Why On-Line Music Will Fail (Apple First)

Today’s not-so-stunning revelation:

Apple Makes No Money with the iTunes Music Store
I’ll bet this is why they’re so eager to court indie labels- they might actually make a *tiny little bit* of money off them. Damn shame. I have yet to buy anything from iTMS, as I can not afford an ipod. How worth it is this place going to be if less than 1% of 1% of all music buyers owns an ipod. I don’t know the real percentage, but I’m sure it is a tiny tiny fraction of people.

Sort of Update: Knowing that actually makes no money from this and being pretty sure that the artists makes none either, I can’t say I’m going to buy anything from the apple store. Even if the labels got 25 cents a song they’d be making a shitload of money. Hell, 25 cents a song is a lot.

5 thoughts on “Why On-Line Music Will Fail (Apple First)”

  1. Is it solely the artists problem if the only contract they can get is one that gives them the shaft? I’m not sure. Most artists like to have their records distributed and many are not even aware that their could be other opportunities.

    As far as buying an RIAA cd on-line and off, I would say the difference is about 7 bucks and the lack of a physical object with which your opportunities for place-shifting are unlimited. Thats a pretty big difference, IMHO. I would say that most of the music I buy is not RIAA, but some is. The new Shins album is out, and its on Sub Pop. Sub Pop is (inexplicably) an RIAA member.

    I think iTMS is about as good as it gets, although Phish does some crazy distro from their web site that includes free low-bit rate mp3s and pay-for lossless tracks of concerts and such.

  2. I read somewhere that when steve jobs pitched the itunes deal to the labels, the reasoning for the price per track was as follows. People pay 3 dollars for a starbucks coffee, which is gone five minutes later, so therefore, people will pay 99 cents for a song. I have since seen him quoted as saying you can get 3 songs for the price of a latte. I mention this as i believe the pricing of the songs had less to do with value, and more to do with finding a way to get people to pay for nothing.

    It’s all about comidifying the world.

  3. How much RIAA stuff do you buy non-online? What’s the real difference between buying an riaa cd in a physical store or on line? There might be a little difference, but not much.

    And as for artists, if they made a bum deal with the RIAA, that is their problem. It is not my responsibility to be legal counsel with my dollar to riaa artists.

    Is there any decent music distribution method on-line? I am sure some resourceful innovative artists have done something, but I don’t know about it, because I don’t really like music anyway (I am an android).

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