Music Industry: “Thanks for the add, Tom!”

07Apr08

A few days ago, MySpace announced it was going head to head with iTunes with their long anticipated MySpace Music service. The site has already earned a reputation for being the online spot for A&R reps to seek out the next big thing, and now Tom is feeling confident enough to bump heads with Steve Jobs. With the estimated 5 million registered bands and 30 million unique monthly visitors, it’s definitely not a long shot.

The key thing to note here is MySpace’s ability to mutate from a promotional vehicle to a commercial vehicle, their signature trait. They’re betting on a diversified source of revenue from merchandising, ticketing, mobile content and advertising and sponsorships or what they call the “360-degree experience”.

In reality, they’re not really competing with the device-driven Apple iTunes, but simply taking the leap of faith for all social networks and doing the music industry a big favor in the process.

So the next time you’re in the doghouse with your girlfriend, you might find yourself dedicating a “competitively priced” default profile song to her.

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One Response to “Music Industry: “Thanks for the add, Tom!””

  1. 1 Will

    “…it is unclear whether and how the equity the participating major labels received will be shared by them with their artists, or with the independent labels they simply distribute…To our understanding, independents have not been offered any equity.

    “… Digital retail is fairer than physical brick-and-mortar retail ever was. iTunes …helped to shift music industry dynamics towards a more level playing field…In that light, if reports are true, the apparent MySpace licensing approach is troubling. It hearkens back to a time none of us wants to revisit … Where independent artists and labels were third-class citizens in the global music economy…”


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