Labels Strangle Startups More Than Music Pirates - hypebot

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WOW

STUNNINGLY SHALLOW AND FLAWED ANALYSIS. AND TERRIBLY WRITTEN ("ONTO"? COME ON, THAT'S 6TH GRADE LEVEL SPELLING, JR.)

KleerStreem Entertainment

Who cares about spelling...it's the meaningful content that's important. Obviously you are a progressive?

WOW

is that content meaningful to you? You think the reason the labels are worse than file sharing for music because file sharing isn't preventing spotify from coming to the States? The grammar is just the cherry on top of a fecal sundae.

Donald von Fabio

music is free. $10/month is a ridiculous price point for free. it doesn't help that the music services out there have limitations. great thing about the internet.. its the wild west.

Kyle Bylin

Thanks for the kind words. I fixed a few of the errors. This piece was written rather quickly and I would be more than willing to back up the points expressed in it.

Also, I would be glad to have an in-depth discussion and let you challenge my analysis.

I am more than aware that this piece is not perfect but it is not that far off either.

DamienOmen

Stunningly loud and flawed approach to online typing. Come on, SHOUTING is something you'd do in 1st grade.

T. D.

As I've pointed out a few times in the past, I was working with some legit online music services circa 2003 who were convinced that subscription was the way of the future. It still hasn't happened and I seriously doubt it ever will. It has nothing to do with the labels, who have licensed subscription services for nearly as long as piracy has existed. It's quite simply a matter of consumer demand.

I don't disagree that labels deserve a lot of the blame but it seems we're still rehashing old, outdated arguments against them. They've been licensing plenty of services and there are likely more than 400 legit services out there - and there have also been countless more that were licensed then failed. How many different services do you think should exist before it's a sufficiently diversified landscape? Back in the day, how many brick-and-mortar stores could survive in a single market? Some will fail for lack of demand. You wouldn't say the search engine business is a failing business model because only one truly dominates the market and only a few participate meaningfully.

Labels have also been willing to be creative. The overwhelming success of Pandora is proof of that. It occupies an undefinable netherworld in copyright law - semi-on demand, semi-interactive streaming. However, it's a hugely popular (and profitable) business.

The same can't be said for Spiralfrog. It was the ideal "feels like free" environment, yet failed miserably. It wasn't for lack of support from the labels or lack of funding. It was because consumers just didn't like it.

Shea Warnes

Hey Kyle,

This is probably one of my favorite articles you have written! This is sooooo damn true! I have written an article following up on these thoughts! You should deffinately read it.

  • Why Spotify is being denied in the US: A matter of pride?


  • Phil Bowyer

    You paint kind of a nice picture here, but the reality is that Kyle is right. The labels and RIAA make it extremely difficult for any music startup to not only get going, but to actually stay in business.

    The licensing costs are huge - in the millions to just start up, then quarterly minimums that are the reasons most of the start up fail. They can't afford to market because all of that money is going to licensing - a great majority I might add does NOT go to the artist.

    Pandora may be successful, but they are hardly profitable. Last numbers I heard was that they made something around a $500M (don't quote me on that- going from memory) and barely eeked out a profit. Somethings very wrong when a company can have revenue that high, and is barely making a profit.

    TJR

    Irregardless of how badly the RIAA and the Record Labels have botched things (and they certainly have)......At the end of the day, if you took something that was for sale and didn't pay for it, you have done something morally wrong.

    TJR

    >>>>KYLE says>>>>>>>>>>
    Also, I would be glad to have an in-depth discussion and let you challenge my analysis.

    I am more than aware that this piece is not perfect but it is not that far off either.
    >>>>>>>>>>>>>>>>>>>>>>>>>>>>>

    Attacking someones spelling is a cheap shot.

    I will NOT argue that the labels and the RIAA, do not have anything to be ashamed of. Because I agree that they do.

    I realize that the point of your article is: Without online piracy of music we wouldn't have all the online legitimate online services that we do now.

    And there may be some validity to that argument, but what I would argue is that articles like yours seem to (whether you intend it or not) justify the actions of sites like Lime Wire, that made available for free, music that was never meant to be free. That it enabled people to take without paying. And that it continues to allow people to rationalize justify the act of taking without paying (Stealing) to themselves.

    IE:
    "The labels and RIAA where (or are) a**h****, so it's ok for me to take this and not pay for it".

    I have always said that the labels and RIAA where a**h****, that they did a lot of damage to the music industry, and that they did a lot of stupid things, but that that fact, doesn't make stealing right. A simple fact that somehow seems to get lost in all these online arguments.


    TJR

    TD said>>>>>>>

    The same can't be said for Spiralfrog. It was the ideal "feels like free" environment, yet failed miserably. It wasn't for lack of support from the labels or lack of funding. It was because consumers just didn't like it.
    >>>>>>>>>>>>>>>>>>>

    And could it be that the reason why consumers don't support it, is because they can just get it for free somewhere else?

    Pranav

    There might be a lot of truth to this. Many start-up folks say that record labels are the ones who get in the way and shoot them in the foot.

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