Sundtempest

Reporting, analysis, and opinions on the latest trends and developments in the music industry.

Archive for June, 2009

New in France: DRM-free, unlimited music via ISP

As sales of recorded music continue to decrease, the concept of point-of-connection-based music subscription services appears more and more attractive to record labels. In Europe, this business model of customers paying an ISP for essentially unlimited downloading in exchange for a small fee has already been implemented through Omnifone.

Now, the internet service provider Virgin Media has partnered with Universal Music to create a similar model in France specifically. The deal will allow Virgin customers to download as much DRM-free music from the Universal catalog as they want. A fee will be associated with this service, though an exact figure has yet to be reported by either party.

In exchange for their catalog, Universal is asking Virgin to cooperate more in piracy-related matters. France itself is already taking measures to protect copyright, so this request isn’t too surprising.

When are we going to see unlimited, point-of-connection subscription services in the U.S.?

(Editor’s Note: Sorry for the gap between new posts; I’ve been busy finishing up my undergraduate degree program. I’m proud to say that I’m now officially a Bachelor of Science in Music Industry!)

Universal Music and Virgin Reach a Download Deal [NY Times]

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More Radio Industry Royalty Nonsense

The bill that would create a new performance royalty for recording artists in the United States looks like it has majority opposition in the House of Representatives. Unfortunately, this seems to be the result of the same fallacious arguments that anti-performance royalty apologists have been spouting for awhile.

“‘The members of Congress just simply aren’t buying the argument that radio stations ought to be taxed to make up for the struggling business model of the record labels,’ NAB spokesman Dennis Wharton told the Associated Press Tuesday.”

This is a classic fallacy of straw man. The recording right should not be created because the recording industry simply needs more money, but because it is the morally correct thing to do. As I’ve written previously, the radio industry generates plenty of revenue from their advertisers. This is a well-established model that has proven to be very successful. In order to generate this revenue, they require content to broadcast. That is simply a normal cost of doing business.

No one would think twice about this in any other industry; the reality is that the recording industry has been so demonized due to the actions of major labels that even the House has been unbelievably biased.

Would they mandate that J.J. Abrams pay ABC when LOST is aired? After all, ABC helps him get DVD sales for his show, right? This inane logic can be extended to any number of situations where any rational person would reject it instantly. The same critical thinking should be applied to the music business.

Here’s another tidbit from Wharton:

“‘If this issue were about ‘fairness to artists,’ ” he continued, ‘why would 50% of the proceeds from this new fee go directly to the record labels? Aren’t these the same record labels that have abused artists for decades?’”

This could be described as ad hominem, another logical fallacy. Rephrased, “major record labels are bad, therefore they’re wrong and shouldn’t be supported.” Bzzt. Bogus reasoning. This isn’t a criminal or civil proceeding where a judge and jury are trying to decide what party gets a monetary reward.

It doesn’t matter if some record labels have acted in bad judgment (not to mention the vast majority of music being released is not on major labels, so to imply that all labels should be punished for the actions of a few is a fallacy unto itself.)

This is the creation of legislation. In this country, we extend legal and Constitutional protection even to those who have not obeyed the law in the past. In fact, those are the instances where fairly and equally applying protections matters the most. Yes, some labels in the history of recording industry have engaged in scare tactics and underhanded legal maneuvers. They’ve certainly ripped off artists.

However, when we can determine the moral necessity of a given right, we must extend that right to everyone.

Should radio pay a performance royalty to artists? [accessAtlanta]

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