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Re: Steve Jobs calling for music distribution without keys



> ----- Original Message ----- From: "Matthias Grob" <matthias@grob.org>
>
>> http://www.apple.com/hotnews/thoughtsonmusic/


I'm finding this very interesting and for the indie artists a good  
sign for the future. What it all about, is the will to distribute  
music digitally without DRM (Digital Rights Management). Typical ways  
of managing digital rights are to lock files into only being playable  
on a certain computer etc. I've always thought that sucks. Last MIDEM  
some prominent record labels were discussing the eventual scenario of  
going digital without DRM, so Steve Jobs is by no means "a pioneer  
freedom fighter". He's just saying loudly what is already whispering  
in the wind. The labels can't say it loud yet, because of their  
investments and all kind of legal agreements that have to be reworked  
before even starting. But the brutal truth, that we can all see by  
now, is that DRM is not increasing sales in any way. DRM just doesn't  
work! So if a new wave comes soon - where record labels give up to  
lock their digital products - Apple will be in a good position to  
make great business. Remember, Apple sells the mp3/AAC player that  
dominates the market by 70 percent. So even in a future where all  
record labels are bleeding out money Apple will still make big bucks  
selling the portable players that can play all kind of (eventually  
formerly) illegal music files.

The reality which the record labels have traditionally based their  
actions on simply does not exist today, because it was a market they  
created with their own promotional and marketing work. This market  
relied on thousands of people sharing the same major taste for the  
same major products. Today the culture is more multi faceted, so it's  
simply not possible to reach the volume in sales needed to support  
the production and marketing costs needed create that huge market  
etc, etc. You see, the evil spiral is broken ;-)  And this happens at  
the same time as the business model of selling music attached to  
physical media is growing obsolete. In that old business model the  
labels had set the rules (huge volumes, high costs as the entering  
threshold) that made it difficult of indies to compete. But now, when  
that's history, independent players have a fair chance.  I welcome  
Job's statement as an ear opener for those who might not yet have had  
the chance to realize what's happening.

Greetings from Sweden

Per Boysen
www.boysen.se (Swedish)
www.looproom.com (international)
http://tinyurl.com/2kek7h (latest music release)