Tuesday, March 08, 2005
Another new idea
[See previous]
This one comes from the music arena:
Would you pay 5 cents for a song?
From the article:
An even more radical idea: Could Apple (what about Wal-Mart?) buy the four biggest labels and then have enough control of the industry to force extra-low-prices for songs?
It is interesting to think about...
This one comes from the music arena:
Would you pay 5 cents for a song?
From the article:
- Pearlman proposes putting all recorded music on a robust search engine -- Google would be an ideal choice, but even iTunes might work -- and charging an insignificant fee of, say, five cents a song.
- The assumption is that if songs cost only 5 cents, people would download exponentially more music. Daniel Levitin, a McGill professor also associated with the project, said that a simple computer program, such as those already in use on Internet retail sites, could track people's purchases and help them to dig through what would become a massive repository of music on the Web. The extra windfall for musicians and those who own the publishing rights to the songs could be in the hundreds of millions of dollars, or more, Pearlman said his study predicts.
An even more radical idea: Could Apple (what about Wal-Mart?) buy the four biggest labels and then have enough control of the industry to force extra-low-prices for songs?
It is interesting to think about...
Comments:
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I believe the same principle would work for software.
There are a lot of illegal copy of Windows XP running worldwide. If the software would cost, lets say 50 USD, a lot more people would buy the official version with the bennefits of support, update's etc.
I even think that, in this case Microsoft, will generate more turnover if they would lower their sales prices.
There are a lot of illegal copy of Windows XP running worldwide. If the software would cost, lets say 50 USD, a lot more people would buy the official version with the bennefits of support, update's etc.
I even think that, in this case Microsoft, will generate more turnover if they would lower their sales prices.
More volume is obviously favourable to the retailer (server) and record company, but without a structure change to the royalties payable to the artists, it does not clearly help them. As it is, there is a loss from the change from the "album" model, where the consumer assumes he has to purchase all ten songs even if he only wants one. Another problem in scale is that at this moment the US government sets the "statuatory" rate to be paid for the copyright of the underlying musical/lyrical composition, for each single copy of the song sold at somewhere around eight cents. Everyone wants music cheap, when, like the minimum wage, it is historically very cheap already. Everyone wants musicians to dance for nickels on the street.only the record companies and a very small percentage of musicians can even make a middle class living or more. All these hair brained schemes when what is neccesary is for people to have the moral fibre to not steal candy from the store, just because the front door has fallen off. Try reading this to see "how it works".
http://www.mercenary.com/balofmidarby.html
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http://www.mercenary.com/balofmidarby.html
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