Five hundred top members of the music business gathered today in New York to hear that „music 1.0 is dead.“ Ted Cohen, a former EMI exec who used the phrase, opened the Digital Music Forum East by pleading with the industry to be wildly creative with new business models but not to „be desperate“ during this transitional period. But what is music transitioning to? No one seemed quite sure, except to say that it won’t look much like the music business of the last several decades. Consider the statements that were made today without controversy:
- DRM on purchased music is dead
- A utility pricing model or flat-rate fee for music might be the way to go
- Ad-supported streaming music sites like iMeem are legitimate players
- Indie music accounts for upwards of 30 percent of music sales
- Napster isn’t losing $70 million per quarter (and is breaking even)
- The music business is a bastion of creativity and experimentation
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