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the free music myth
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Butterfly Records
Butterfly Records
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161
Posted : Oct 18, 2006 14:22
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The free music myth
There is no doubt that the 'free music' mentality is adversely affecting artists and industry alike by devaluing an important component of culture and commerce. The fact is that the music business needs constant investment in order to bring new artists to the public and develop artist careers over the long term.
There is also no doubt that downloading and CD-R burning are cutting into sales - the major means by which the majority of artists make a living from music. Live touring has always been a source of income, but it cannot fund an entire career, the expenses of going on the road mean that profits, while healthy in some cases, are in the majority of cases offset by the costs.
Even when a new artist is discovered over the internet, unless enough people buy their records, either via a legitimate site or in a physical format, they won't be able to make a living.
Some artists of course do become big stars and with it they gain high financial rewards, but for the industry that has invested in them, those profits are ploughed back into funding new artists.
Consumers have to know that if they want a wide choice and variety of music, that if they want their favourite artists to succeed, they must support them by buying their music.
On other parts of the site you can see what artists say about the problem, look at the huge investment in time and money that goes into making music, hear about the new services that are struggling to earn enough to continue, and viewpoints from all sides of the industry on how the problem is affecting them.
Here we try to answer the ten most commonly repeated myths about the recording industry and music online.
If you love music, help it survive by paying for it...
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Butterfly Records
Butterfly Records
Started Topics :
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161
Posted : Oct 18, 2006 14:24
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"'Free music' sounds great. What's the problem?"
It is a common misconception that accessing so-called 'free music' - by downloading or burning music from the internet without the creator's permission and without paying for it - doesn't really hurt anyone.
Nothing could be further from the truth. Unauthorised uploading or copying is not free at all - it is the musicians and the people who invest in the music who are paying the price. The artists, first and foremost, the labels that have invested in them, the publishers who manage the copyright of their songs and the thousands of people involved in the many different areas of the music industry are all affected. Downloading and burning without permission doesn't fairly reward the efforts of those who create, develop and record music, and who depend on it for their livelihood.
More illegal copying and internet distribution means less sales, and that means less money for companies to invest in artists and music. This affects a whole community of people: the employee at the retail store that faces closure ; the aspiring artist who won't get a deal because record companies have less money to invest in new talent; the entrepreneur who's making records with local kids; the act who is trying to survive from selling CDs on the road; and the artist whose first album just failed to sell enough to turn a profit. On top of that, there are the thousands of other people who depend upon music for their income: from the sound engineers and CD factory workers to the band managers and graphic artists. There are also countless music magazines, entrepreneurs trying to set up legitimate online sites, designers, specialist PR people… the list goes on.
Furthermore - copying music without permission is illegal. And just because it doesn't involve organised crime or knock-offs sold on street corners doesn't mean that it isn't taken very seriously.
"These artists are immensely rich anyway, downloading a few tracks for free is not going to hurt them."
The overwhelming majority of artists are NOT rich. And it's not just a few tracks but virtually everything ever recorded. But the biggest losers are the upcoming artists because not paying for music means much less money to invest in them.
Which means it's the music lover who gets short-changed. Fewer artists get the chance to make their mark, and the labels are less likely to take a risk with more experimental music or niche genres. Consumers of 'free music' may get a short-term benefit, but at the long-term cost of hurting the artists they most admire, and new talent.
People who accuse the music industry of not producing anything new should give some thought to how that impacts on new artists. Think of the bands - and there are many, including U2, R.E.M. and David Gray - who didn't make it big with their first or second album. Bands need time to flourish, and if their early sales are cannibalised on the internet, they may never get the chance to become the next U2 or R.E.M.
"Uploading music and burning it without the consent of the creator may be illegal, but isn't the music industry exaggerating the effect on the music sector?"
There is overwhelming evidence that unauthorised copying and distribution means less music is sold.
For example, look at the way sales of albums have fallen while internet uploads have soared. During one four-month period of 2002, the number of music files available on pirate sites nearly doubled from 500 million to 900 million. At the same time global music sales in 2002 fell by around 7%. As a result around 250 million fewer albums were sold in 2002 than in 2001.
Uploading and mass copying weren't necessarily the only reason for this decline - but they definitely had a major impact.
In particular, sales of the top-selling artists are declining: in 2001 for the first time in many years no album sold more than ten million copies in the world's largest market, America - a pattern almost repeated in 2002 when only one album - Eminem's The Eminem Show - passed the ten million sales mark. And as sales of the bigger names fall, there are repercussions for the growth and support of new talent.
Perhaps the most worrying development is that the majority of people downloading music from the internet are young music fans, who are also the biggest consumers of music. 41% of young people in Europe who get music 'for free' say they buy less CDs, compared to only 19% who buy more.
A whole new generation of music lovers is damaging the very diversity they look out for in music.
"I've heard artists claim that making their music available to download for free is the best way to get themselves heard, in that way promoting their music and boosting their sales."
We support the use of promotional material made available for free download - but only where the artists and other rights holders have authorised it for this purpose. This must be a choice that they make, not one forced upon them by others.
Making music available on the internet is a really exciting development for artists. The net can be a great tool for new acts who wish to drum up interest in their work.
It isn't true that making music 'free' will always promote the sales of that track or album, however. In fact research shows that downloading and burning is substituting sales significantly more than they are promoting them. Research in markets around the world shows that one third of active file-sharers spend less on music since they started getting it for free.
Most artists are happy for consumers to download their music - when it's legitimate and with their consent. And those who want to disseminate their music for free have the choice to do so.
MP3.com, for example, contains thousands of songs by aspiring artists - although it is a question how many artists, if any, have been able to embark on a career just using the internet. The fact is that most people who go online to download are much more likely to go for known artists - even if new to them - rather than complete unknowns.
It is those who think that they have the right to 'share' music illegally with millions of individuals without having paid for it that are damaging the music industry, and as a consequence are threatening the careers of budding artists before they even begin.
"The real problem is that the music industry wants to stop the advance of technology."
Technology is not the enemy of music - quite the reverse. There has always been a healthy relationship between advances in technology and the music business: from the Edison cylinder, through vinyl, tape, and the CD, to the MP3 file. The impact of digital technology has opened doors for artists and many others involved in music; allowing more experimentation and sophisticated home recording, online real time musical collaborations, webcasts, enhanced sound - and the ability to share all that with a wider global audience.
The music industry will always make use of new technology - for example Super Audio CDs and DVD Audio, as well as the opportunities that new 3G phones bring. Technology is also helping the industry to transfer thousands of tracks in artists' back catalogues into digital format.
But while the methods of recording or distribution might change, what doesn't is that artists and those who work with them depend upon copyright and getting paid for their livelihood.
"There are no legitimate services out there for me to use, so I'm forced to fall back on the illegitimate ones."
There are already legitimate sites offering hundreds of thousands of tracks from all the major record companies and many independent labels - and more are appearing all the time.
These sites offer better quality of product and service than illegal alternatives. Many are now offering transfer to portable devices. They are not progressing as quickly as hoped because of stiff competition from free music infringers who have sidestepped all the complex processes involved.
And it's just not good enough to say if I can't get it legally, I'll steal it.
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Butterfly Records
Butterfly Records
Started Topics :
8
Posts :
161
Posted : Oct 18, 2006 14:25
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"There are no legitimate services out there for me to use, so I'm forced to fall back on the illegitimate ones."
There are already legitimate sites offering hundreds of thousands of tracks from all the major record companies and many independent labels - and more are appearing all the time.
These sites offer better quality of product and service than illegal alternatives. Many are now offering transfer to portable devices. They are not progressing as quickly as hoped because of stiff competition from free music infringers who have sidestepped all the complex processes involved.
And it's just not good enough to say if I can't get it legally, I'll steal it.
"Piracy on the Internet may be a problem, but nothing can be done to stop it."
It is a huge problem, but it has to be stopped and it can be. The recording industry has many ways of stopping illegal downloading and file-sharing; from education programmes and the launch of legal alternatives to technological 'blocks' and - where necessary - deterrence through legal action.
The music industry has launched many initiatives to educate consumers and businesses around the world about the consequences of illegal online activity. Many people who enjoy music are simply unaware of the effect their actions have on bands and artists.
Everyone knows that one of the best ways to stop people from using the illegal sites is to provide them with good alternatives. Many companies are investing huge amounts in developing legal alternatives. It takes time because it's hard to compete with free, but it is happening.
We're also seeing the start of new systems used for a better electronic delivery of music on the internet. Digital rights management tools are being used to help track music online, so that everyone who needs to be is paid - all the way down the line. New technology is also being used in ever more sophisticated anti-copy control devices for music, similar to those already used on DVDs and computer software.
But there's more to stopping mass copyright theft than by just investing in new legitimate services. Indeed, those new services are not going to flourish if there isn't a fair space for them to develop without being stifled by online piracy. So those who ignore copyright laws should not expect an easy ride.
Copyright exists to protect the rights of artists, allowing them to determine whether and how copying, distributing, broadcasting and other uses of their works take place. In addition, legislation around the world is being adopted to improve rights and technological protection to help fight piracy in the online world. People who breach copyright have to be prepared to face the appropriate legal penalties, including fines.
"File sharing and burning is just like home taping, and that never killed the music sector."
File sharing via the internet cannot be likened to copying tapes deck to deck at home. That's like comparing someone physically copying a letter to a printing house churning out hundreds of copies a minute of the same letter - and then making it available to absolutely everyone around the world for free.
CD recordable (CD-R) copying is comparable to a home version of the high-speed mass production of CDs in factories. You could burn as many as 200 albums onto multiple CD-R discs in less time than it takes you to read this web page. It's cheaper too - 20 years ago the first CD manufacturing facility cost US$1bn. Now the same capability is available to home users for less than US$100.
The damage this sort of copying causes to music is enormous. But it also presents other dangers to the unwitting consumer. If you use a peer-to-peer service, you open your computer and all the information you've stored in it up to hundreds of strangers - simply at the touch of a button. When you use a file-sharing service you may unwittingly be acting as a 'mass distributor'; as whenever you're online every other user around the world has the ability to access your hard drive. And this could lead to problems with your personal computer, including the transmission of viruses.
"It's the record companies' fault for not getting their artists' tracks online quickly enough."
While it is very easy for anyone to upload an MP3 music file onto the net and give it away for nothing, what takes time is to do so in such a way that the online product is tracked through the process, with the artists, publishers, record companies, third party retailer all being paid their share of the price. The systems for doing this have had to be created from scratch and there have been complex negotiations between all the relevant parties in order to get the music licensed for digital sale.
Second, it is not true to say that record companies have not got their music online quickly enough. The music industry is far more advanced than any other in terms of producing its product for digital sale. What is true is that the appearance of the MP3 file format has meant that the music industry has been forced to grapple with issues of theft of intellectual property on the internet far sooner than other industries. Unlike most products where the internet is simply used to help sell the physical product, with music the virtual online copy is practically the same as the physical product.
The speed with which the MP3 music file spread over the internet meant that as the music companies started to digitise their product, set up payment systems and invest in companies (some of which went bust in the early dotcom 'bubble') they were already in a situation where they were competing with free. And trying to compete against an over 99% pirate market on the internet is very difficult. Isn't it ridiculous to expect a record company who has to invest a huge amount in its artists to compete with a distributor who is giving music away? What high street bakery could survive the arrival of a competitor across the road who started giving away bread for free?
"There's only one answer to piracy: lower CD prices."
In an ideal world everything would be free. Artists wouldn't need money to buy instruments. Record companies wouldn't invest money in recording. Designers and retailers would donate their time and talent scouts would not have any costs. Best of all, tax wouldn't exist. But let's face it, this is the real world. And legitimate companies who invest in and create music cannot be expected to compete with music taken and given away 'for free'. Whether we like it or not, all businesses have overheads and the business of music is no exception. Huge costs are spent on developing talent, from finding it to recording, producing, promoting, marketing and distributing it.
It is also true that most criticism of CD prices springs from a misunderstanding of how much royalty, distribution, marketing and artist and repertoire development is reflected in the price of every CD that's sold. That's the real costs of a CD - not the cost of the disc itself.
It is another myth that studio executives pocket huge profits on everything they release. Profit in the business is rare - for every ten CDs the record companies put time and money into, generally only one brings a return on the original investment. Meanwhile the recording industry reinvests up to 25% of its turnover in new artists.
Music is still excellent value for money compared with other entertainment products; the 'cost per hour' of consuming music is significantly cheaper than books and other print media, cinema-going and mobile phone use. Buying an album is an investment in music that you will own for life.
"None of the money from online sales goes to the artist anyway."
You're quite right if you mean unauthorised online use! This is the major problem with unlicensed sites - the artist and everybody else in the chain doesn't get paid. If you mean legal downloads, this is simply untrue. Record companies pay artists royalties on sale of downloads in the same way as for sales of CDs. The share of the sale price that the artist receives depends upon the terms that the artist and record company agree and set down in the artist's contract.
If you love music, help it survive by paying for it...
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 http://studio-construction.blogspot.com/
NEW KEMIC-AL ALBUM IS COOKING !
http://www.myspace.com/butterfly_records http://www.myspace.com/kemicalbutterflyrecords[/b] |
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Basilisk
IsraTrance Full Member
Started Topics :
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Posted : Oct 18, 2006 15:51
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Source?
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jacob
Started Topics :
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19
Posted : Oct 18, 2006 16:32
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wow thats so true and to be honest until recently i was downloading music alot and thats also how i discoverd this music but i understand what it means to work hard on a project, so i earased every thing and i am now going to buy the albums that i like and want to suport not all at once becouse i am not a rich man but i feel that it is good to suport thees artis whom create such great and moving music, for instans how much is it worth to listen to somthing that realy touches you inside you know or grinding until the sun comes up in the moment we all love so much i mean realy its priceles so 15 dollars give or take is nothing compared to what they give me i mean, i want to support this!! i cant speak for the rest of the world but to me personaly its well worth it and also the quality of the sound is so much better and i am not just talking about the audio, the hole picture inside and out you feel me. peace to all and think about it...
imagination |
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koalakube
IsraTrance Junior Member
Started Topics :
48
Posts :
437
Posted : Oct 18, 2006 19:17
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Quote:
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On 2006-10-18 15:51, basilisk wrote:
Source?
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Do you need one? |
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Basilisk
IsraTrance Full Member
Started Topics :
168
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Posted : Oct 18, 2006 20:42
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The problem with posting this kind of thing without a source is that it removes the context... although the mere fact that the article speaks of R.E.M. instead of G.M.S. should tell you something. This major label apologist pap reads like RIAA propaganda. The "facts" stated and figures given are unlikely to correlate with the reality of the psytrance niche market, so what good are they?
Please note that I am writing this as I rummage through 25 new CDs from Saikosounds that came in this morning 
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Butterfly Records
Butterfly Records
Started Topics :
8
Posts :
161
Posted : Oct 18, 2006 21:08
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Here is the source Profs ! www.pro-music.org
basilisk we all know Pretty well that we do not need to change REM with GMS we all know that if we want to be the humble good PLUR people we all think that we are we need to support our scene by paying for the music this is the only way that this little scene of ours will survive !
That article is written for all genres of music, it’s effecting the huge market NEVERMIND our little drop in the ocean scene of ours so don’t try and put people off track of what is good and bad … behave ;-)
Period http://studio-construction.blogspot.com/
NEW KEMIC-AL ALBUM IS COOKING !
http://www.myspace.com/butterfly_records http://www.myspace.com/kemicalbutterflyrecords[/b] |
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l337
IsraTrance Full Member
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Posted : Oct 18, 2006 21:52
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1. Tell us something we dont know
2. This has been debated over and over again
3. Try explain this to a meth kiddie...
and most importantly....this might not be taken so well , but its a good educational and theoretical point
4. To all those that start labels with the interest of making money... you are stupid! It is a bad business to go into...cos it is not profitable....because of the piracy problem... so why not open a coffee shop instead
for all of you who go into start a label for "the love" of psy trance...
why bitch, why moan....your in it for the love of psy trance....piracy is inevitable, especially in this scene...its not like you are going into something with the huge suprise of what is happening...everyone knows it is happening
so stop bitching cos it isnt going to change, why not do somehting to make the buying of psy music more appealing...
just think...in south africa, people will spend the equivalent of a cd going to a party every weekend....
thats where the cash is...
cheers
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Butterfly Records
Butterfly Records
Started Topics :
8
Posts :
161
Posted : Oct 18, 2006 22:30
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you are so right 1337 who puts up a label and things he is going to make money out of it he is in the wrong business but that’s not what the subject is all about and you know that !
here we are talking about the support that the artists need and labels to support back the artists here we are not in the commercial scene well some of us anyway so for sure it will not support a living we are here cause we love the music and we love the scene UNLIKE some us !
he/she who does not support the artists and labels that are giving us the music aren't the once that are here cause they love the music and the scene !
Just imagine our scene as if all of us living on a small island as a trance community and everyone has to do his bit so that we all can survive ! ( not to be rich but to survive) now imagine that 70%of us doesn’t want to contribute to the scene by doing nothing apart from sitting on the beach (for example)what do you think will happen to us !?
We be destroyed !!
and that’s exactly what’s happening to our scene ! it's being destroyed
here we are not talking about one label one artists, here we are talking about the scene that we say we love so MUCH that needs it's support ! it's us, all of us as we are one !
But like you said and i agree, this might not be taken so well , but its a good educational and theoretical point and that’s why i posted this in this forum so we can all Educate ourselves and slowly all of us together start to close this hole that is opening below us all which one DAY it's going to SWOLLOW us all !
My Humble opinion
http://studio-construction.blogspot.com/
NEW KEMIC-AL ALBUM IS COOKING !
http://www.myspace.com/butterfly_records http://www.myspace.com/kemicalbutterflyrecords[/b] |
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Soul Kontakt
Soul Kontakt
Started Topics :
40
Posts :
632
Posted : Oct 18, 2006 22:44
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I have to agree buying the cd's its' the only thing that is going to make the artist and label capable of moving forward into another dimension without money none of us can survive in this world that other people created for us. We need to be concious and be the change that is needed to make our life more happy, without music in our generation we are lost and don't know what to do anymore but with good music life is great! We want a great life at least buy a fricken 11 Euro Cd a month! That's already a star! see! Life is getting better!
Boom :)
SOUL KONTAKT - 12th Planet new track on www.myspace.com/soulkontakt
Soul Kontakt Live for demo or booking email soulkontakt@hotmail.com
www.soulkontakt.com |
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Butterfly Records
Butterfly Records
Started Topics :
8
Posts :
161
Posted : Oct 18, 2006 22:53
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right ! and i am not saying this cause i run a label ! I have other income but thats for us to servive thankl you very much !
it's about all labels all artists i repeat at the end about all of us ...
so the money that is put into labels and artists stay in for the producing and printing and pressing of the music !
Support ! and you get supported !
We need to Educate oursleves lear to know whats good and bad !
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http://studio-construction.blogspot.com/
NEW KEMIC-AL ALBUM IS COOKING !
http://www.myspace.com/butterfly_records http://www.myspace.com/kemicalbutterflyrecords[/b] |
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l337
IsraTrance Full Member
Started Topics :
55
Posts :
817
Posted : Oct 18, 2006 22:56
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i agree with everything and i kow what i said was a bit off (but still relevant)
however,.."supporters" of the scene would rather spend their money on going to a party than buying a cd...from what i have gatehered...
because it is just so easy to get the music they love online...
aanother problem with artist support...is that there are SO MANY...which to support , which not to...the smaller guys ar always going to loose out...
the reality is there is LOADS of money in psy..your average large outdoor event will rake in alot of cash...and promoters and organisers will tell you that they have to cover costs etc...again reality is ,,,in business terms...huge parties wont be held if they werent making loads of cash for promoters
the bigger artists are coining it here...because in order to make a BIG patry BIG...you need BIG artists...and they are making and the artists are making their living from playing at parties...not in selling cd's
I know what you are trying to say with people taking responsiblity and insuring that artists dont loose out and make a living...but PLUR aside (its just a word these days) supporters of the scene couldnt give a shit...as long as the artists are pumping out the new tunes and they can dl them...they feel..why the hell should they buy any cds...they support by going to parties... but then the artist is only making on the gig and not the selling of his music
SO maybe the artists as a whole should take a stand,..(which wont happen, but should for the greater good)..and say that no new releases will occur until old releases are sold....
however this will have flaws,....because not everyone will cooperate....
Take an example...an artist like Shift, if he had to say ...ok folks...no more new tunes until you fuckers start buying some tunes.... do you think he would still hold his supporter base and popularity...or do you rate his fans would support him..because they love his music so much and they cant wait for a new release..that they would PAY FOR NEW RELEASES by BUYING OLD RELEASES!
another interesting theoretical point for everyone to mull on
(btw,...you can put any artists name in shifts place, i just used his cos he is one of SA's no.1 ) |
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Rah
IsraTrance Full Member
Started Topics :
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498
Posted : Oct 19, 2006 02:08
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since we are talking about a general 'widespread' phenomenom i figured this article would come in handy:
London (Reuters) - The explosion in online music sales is set to continue and will start to halt the decline in overall sales of recorded music in Europe, but not until 2010, according to a report on Thursday.
Within four years, European spending on online music will rise to more than 1.1 billion euros ($1.4 billion) from just 121 million euros in 2005, media researchers Screen Digest said.
"Online music has been booming. However, online sales alone are not going to be enough to halt the decline in music sales," said Screen Digest's Dan Cryan.
"The music industry needs to make the most of new delivery platforms. We believe that with the right strategy - including mobile and online - the worst might be over by 2010," the author of "Online Music in Europe: Market Assessment and Forecast" said in a statement.
The overall European music market has lost 22 percent of its value since 2001 due to a combination of factors, including piracy and the shift by retailers toward DVDs, books and mobile phones at the expense of CDs.
Screen Digest said it was likely the growth in DVD sales was partly responsible for the drop in physical music sales.
But, while illegal downloads continue to be a problem, the situation is improving.
Data from the music industry body, the International Federation of the Phonograhic Industry (IFPI), indicate online piracy is declining - the number of tracks available on illegal file sharing networks fell to 885 million last year from 1.1 billion in 2003.
A survey by market research group Forrester in March forecast that online music sales will grow rapidly over the next five years, although traditional music sales will still make up almost two thirds of revenues in 2011.
Posted 24 August 2006 @ 04:40 pm EST
International Business Times
http://www.ibtimes.com/articles/20060824/onlinemusic-sales.htm
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Magox
IsraTrance Junior Member
Started Topics :
20
Posts :
2095
Posted : Oct 19, 2006 02:33
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selling cd.'s is a dying business........
i believe artists and labels will have to not try to depend on this aspect financially.......
i just say this from a standpoint of a 'realist'........
it will take innovation and new ideas to support the labels and artists........
obviously music events and gatherings........selling mp3.'s on line ........can be part of the solution........
but as l337 stated earlier..........this is not a business that is very lucrative..........and anyone who entered thinking otherwise.........is most likely dillusional.......
i organized events in south america for 4 years.......and i lost more $ then i made.......
and everytime it happened...........i didnt mind.........because i never did it for the $........
to see the smiles on peoples faces.........everyone jumping around...........seeing friends have the best times of their lives............gave me INCREDIBLE satisfaction.............and still makes me smile today thinking of it
now i am not an artist or run a label..........but i would have to imagine........that many of them feel the same way..........
so..........i do absolutely believe in supporting the label and artist............and i will continue to keep buying SOME of the music........
but.......lets be real here........the music is available online............i love that it is online........and i love the fact that i am able to share music with people..........speak to people about music..........
but more importantly..........have the access and means to be able to listen to so much "good" music............
innovation
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