Tuesday, February 24, 2009

Message from Global Entertainment Industry...

I couldn't resist posting this image. Not that I agree with it's statement but it struck me as thought provoking.

This image comes to us courtesy of The Pirate Bay who has legal troubles of it's own.

Monday, February 23, 2009

Google Ends Radio Advertistment Program

Does radio have a future? Indications continue to yield the same answer, 'no'.

The latest confirmation, that the radio-end is near, comes from Google's exodus from radio advertising.

As reported by Adam Ostrow at Mashable:
"Google’s plans to extend its AdWords platform to traditional media appears to be going up in smoke as the economy falters. The company has announced that it’s discontinuing its radio advertising program, a business it got into back in 2006 with the acquisition of dMarc Broadcasting."

To be fair, Google's Adwords may not have been an obvious place for radio advertisers to purchase their advertisements. However the more frightening question for the radio industry...if Google couldn't figure out a sustainable model for radio, who can?

Monday, October 13, 2008

Do It Yourself CPC Advertising on MySpace Network

MySpace has just released their Do-It-Yourself advertising platform named "MyAds."

- $25 campaign minimum
- $0.25 cost per click minimum
- You're only charged for clicks, not impressions

For more info:

Thursday, October 9, 2008

Facebook Sees Large Growth in 2008

Facebook continue to see large growth in 2008. I'm struck with the growth rate in smaller 2nd and 3rd world countries. I'd be most curious to how MySpace growth compares to Facebook growth on a country to country basis.

Thursday, October 2, 2008

Own A Garth Brooks Song

I found this article on the Tennessean today. I think this is a very interesting concept - one of those that allows music fans to have ownership in the music they love. I don't fully understand the revenue sharing - need to read into it a little more.

Want to get a piece of the royalties from a Garth Brooks hit?

Monday, September 29, 2008

MySpace Music Stumbles

This is a great (though a bit long) article about the new anticlimactic MySpace Music:

I didn't have a chance to really look at the new pages and player until late last week. I was shocked with many of the bad decisions that MySpace made especially since many of these problems existed during the MySpace - Snocap days.

Mainly, the user interface is terribly confusing. I was unsure how to purchase a song.

I couldn't tell the difference between MySpace-Music-Content and Record-Label-Content. It appears that MySpace has a master data feed of all music for each artist which it pushes to the artist's player.

I was at a label's office last week; this label had not opted into MySpace Music with any agreements yet their artist's back catalog appeared in the MySpace players.

If the artist has been around for 10 years and has 8 albums (all from different labels), chances are all the records will be available (as previews or for-sale) within the MySpace player. I'm wondering how the artist's current label will react to this, especially if they are trying to promote only the current album.

The next few months will be telling both in user interactions with the player, user purchases and label sentiment with the new system. Stay tuned.

Monday, September 15, 2008

Best Buy to buy Napster for $121 million

Best Buy Co Inc plans to buy digital music service Napster Inc for $121 million in cash in an effort to compete with Apple's dominant iTunes service and its iPod music players.

Best Buy, one of the largest retailers of CDs, and Napster, once the best known name in digital music, both offer digital subscription services, but neither have mounted much of a challenge to Apple, which holds more than 70 percent of the U.S. digital music market.

Napster and Best Buy are betting they have a better chance by combining rather than competing with each other.

Best Buy said on Monday it would pay $2.65 per Napster share, nearly double its closing price on Friday. Napster shares jumped 87 percent in early trading to $2.54.

In 2006, Best Buy teamed up in with RealNetworks Inc and SanDisk Corp to create a digital music subscription service and compatible media player.

The original Napster helped set the digital music market in motion in the late 1990s with a free music sharing service, which was shut down following a lawsuit filed by the music industry. The brand name was bought and resurrected as a legal digital subscription service, although it never really threatened iTunes.

Best Buy plans to use Napster to reach new customers over an array of devices. The proposed acquisition includes Napster's approximately 700,000 subscribers, its Web-based customer service and mobile capabilities.

"This is a very natural and appropriate time for Napster to lever up our position in the industry with a strategic bear hug from such a powerful partner," Napster Chief Executive Chris Gorog told Reuters in an interview.

Best Buy is moving into categories that are outside traditional consumer electronics as it looks to double annual sales to $80 billion over the next five years. It is also boosting its wireless offerings since completing the introduction of Best Buy Mobile shops at its U.S. stores.

Napster has been facing the threat of a proxy battle by three dissident investors, who criticized management's strategy in competing with iTunes, the country's largest overall music retailer.

Its share price has plummeted about 60 percent from a high of $5.80 in October 2007.

Last month, Napster said it was willing to consider a sale and hired UBS Investment Bank to consider options.

Included in the deal is approximately $67 million in cash and short term investments held by Napster, meaning the net price of the deal would be $54 million, the companies said.

Gorog and key members of senior management have entered into employment agreements with Best Buy, effective at deal closing, to continue as the Napster leadership.

He said Best Buy has indicated it would retain the Napster name after deal closing, expected in the fourth quarter.

Best Buy expects Napster and its 140 employees to remain at its current Los Angeles headquarters.

Napster also said on Monday it would postpone its September 18 annual meeting in connection with the Best Buy agreement.

Best Buy shares rose 0.47 percent, or 21 cents, to $44.70 on the New York Stock Exchange.

Will be interesting to see how this plays out and what the service will actually look like. I still think the only way to compete with iTunes is going to be to develop a device that functions better than an iPod, which clearly isn't happening. iTunes and iPod are so seamless that it makes it hard to even want to look into another music service. Thoughts?