When will the music industry just figure it out?

by Ashok Nayar

We want free DRM-less music. Now. If you don’t give it to us, we’re just gonna steal it.

I mean, I don’t understand these guys. They spend $1,000,000 on a launch marketing plan and a)don’t coordinate the deal with the execs at the labels and b)think that DRM’ed music will really sell. Music that won’t even play on an iPod, the largest selling mp3 player in history? Who the hell hired this guy for this job?

The economics of the matter is simple. A marginal cost of zero means that ultimately, the price will go to zero. Just like software did (Google Docs, ThinkFree, etc), so will music. Making a copy of an mp3 costs zero. Now that doesn’t mean that music has a lower intrinsic value to consumers. It just means that the distribution model is plain screwed up. The biggest musicians always made the most money from concerts anyways. Figure out a way to give music away and become a marketing machine. That’s all the labels are good for anyways. Bands like Radiohead have proven that they can give their music away at any price and still make money. The key to that? Already being famous. So put all the money and resources you have, begin marketing real musicians, give away their music, make money on the concerts and other forms of media, and stop coming at us with this crap. [/rant]