Colleges Secretly Test Music-Industry Project

An anonymous reader writes "The music industry is still pushing Choruss, a controversial blanket-licensing scheme, but it is far less innovative than first described. Six colleges are setting it up now, but they refuse to have their names released because the issue is a political landmine — and who wants to be associated with the recording industry?"

Comments

Let's turn it around.

[NoPantsJim]

How's this for an idea. A band signs with a college instead of a record label. The college pays the band, everyone at the college gets their music for free.

Yeah, probably not the greatest of plans, but much better than a college handing it's own students over to the RIAA.

Re:Music's worth it; labels aren't.

[TheRaven64]

Fair price is a misleading question. The real question is whether they are pricing their product in the best way to maximise profits and I strongly suspect that they are not. I pay about the cost of an album every month to a company that lets me rent DVDs (two at once, as fast as I can watch them and post them back) and stream an unlimited number of TV shows and films. In comparison with this, an album seems stupidly expensive. According to iTunes, I haven't listened to any of my albums more than 128 times and very few more than 30 times. There aren't any that I've been listening to with 100% of my attention, so in terms of money per time spent entertained, music is much more expensive than video.

At the current prices, I'll buy 2-6 albums per year. If you priced an album at $1-2 then it would be an impulse purchase. If I heard a song I liked on Radio Paradise, then I'd buy the rest of the album to see if I liked it. Perhaps I'm unusual, but I suspect that I'm no. The cost of producing music has dropped a lot in the last few decades, but the cost of buying it has not. Meanwhile, the cost of other forms of entertainment has dropped a lot and music seems proportionally much more expensive. I've read a couple of studies indicating that around 5-15/track is the optimum price for maximising profit when selling music but the music industry seems to think that 99/track is the right price (which is fine) and that they should expect the same number of sales that they'd get with 5/track (which is completely unreasonable) and then blame piracy for their failure to adapt.

Coincidentally, Ars published quite a nice round up on this subject today.