An Economist's Guide to Digital Music

In this guide, we discuss the impact of digitalization on the music industry. We rely on market and survey data at the international level as well as expert statements from the industry. The guide investigates recent developments in legal and technological protection of digital music and describes new business models as well as consumers' attitude towards music downloads. We conclude the guide by a discussion of the evolution of the music industry

An Economist’s Guide to Digital Music

In this guide, we discuss the impact of digitalization on the music industry. We rely on market and survey data at the international level as well as expert statements from the industry. The guide investigates recent developments in legal and technological protection of digital music and describes new business models as well as consumers' attitude towards music downloads and audio-streaming. We conclude the guide by a discussion of the evolution of the music industry.music, internet, file-sharing, peer-to-peer, piracy, digital rights management, copyright, e-commerce

An Economist's Guide to Digital Music

In this guide, we discuss the impact of digitalization on the music industry. We rely on market and survey data at the international level as well as expert statements from the industry. The guide investigates recent developments in legal and technological protection of digital music and describes new business models as well as consumers' attitude towards music downloads. We conclude the guide by a discussion of the evolution of the music industry.Music; Internet; File-sharing; Peer-to-peer; Piracy; Digital Rights Management; Copyright; E-commerce

The Evolution of the Music Industry in the Post-Internet Era

The rise in the prevalence of the Internet has had a wide range of implications in nearly every industry. Within the music business, the turn of the millennium came with a unique, and difficult, set of challenges. While the majority of academic literature in the area focuses specifically on the aspect of file sharing within the Internet as it negatively impacts sales within the recording sector, this study aims to assess the Internet’s wider impacts on the broader music industry. In the same time that record sales have plummeted, the live music sector has thrived, potentially presenting alternative business models and opportunities. This paper will discuss a variety of recent Internet-related developments including the rise of legal digital distribution, key economic implications, general welfare effects, changes in consumer preference and social phenomena as they relate to both the recording and live entertainment sectors. I employ a time series multiple regression model to evaluate the statistical significance of the relationship between the Internet’s rise and the value of record sales. For the concert industry, I will examine recent trends and descriptive data as they relate to the Internet’s prevalence

Netflix and the Development of the Internet Television Network

When Netflix launched in April 1998, Internet video was in its infancy. Eighteen years later, Netflix has developed into the first truly global Internet TV network. Many books have been written about the five broadcast networks – NBC, CBS, ABC, Fox, and the CW – and many about the major cable networks – HBO, CNN, MTV, Nickelodeon, just to name a few – and this is the fitting time to undertake a detailed analysis of how Netflix, as the preeminent Internet TV networks, has come to be. This book, then, combines historical, industrial, and textual analysis to investigate, contextualize, and historicize Netflix\u27s development as an Internet TV network. The book is split into four chapters. The first explores the ways in which Netflix\u27s development during its early years a DVD-by-mail company – 1998-2007, a period I am calling Netflix as Rental Company – lay the foundations for the company\u27s future iterations and successes. During this period, Netflix adapted DVD distribution to the Internet, revolutionizing the way viewers receive, watch, and choose content, and built a brand reputation on consumer-centric innovation. This reputation served it well during its second phase, Netflix as Syndicator (2007-12), when the company turned from DVD rentals to online distribution. In chapter two, I explain who Netflix adapted syndication – a business model that has been a staple of US broadcasting for half a century – to Internet distribution. By doing so, Netflix up-ended both the TV industry\u27s traditional content release structures and viewers\u27 habits. By shifting TV distribution to the Internet, Netflix drastically increased the control viewers have over where, when, and on what devices viewers watch TV. In its third phase, Netflix entered the original programming business by subtly adapting traditional program genres, content, and release schedules to Internet video. I split this phase – Netflix as Internet Network (2012-present) – into two chapters. While many of Netflix\u27s concerns parallel those of traditional networks – in terms of production and financing, for example – Internet networks also have a number of unique concerns in areas such as Net Neutrality and distribution windows. Netflix has led the charge on these issues, and chapter three explores Netflix\u27s role as the first Internet network, including the development of its binge-viewing strategy and its push into international distribution. Finally, chapter four takes a deep dive in Netflix\u27s foray into original program production. In its third phase, Netflix has adapted traditional TV structures to Internet distribution. Despite the innovations in short-form and user-generated content that sites like YouTube, Crackle, and Twitch have named, Netflix\u27s traditional approach to programming has set the template for successful Internet networks that has been adopted by the likes of Hulu, Amazon, and Yahoo Screen. Chapter four analyses Netflix\u27s biggest programs - including House of Cards, Orange is the New Black, Daredevil and others - to explain how Netflix has adapted traditional TV genres and structures to the freedoms in production, marketing, and content possibilities that the Internet affords. In the same was that NBC set the example for broadcast networks in the 1950s and HBO developed the framework for cable TV in the 1990s, Netflix has set the template for Internet TV in the 2000s. Netflix\u27s mix of technological advancements, consumer-centric practices, personalized content, and global mindset have become the gold standard for the how-and-why of developing a successful Internet TV network. Although other aspiring Internet networks Hulu and Amazon started out with a different ethos than Netflix, Netflix\u27s financial, creative, and cultural success has forced a series of reactionary decisions from both Hulu and Amazon that have brought them closer and closer to the foundations Netflix began laying out in 1998. So while the Netflix model isn\u27t the only possible model for an Internet network, it has become the blueprint for the newly-developing Internet TV ecosystem

Indo-U.S. FTA - Prospects for Audiovisual Services

Many WTO (World Trade Organization) member countries, including India, are defensive about opening up of the audiovisual sector in the Doha Round due to reasons of cultural sensitivity. On the other hand, the United States is pushing for liberalizing trade in this sector both in the WTO and in its bilateral FTAs (Free Trade Agreements). With the slow progress of the Doha Round, India and the United States are exploring the possibilities of entering into FTAs with like-minded trading partners. In this context, the present paper discusses the prospects of liberalizing audiovisual services under a possible Indo-U.S. FTA. The study found that India and the United States have significant trade complementarities in this sector which can be further enhanced under an FTA. It identifies areas such as co-production of films, digital content creation and broadband infrastructure in which companies from India and the United States can enter into mutually beneficial collaborations. It argues that India should enter into a media cooperation agreement with the U.S. to facilitate the inflow of technical know, finance and best management practices. It discusses regulatory and other reforms which would not only improve the productivity and global competitiveness of the Indian audiovisual sector but also enable it to gain from the FTA.Indo-U.S. FTA, GATS, bilateral agreements, audiovisual, Services

Indo-U.S. FTA: Prospects for Audiovisual Services

Many WTO (World Trade Organization) member countries, including India, are defensive about opening up of the audiovisual sector in the Doha Round due to reasons of cultural sensitivity. On the other hand, the United States is pushing for liberalizing trade in this sector - both in the WTO and in its bilateral FTAs (Free Trade Agreements). With the slow progress of the Doha Round, India and the United States are exploring the possibilities of entering into FTAs with like-minded trading partners. In this context, the present paper discusses the prospects of liberalizing audiovisual services under a possible Indo-U.S. FTA. The study found that India and the United States have significant trade complementarities in this sector which can be further enhanced under an FTA. It identifies areas such as co-production of films, digital content creation and broadband infrastructure in which companies from India and the United States can enter into mutually beneficial collaborations. It argues that India should enter into a media cooperation agreement with the U.S. to facilitate the inflow of technical know, finance and best management practices. It discusses regulatory and other reforms which would not only improve the productivity and global competitiveness of the Indian audiovisual sector but also enable it to gain from the FTA.Indo-U.S. FTA, GATS, bilateral agreements, audiovisual, services

The Managing of Peer-to-Peer File Sharing Technologies’ Network Effect: An Adaptation of Actor-Network Theory

Peer-to-peer (P2P) file-sharing technologies have impacted the music industry, including its strategies for the distribution of the musical products, for more than a decade now. As a result, music labels have delayed full digitization of their industry in fear of “online music piracyâ€. The present paper reviews the historical context of the evolution of the music industry from 1999 to 2012. Using Actor-Network theory, the paper examines the strategies that helped the music industry to translate new actors’ effect in order to sustain music labels’ business on their path to digitize music distribution. I will discuss the impact of new digital policies and methods of governing online behavior including the business concept of “entrepreneurship†as they may potentially affect the future of public domain within the framework of consumer rights

Navigating the media divide: Innovating and enabling new business models

The worlds of traditional and new media are already clashing, and it\u27s a conflict that continues to expand. However, a second type of conflict is brewing - one that could cause major rifts among traditional partners. For media companies, it\u27s time to pursue different and somewhat opposing business models - and navigate the media divide

Towards a model for digital distribution and value capture in the South African music industry

New digital distribution and value capture models have emerged on the global music industry scene in the last ten years. These models are highly dependent on a strong underlying communications and broadband internet infrastructure which is largely present in most developed markets. South Africa, however, is a developing country whose broadband infrastructure is still nascent and not as widely available or accessible. Due to the permeation of mobile technology, most broadband internet access is likely to occur through the mobile networks in most developing markets. This stands in stark contrast to developed markets where broadband internet access occurs primarily via fixed line infrastructure with mobile as a secondary option.This research set out to investigate whether digital value distribution and value capture models which succeeded in developed countries would be suitable for the South African music industry given the broadband infrastructure constraints and the different internet access methodologies prevalent in this developing market. This research employed an exploratory research methodology in order to investigate this question and found that a mixture of value distribution and value capture models would address the entire market requirement, with mobile-centric digital distribution models being most suitable for mass market deployment.Dissertation (MBA)--University of Pretoria, 2012.Gordon Institute of Business Science (GIBS)unrestricte