Production of music:
An example of a music keyboard on a music creation software. Music can be digitally created eliminating the need for a physical instrument. |
Distribution:
Over the last few decades, many things have changed in the music industry in terms of the way music is now distributed. In recent years, the record industry has been seeing a major decline due to many forms of piracy thanks to digital music. The music industry is currently dominated by the big four distribution companies. These are Sony, EMI, Universal and Warner Music. These four companies are all involved in international trading, as they do not only focus on music; they focus on all types of multimedia varying from producing films to selling technology. "The Record Industry’s Decline" is an article which thoroughly examines the causes of the decline in the record industries. According to the article, (posted in June 2007) there has been significant changes which has altered the way record industries operate contributing to their overall decline. An example of this is overall CD sales which plummeted 16% from January 2007 to June 2007. That change has come after 7 years of near-constant erosion. Change has been noticed in the activity of the music industry where Linkin Park’s new album sold 623000 copies in its first week in May 2007, but wasn’t enough to help fund Warner Music label (Linkin Park’s record company) who announced that they are to release 400 workers in the same month.
The music industry has been struggling to reinvent their business models and although they have large assests, they are not capable of making money from them. This is due to the technology over the years which has turned fully digital meaning the physical attributes of playing music (such as a cassette) now obsolete. Although CD’s are still widely available and are the only physical means of playing music (with cassettes and mini discs currently outdated) the majority of mainstream music has moved digital. This allows easy access for users to edit, create and distribute music thanks to the connectivity of the internet. As music is mainly digital, anyone with a PC is able to buy one copy of a CD or song from the internet and distribute it thousands of times for free. The majority of people like to gain access to music for free and with the introduction of Youtube in 2005, the music industry is forever failing to deal with the illegal copyrighted material being uploaded on the website everyday. Rewind the clock back to a decade ago, and they only way you were able to listen to music was through the radio, TV, cassettes and the then newly introduced CDs. Step forward 10 years and the way we listen to music is different. The introduction of the way we communicate online has led to a new way we listen to music through the likes of Youtube, Facebook, Spotify, RSS feeds etc.... These sources of music are all most free, with full unlimited access to basically anyone who has an internet connection.
An example of this is GrooveShark.com. This website allows users to upload songs they had purchased themselves for everyone else to listen to it for free.
An example of this is GrooveShark.com. This website allows users to upload songs they had purchased themselves for everyone else to listen to it for free.
Exchanging music:
Thanks to the internet and the ability to easy make copies of digital forms of music, exchanging music is as easy as it has ever been. The ability to regularly download music free of charge from websites offering the content you wish to acquire has led to widespread piracy. The major website which first kicked this off was Napster which was an online music peer-to-peer file sharing service created by Shawn Fanning. The service operated between June 1999 and July 2001. The technological advancements present then thanks to Napster allowed people to easily share their MP3 files with other participants. This meant they bypass the established market for purchasing such songs and thus leading to massive copyright violations of music. Although the original service was shut down by court order, it paved the way for decentralized peer-to-peer file distribution programs, which have been much harder to control.
Napster paved the way for copyrighted content on the internet |
The way record companies and artists are getting around this problem is through the use of heavy advertisement and long concert tours. Currently, artists and record companies are making no profit what so ever from making a song and distributing it.
Advertisements on music videos online is a way of making money as artists and record labels are losing money on just songs alone. |
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