around the convergence of physical, digital, and mobile music fueled by rapid changes in technology. “Digital NARM will feature well-respected thought leaders from an array of industries involved with developing the future of digital music,” says NARM President Jim Donio. “This is an ideal, one-of-a-kind forum to share ideas, create partnerships across industries, and develop the future of digital music.”

Participating speakers include: Amazon, AT&T, eMusic, Facebook, My Space Records, Motorola, Napster, IODA, IRIS, The Orchard, Nokia, 9 Squared, Imeem last.fm and the four majors. Sessions will be moderated by analysts and journalists including staffers from the LA Times Gartner Research and Digital Music News.

Highlights of Digital NARM will include debates among key players in the digital industries in sessions that offer artist and management perspectives on today's technologically-shifting environment. Other topics include:

• Digital Copyright “Crossfire”
• The Mobile Movement
• Music and Social Networking

Help Wanted - Biz Development & Marketing Pro

As a service to the industry Hypebot publishes free job openings and internships. Email yours here and see more opportunities on our free music industry job board.

ArtistXite is seeking a business development and marketing professional

Overview

For our growing business development team at ArtistXite.com, we are looking for a music industry experienced business development manager, to grow our digital retail content by  initiating and servicing distributor relations, for our multiple points-of-sale and promotion services. more...

imeem Buys SNOCAP

Music based social networker imeem has acquired SNOCAP. Financial terms of the deal were not disclosed. The acquisition provides imeem with content identification technology, a comprehensive Digital Registry. The acquisition also expands the services imeem can offers artists and labels to market and  monetize their music through widgets and applications.

As part of the acquisition, SNOCAP’s chief operating officer, Ali Aydar, is joining imeem as its VP of Operations. Aydar was an early exe at both SNOCAP and the original Napster and brings with him a team of engineers.

imeem is currently the third largest social network in the U.S. with 24 million unique visitors a month. imeem's network of embeddable audio and video playlist widgets reach over 100 million consumers a month, according to Quantcast.

Wikipedia Beats MySpace As Go To Music Source

Millions have been spent on band web pages, SEO and optimizing MySapce and Facebook pages in an effort to capture the illusive fan. But how much attention has been paid to user generated online info repository Wikipedia?

Almost none.

Two recent studies by Billboard and Digital Media Wire confirmed what those of us who frequently Google band names have suspected for awhile: viewing a Wikipedia entry to get band info is often more popular than MySpace or even the band's website.

The numbers don't lie, but the reasons may be complex.  First, Wikipedia is considered an unbiased source.  Second, and web designers should take note, users know that they'll get the facts quickly on a single page plus links to more without having to drill down inside a complex web site.

Whatever the reason, the message is clear - ignore your artists' Wikipedia pages at your peril. Will be we seeing ads for WOE's (Wikipedia Optimization Experts) soon?

see stats via Digital Media Wire after the jump