Never Mind the Music

Thursday, February 19, 2004 | 02:37 PM

CFO.bmp


If you want to know why the music industry has been such a disaster, take a look at this article from CFO magazine: "Never Mind the Music."

Are the music industry's problems caused by piracy? Actually, No ('though I must hasten to point out that the issues of illegal price fixing and restraint of trade/competion are somehow missing from the article):

"Fast-changing consumer tastes, shrinking margins and the general economic downturn were all hitting the music business hard."

Indeed, music consumption is probably higher than it's ever been," says Mark Mulligan, a London-based senior analyst at Jupiter Research. He cites not only piracy in all its forms, but also legitimate downloading, computer games, DVDs and mobile-phone ring-tones among the many ways that music is now consumed.

With the traditional music business not expected to recover for at least another year, theories abound about the future shape of the industry. Some experts predict [big rock star] concerts are a sign of the times—big revenue streams coming from multi-platform exploitation of mega-star contracts. Alternatively, given that digital downloads are now outselling traditional singles sales, some analysts see the industry moving inexorably towards an all-digital world.

global_sales.bmp

The chart suggests to me that we are merely returning to pre late '90s levels of sales.

Oh, and there's that whole lack of competition thingie . . . and the minimum advertised price rule, recently found illegal . . .

Source:
Never Mind the Music
by Janet Kersnar, CFO Europe
CFO, February 12, 2004
http://www.cfo.com/article/1,5309,12098%7C0%7C%7C%7C,00.html

Thursday, February 19, 2004 | 02:37 PM | Permalink | Comments (1) | TrackBack (0)
de.li.cious add to de.li.cious | digg digg this! | technorati add to technorati | email email this post

bn-image

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00d8341c52a953ef00d834250f2653ef

Listed below are links to weblogs that reference Never Mind the Music:

Comments

That's the prettiest graph you've ever published on the Big Picture. It's really green.

Posted by: Marc Brazeau | Feb 20, 2004 1:27:05 AM

The comments to this entry are closed.



Recent Posts

December 2008
Sun Mon Tue Wed Thu Fri Sat
  1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31      

Archives

Complete Archives List

Blogroll

Blogroll

Category Cloud

On the Nightstand

On the Nightstand

 Subscribe in a reader

Get The Big Picture!
Enter your email address:


Read our privacy policy

Essays & Effluvia

The Apprenticed Investor

Apprenticed Investor

About Me

About Me
email me

Favorite Posts

Tools and Feeds

AddThis Social Bookmark Button

Add to Google Reader or Homepage

Subscribe to The Big Picture

Powered by FeedBurner

Add to Technorati Favorites

FeedBurner


My Wishlist

Worth Perusing

Worth Perusing

mp3s Spinning

MP3s Spinning

My Photo

Disclaimer

Disclaimer

Odds & Ends

Site by Moxie Design Studios™

FeedBurner