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The Many Battle Fronts of Content Owners

museumpeace writes "This community constantly chews on stories like the first sale doctrine and the endless maneuvering of RIAA, MPAA, follies of DMCA and DRM in general. I think of each of those stories as like trying to make sense of a particular earthquake. In the Huffington Post, blogger Jonathan Handel succinctly lays out six tectonic market and technology forces that provide a map for all of this. Sample his point #5, the media is the money: 'Fifth is market forces in the technology industry. Computers, web services, and consumer electronic devices are more valuable when more content is available. In turn, these products make content more usable by providing new distribution channels. Traditional media companies are slow to adopt these new technologies, for fear of cannibalizing revenue...'"

57 comments

  1. Totally offtopic by esocid · · Score: 2, Funny

    But I loved that huge headline on the article: "Vanilla Ice Arrested."

    --
    Absolute power corrupts absolutely. indymedia
    1. Re:Totally offtopic by Eponymous+Crowbar · · Score: 2, Funny

      Serving notice to all the haters who said he couldn't even get arrested.... that's how he rolls!

    2. Re:Totally offtopic by gmagill · · Score: 1

      Even better is the story about Roseanne's va-junior.

    3. Re:Totally offtopic by Oktober+Sunset · · Score: 1

      Yea, he gunna smack you up like he did his ho.

    4. Re:Totally offtopic by Anonymous Coward · · Score: 0

      Damn! The article must've been from 2001!

  2. What? by esocid · · Score: 4, Insightful

    It's true that people still consume media the old-fashioned way -- but fewer and fewer do so every day. Most of the content industries are seeing flat or declining revenues and audiences.
    I'm sorry but you sir must not be aware of what is going on in the world.
    1. Movie ticket sales at record high.
    2. Cable company reports record sales.
    3. Digital sales boost music industry.
    Should I go on?
    He may be correct about newspapers declining, but the other points I believe are false.
    --
    Absolute power corrupts absolutely. indymedia
    1. Re:What? by morgan_greywolf · · Score: 1

      Over-the-air television, too, particularly the news organizations. Cable news like CNN, Fox News, MSNBC, and even cable-company-run outfits like Bay News 9 have replaced the likes of NBC, CBS and ABC in this department.

    2. Re:What? by truthsearch · · Score: 1

      The first two sentences of the 3rd link: "The music biz can't stem the bleeding, but for now, digital tracks are proving to be a secure Band-aid. Album sales dropped for a seventh consecutive year."

      That helps prove his point that fewer people are consuming music "the old-fashioned way." Their sales are compensated by newer forms of distribution.

      Your first link is broken, but the second only refers to revenue being up. That revenue for a cable company can increase by more ways than just new TV customers. And has the number of new customer grown faster than the number of new homes? I'm sure many of those sales were directly and indirectly related to getting high-speed broadband, also not "old-fashioned."

    3. Re:What? by Anonymous Coward · · Score: 0

      For mediums such as newspapers, it isn't always about actual distribution numbers declining. The majority of their revenue comes from advertising, and marketering people are allocating more and more of their budget to online over print. This is happening independent of distribution numbers. Any slight drop in distribution, and it gets far worse.

    4. Re:What? by jedidiah · · Score: 4, Insightful

      Well, for cable you figure they already have a saturated market. All they can really
      do is tread water. They continue to provide what they have always provided to whom
      they always provide it (much like Microsoft).

      The status quo is for cable companies to stay more or less in the same place.

      If people were really doing what the commentator says then you would see a sudden
      drop in cable revenue as people begin to cancel their cable subscriptions. I know
      torrent freaks that have done this.

      However, this is a relatively rare thing.

      This article also ignores the possibility of people buying conventional
      content for the express purpose of using it for thier new technology. A
      bunch of DVD's ripped into a media center can be a thing of beauty.

      Ultimately all content has to compete with each other. One game studio
      owner once said that their games have to compete with everything else
      a person could do including sex. So their games have to be better than
      sex.

      One part of the media market could be getting sacked by another. If the
      RIAA is whining it could be because of the rise of DVD collections and
      video games. It doesn't even need to be due to some other sort of "sea
      change".

      As I often like to say... I got distracted on my way to the CD aisle
      buy that big bin of $5 DVDs and those racks of $7.50 DVDs...

      --
      A Pirate and a Puritan look the same on a balance sheet.
    5. Re:What? by Thelasko · · Score: 1

      Your LA Times link is broken. I imagine that article measures ticket sales in dollars. Measuring ticket sales by revenue is a terrible way to measure the success of an industry because it doesn't account for inflation. After accounting for inflation, movie ticket sales have indeed remained flat.

      --
      One of our competitors trademarked the term "hypothesis". From now on, we will call them "boneheaded ideas".
    6. Re:What? by eldorel · · Score: 4, Informative
      I would like to point out that all of these links are using dollar amounts as a measurement tool, without accounting for changes in price.

      I can make more money selling 90 widgets at $6 than selling 100 widgets at $5.

      A quick google search for ("movie ticket sales" record high) comes up with about 600 items, most of which reference the same quote.

      "Moviegoers around the world pushed global box office revenues to a record $26.7 billion in 2007,
      • but rising ticket prices and a weakening dollar accounted for much of the increase,
      the Motion Picture Association of America said Wednesday." If even the mpaa has been forced to admit that the majority of the sales increase has been due to price increases, the odds are "Most" in this case means almost all.

      Another quote from the same article http://movies.yahoo.com/mv/news/ap/20080305/120477504000.html

      Revenues in the United States and Canada increased 5.4 percent to a record $9.6 billion, with
      • admissions unchanged at 1.4 billion tickets sold,
      and ticket prices 5 percent higher at an average $6.88.
    7. Re:What? by carps · · Score: 3, Funny

      "One game studio owner once said that their games have to compete with everything else a person could do, including sex. So their games have to be better than sex."

      Couldn't they try to popularize gaming among individuals for whom sexual partnership is not an immediate entertainment alternative?

      Sometimes in business the most effective strategies are not the obvious ones!

      --
      Well I'm making *two* Low Budget HDV Filipino Horror Movies in NYC.
    8. Re:What? by Anonymous Coward · · Score: 0

      Should I go on? Well, yes, since you have only described the section of the market involving the content owners and the content consumers.

      The real battle is between the content owners and the content pwners.
    9. Re:What? by PopeRatzo · · Score: 2, Insightful

      I've learned that generally, I'm not very exceptional. It may be true that movie ticket sales are at record highs and digital sales are boosting the music industry revenues, but I'm guessing that a growing number of people are finding "alternative" ways to see movies and hear music. And let me tell you, the movie and music "industries" are not gonna get rich if lots of people start getting their movies and music the same way I do.

      And that, more than anything else, is my hope. I haven't needed cable or satellite television for a couple of years now, yet I still see all my favorite shows (The Wire, South Park, etc). In fact, my television probably hasn't even been turned on since the Super Bowl, and before that, the World Series. I haven't set foot in a theatre except my local Imax for over a year and yet I see a couple of movies a week. Music is ubiquitous in my life, but I only buy music directly from the creators.

      Good riddance, I say.

      --
      You are welcome on my lawn.
    10. Re:What? by esocid · · Score: 1

      You are right about that article (must have been slashdotted) but it also went on to explain how producers are pumping more and more money into movies and advertising as well. It sounds like they're trying to hold onto the "old-fashioned" way to me. I would imagine the idea of spending less on fancy special effects and especially on advertisements is a crazy idea to movie studios but even cutting those costs by 20% would have no negative impact on the sales. IMHO seeing 25 commercials for something does nothing to improve sales. 1 prominent ad will do the trick of 25 annoying ones, plus commercials that try to convince you to buy something only work on the idiots who need convincing that they need something in the first place. If a consumer wants something, they will search for it until they find something they like. If you remember Jumper, it had tons of commercials, trailers, spots during football games, etc. and it got a 16% on RT. They spent god knows how much money on production and even more on advertising. (Here's a hint movie studios: Make a good story line and people will go see it.)

      --
      Absolute power corrupts absolutely. indymedia
    11. Re:What? by Anonymous Coward · · Score: 0

      I agree with you. I downloaded an ebook from a torrent site the other day. I read through some of it on the bus on the way to work today and I thought that the writers did a good job on it. I went to borders this evening and paid full retail for it, just to show how much I liked it (and so I can put it on my bookshelf and show it to anyone who comes in my room). If the book was crap I would have deleted it.

      Everything will be ok, the world will not end just because the world's greatest book maker (computers + the Internet) is being used by people who love content.

  3. the term "disruptive technology" by circletimessquare · · Score: 4, Interesting

    is often used, like the phrase "paradigm shift" to give oomph to other wise boring corporate blather

    however, in this case, the term disruptive technology is entirely functional: the internet is completely destroying the music industry

    the book industry and the movie industry are standing in handcuffs on the stairs to the guillotine, helplessly watching their brethren being beheaded. they watch in disbelief as the cheering masses they used to lord over relish the sight of the bloodsport of their demise

    i'm sorry, but a free and open network where any media can be transmitted effortlessly and without interception is not a business opportunity. its a replacement for an industry based on distribution. people keep talking about the fact that the music industry could have gotten in front of changing technology and used it to their advantage, rather than change taking place without them while they sat in denial. i have the contrary opinion: i think the music industry would never have been able to get in front of this steamroller

    they were never able to, no matter how much time they had to prepare. there is simply no way for the music industry to harness the internet to their continued existence. the internet, the substance of it, is simply anathema to what they do: charge a fee for music distribution. the internet is simply replacing them. effortless free distribution has no economics too it. there's no money to be made

    of course there is money to be made in related industries: concerts, advertising tie-ins, band and brand building, etc. but anything having to do with distributing media is simply a free advertising platform, nothing more. the anicllary businesses is what the music industry will morph into, a decimated diminished form of its former self

    the only way the music industry could survive unaltered by the internet is to invent a time machine and go back to the 1960s and murder the arpanet researchers. you cannot harness that which means your doom. asking or expecting the music industry to get in front of technological change and make it work for them is like asking the incan and aztec nobility to get in front of the spanish conquistadors and use them to their advantage. as in: no way that's going to happen

    your doom is your doom. music distribution conglomerates are simply a business model for the historical dustbin. there is no other way to interpret what the internet means to them. the internet is not a "business challenge" for them to meet with fast footwork and fancy innovative thinking. it is simply an appointment with death. and i will be mourning their passing just as soon as i get over my shock and pain over the passing of the dtuch east india company. as in: who cares. the world keeps turning, life keeps changing. its a done deal. the story is over. goodbye sony bmg, bertelsmann, et al. buh bye. stop banging on your coffin. your dead. realize it

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
    1. Re:the term "disruptive technology" by nine-times · · Score: 3, Insightful

      i think the music industry would never have been able to get in front of this steamroller

      I think your point would be better served to agree that the music industry could have gotten in front of this steamroller, but they would have gotten run over anyway.

      I half agree with you and half disagree. The music industry cannot survive as-is in the Internet-age because their business model, centered around distribution, is obsolete. However, that doesn't mean that they can't survive in some form. There's still room for them to act as agents, marketing/branding whatever they can, and making money of merchandizing and general crap.

      Also, there can be a business model from the Internet distribution. Being the content host (or even just the tracker site) and providing recommendation engines can still be a feasible business. Whether you charge a nominal fee per transaction, a small subscription fee, or live off ad revenue, there would be a business model there.

      Think of it this way, if copyright law was dismantled tomorrow, Apple could still make money off of iTMS. Not having to pay labels, I think they could still have a viable business. You might think people would just find other free sources, but the fact is that customers are willing to pay a little bit of money (at least a little) in order to have a site that's easy to search, has good/uncorrupted content, a good shopping experience, and a decent recommendation engine.

    2. Re:the term "disruptive technology" by carnivorouscow · · Score: 1

      Yep, the invisible hand of the market moves again.

    3. Re:the term "disruptive technology" by steelfood · · Score: 2, Interesting

      i'm sorry, but a free and open network where any media can be transmitted effortlessly and without interception is not a business opportunity. its a replacement for an industry based on distribution. people keep talking about the fact that the music industry could have gotten in front of changing technology and used it to their advantage, rather than change taking place without them while they sat in denial. i have the contrary opinion: i think the music industry would never have been able to get in front of this steamroller ... This is the wrong kind of thinking, and the exact same kind of thinking which lead to the lawsuits and attempts to stamp down on digital distribution.

      You are wrong because of the success of iTunes. That, in and of itself, shows that online distribution can be, in and of itself, a viable business model.

      You are wrong because of the necessity of value-added services that big labels currently do provide. Marketing, for example, is still necessary to gain recognition. Instead of labels taking all of the profits of media sales, they could instead bill the artists directly.

      The companies could have capitalized on value-added products, like t-shirts, booklets, pamphlets, etc. as well as the security of actually having a physical copy instead of a digital one. The labels could have used their big distribution network to sell other things besides CD's.

      The only difference is that under the new model, the labels' profits wouldn't nearly be as high. They would have to move away from their gluttonous culture. That is, they wouldn't be able to afford to upkeep that tour bus with a built-in pool in the back or the million-dollar bling for their third mistress anymore.

      Adaptation is necessary for survival. The music industry as it is now is incompatible with online distribution. But that doesn't mean the labels can't adapt to the times and continue to remain afloat.
      --
      "If a nation expects to be ignorant and free in a state of civilization, it expects what never was and never will be."
    4. Re:the term "disruptive technology" by multisync · · Score: 2, Insightful

      there is simply no way for the music industry to harness the internet to their continued existence. the internet, the substance of it, is simply anathema to what they do: charge a fee for music distribution. the internet is simply replacing them. effortless free distribution has no economics too it. there's no money to be made


      But distribution isn't all the "music industry" does. From my perspective, that's a relatively small piece of the puzzle.

      Someone still needs to scout talent; just because you can pound out off-key versions of your classic rock favorites, that doesn't necessarily mean anyone else wants to listen to it. Someone needs to work with artists, to help them develop and hone their craft. Someone has to put up the money needed to record CDs and produce videos, and put the artist together with the right producer, the right engineers.

      A&R people take the 40 or 50 half-finished songs the band has been working on and help them select the one's they believe people are more likely to pay to listen to. Others promote the band, pay off radio stations to play them, do advance work in cities the band will be performing to create a buzz and drum up ticket sales.

      These are all services music fans value and as such would be willing to pay for. Traditionally, these services have largely been financed through the sale of plastic discs, and that may no longer be possible - at least on the scale the industry is used to. That's why the need for a new business model.

      But it is no more correct to say you can not make money off music in the Internet age than it is to say you can not make money off software in the age of FOSS.
      --
      I don't care why you're posting AC
    5. Re:the term "disruptive technology" by davester666 · · Score: 2, Interesting

      I shudder to think of how 'television' would work if it was being invented now in the US. There would be multiple, competing broadcast formats (why would the FCC require the use of a single standard, because multiple standards are working so well for the cell phone industry]. Content providers [both for movies and episodic shows] would sign up for exclusive deals with specific carriers, so you would need to choose the carrier based on what content you wanted [still happens now, but is generally quite limited]. If any carrier got too large of a market share, content providers would band together and offer better terms to other carriers in an effort to decrease the dominant carriers power.

      Industry 'sectors', once they become established, tend to keep functioning in a certain way out of inertia and because it's in the best interests of the people making the most money from that industry. The music industry makes too much money and 'owns' too much content that people want to buy for them to just call it quits. They will fight tooth and nail to make sure they get to stand between artists and consumers.

      I would say that is the main reason for why they keep pushing subscription plans. These plans would make it impossible for artists to get paid if they don't belong to a label. There would be no way for an artist to determine what amount of money they should be paid from the amount of money the label receives. And from the labels point of view [since they would get to define the interface to this system, as they 'own' most of the content right now], the important thing is the labels share of the monthly subscription fee, so it would be cheaper, easier and better for the label to emphasize the name of the label over the artist [because the label doesn't care which of their artists get money, just as long as a consumer listens to music from their label].

      --
      Sleep your way to a whiter smile...date a dentist!
    6. Re:the term "disruptive technology" by Damon+Tog · · Score: 1

      "there is simply no way for the music industry to harness the internet to their continued existence. the internet, the substance of it, is simply anathema to what they do: charge a fee for music distribution. the internet is simply replacing them. effortless free distribution has no economics too it. there's no money to be made"

      It has always been possible to make copies of other people's work at no cost to the creator. This is nothing new and is the reason why copyright laws were created, hundreds of years ago.

      The difference is that, in the past, making unauthorized copies was expensive to the infringer. Now that it is cheap to infringe, it is very popular.

    7. Re:the term "disruptive technology" by Smauler · · Score: 2, Interesting

      Someone still needs to scout talent; just because you can pound out off-key versions of your classic rock favorites, that doesn't necessarily mean anyone else wants to listen to it.

      What, without record companies to help us along we'd have to sift through every dross song released to find something good? Lots of new bands are being "discovered" by record companies now because of online communities that supported them, and found them, previous to their "discovery". Artic Monkeys is one such example. Without record companies, this could well be the way of all bands - the popular will get noticed, the less popular won't. I assuming those who are crap will be in the latter category. Anyway, if you're completely honest, can you really say that record companies have done a good job of scouting musical talent for you?

      Someone needs to work with artists, to help them develop and hone their craft.

      Plenty will do this for not much money - money most 1/2 way decent bands can get doing gigs

      Someone has to put up the money needed to record CDs and produce videos, and put the artist together with the right producer, the right engineers.

      This is the tough bit. However, gigging and selling cheap CDs can generate enough revenue to fund a cheap first decent CD. The right producer, the right engineers are generally currently vastly overpaid (most people higher up in the music industry are, if you haven't noticed). You do not need a great producer, great engineers, or great anything if you've got great music. If your pretty crappily produced first CD sells ok, get an OK producer for your next.

      Much of I'm talking about only works ideally - that is if there weren't corporate sleazebags to contend with. However, the corporate sleazebags are getting more and more superflouos currently. Music is being discovered and published online more and more, and the role of the sleazebag is diminishing. He'll always be there, and if I'm honest I do think there will always be a Britney or someone sat up there in the charts because of the backing. However, the tide is turning for the better...

    8. Re:the term "disruptive technology" by frkbros44 · · Score: 1

      This is one of the under-appreciated aspects of the controversy. It really is about a major change in the technology base of the existing industry.

      The legacy music publishing industry is an artifact of the limitations of the manufacturing of physical media, and the brick and mortar distribution system required to supply music on physical media to consumers.

      They've exploited their control over the capital intensive means of production and distribution to the point where they have largely lost sight of the core purpose of the "music industry" - which is to efficiently facilitate the exchange of value between creators and consumers.

      A reasonable case can be made that the legacy recording industry has distorted its consolidated control over access to the established retail music channels to such a degree that they've largely displaced the creators as the primary purpose and beneficiaries of the creation and consumption of music.

      This level of market distortion is a common symptom of end stage obsolescence. The end-stage horse-drawn buggy makers also tried to obstruct their replacement by automobiles by arbitrarily prohibiting the advantages of their competition. One of their attempts to hobble the real world advantages of automobiles was to lobby for regulations requiring a man to walk in front of a car with a warning flag during daylight and a lantern at night. This regulation - that was still on the books in some states decades later - would have effectively limited automobiles to slower speeds than horse-drawn buggies. What an unfortunate "side effect" of protecting the public from the dangers of these new fangled contraptions!

      Unfortunately, the obsolete legacy recording industry still has a dangerous amount of political influence, and is aggressively using it to protect its ability to control a marketplace that is trying to escape from its control. The vast majority of the "problems" are the result of the efforts by the legacy recording industry to preserve their legacy ability to dominate and control the recorded music market.

      The legacy recording labels inherited their business model from printers. The concept of copyrights started out as constraint of trade agreements within a cartel of printers allocating the rights to print specific books among its members. The rights of authors weren't even considered. When the rights of authors were eventually included in copyright statutes, the printers solved this minor complication by requiring authors sign over all rights to their works to the printers as a condition for access to the printer-controlled means of publication and distribution of books.

      The core justification for modern copyrights was to transfer creative works to the public domain. Copyrights were intended to provide a limited duration monopoly right to exploit creative works in order to compensate the creator and thereby encourage the production of creative works.

      The core purpose of transferring creative works to the public domain after the creator receives fair value compensation, has been largely subverted by those who controlled the increasingly obsolete capital intensive means of production and distribution. The period of copyright protected monopolies have been extended to the point where they have become essentially perpetual - converting a limited duration market abuse into a permanent special privilege.

      Music piracy today has a lot of similarities with legitimate uses of public domain content - except that the scope and duration of copyrights have been extended far beyond their original intended limits.

      One of the primary functions of free markets is to create alternatives to inefficient industries. The inherent costs and constraints of the traditional recording industry have created strong incentives for the market to find better alternatives. The legacy recording industry is attempting to frustrate the natural functions of a free market in order to preserve its ability to abuse that market.

      A workable solutio

    9. Re:the term "disruptive technology" by multisync · · Score: 1

      What, without record companies to help us along we'd have to sift through every dross song released to find something good? Lots of new bands are being "discovered" by record companies now because of online communities that supported them, and found them, previous to their "discovery".


      Exactly. I don't have time to listen to literally everything anyone anywhere decides to makes a permanent record of. Having someone make recommendations (which is all a record company signing a band amounts to) is a necessity. It doesn't have to be a "record company" doing it, there a plenty of opportunities for others to do it and benefit from it.

      It may be an online community, who would benefit by encouraging others to support artists they like. It could be performed by an independantly run, commercial free online radio station, who may benefit by soliciting donations from people who value what they are doing (that's where I "discovered" The Artic Monkeys, The Shins, Black Rebel Motorcycle Club and Iron and Wine, among others).

      I can also scout local talent myself by getting out and seeing live music at venues who give unsigned bands stage time. It's very satisfying to share a new band with friends, and again, I benefit if the band continues to make more music thanks in part to support they received from music fans.

      My point was not that the current setup is either ideal or necessary. I was disagreeing with the grandparent's assertion that "there is simply no way for the music industry to harness the internet to their continued existence." Maybe the current "music industry" can't make it in the modern world. But that does not mean there won't be an industry around artists. We will always need managers, promoters, producers, A&R of some sort, roadies, caterers, truck drivers, security, concession, merchandising, carpenters, guitar teachers, engineers, and older brothers who to turn young ears on to great music.

      Plenty will do this for not much money - money most 1/2 way decent bands can get doing gigs


      Money isn't the only way an entity can benefit from turning others on to a great new band. In the case of the "online community" model, music fans benefit if their "discoveries" are able to continue making music, thanks to the support they receive from the community. Or you may draw visitors to your site by playing a great selection of little-known artists and use that as an opportunity to showcase your writing, or your own music. Just because someone isn't drawing a paycheque it doesn't mean they are not benefitting.

      Much of I'm talking about only works ideally


      It's the existence of the Internet and the availability of cheap, powerful computers that make this "ideal" scenario possible.
      --
      I don't care why you're posting AC
  4. Richard Stallman on the word "content" by IGnatius+T+Foobar · · Score: 1

    If you want to describe a feeling of comfort and satisfaction, by all means say you are "content", but using it as a noun to describe written and other works of authorship is worth avoiding. That usage adopts a specific attitude towards those works: that they are an interchangeable commodity whose purpose is to fill a box and make money. In effect, it treats the works themselves with disrespect.

    Those who use this term are often the publishers that push for increased copyright power in the name of the authors ("creators", as they say) of the works. The term "content" reveals what they really feel. (See Courtney Love's open letter to Steve Case (search for "content provider" in that page. Alas, Ms. Love is unaware that the term "intellectual property" is also misleading.)

    However, as long as other people use the term "content provider", political dissidents can well call themselves "malcontent providers".

    --
    Tired of FB/Google censorship? Visit UNCENSORED!
    1. Re:Richard Stallman on the word "content" by ClamIAm · · Score: 1
      using ["content"] as a noun to describe written and other works of authorship is worth avoiding. That usage adopts a specific attitude towards those works: that they are an interchangeable commodity whose purpose is to fill a box and make money. In effect, it treats the works themselves with disrespect.

      I think my view is actually superior to rms on this matter. I find this significant because I usually feel his positions are thought out very thoroughly (regardless of whether I agree with them). That said, I think there should be a distinction regarding the use of "content" as a noun:

      I think it's bad to use "content" like it's some abstract, general idea. For example, the headline of this article alerts me that there is some class of entities that "own" "content". When used like this, it does seem to imply that the creative works "owned" by these people are indeed similar, interchangeable, etc.

      On the other hand, I don't see a problem with using this word as a noun when it refers to a part of, or element within, something. I feel these sentences illustrate OK use:

      • A programmer doesn't need to know the contents of a function to use it; she can usually get by just knowing its parameters and return type.
      • Benito was charismatic, but the content of his arguments didn't stand up to scrutiny.
    2. Re:Richard Stallman on the word "content" by multisync · · Score: 1

      Thanks for that. I feel the same way about being referred to as a "consumer."

      By the way, here is the link to Courtney's rant on the music biz. I don't agree with everything she says, either, but I appreciate the effort she put in to imagining a system that would be fair to artists and patrons alike.

      --
      I don't care why you're posting AC
  5. Free Market Economy by PC+and+Sony+Fanboy · · Score: 4, Insightful

    If companies won't provide the goods the market (read:the population) desires, then someone will. And if necessity is the mother of invention ... and the market isn't supplying what 'we' want - then someone will find it necessary to modify the offerings of various companies to fit our 'needs'.

    Plain and simple, if you aren't supplying a product that people want ... then don't complain when people use alternatives (legal or not!)

    1. Re:Free Market Economy by stubear · · Score: 0

      The market is supplying a product the consumer wants, they are not distributing it in the way the consumer might prefer. There is a HUGE difference between the two. Pirates don't spend a dime creating the content, they are just a means to distribute it and people will take this avenue, not necessarily due to a preferred distribution method but because it's free. NO ONE can compete with that and it's why illegal distribution must be eliminated. There are numerous legal ways to sample and discover without the need. The argument, for instance, that YouTube should be allowed to distribute content created by ABC falls apart when ABC is distributing the content freely on their own site in a way that ANYONE can consume it. The web is a series of links and if you want to show your friends the new episode of Lost, link to the ABC site not some third party who illegally distributes the show.

    2. Re:Free Market Economy by s.bots · · Score: 1

      Does it matter where you direct them if ABC is giving the episodes away for free? Obviously ABC would be preferable to YouTube since you don't need to deal with all the YouTards' yapping of "LOLZ gr8 muvee" and such.

      Ideally (for me at least) distribution would be something like Radiohead's latest: I can try it and listen for free (legally) and then purchase it at a price I feel is fair (if I like it) .

      This is roughly how I get music now, except it is try (illegally via torrent), then buy (at an inflated price, which requires me liking it more, and thus resulting in less sales for them).

    3. Re:Free Market Economy by Anonymous Coward · · Score: 0

      What if it's content people want, but simply prefer not to pay for? The media companies can distribute online and only base the cost on compensating artists plus the true value, and there is some, the media company adds, but file sharing won't disappear. If we want to be fair we need to ask how far we should be able to squeeze, say, the Phil Spectors of the world just to satisfy the urge to own something for nothing. Is it OK not to reward the talent (and art) Spector fostered with so little that Spector finds another career? What would we have lost if there had been no incentive for Spector, and if there is none in the future for people like him? This question remains even if you believe, like I do, that the **AAs are swollen and evil and ought to go the way of the dinosaur.

    4. Re:Free Market Economy by PC+and+Sony+Fanboy · · Score: 1

      If this is the case, then they don't 'want' the product as supplied by the company - they want it for cheaper (or free). Many people use itunes - why? because it is easy. It sure isn't cheap!

    5. Re:Free Market Economy by stubear · · Score: 1

      Yes it does matter. ABC derives revenue through ads on their site and in some cases ads in the videos. YouTube does not pay for the right to distribute the material despite their deriving revenue through the same means (ads on the site). YouTube is making money off the illegal distribution of content, depriving ABC of this revenue. Most people will click on a link to watch a video regardless of whether it is on ABC or YouTube and it is no more difficult for a blogger to copy/paste the ABC link then it is to copy/paste the YouTube link.

    6. Re:Free Market Economy by cliffski · · Score: 1

      people *WANT* everything for cheap or free. That's obvious and not the point. The free market will work best when everyone pays for stuff what that stuff is worth to them. That means everyone gets a good idea, and the people producing content that is enjoyed the most are incentivised to produce more of it.
      Everyone may well rant and moan and stamp their feet and demand hollywood blockbusters for free, but you cannot make a hollywood blockbuster for free, so the market isnt viable. Given a choice of no movies, or movies for $10 a go, people have proved in the past that they get $10 entertainment from them.
      The only 'market failure' is when a bunch of filesharing kids manage to undermine a working market by enabling mass theft. The music and movie and software markets worked fine. Some people made a lot of money (so?) and millions of people spent their moeny rationally for entertainment. That was a working market, and I dread to think what an entertainment wasteland we will have if filesharing isn't stopped soon.

      --
      DRM-free indie games for the PC and Mac: Positech Games
    7. Re:Free Market Economy by PC+and+Sony+Fanboy · · Score: 1

      when blockbusters stop costing $10 ... and sucking, then I'll agree with you. Right now, I have to go see 4 or 5 movies at a theatre in order to see ONE good one - because hollywood is more concerned in making a good return on its investment in a movie, that they hype and advertise their crap so that I'll fund their next POS.

  6. Content value = zero by cdrguru · · Score: 2, Insightful

    What has happened is a complete disconnect between the content producers and the consumers. At least most of the content producers view their material as something extremely valuable that took their time, energy and creativity to produce. Consumers are looking at it thinking that anyone could produce this, maybe even their neighbor in his garage.

    The problem as the article points out, is there too much, too low quality and too easily sampled content out there. In this glut we have Darwin Reedy (of American Idol fame) and every other self-produced, self-promoted "artist" out there thinking they are what the world has been waiting for. Too much!

    So you have a truely talented artist or performer and their stuff is dumped in the bin with all the rest. We've moved beyond the point where people are looking at professionals for guides to quality. Instead, we're looking at blogs and overloaded paid shills and seeing that they have no monopoly on the truth.

    Where does this go? Well, content has zero value today is a good start. If you are thinking of a career in something involving creativity, forget it - it isn't a career but only a hobby. Copyright is probably dead because it is hoping we will respect something as a treasure when it is clear it has no value. Software, books, movies and music are now going to be created by unprofessional folks that will occasionally turn out a gem. But there aren't going to be any more reviewers or awards that mean anything so they will likely be overlooked.

    Think of it as the open source revolution for content. Most of it, like open source software, will be unfinished and unpolished. Sometimes, there will be something great that comes of it.

    But the fact that will remain is that no matter how great it is, the value will still be zero.

    1. Re:Content value = zero by Webcommando · · Score: 1

      ... At least most of the content producers view their material as something extremely valuable that took their time, energy and creativity to produce. Consumers are looking at it thinking that anyone could produce this, maybe even their neighbor in his garage.

      The problem as the article points out, is there too much, too low quality and too easily sampled content out there.

      As some one who makes music as a hobby (and yes I know I'm not professional "grade"), I can see where the industry is coming from. There is investment they make in time, energy, etc. that I cannot.

      However, as a hobbiest, I've studied lyrics, song structure, and melody for many songs from the professionals. Really my material stands up well to some of it (not arrogant to say much of it, just some). What does it lack? Final polish, time to do twenty takes to get just the right sound, and, quite frankly, a better singer. So I'll need to be forgiven if I can see why people are putting less value on the American Idol and other manufactured industry material.

      With all that said, I can fully appreciate quality work and purchase them when I want to enjoy them. I think others might not look at it the same when they find a garage band on the same social site as a nationally promoted and can see there isn't much difference.

      I guess this is where I plug my music...

      --
      I love the sound of distortion in the morning -- webcommando
    2. Re:Content value = zero by Lumpy · · Score: 1

      What has happened is a complete disconnect between the content producers and the consumers. At least most of the content producers view their material as something extremely valuable that took their time, energy and creativity to produce. Consumers are looking at it thinking that anyone could produce this, maybe even their neighbor in his garage.

      which has ALWAYS been the case. Guess what as a "artist" you are not special, tons of other people can do what you do. I listen to small bands thatbarely have $2.00 to rub together that have way more talent and skill than Metallica,Britney spears, Willie Nelson, etc have put together.

      Artists making music, paintings, sculpture, movies all can be done by some joe in his garage or basement.

      It's the fricking record companies marketing it as highly valuable and rare.

      It's not. anyone can and does make this stuff in theri garage.

      --
      Do not look at laser with remaining good eye.
    3. Re:Content value = zero by Damon+Tog · · Score: 1

      Anyone can hit a baseball. Anyone can catch a football. Anyone can write a song. Anyone can sing. Anyone can have a "good idea" for an invention or a business. It's probably true that anyone can do a mediocre job at pretty much anything. But few actually do it exceptionally well.

      If it's so easy to paint, sculp, act, write and record music, why are you (I assume) not hugely successfully at all of these things? Do you purposefully choose to have a regular (again an assumption) day job out of a sense of personal modesty?

  7. Earthquake? Tectonic? by Anonymous Coward · · Score: 0

    I don't understand.

    Where's my car analogy?

    Or tubes... tubes I can understand...

  8. How Long Until Video Games are Free to Download? by hedgefundphysics · · Score: 1

    Well, everyone agrees that there is not much of a future for drm'd music, and that the music industry has to get used to this.

    How long until video games are all downloaded without drm?

    Everyone agrees that sonybmg/warner music/capitol are dying.

    What about EA, epic games, activision and all the rest?

    Are video game companies on their way out too?

    Will video game companies make their money off of t-shirts and merchandise sales in the future? W

    What about software companies? Should Microsoft make its profits primarily from from t-shirt and merchandise sales? And Steve Balmer touring and dancing around?

    http://youtube.com/watch?v=wvsboPUjrGc

  9. Nobody is out there reporting by Animats · · Score: 1

    The music industry doesn't really matter, but the decline of newspaper reporting is important to society. There are too few reporters out there digging. Bloggers don't help; they're mostly mouthing off, not out gathering unpublished information.

    Call your local newspaper and ask them how many full time reporters they have on the street. If they have ten, you're very lucky. There are very few newspapers left with big reporting staffs, and it shows.

    News is what someone doesn't want published. All else is publicity.

    This matters. Who's going to the city council meeting and reporting when they do something stupid? Who's tracking the state legislature? Who didn't report that FEMA's director was out to lunch before Katrina? What's not being reported now that's going to lead to big trouble in a year or two?

  10. Total Logical Disconnect by Anonymous Coward · · Score: 1, Informative

    Every day... six billion people pay nothing for the air they inhale.. so by this writer's logic... we all find oxygen to be valueless. Every day, a billion children say "I love you daddy"... and the father does not fork-over a per-statement fee... obviously he does not value the experience. Every day, there a pleasurable experiences that make life worth-living... yet do not entail a cash transaction.

    No No No Sir,... content is valued as highly as ever before... what is NOT regarded as value any longer.. are the jack-bob's who try to make eighteen-layers of mark-up on SOMEBODY ELSE'S creativity!!!

    There are a thousand fat old white-guys in downtown NY and LA... are earmarked for obsolescence... and yet writers will always write, dancers will dance, painters will paint... because God lit up their soul with a spark that must be expressed.

    1. Re:Total Logical Disconnect by sm62704 · · Score: 1

      Thank you for that! I hope your comment gets highly rated by the mods.

      I want to add that I have a SERIOUS problem with this topic's title. NOBODY owns "content", EVERYBODY owns it. I have a legal monopoly on sale and distribution of my content, but I DO NOT OWN IT.

      Maybe in other countries one can own "intellectual property" but Article II section 8 of the US Constitution is clear enough on this point that you don't have to be a lawyer to understand it. You can own a painting, but you can't own the image on the painting. You can own a book, you can hold a monopoly on distribution of copies of that book, but you cannot own the novel itself.

      If we keep letting these corporations call imaginary property "intellectual property" sooner or later they WILL be able to own it. PLEASE, people, STOP CALLING IT "INTELLECTUAL PROPERTY and stop talking about "ownership" of said imaginary "property"!"

      -mcgrew

      --
      mcgrew's razor: Never attribute to stupidity that which can be explained by greedy self-interest
  11. What goes around, comes around by MikeRT · · Score: 0

    Considering the advocacy of left-wing politics so common in Hollywood, it puts a big smile on my face to see people disregarding the IP rights of Hollywood studios. There is something disgustingly hypocritical about an industry where many of the leading lights lionize men like Fidel Castro and his revolution, and then demand respect for their property rights. It's like a bastardization of the Simpsons episode where the aliens take over both parties: Communism for some, property rights for others.

  12. agreed, 100% by circletimessquare · · Score: 1

    because we both recognize the fundamental change here: you can't charge anymore. you label as "still in business" what i label as "morph into a lesser self" but this is a trivial semantic meaning versus pragmatic meaning difference

    --
    intellectual property law is philosophically incoherent. it is your moral duty to ignore it or sabotage it
  13. Tragedy by samweber · · Score: 1

    I'd rephrase this argument somewhat: "Content producers", read musicians, novelists and reporters do spend a lot of time and effort producing things, and do have a reasonable expectation of being able to feed their family as a result. I doubt that most "consumers" think that anyone could produce this, but instead just want something for nothing. There are an awful lot of "fans" who don't what to support the artists that they supposedly love. Admittedly, when you talk to these people you often get nasty anti-artist rants.

    The tragedy of all of this is that if authors, reporters and musicians can't earn a living, then there won't be any new books, or good news coverage, or highly professional music. Such a world is very sad indeed, and not one that I'd enjoy living in.

  14. Content is king... if you're making platforms. by Anonymous Coward · · Score: 1, Interesting

    I always interpreted "Content is king" as a mantra which indicates that content is a value-add for devices and platforms. Having content available for your device/platform makes it more valuable, but that doesn't mean that the content itself has intrinsic value.

    You can consider content support to be like software support. There's an inherent network effect in having each for a platform, which drives consumers to it, which in turn drives more of the original draw. But (text/video/audio) content has more immediate appeal to people since they don't need to ask "What would I use it for?" So the Web, the iPod with iTunes, desktop OSes with media players out of the box, the DVD, and the MP3 format have been dominant categories of consumer goods.

    The problem is that companies who produce content want to maximize profits, in doing so maximizing restrictions, in doing so minimizing availability, in doing so reducing the intrinsic value of platforms which invest time and money to support them, and more severely reducing the intrinsic value of platforms which are locked out from them. Thus we get Vista, a stream of failed online music stores, and artificial barriers to FOSS operating system adoption (mmm, tasty karma).

    Piracy isn't intrinsically good, but breaking format lockdown on media increases the value of platforms and devices across the board. This is why content is king.

  15. Re:How Long Until Video Games are Free to Download by Anonymous Coward · · Score: 0

    Making a video game at the level of technical sophistication of modern games is very expensive. There are indie games, but there do not seem to be very many. A game involves a lot of work on coming up with a good concept, tweaking gameplay, writing an engine, creating graphics, creating music, etc. This requires a team with a shared goal. Of course, there are flash games and various simply (usually 2D) games, which are one-man efforts and are good games, but they are on a different scale.



    On the other hand, nearly everyone can make music and bands are very common, so the general public entering into the music distribution business is not a large leap: it is just a move from playing at just local places or for fun to recording and posting it on the internet.

  16. Barrier to entry... by argent · · Score: 2, Insightful

    There's a barrier to entry for bloggers who do want to do legwork. They don't get the same access as reporters. Can they get into the city council meetings to report on them? Council meetings, probably, but there's lots of other places they can't.

    As I said in another message: the question isn't whether bloggers will have to do the work reporters, the question is will they be allowed to?

  17. wiped out the shift key... by AliasMarlowe · · Score: 1

    ...with the disruptive technology of your lower-case-only keyboard?

    --
    Those who can make you believe absurdities can make you commit atrocities. - Voltaire
  18. Re:How Long Until Video Games are Free to Download by Chosen+Reject · · Score: 1

    Will video game companies make their money off of t-shirts and merchandise sales in the future?
    I know Valve has a store with shirts and stuff. I've bought from them before simply because I like their games so much. In fact, if I hadn't spent $50 on their game, I would have spent that $50 at their store. So if they gave their game away for free, they wouldn't have lost a dime from me. Yes, it's possible for them to make money off of t-shirts and merchandise.

    As for Microsoft, they could take the example of Red Hat. Every line of code that Red Hat makes is absolutely free for the taking. No one has to pay for it. In fact, you could compete with them directly with their own code. But people still pay Red Hat for the support they offer, which is better than you could do as their competitor if all you did was use their code. You might be a great Linux guru, but you probably don't have the clout and resources to get as many kernel changes as they do if a customer needed it.
    --
    Stop Global Warming!
    Just say no to irreversible processes!
  19. When you shoot yourself in the foot you lose value by Prisoner's+Dilemma · · Score: 3, Informative

    Over all a good article, but could have mentioned other things the content companies are doing which devalue the content they have. Take movies. I used to enjoy going to the movies. Now it easily costs $30 per person (much higher admission and exorbitant charge for food) to be jammed into a theater of inconsiderate people and then herded out as quickly as possible so the next showing can start. While I'm waiting for the movie to start, I'm bombarded with advertising telling me how great of time I'm having or telling me I need to buy something. It's no longer worth it.

    For those that don't know, The studios (content owners) take almost all of the admission revenue and the theaters (content packaging) make their money on concession and other sales. In an effort to squeeze every last cent they can out of the goer (customer) they've lost many customers. To try to subsidize revenue, 'lost' from customers they drove away, they squeeze some more, driving even more away (snowball). How many mega-plexes have you seen closed down. Many drive-ins still offer a good experience for a reasonable price.

    When a customer no longer finds going to the theater worth the cost/hassle, they might wait till it is released on DVD. If they still remember they wanted to see a particular movie they buy the DVD, pop it in their player and are blasted with an advertisement telling them not to steal the DVD they just paid for. They then have to wait through another notices about not copying the movie before waiting through the same notice in another language.

    Do the studios actually believe that bombarding someone, who already paid, with irritating threats and warnings is going to increase the odds they will spend hard earned money the next time they want to see a movie?

    Now it's the next time and wouldbe customer has to decide it they want to
    1. Spend more money, which is harder to come by, to be inundated with advertisements and other baggage, just to have a less enjoyable experience seeing the movie. OR
    2. Download it where they won't have all the other bothers. They may think it's wrong, but it doesn't matter as much to them because the perceived victim (the studio) was trying to take advantage of them and the the RIAA is mean/greedy the way they aggressively go after poor college students

    The more the content provider does to irritate the customer, the more the customer will cease to be a customer.

    I used to be one of the movie business' biggest customers. Now I go hiking, and the Internet gets the blame.

  20. Ultimate Balmer by Comboman · · Score: 1
    What about software companies? Should Microsoft make its profits primarily from from t-shirt and merchandise sales? And Steve Balmer touring and dancing around?

    Not so much dancing, but I'd certainly pay to see Balmer throwing chairs at a WWE or UFC match.

    --
    Support Right To Repair Legislation.