Musicians fear they’ll take a beating | Winnipeg Free Press

SAN FRANCISCO — Recording artist Zoe Keating only needs to look at her earnings to zero in on why she has misgivings about Apple Inc. buying Beats Electronics.

The cellist made $38,196 selling downloads on Apple’s iTunes last year, along with about $34,000 from three other download services. By contrast, five streaming outlets, from Spotify to Pandora Media, netted her just $6,381.

READ THE FULL STORY AT THE WINNIPEG FREE PRESS:
http://www.winnipegfreepress.com/arts-and-life/entertainment/music/musicians-fear-theyll-take-a-beating-261411471.html

YouTube’s Ultimatum and The Economic Survival Of Musicians | Hypebot

By copyright and intellectual property attorney Wallace E. J. Collins III, Esq..

The most serious problem facing the artist community is that, at some point, it becomes economically unfeasible to pursue a career as an artist, songwriter or musician. Of course, as has been the case for many decades, most musicians barely survived without the dreaded day job. However, this extreme downward pressure on the creators of original audio and audio/visual content may force matters to a breaking point the likes of which the creative community has never seen.

No kidding.

READ THE FULL STORY AT HYPEBOT:
http://www.hypebot.com/hypebot/2014/06/youtubes-ultimatum-and-the-economic-survival-of-musicians.html

Will YouTube really block indie labels if they snub its new music service? | The Guardian UK

Ugly dispute with indie labels is provoking anger online, so what are the facts – and rumours – about YouTube’s streaming plans?

The accusation from WIN, representing its independent label members, is clear: if labels don’t sign up for YouTube’s new paid music service at the (non-negotiable) terms, their entire catalogues will be blocked on YouTube – all of YouTube, not just the new premium bit.

Note too the “significantly inferior” terms reference in Wenham’s letter. At WIN’s press conference, songwriter (and Guardian journalist) Helienne Lindvall said that “We’re hearing that a billion dollars has been paid by YouTube to the major labels” in advances for its new service.

Some of the anger in this dispute is the perception by indie labels that their major rivals have inked lucrative deals with YouTube while leaving them with the crumbs.

That billion-dollar figure is hearsay, of course. But note that YouTube said in February that it had paid $1bn out to music rightsholders in royalties so far, and then consider Kyncl’s quote in the FT interview: “That number is going to double soon.”

READ THE FULL STORY AT THE GUARDIAN UK:
http://www.theguardian.com/technology/2014/jun/18/youtube-indie-labels-music-service

If Google can get rid of personal data, why can’t it purge the pirates? | The Guardian UK

Critics say that if search engine knows of illegal activity, it shouldn’t help to send business its way

Google’s decision to allow users to easily de-list certain personal information from search results has infuriated a film and music industry that argues the internet giant should act as decisively to help squash digital piracy.

On Friday Google bowed to an EU privacy ruling, dubbed the “right to be forgotten”, launching a webpage where European citizens can request links to information about them be taken off search results.

The move came a day after Google had been lambasted for not doing enough to curb online piracy in a report by David Cameron’s intellectual property adviser, Mike Weatherley.

READ THE FULL STORY AT THE GUARDIAN UK:
http://www.theguardian.com/media/2014/jun/01/google-personal-data-digital-pirates

YouTube steps up row with indie labels by confirming imminent video blocks | Music Ally

This story is taking on a lot of dimensions of what it might be and what it might mean, Music Ally tries to get some late breaking insight. Of particular note is the comment by Radiohead manager Brian Message, read on…

“YouTube executives argue that they cannot offer music on the free service without it also being available on the paid service as this would disappoint its subscribers,” as Billboard puts it.

Meanwhile, you had the BBC suggesting that indie videos uploaded to YouTube via Vevo would still be available, while only “videos which are exclusively licensed by independent record labels, such as acoustic sets or live performances” will be taken down.

Clear as mud, then. Radiohead manager Brian Message was asked at Music Ally’s transparency event last night whether he thinks YouTube will follow through on the threats: “I quite hope that they do! It would be quite interesting to see what happens next!” – not as flippant as it reads in print, but more an admission that it’s only once blocking start happening that the industry will know exactly what YouTube is threatening.

This dispute is bad for everyone: for labels and artists, for fans, and particularly for YouTube, for whom accusations of bullying indie labels will be hard to brush off.

READ THE FULL STORY AT MUSIC ALLY:
http://musically.com/2014/06/18/youtube-steps-up-row-with-indie-labels-by-confirming-imminent-video-blocks/

Congress moves against ad-supported piracy | The Hill

How surprised would you be if you went to your local Honda dealer and bought a car, but when you tried to register it you were told it was stolen property?

What if you went to Target and bought a blender, but when you filled out the warranty card you were told it already belonged to someone else?

Things like this don’t happen, right? Companies like Honda and Target are respectable merchants who would never encourage the distribution of stolen property. Right? Wrong. They do. So do companies like Kraft, Lego, and the makers of Claritin. Every day.

It sounds insane, but Honda, Toyota, Target, Kraft, Lego, and Claritin are spending gobs of money every day to finance theft – whether they know it or not.

READ THE FULL STORY AT THE HILL:
http://thehill.com/blogs/congress-blog/technology/209193-congress-moves-against-ad-supported-piracy

File sharing is alive and well, to the tune of 300 million users a month | GigOm

Surprise: P2P isn’t dead, after all. 300 million users swap files via BitTorrent every month, according to new numbers from media intelligence startup Tru Optik, which estimates that every month, more movies and TV shows get downloaded by file sharers than are sold on iTunes, Google Play and Amazon together.

And we’re not just talking about users in countries where media would otherwise be inaccessible. Users in the U.S. download more movies, TV shows, music and software than any other country, according to Tru Optik. The only exception to this rule is video games, where users in Brazil are more active than their U.S. counterparts.

READ THE FULL STORY AT GIGAOM:
http://gigaom.com/2014/05/28/file-sharing-is-alive-and-well-to-the-tune-of-300-million-users-a-month/

Merlin on YouTube music payouts: “Their figures are by far the worst” | Music Ally

No surprise to us…

“The ironic thing is that the service that pays the least is the service that’s the most well funded and run by the biggest company in the world: their figures are by far the worst, whether you measure them on a per-stream basis or a per-user basis. I tend to get myself in trouble when I talk about that company…”

Hence his desire not to name them directly, but quote instead from an interview with Billy Bragg conducted by Music Ally earlier this year. “If we’re pissed off at Spotify, we should be marching to YouTube central with flaming pitchforks,” said Bragg – Caldas read this quote out before delivering his own pointed follow-up. “I can’t say Billy’s right, but I can say that he’s not wrong,” said Caldas.

READ THE FULL STORY AT MUSIC ALLY:
http://musically.com/2014/04/30/merlin-youtube-music-payouts-charles-caldas/

RELATED:

What YouTube Really Pays… Makes Spotify Look Good!

Artist Revenue Streams : Streaming Marketshare By Volume and Revenue (includes YouTube and Spotify)

Streaming Price Index : Now with YouTube pay rates!

 

A Response to Steve Albini About The Internet and Musicians by UNSOUND Film Director

By Count Eldridge

My rebuttal to Steve Albini’s bullet point post. Steve Albini’s poorly reasoned piece was posted, so I feel obligated to try to correct some of the glaring misinformation. I’ve spent the past 2 years working on a documentary called Unsound that addresses the issues that Steve brings up in his post.

You can read the original story here:
http://www.stereogum.com/1678835/steve-albini-thinks-the-internet-solved-the-problem-with-music/news/

On free global music sharing: “The single best thing that has happened in my lifetime in music, after punk rock, is being able to share music, globally for free. That’s such an incredible development.”

It is only an incredible development if you give CONSENT to share that music. Steve seems to have missed the most important aspect of ‘sharing’. Its not sharing without consent.

On consumer choice: “Record labels, which used to have complete control, are essentially irrelevant. The process of a band exposing itself to the world is extremely democratic and there are no barriers. Music is no longer a commodity, it’s an environment, or atmospheric element. Consumers have much more choice and you see people indulging in the specificity of their tastes dramatically more. They only bother with music they like.”

This is one of the most obvious positive aspects of the internet revolution, so Steve is not totally wrong on this piece- only about 95% wrong. Again, Steve seems to have missed the most important point. Music IS a commodity now. That is exactly what Spotify and Youtube have done. And in the process of enriching themselves, they devalued what we spent out entire lives creating.

“You can literally have a worldwide audience for your music… with no corporate participation, which is tremendous.”

No corporate participation? Is he serious? Google, Apple, Facebook, Comcast, and Spotify are the biggest, most powerful corporations we have ever seen. Apple alone is bigger than Exxon Mobile. That doesn’t necessarily mean they are bad. In fact Apple are really the good guys in all of this. But I can assure you that corporate participation is happening at all levels, and many of these corporations are exploiting artists on a level that makes those big bad labels Albini likes to complain about look like angels.

On the economics of streaming services: “I think they are extremely convenient for people who aren’t genuine music fans, who don’t want to do any legwork in  finding bands, [but] I think there is incorrect calculus being done by the people who are upset about them. I actually think the compensation is not as preposterous as anyone else. It’s like complaining that cars are going faster than horses.”

No Steve, it is your math that is incorrect about streaming services. An independent artist that could eek out a living selling 12,000 copies of their music simply goes bankrupt if those 12,000 people start streaming that music instead of buying it. The math could not be more simple. It seems Steve has fallen for the myth that Spotify has perpetuated. They love to talk about “scale”. If only their company could “scale”, then everyone would win! Wrong! Only Spotify wins. Steve, tell me why it is that you want so badly to support the IPOs of major corporations at your own expense? Why do you want to subsidize their businesses of the backs of creators? Why do you want to enrich these middlemen?

And his point about convenience? What could be more convenient than clicking one button on iTunes? Or even better, streaming my music on MY website instead of Spotify and Youtube, which only enriches those corporations at the expense of artists.  Steve is supposed to be railing against the big corporations. Clearly he hasn’t thought this through.

On the publishing industry: “Publishing was a racket. It was not a legitimate part of the music business. It never operated for the benefit of songwriters. Of all of the things that have collapsed in the music paradigm, the one I am most pleased to see collapse is the publishing racket.”

Dont like publishing deals, then simply don’t sign one. Deal with your own publishing. Nobody forces any artist to sign a deal. But artists don’t have a choice when it comes to Youtube and pirate sites. And realistically, artists don’t have much of a choice but to be on Facebook and Spotify either. But this issue of publishing is irrelevant to the conversation, as it has nothing to do with the internet revolution or anything ‘new’.

On the primacy of live music: “I think that’s a totally much more direct and genuine way for an audience to pay for a band, and a much more efficient means of compensation.”

Efficient?? Is he kidding? Driving across the country, or flying half way around the world to perform your music for fans is NOT efficient. Selling them a file which they can play any time is the ultimate in efficiency. And streaming (if it paid artists properly) would be just as efficient. But live performance is the absolute worst way to compensate an artist, and doesn’t address compensation for songwriters, producers, and engineers.  Live performance is the most expensive, least efficient way to deliver music to someone. If you are lucky enough to even be able to get gigs in this competitive market, they probably won’t be profitable enough for you to continue doing them even if they are well attended.

Don’t get me wrong. There are many positives here that should be pointed out. In fact many, if not most, of the problems that plagued the music business have improved…except for the whole making a living part. Sadly, that part has actually gotten worse.  An artist’s ability to perform live for fans has actually become more difficult. First of all, most bands lose money touring. Everyone in the music business should know this. This is why record labels used to give tour support. Touring has always been a loss leader for record sales. Eventually the lucky few who gain large fan bases over many years do actually make money touring. These are the 1%. All of the rest of us just hope to break even and sell a few recordings.

Secondly, the amount of bands trying to tour to make a living is exponentially increasing, while the number of venues and days in the year stay the same. It is physically impossible for all of the artists who actually have significant fan bases to tour. There are simply not enough dates and venues. Furthermore, even if there were more venues, people simply won’t see live shows every day, but they will listen to recorded music every day. In fact, people are consuming more music than ever. This means we MUST solve the problem of monetizing recorded music. Sean Parker and the Spotify folks love to spread this misinformation about how artists make money from touring. But we all know most artists loose money touring. If touring is so profitable and efficient, perhaps Spotify should change their business model and leave their families and friends for months at a time and go on tour hand delivering music to people one city at a time.

Instead of perpetuating the myth that artists make money touring, those in the music industry who know better should be focussing hard to make the delivery and monetization of recorded music better for artists by making it more efficient. This means less middlemen (or no middlemen) taking a smaller cut, rather than allowing a few giant corporations and rogue pirates to profit enormously from our work.

On cutting out the middleman: “On balance, the things that have happened because of the internet have been tremendously good for bands and audiences, but really bad for businesses that are not part of that network, the people who are siphoning money out. I don’t give a fuck about those people.”

There are now just as many middle men than before, and they are indeed siphoning out most of the money, leaving fractions of a penny for artists. The difference is that today’s middle men are ripping you off far worse than the middle men from before the internet, yet they invest nothing back in to the artists who make their platforms even possible. I know what Steve is probably thinking right now. “What about those big bad labels! They took a big percentage!” Don’t try to introduce labels into this issue. This is a distribution problem. Love them or hate them, labels invest in artists and take a huge risk. What does Youtube or Spotify invest annually in artists?

Sadly, it seems Steve Albini is so far out of touch that he doesn’t even realize that he is not railing against ‘the man’. Instead, he is playing right into their hands.

I really need to finish my film Unsound before more artists and music fans get fed more of this kind of misinformation.

http://unsoundthemovie.com/

-Count

RELATED:

The Problem With Steve Albini | AdLand

Google’s plea against web censorship rings hollow | VOX INDIE

Google’s True Colors as Lobbying Goliath Revealed

Sunday’s Washington Post featured a story, “Google, once disdainful of lobbying, now a master of Washington influence” that examined the company’s rise to become a top dog among Washington influence peddlers. For Google watchers revelations in the piece, authored by Tom Hamburger and Matea Gold, come as no surprise. However, for those who continue to regard Google as the web’s guardian angel of “free speech,” the story should add a bit of tarnish to its halo, illuminating the company’s extensive back-door maneuverings — the new normal in DC’s world of political puppeteering.

READ THE FULL POST AT VOXINDIE:
http://voxindie.org/Google-Washington-lobbying-game