Disruption of the Digital Media Distribution - Digibiz 2009

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Disruption of the Digital Media Distribution - Digibiz 2009

  1. 1. Disruption of the Digital Media Distribution Margaret Tan Nanyang Technological University Singapore Digibiz 09 – London, UK
  2. 2. Motivation <ul><li>Web 2.0 technologies </li></ul><ul><ul><li>More interactive </li></ul></ul><ul><ul><li>More open </li></ul></ul><ul><ul><li>More direct </li></ul></ul><ul><li>Affecting distributors of entertainment services or products especially music, movies etc </li></ul><ul><li>Need to understand the phenomena of online consumers </li></ul>
  3. 3. A Conceptual Framework <ul><li>Based on two dimensions </li></ul><ul><ul><li>Ownership of Intellectual Property </li></ul></ul><ul><ul><ul><li>Covers all types of artistic and literary creation of information and knowledge </li></ul></ul></ul><ul><ul><li>Distributional Channels </li></ul></ul><ul><ul><ul><li>From market place </li></ul></ul></ul><ul><ul><ul><li>To market space </li></ul></ul></ul>
  4. 4. A Conceptual Framework Market Place Market Space Distribution III Collaboration IV Free-for-All I Self-Centered II Cooperative Intellectual Property
  5. 5. Intellectual Property <ul><li>IP laws provides the holders the right to reproduce their works </li></ul><ul><ul><li>monopoly </li></ul></ul><ul><ul><li>entitlement </li></ul></ul><ul><li>For online purposes </li></ul><ul><ul><li>to protect illegal downloads </li></ul></ul><ul><ul><li>it deprives creators of their revenue </li></ul></ul><ul><li>The context </li></ul><ul><ul><li>one to many </li></ul></ul><ul><ul><li>many to many </li></ul></ul>
  6. 6. Distributional Channels <ul><li>From market place </li></ul><ul><ul><li>Various forms – aggregators, syndicators, distributors </li></ul></ul><ul><ul><li>Products encapsulated in physical forms </li></ul></ul><ul><li>To market space </li></ul><ul><ul><li>Access to abundant content </li></ul></ul><ul><ul><li>Direct to consumers </li></ul></ul>
  7. 7. Quadrant 1 <ul><li>Market Place under Intellectual Copyright </li></ul><ul><ul><li>Characteristics or attributes </li></ul></ul><ul><ul><ul><li>a one to one approach </li></ul></ul></ul><ul><ul><ul><li>often in control using different distributional windows, eg pay-per-view, DVD rentals </li></ul></ul></ul><ul><ul><li>Called this quadrant – ‘self-centered’ as it has a oligopolistic structure </li></ul></ul>
  8. 8. Quadrant II <ul><li>Market Space under Intellectual Copyright </li></ul><ul><ul><li>Characteristics or attributes </li></ul></ul><ul><ul><ul><li>a one to one approach </li></ul></ul></ul><ul><ul><ul><li>a more pervasive online market </li></ul></ul></ul><ul><ul><ul><li>global sharing </li></ul></ul></ul><ul><ul><ul><li>multiplicity of roles in the dynamic relationships </li></ul></ul></ul><ul><ul><li>Called this quadrant – ‘co-operative’ </li></ul></ul>
  9. 9. Quadrant III <ul><li>Market Place in the Public Domain </li></ul><ul><ul><li>Characteristics or attributes </li></ul></ul><ul><ul><ul><li>contributions by many eg shareware </li></ul></ul></ul><ul><ul><ul><li>similar to creative commons concept </li></ul></ul></ul><ul><ul><ul><li>works in public domain </li></ul></ul></ul><ul><ul><ul><ul><li>the work expires </li></ul></ul></ul></ul><ul><ul><ul><ul><li>copyright owner fails to renew copyright </li></ul></ul></ul></ul><ul><ul><ul><ul><li>copyright holder decides to place the work in public </li></ul></ul></ul></ul><ul><ul><li>Called this quadrant – ‘collaborative’ </li></ul></ul>
  10. 10. Quadrant IV <ul><li>Market Space under Creative Commons </li></ul><ul><ul><li>Characteristics or attributes </li></ul></ul><ul><ul><ul><li>creators can remix creations or previous productions without much concern on copyright </li></ul></ul></ul><ul><ul><ul><li>reduces legal costs </li></ul></ul></ul><ul><ul><li>Called this quadrant – ‘free-for-all’ </li></ul></ul>
  11. 11. Viable IDM Market Channels <ul><li>Moving from ‘self-centered’ to ‘co-operative’ </li></ul><ul><ul><li>New packaging – no longer able to bundle unpopular items with popular ones </li></ul></ul><ul><ul><li>Fair use – the number of times or copies </li></ul></ul><ul><ul><li>Challenges with new media and technologies – video recordings, etc </li></ul></ul>
  12. 12. Summary <ul><li>Needs to understand the phenomena in the dynamic IDM landscape </li></ul><ul><li>As it affects the structuring of business models to generate revenue </li></ul><ul><li>When boundaries between suppliers and customers appear to be converging that impacts distributional channels </li></ul>

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