E-Commerce Times Talkback

Re: Online Music Takes the Long Way Home
Posted by: Paul A. Greenberg 2001-10-15 18:38:56

See Full Story

By now, observers of the various e-commerce markets can see what business models work
online and which do not. Online travel sites? Check. Online bookstores? Check. Online
music? At first glance, no. But guess what? Check.

Re: Online Music Takes the Long Way Home
Posted by: E. H. Munro 2001-10-16 14:14:55 In reply to: Paul A. Greenberg

It is not a surprise to see the new economy and the old economy reach an agreement on electronic trading of music. As I have myself noted in stories dating back a year, it was inevitable. Economics dictated that the music cartel would look to maximize profits by charging more for less. Digital data transferred across a network is less expensive than CD, so the big five would push for it, but under circumstances that they could control.

In the end, the music companies' offerings change nothing, crippled files distributed electronically help neither consumer nor artist, only the distributor. It may make online music fly temporarily, but what is the long term effect of overpriced inferior products on the market? With a field that is tilted (by law) in favour of the entertainment conglomerates over the rights of the consumers, smaller distributors and the actual authors of creative content, what does the future hold?

It is, perhaps, time for artists to consider their own alternative, one that seeks to ally the interests of the consumer to those of the creator. Electronic distribution does eliminate hurdles to market entry, and a digital distribution network has the potential to eliminate the necessity for the major music label cartel.