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  • 1. AttatunesOnline Distribution
  • 2. Current Status of Music Industry Transformation in the music / entertainment community due to the advancement of technology. To unlock the enormous potential of digital music, there is also a need to address piracy both in P2P networks and other forms. Education and legislation are both needed to prevent piracy and the effects. Factors impacting the current business models Page  2
  • 3. Past The "old" recorded music distribution system was simple: • label to distributor, • distributor to record store, • record store to consumer,  Effects on music industry – Tower Records  Effects on movie industry - BlockbusterPage  3
  • 4. The Old Music Distribution ModelPage  4
  • 5. Present The music industry is desperately trying to maintain its multi-tiered distribution model, and the associated revenue / cost structures. • These revenue / cost structures no longer pertain to distribution of digital objects and typically provide compensation to the artist in the 6% or less range per song sold. • The current model also perpetuates outdated charges and fees and passes these irrelevant costs on to the artist i.e. 10% breakage charges. • The New 360 deal current in the online environment introduced by the Record Labels.Page  5
  • 6. Current Distribution ModelPage  6
  • 7. Digital Music – Summary of Statistics 1000% - the increase in the value of the digital music market 2004 – 2010 13 million – tracks licensed by record companies to digital music services 6% growth of global digital music in 2010 29% - the proportion of record companies global revenues from digital channels €240 billion – estimated cumulative lost retail revenues to the European creative industries due to piracy 2008 – 2015Page  7
  • 8. Piracy and the Effects Figures indicate piracy is hitting investment in New Music on a global scale, with the sales volume of best selling debut titles falling precipitously in recent years. Large numbers of jobs are disappearing, approx of 12M and many more under threat. Great new legitimate music offerings exist all over the world, but they will not survive if the market continues to be massively rigged by piracy.Page  8
  • 9. Future The future of the music industry that was reported by the IFPI Report 2011 is a fragmented industry that unless dealt with will continue on a slippery slope downward. The creative arts will no longer have a platform to distribute their work. Lack of tools and legislation to prevent piracy. If left to continue it will erode the industry.Page  9
  • 10. Attatunes Online Distribution ATTATUNES  will focus on aggregating musicians, singers & songwriters in an online, social networking domain to provide a simple, easy to use set of tools and services enabling any artist to quickly establish a direct artist to consumer online presence and relationship  will shift the focus of the distribution model away from the publisher/ label and it will reside with the artist.  will establish an online domain that will support direct artist to consumer sales. • The key is the Copyright which will remain in the hands of the artist.Page  10
  • 11. Attatunes Focus Taking advantage of the move away from the brick and mortar music stores to online distribution. Seize upon the consumer traffic for the estimated increase in digital music sales that was US$4.6 Billion Dollars in 2011 Place the artist in a better financial position by allowing them to keep all their sales and copyrights. Advocate for preventing digital piracy by educating the public.Page  11
  • 12. How will Attatunes do it? A Content management database system that will enable artists to upload and manage their content online. E-commerce capabilities that will enable fans to purchase a members products & services online i.e. “direct to the consumer” . Customizable home pages for musicians - professionals with the ability to add video, audio, photo and digital content, blog, wiki’s, forums, events and an online store. Homepages for “fans” with the ability to “link” fans to a musician’s home page or other fans. The ability to post sections of songs for review by fans & casual users.Page  12
  • 13. FB AdvertisingPage  13
  • 14. But Wait There’s MorePage  14
  • 15. Attatunes Entertainment powered by Attatunes Music Film e-Books Art GamesPage  15
  • 16. The greatest danger for most ofus is not that our aim is toohigh and we miss it, but that itis too low and we reach it Michelangelo
  • 17. Online Distribution Community with A Purpose and A ConsciousPage  17
  • 18. QuestionsPage  18