Wednesday, June 08, 2011


"A great day for Apple.

Not such a good day for Amazon, Google and the recording industry.

Unlike Apple, the music industry is very shortsighted.  There is no tomorrow, only today.  Steve Jobs is seriously ill and he’s looking to tomorrow, the labels still haven’t pulled their heads out of yesteryear.

How do you make music pay in the future?  How do you get a ton of revenue for recordings?
By getting everyone to pay.

How do we get everybody to pay for music?  By dropping the price and making it easy.

You call that subscription.

Cable TV is a subscription.  As is Netflix.  As is your cell phone plan.  Don’t say people hate subscriptions, that they don’t want them, it’s about offering a great service at a fair price.
The record industry refuses to do this.

The concept of renting your music, like you rent cable TV, that’s kaput.
And what did it cost?

$150 million.  For approximately $40 million to the bottom line of each recording company, you know they’re not going to share the revenue with artists, the labels sold out their future.

This is so dumb it’s almost incomprehensible.
The labels have been snookered by Steve Jobs, who could sense their ignorance and preyed upon them."

Bob Lefsetz on iCloud - The Big Picture

Great article, suggest read it all.

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