No wonder the Recording Industry is troubled +Shocking Quote from Universal Music CEO

[Stingray11214]

Do you understand that most indie labels sign bands hoping that one of theirs gets really really big and picked up by a major label so they can get "points" on all their albums? That's how all of the small labels expect to turn big profits. Without big labels out there for the indie labels, most of them would close up shop in a short amount of time because their business model would no longer work for them either.

I think in this set that I propose, it will not matter. The indies will have a chance to make it on their own without the "points". If internet radio just disqualifies all RIAA member acts from their airwaves, which they can do, those acts on the margins of the majors, those who cannot get airplay or pushes will seek other labels who can.

So, if Shaq and the Kaosaurs, who are on the margins of Epic records are not getting anything from them, they could jump to Metal Ages Records, and get a push on the internet. Guess what? Everyone wins! Epic dumps someone who they think can't cut it, which helps Sony's bottom line, Metal Ages wins because they will get the sales from the CD's. Shaq and the Kaosaurs win because they get airplay they would not have gotten otherwise, and we all win because we can hear our favorite acts without stealing them.

Makes sense, I think.

 

[Magius]

The more I think about it the less likely it's going to be as easy as that to avoid paying the piper. I don't think all the issues between the recording industry and internet radio have been finalized yet. While internet radio won a slight reprieve with a return to negotiations, when the RIAA et al. bowed to pressure and the threat of the Internet Radio Fairness Act, all the details have yet to be hammered out.

In the end there may be the matter of reciprocity to deal with. You may have to pay RIAA anyway even if you only play non-RIAA music, because they could claim collection for the IFPI which represents major and independant labels in Europe. The IFPI in turn would collect in Europe for RIAA associated music played over there. In addition ASCAP and SESAC who already collect for each other reciprocally are going to get paid somehow.

<sarcasm>By the time it all gets said and done you may end up having to pay to play your own music over internet radio.</saracsm>

 

[SyXified]

By the time it all gets said and done you may end up having to pay to play your own music over internet radio.

I don't follow your logic here. Copyright law gives an author the inalienable right to perform their own music - and the DMCA added the right to perform your own music via digital transmission over the internet. No artist would ever have to pay to play his own music over the internet under even the most ridiculous of circumstances.

 

[Magius]

I don't follow your logic here. Copyright law gives an author the inalienable right to perform their own music - and the DMCA added the right to perform your own music via digital transmission over the internet. No artist would ever have to pay to play his own music over the internet under even the most ridiculous of circumstances.

Edited for those who didn't recognize it.

 

[Magius]

I don't follow your logic here. Copyright law gives an author the inalienable right to perform their own music - and the DMCA added the right to perform your own music via digital transmission over the internet. No artist would ever have to pay to play his own music over the internet under even the most ridiculous of circumstances.

When I origionally wrote that I was being sarcastic. However, your response had me wondering if it may actually be possible to have to pay the RIAA to broadcast your own music. The answer is "Yes," it may become possible to have to pay them.

While the final details of what internet radio is going to have to give to the RIAA in order to keep broadcasting, there are precedents which may affect the final outcome. Specifically the Audio Home Recording Act (1992).

When electronics manufacturers wanted to introduce digital recording devices to the market the RIAA threatened to sue them for enabling consumers to make multiple copies of copyrighted material. Origionally those media were Digital Audio Tapes (DAT's) and Sony's mini discs, but now include CD-R's, MP3 players, and iPods etc. Since there was a huge market for such devices, with millions of dollars to be made, the manufacturers and the RIAA negotiated an agreement. The AHRA was passed as a compromise to passify the RIAA and clear the way for digital media to be sold in the US.

To simplify, the AHRA stipulated two things:
a) Devices had to have SCMS's on them, which basically prevent someone from copying a copy.
b) More relevent to this discussioon was that the manufacturers had to and still do pay the RIAA royalties. 2% of the retail cost of devices, and 3% on media (CD-R's etc.). That cost is certainly passed on to the end consumers, so we pay the RIAA royalties just to own a Zune, Zen, or iPod, even if there's no music on it. We also pay them for royalties on CD-R's, CR-RW's, and DVD-RW's even if they are used for files and/or your own pictures.

It may come to pass at the end of the internet radio negotiations that services like Live365 and Shoutcast will have to pay royalties to the RIAA for every "station" they host just being on the air regardless of content. Like digital media that cost would be passed on to broadcasters, so one would be paying the RIAA royalties just to be on the air, regardless of whether if it's your own material, a talk station, or even dead air.

 

[Locust0311]

http://en.wikipedia.org/wiki/Spiralfrog

And the new Tarja album is even highlighted on their front page at the moment.

Neil

I've been using SpiralFrog for a while. Its decent. Obviously the selection would be better if more labels supported it but there's at least some good stuff on there. Nuclear Blast seems to be the biggest name metal label on there. Downside is the WMA DRM files won't play on iPods. I'm also finding getting them to work on my Archos 605 is hit and miss. Tarja works but the most recent Allen/Lande gives me a "file is corrupt" error. Similarly one of the Avantasia singles works fine the other has the corrupt error. They all work in Windows Media Player fine though.

 

[Mynock]

Maybe I'm alone here, but my music purchases are in no way fueled or motivated by an agenda, be that social, political, anti-big media, etc. I buy music that I enjoy, not because I care about who's is/isn't making the money off of my sale.

My music purchases aren't motivated by an agenda either, as far as "WHAT" I buy goes. Now, I do tend to go for the "smaller independent stores" (or at least some that look like they are) when chosing WHERE to buy it

 

[Photino Decay]

Its just a shame that Nightwish and a few other bands that I like are on major labels in the US.

Roadrunner gives away free music videos and tracks for all their bands on their website. They have all of about 10 employees. They give away tickets to their bands' shows all the time. (Both times Within Temptation played in NYC, they gave away REAMS of free tickets.) They hardly act like a major label.

 

[Photino Decay]

The problem with this metaphor is that we are using a DOCTOR as the person to call on for aid. Everyone knows what a doctor is, how to contact one, what to expect from them, etc. File sharing and online music were not a longstanding medium, they popped up overnight - and worse, suddenly EVERYONE had access! Finding the right people to address a completely new situation like that is less like needing to find a doctor than needing to find an exorcist. Something strange is happening to you - it's totally unfamiliar so for a while you try to write it off. Then after a while you sigh and go, 'dear god, I can't believe this shit - I'm actually possessed!'. But how are you going to find a GOOD exorcist? Are they listed in the yellow pages? Is there some source of common knowledge distinguishing between a good and a bad exorcist? Can you tell the difference between a real exorcist and the thousands of frauds out there sprinkling tap water for a few bucks? That's the situation the music industry was in - they needed to hire tech people at a time that 'internet/computer tech people' was as random a job as 'fortune teller'. The internet changed things very fast - don't forget it was not too many years ago this thing we use every day of our lives for every imaginable application didn't even EXIST!

The people that built it must have never existed until a few years ago, too, since it was impossible to find and hire them.