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The Future of Music: mobile, social... paid?


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The pdf from my presentation at the CMC Dublin, June 11, 2010 see, on the topic of The Future of Music: from copy to access, from protecting to engaging, from closed to open, from proprietary to public license. Also be sure to read

Published in: Business, Technology

The Future of Music: mobile, social... paid?

  1. 1. The Future of Music: Mobile, Video, Social, and...Paid? by Gerd Leonhard
  2. 2. IFPI
  3. 3. What’s important *in this order Talent & Merit Building an Audience Getting Recognition Generating Income
  4. 4. Control = Money
  5. 5. Connect with Fans, Offer Value, Give Reason to Buy = Money Control ≠ Money
  6. 6. Does Protection really make Money...?
  7. 7. Music is already in the Cloud 300+ ways to share Music!
  8. 8. Tomorrow Cheap, ubiquitous, mobile, social Connectivity Today
  9. 9. A connected world is a different world New Behaviors New Standards New Social Contracts New Ways of Remuneration Ars Electronica 2008
  10. 10. Copy Economy Access | Usage | ‘Cloud’ Economy
  11. 11. The Future of Music ‘Consumption’
  12. 12. It’s all about this, first (and then... to own!)
  13. 13. The Toll-Booth Challenge how to monetize access rather than copies Source: istockphoto
  14. 14. Copy Economy License Access Economy
  15. 15. A collective, compulsory blanket license for Music on the Internet
  16. 16. Hat tip to Jim Griffin • Standardized, public licensing terms * • Transparent system of how income is distributed (*initially by country, or region) • One-stop licenses for all rights, collectively • No differentiation between streaming or downloading (instead, it’s all just ‘use’) • License fees per user / month, or a percentage of revenues • License fees can generated in many localized variations (“I pay, you pay, they pay...”)
  17. 17. We have been here before D ! S E EN L I C
  18. 18. Just imagine: If 900 Million people could generate only £ 10 per year / per person, £ 9 Billion would be available for paying artists. •••• If a blanket license for digital music was available, the license fees per user could be entirely funded by advertisers, brands, telecoms, device makers and others!
  19. 19. Hat tip to Jim Griffin per week
  20. 20. Could Advertising help to pay for Music?
  21. 21. Advertising will continue to fund a lot of ‘free’ content
  22. 22. Because Data is the new Oil $1 Trillion
  23. 23. Hat tip to Shelly Palmer Paid Content I pay You pay They pay Free Content
  24. 24. I pay, you pay, they pay *Inspired by Shelly Palmer Subscriptions Micro-Payments Bundles Applications Social Payments Flat Rates Telcos & ISPs Advertisers Device Makers Taxes Patronage
  25. 25. Music 2.0: the pricing logic flips Price Users 100 75 50 25 0 Was Will be
  26. 26. People pay when they see value, when the price is right, and when it’s easy
  27. 27. Free + + + ++ +
  28. 28. This is the new model Acceptance of new Reality Permission / License Fair Collection & Distribution Develop New Generatives
  29. 29. The other 3 Billion (O3B) are coming
  30. 30. Governments Telecoms Authors & Creators Search Engines Advertisers Publishers Consumers We were able to sell copies ‘on our own’, but Device Makers we can’t ‘Sell Access’ on our own!
  31. 31. Music 2.0: the inevitable Shift to Open Open licenses Open innovation Open distribution Open competition Open partnerships Open technologies Open data standards
  32. 32. The 3 most important tools for success Hat tip to Mike Mesnick / Techdirt
  33. 33. Magnetism = Money
  34. 34. Summary License Control ≠ Money
  35. 35. Thanks for your attention! email me at facebook: gleonhard