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Music piracy

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  • 1. Music Industry G322 Five minutes- define these terms Streaming Pre release-Piracy DRM Downloading P2P
  • 2. Music Industry G322 To understand the impact that piracy has had on the music industry To explore examples and evidence of how the major and independent labels are trying to combat piracy What significance does the continuing development of digital media technology have for audiences and institutions?
  • 3. What is Piracy? The illegal downloading and sharing of music that infringes copyright. The IFPI Digital Music Report 2009 suggested that for every track downloaded legally there are another 20 that are illegal 2009 report says that 95% of downloads are unauthorised P2P file sharing accounts for the largest amount of piracy globally. There are hundreds of websites that allow consumers to download music illegally. Major Problems with developing digital technology………….
  • 4. Pre-Release Piracy
    • Sony Evidence
    • OiNK is a website that specialised in pre-release piracy distributing albums weeks before official release.
    • More than 60 major albums by mainstream artist were leaked in this website. Due to investigation by Dutch and British police this was shut down in 2008
    • Rabid Neurosis are another US site that were shut down in 2009
    This is the most damaging type of piracy where tracks are leaked weeks before official release. A new track makes the premium of its revenue at this time so protection is crucial In 2009 Leona Lewis Echo album was hacked at her record company (Sony BMG) and pre- released. Police and industry investigators found and prosecuted the sources
  • 5. Sony and Piracy
    • Sony recently signed 360 degree deals for artists such as Sandi Thom, Lil Chris and up and coming Band Red light company
    The music industry is turning into a true music entertainment business. We are breaking away from the single product format to a vast range of different and complementary products all centred around the release of an artist. Thomas Hessee Sony Chairman
  • 6. Sony and Piracy
    • http://www.whymusicmatters.org/what-music-matters-campaign
    • Ad based services on YouTube
    • Joined with We7, Last FM and Spotify to stream music and
    • make advertising revenue
  • 7. Read the article that your group has been assigned: Using the article write at least 2 Level 4 PEEs to present back to the class using the articles as evidence What significance does the continuing development of digital media technology have for audiences and institutions? Point: One significant impact digital technology has had on Major record labels is the damaging effect of pre-release piracy. Explain: This is when music tracks are digitally distributed illegally before release and can have a significant effect on the artists sales. Evidence: Sony BMG artist Leona Lewis was recently a victim of this when her album ‘Echo’ was hacked from the recording studio and posted online. In order to combat the damaging effects of digital piracy Sony have been working on the following………..
  • 8. Combating Piracy
    • There are several things that the music industry are doing to combat piracy you must be aware of the several of these to discuss in the exam as well as what your case-studies are specifically doing= Read the materials in the booklet
    We7 and other ad based sites T-United and Audimated 360 degree deals IFPI and BFI prosecuting more people Price structuring deals Subscription packages DRM
  • 9. What significance does the continuing development of digital media technology have for audiences and institutions? Majors Much easier to distribute- Synergy with large companies such as Apple- Direct and viral marketing techniques more effective and less costly. Cross media marketing- horizontally integrate with Film and gaming divisions Links to hardware with the use of MP3 formats Is positive for independent labels as it has allowed them to grow and develop; Much easier to distribute through digital means- eg website/online shop Much easier to promote artists through synergy with web 2.0 sites such as Myspace and Facebook The worst effected by piracy as they do not have the money of major artists/labels
  • 10. What significance does the continuing development of digital media technology have for audiences and institutions? Audiences - allows for much easier consumption and access to music-development of MP3 format- convergence-portability-access through mobile and gaming formats. Allowed for free access to music through streaming sites such as We7 and Spotify. Allowed for proliferation of music and wider choice (millions of MP3s available to download-variety and diversity of genres) can have a more direct contact with artists- twitter/fan pages etc/online concerts Allowed audiences more power rather than as just consumers due to digital production they can now become producers

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