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Behind the Scenes In Apple Vs. the Record Labels
je ne sais quoi writes "The New York Times recently posted an article describing what really happened between Apple and the Record labels that culminated with the January 6th Macworld Keynote by Apple Senior VP Phil Schiller." Essentially they discuss a bit of a swap: Apple allowed variable pricing for songs and the industry allowed DRM free music. And apparently the iTunes homepage is a huge hit making device. Big shock.
Can we get a special section for iMusic news? Apple did what the music industry should have done and failed to do. Perhaps Apple should start the iMusic label and start signing artists, sort of an effort to put the music industry into perspective with it's current situation. It would be an eye opener for the RIAA.
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No, they gave up DRM, and copy protection is sort of related to that. They did not give up anything even remotely related to copyright protection, unless I somehow missed the part where Apple talked RIAA into releasing works into the public domain.
That's just plain wrong. Bad reporter!
As copyright owner of this comment, I authorize everyone to defeat any technological measure which limits access to it.
Appleinsider also covered the same subject, so I'll you decide if it is any better:
Heated Christmas call from Jobs secured iTunes changes
Jumpstart the tartan drive.
Really, the ip0wning that the record guys are now receiving is their own fault(and I, for one, am experiencing everybody's favorite German emotion). They wanted DRM to protect their precious content. DRM is, by nature, inimical to interoperability. Thus, the record labels, by forcing people who wanted to buy music online to choose lock-in to one DRM camp or another, created a situation where the winning DRM "ecosystem" would be extremely valuable, and powerful, and all the others would be near worthless. Shockingly enough, playsforsureexceptonzune wasn't the winner.
If the online music business were a bunch of generic outfits selling MP3s(or generic AAC) then the relationship between the labels and the retailers would be a lot more like the brick and mortar one. By pushing DRM, the labels created something they can't really seem to handle. Had they just stopped clinging to the nonsense dream of magic interoperable DRM, they might well have been able to avoid this. Idiots.
It takes a lot of time to develop an application as usable and stable as iTunes. So unless the labels formed a coalition to develop a strong competitor in top secret conditions, they would constantly be in fear of being removed from the iTunes store in the meanwhile. Not to mention that any competitor coming to the market right now would have to compete with a serious branding problem. Everyone knows iTunes and subconsciously accept it as the only option. Any new outlet would need to be able to offer something compelling that iTunes doesn't or better yet, can't.
I see the glass as full with a FoS of 2.
That's because the music industry demanded DRM. And guess what, they did try to open their own music store. But, like all music stores, they failed for one simple reason - there was no way people would buy music if they couldn't load it on their device. And the device that most people had? iPods. Whose DRM was proprietary to Apple. Which meant they could take a piece out of the non-iPods out there (along with the millions other stores), but that's it.
The last gasp at trying to break into the iPod (and to get Apple to bend over to the music labels, rather than the labels bending over to Apple) was Amazon. Alas, while Amazon is popular (and #2), it still didn't hold a candle to iTunes' popularity. And Jobs knows that since the music industry was already wavering on DRM, now would be the time to also make iTunes DRM-free (Amazon is DRM-free, so iTunes should be able to demand same).
This is an industry where a very limited customer base was considered a Good Thing(tm). Yes, Jobs went to the music labels, and promoted the limited marketshare of Mac users as a benefit in the experiment of selling music online.
The gripe that they effectively created MTV, they gripe that the revived Apple.
If I was a large shareholder, I'd fire the lot of these guys. Because either one of the two is true:
1) They're lying as an excuse for their failures
2) They have all this business opportunities that create entire new industries, but they can't get it done themselves, effectively giving up 10's of Billions of dollars.
I wouldn't want those guys working for me, that's for sure.
You were mistaken. Which is odd, since memory shouldn't be a problem for you
DRM creates a natural grouping of power, and we are all lucky that Apple chose to use the power of distribution that eventually accumulated to them due to the use of Apple DRM, to try and break DRM.
The article makes an excellent point at the end:
"Mr. Card of Forrester, however, has a different take. "If it weren't for Apple, God knows how bad the music industry would be," he said."
Even though the music industry had to be dragged kicking and streaming, Apple saved them - the 1.5 billion in revenue Apple generated for the music industry last year would probably mostly have been simply gone, replaced by downloading for the most part rather than album sales.
Now if only they could do the same for video... I don't think Apple has the same leverage there though, as is evidenced by wacky policies around TV and movies in the iTunes store (like season passes for some TV shows costing more than buying each episode individually). I'm not even sure they have the same drive to try and get rid of the DRM they did with music. I don't know if that industry can be saved as easily.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
One point the article made (not that anyone read it) is that the labels were scared Apple would drop them.
Do you even lift?
These aren't the 'roids you're looking for.
You mean the pillaging of artists currently practiced by the labels? iTunes has profoundly revolutionized the music world, and is mostly fair to consumers.
What about a label that revolutionizes management and actually works unobtrusively for the artists??
NewBand: "Why should we sign with you and get 3 cents on the dollar before "expenses" when iMusic gives us 62 cents per buck *after* legit expenses?"
My first Journal Entry ever, in 8 years! http://slashdot.org/journal/365947/aphelion-scifi-fantasy-horror-poetry-webzine
The Labels used looser terms with Amazon in an effort to rob Apple of some marketing muscle and negotiating "leverage" and it failed, on both counts.