[lbo-talk] Ubuntu stuff

Matt lbo4 at beyondzero.net
Thu Aug 20 07:59:42 PDT 2009


On Wed, Aug 19, 2009 at 01:48:40PM -0400, Doug Henwood wrote:
>
> Re: that political angle. Excuse my cynicism, but I think a lot of
> people who kvetch about paying to download stuff from iTunes or paying
> for software are more exercised by the paying part than the political
> part. They want stuff for free. Yeah, I like stuff for free, too, but
> really, don't people deserve to be compensated for their labor? It
> sucks when record companies get the money instead of musicians, or pig
> publishers instead of writers, but reducing the payment to 0 isn't
> going to raise the income of musicians or writers.

You are excluding the middle - replacement of the legacy business model of the record companies and movie studios with one which compensates artists and just doesn't create as many gazillionaire executives.

There was an article a few years back in which a music industry insider revealed what we all knew about their business model (I think it was linked from Barry Ritholtz's blog): they are only focused on creating the next Britney Spears or U2. Meaning, an artist who gets a lot of radio play and media attention with maybe one or two catchy tunes, so they can sell tons of CDs at $18.99, even though the other 8 songs on the CD are shit.

Similarly, movie studios are always after the blockbuster - the $120M movie which brings in $500M - and everything they do is designed to funnel cash to and from a blockbuster.

Absolutely people want some stuff free - because they've been paying ridiculous amounts for things for so long. What we are seeing is a shift to a new business model (one that predates Rock-N-Roll, actually), where musicians make a very comfortable living actually performing their work, and selling t-shirts, stickers, etc.

I admit that I will not lose sleep if the next U2 or Britney Spears "only" pulls in a few hundred thousand a year and has to keep making new material and touring to do it.

Media companies have ALWAYS been nothing but middlemen - which was a necessity when the distribution of the media required a lot of capital. But now the cost of distribution is approaching zero, and the media companies are struggling to keep their business model alive.

Don't let Lars Ulrich fool you - the campaigns against "piracy" have nothing to do with ensuring artists get compensated for their work - they always have and they always will - but preserving the role of the media companies as arbiters of what is produced, and as who controls how it is distributed.

Matt

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