Tag - business model

iCloud: Yes, You Can Have Your Horseless Carriage…

And pretty new icons, too.

…but you still have to pull it with a horse.

Other than that, there really is a lot to like about all the announcements that Apple made yesterday, and they announced a lot.

First there is the new operating system,  OSX Lion, which brings some of the touch screen features of the iPhone and the iPad to the desktop.  Then there is iOS 5, the new operating system for all the iGizmos, which at the very least will finally allow you to sync them altogether without a cord.

And then there was the Big New Thing: iCloud, the remote storage service that unifies everything into a whole new, self-organizing, digital ecosystem.

It will take even the most dedicated observers some time to assess all the features in all this new software – much of which will not actually be released until next fall.   So there is plenty of time to sort it all out and start saving sheckels for our nifty new laptops, phones, and tablets.

But in one critical aspect, the new iCloud service is woefully lacking – and missing a grand opportunity to deliver music distribution to its inevitable destination. Read More

Orphan Business Model Attracts More Prospective Parents

For a business model that supposedly has no future, there sure are a lot companies trying to jump on to the "Celestial Jukebox" bandwagon. Earlier this week I read that British TV company BSkyB is planning a subscription service called "SkySongs." Now comes another entrant, from the guys who brought you Kazaa.  The New York Times reports:

The idea of selling monthly subscriptions to a vast catalog of online music has met with only limited success. That isn’t stopping a new batch of entrepreneurs from trying to make it work, The New York Times’s Brad Stone writes.

The latest and perhaps most surprising entrants to the field are the European entrepreneurs Niklas Zennstrom and Janus Friis. In 2001, they created and financed Kazaa, one of the original peer-to-peer file-sharing services that hurt the music industry. The two have created and financed a secretive start-up called Rdio, with offices in Los Angeles and San Francisco.

I've lost count now, how many subscription services are now climbing on the Celestial Jukebox bandwagon. Let's see… Rhapsody and Napster are now the old kids on the block. There's my personal fave, Lala.com. There's the infinitely over-hyped Spotify, now I read about something called "Mog," there's the BSkyB service that is supposed to launch next week, and now Rdio, from the Kazaa guys.
For a model that so many people scoff at, the landscape is starting to get crowded. Hopefully I can get a decent count of the options before they start shaking each other out…

Breaking News! Music Biz Needs “Radical Overhaul” !

One of tenets of the “Music 3.0” concept that I’m articulating here is that the experience is less about the “product” and more about… well, the “experience.”

Now uber-market research firm Forrester (via Ars Technica) confirms the theory, and takes a few sacred cows — like Digital Rights Management (DRM) and 20th Century copyright law — over the falls with them.

There is even an elaborate diagram that attempts to illustrate the myriad ways that “users” will cease to be “consumers” in the new era. The “creators” will not so much offer up an end-product as they will drop a marker that starts the process — around which will form the various tribes who will respond in kind:

Forrester_music_ars

The music industry needs a “radical overhaul” to its products if it wants to revive sales, and that overhaul revolves around actually catering to consumer needs. That’s the argument in a new report from market research firm Forrester, which says that the music business needs to give up being obsessed with itself in favor of letting users create their own music experiences with ease. This goes far beyond offering mere albums for purchase—Forrester suggests users be allowed to completely customize and share their music in an extremely open, platform-agnostic manner.

First and foremost, the firm says consumers have the “right” to a unique music experience. This means that they should be able to completely customize what they’re looking at and listening to by having lyrics, on-demand live footage, photos, live chat with other fans, expandable music/video players, and more right at their fingertips. Imagine the recently introduced iTunes LP, but with much more content to choose from and fully customizable.

So this new model, it’s not so much about the shouting as it is about the “call and response.”  That is an expression of the return to the “oral traditions” of music that will thrive in the new era in which music is no longer “product” based.

Unfortunately, the Forrester Research report that Ars Technica cites above can only be had in its entirety for the low, low price of just $499.  That’s a bit of a deterrent to precisely the kind of “mash up” the report would seem to encourage.

But, then, $500 is a bit much to pay for something that seems so… obvious.

The Problem With Spotify – Maybe It’s Their Business Model?

via www.nme.com

Is everything all right at Spotify? News that the music streaming service has reverted to being invite-only – just days after the much-heralded launch of its iPhone app – is deeply puzzling. It's a bit like Arctic Monkeys releasing 'Humbug' – then a week later saying, Wait, hang on, it's not finished, can we do that again?

Furthermore:

But there is another, more troubling possibility: Spotify has a cashflow problem. As New Media Age point out, Spotify pays record labels per stream – it's not much, about half a penny per track – but any sudden spike in users would cause a corresponding hike in the site's costs.

Aside from the obvious question of "who gets that ha'penny per track, you still have to wonder where even that ha'penny is coming from. Advertising??