The irrelevant news media

jarome | Business, Favorite Quotes, Uncategorized, music, society | Saturday, October 18th, 2008

For years now, I’ve been racking my brain as to why the media seems to have no interest in even attempting to explain what is really going on in the music industry rather than spread PR driven hype from major corporations…
This quote really says it all:

“That’s what’s wrong with newspapers.  Writing articles so neutral as to be uninformative.  What’s that cliche?  If tomorrow Dick Cheney said the earth was flat, even the “New York Times” would write: “Roundness of the Earth in question.”   - Bob Lefsetz

I have two essential things to say of my own regarding this problem in our society that you will ‘get’ in terms of their source depending on who you are: “independent investigation of truth”, and “Don’t believe the hype”

New royalty for music played online

admin | Business, Uncategorized, internet, music | Wednesday, October 15th, 2008

On September 23, 2008, songwriters, publishers, record labels and digital music services announced they had finally reached an agreement on mechanical royalties for songs played on online music services. It only took about 8 years for them to figure it out…

Called a “breakthrough that will facilitate new ways to offer music to consumers online,” the voluntary agreement crafted by the Digital Media Association (DiMA), the National Music Publishers’ Association (NMPA), the RIAA, the Nashville Songwriters Association International (NSAI) and the Songwriters Guild of America (SGA) ended the longstanding dispute about mechanical royalties for interactive streaming and limited downloads.

The agreement must be still be approved by the Copyright Royalty Board to take effect, and states that limited download and interactive streaming services will pay a mechanical royalty of 10.5 percent of revenue, less any amounts owed for performance royalties. In certain instances, royalty-free promotional streaming is allowed.
The agreement tries to solve the dispute about what invokes a mechanical royalty in the digital environment, and permits certain kinds of promotional streams without payment, and agrees that webcasters will not owe mechanical royalties for non-interactive, audio-only streams.

The statutory mechanical royalty rate is currently 9.1¢ per song, unless you negotiate with the publisher directly and come up with a different rate.
With physical product, calculating the mechanical royalty using the statutory rate calculated by: # of songs on CD x # CDs manufactured x 9.1¢. But calculating mechanical royalties in the digital environment is more complicated because of considerations like what type of use (download, live stream, etc.) and how each is determined online.
The agreement states that all parties agreed to a “percentage of revenue” calculation so interactive audio-only webcasters and subscription services will pay 10.5 percent of their revenue to songwriters and publishers, minus any performance royalties already being paid to labels.
If a songwriter has a publishing deal with a publisher who’s a member of Harry Fox, the royalties should go from the music service to the publisher through HFA, then be passed along to the songwriter/composer as per their deal. For self-published musicians the royalties should go from the music service to a digital aggregator, which then would pass them on to either the musicians’ indie label, or directly to the musician.
The agreement primarily affects Rhapsody and Napster, for both their on-demand streaming services and their “to-go” services that allow subscribers to put music on portable players. But it will also affect other major services like MySpace, imeem, iLike and others for their interactive streaming options they want to provide.

However, this agreement is not the answer to the ongoing digital performance royalty fight between SoundExchange and webcasters like Pandora and soma.fm. That’s another issue, related to a different copyright. As i’ve mentioned many times, the music industry is unequaled when it comes to beauracracy… According to the press release, the parties agreed that non-interactive, audio-only streaming services like Pandora and soma.fm do not require a mechanical license. This means webcasters no longer have to worry about paying the publishers both for a performance and again for the cache and buffer copies made to enable that performance.
However, this agreement does not solve the debate between webcasters and sound recording rightsholders, which has to do with the non-interactive public performance of a recording on a digital platform. To keep it simple, I’ll just say that the disagreement about this digital performance royalty rate is ongoing. Hopefully a settlement will be reached soon, before it kills internet radio and brilliant musical innovations like Pandora.com

There are many parts of this agreement, like the acceptance of a percentage of revenue calculation that make a lot of sense. Hopefully it will influence and allow new business models to continue and flourish and allow musicians to benefit from increased access, exposure and revenue, and let music fans discover more music.

The Loudness Dilemma

jarome | music, music production, music technology | Friday, August 15th, 2008

For some time now there has been a debate about how modern audio mastering techniques have created music that is louder than it usually would be at the expense of the normal dynamics of the music.
Andrew Dubber blogged about it here with a video that demonstrates the issue:


YouTube DirektLoudness Demo

The process of making tracks louder than they usually would be without them distorting is called ‘Limiting‘.

This is something, as an audio engineer that also does mastering, that I have wrestled with for many years. I like music loud, and it bothers me when something sounds too quiet when listened to with other music. But as a producer and sound mixer, I also love dynamics in music. When others have mastered songs I’ve mixed using standard ompression, it has really ruined the song. But you don’t want the music to seem quiet compared to other music, and you want it to sound good on the lousy stereo systems most people listen to music on! Hence the Dilemma.

I think that in many ways, Dubbers argument may be pointless really. The majority of people in the world wouldn’t know good sound if their life depended on it! Even many of the talented artists I work with for whom music is their life struggle with this, and my production students certainly do as well.

I blogged more about this major issue of the poor quality audio so prevalent in the world here.

Alan Wilder of Recoil and formerly Depeche Mode wrote an excellent article about it and about other industry changes as well here

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Data proves that free or shared music files are not lost sales

jarome | Business, Uncategorized, music, music 2.0 | Saturday, August 2nd, 2008

For some time now I, along with many others in the music industry, have been going on about free music not representing a lost sale, but a gained listener.

Frequently, many music industry professionals suggest that an increase in legitimate sales must necessarily coincide with a commensurate reduction in ‘piracy’, as if this were a fact, yet, the research company BigChampagne has made no such consistent observation in nearly a decade of analyzing online data about music. Rather, it finds that piracy rates follow awareness and interest… The biggest selling albums and songs are nearly always the most widely pirated, regardless of all the ‘anti-piracy’ tactics employed by music companies.

Wired magazine talked about the factual data supporting mega rock band Radiohead’s decision to allow users to pay what they wanted for their latest album.
All of the torrenting/free downloading of Radiohead’s of In Rainbows album contributed to the album making such a big impression on a listening public that’s bombarded with an ever increasing amount of information. Without it having been so widely traded, BigChampage’s data report says that Radiohead’s album wouldn’t necessarily have shot to the top of the charts and their worldwide tour wouldn’t have been such a smashing success, and I have to agree.

Applying economic principles to digital music, BigChamagne found that “the challenge of achieving popularity (or attention) when the old rules of scarcity (of product) and excludability don’t apply (to information goods) the way they used to, changes the monetization game completely.”

BigChamagne came to the undeniable conclusion that the music industry needs to stop thinking of shared files as lost sales, and start treating them as an aspect of reality upon which they can build part of their businesses.

You can download a detailed paper on this topic here. I haven’t studied it in detail yet so I would love to hear your insights.

Coldplay Conundrum

jarome | Business, Songs, Uncategorized, music | Wednesday, July 30th, 2008

So I’m thoroughly embarrassed to admit it, especially publicly, but I like a few of the new Coldplay tracks on their new album. Their sound isn’t really my thing, but they have some more edgy, upbeat and interesting production on songs like Viva La Vida (my current fave song) and Violet Hill from the new album.

But when I went to their website, there was no music! Oh, except for a free song that was so poor, it was a slap in my face. NO MUSIC ON A BAND WEBSITE?? How does this kind of thing happen? Maybe it was there and I just didn’t see it? That is just as bad.

Note to major labels, if your going to jump on the ‘free song’ bandwagon, if you offer a lousy track, it is like the 30 second preview, it’s just a slap in the music fans face!

But eliminating the entire music section from an artist website? That is beyond belief.

You know the only place online you can hear more than one full length song from the new Coldplay album? ‘Illegal download’ torrent sites.

But since they offer non DRM tracks on iTunes, perhaps I will get a few songs from there… Maybe.

Shocking music industry facts they prefer you don’t know:

jarome | Business, Uncategorized, music | Saturday, July 19th, 2008

From Soundscan stats released at the yearly NARM conference:

- 80,000 Records were released in total in 2008
- 80 percent of them sold less than 100 copies each.
- Most sales were from only 1000 titles
- Only 10 percent of hit records represent actually purchased music

And regarding copyright according to Andrew Dubber:
“It’s estimated that less than 2% of all music that has ever been released in a commercial format is currently for sale in any way, shape or form. That 6-million tracks thing that iTunes goes on about is hardly even the tip of the iceberg.” (Because of corporate ‘copyright hording’, preventing creators from access to their own works)

There are many more, but I don’t want to overwhelm you…

The music has to be good…

jarome | Business, music, society | Friday, June 20th, 2008

Bob Lefsetz has a lot of important truths to share about the future of music, and this sums it up in a nutshell:

“This whole business is top-heavy. And these lumbering giants are trying to maintain their power, however ignorantly.

The key today is leaving some money on the table. Be willing to give the audience something for free, you’ll get paid back in spades, if you’re good.

That’s what it’s come down to again… Are you any good? Can you play your instruments? Can you write innovative material? Can you touch people’s souls? Can you change their lives? Can you infect them to the point where they’ll come to your show for years?

That’s the future of this business. Not dominant superstars, but tons of journeymen, super-serving their fan base.

This is the more difficult road. But since the usual suspects, attorneys and major labels, are not interested in this road, they’re leaving the journey open to entrepreneurs. These entrepreneurs will inherit the landscape. A truly savvy one will roll up some acts to reach critical mass. The new entrepreneurs will not be chomping on cigars, going to lunch, but tapping their iPhones as they Skype contacts around the world, monitoring their business, giving those with the power to spread the word the tools they need to do so.

It’s not about less, but more. It’s not about drenching the public but starting with the trickle of one drop. It’s not about banging the audience over the head, but the sense of discovery and wonderment. It’s not about feeding the mainstream media, but the bloggers. It’s not about the deal, it’s about the music.”

A pro stops by the studio…

jarome | Uncategorized, music, music production | Wednesday, June 18th, 2008

Yesterday, I got a long overdue visit from a friend and professional musician Darryl Kromm from 80’s band Strange Advance who I worked with on Past Becomes Future and many other brilliant songs he has written that have not been released (yet). He came in to discuss future projects and Heather Dore’s current songs that I am working on. I wanted some background vocals for one of her songs, and despite not hearing the song much or knowing the words, he threw down an almost flawless recording in 15 minutes, as he has always done. When I asked him about it, he said “when your singing professionally for paid gigs, you can’t fool around, and that’s where I started”. Early in his career he performed/recorded with Bryan Adams, Bob Rock and Paul Dean of Loverboy, and released a number of hit recordings.

It was a great experience to work with such a pro in the studio and get such strong results so quickly. Looking forward to more of that Darryl!


Darryl sings his rework of Bowie’s ‘Fame’ from the Past Becomes Future CD.

Asia: 60 percent of global music market

jarome | Business, Uncategorized, music | Saturday, June 7th, 2008

Read that headline and ponder, if your serious about music, how can you ignore Asia?

That’s what most labels and artists have done. “Bootlegging”, or “They don’t speak english” might be one of the excuses, but not anymore, and even if they don’t, that doesn’t mean they can’t memorize words to your song and sing along, it happens all the time.

When I went to Asia, I got bitten by some kind of bug. I didn’t get sick, I just got the fever - for Asia.
You could argue this is attributable to many things, and you would be right, but I think my instincts were sensing what this article is eluding to: That you can’t ignore Asia if your serious about music.

Asia Pacific Market Grows - radioandmusic.com

Oh, and if that article isn’t enough to boggle your mind, this WILL.
From my sources in China working in the industry: the Chinese internet base is the largest in the world with 221 million users. At 16% penetration, this still leaves huge room for growth. That’s right, that stat represents 16% of China. You do the math.

Keep your eye here for more about my plans for music in Asia through Pro Soul.

Jarome in Beijing, China 2008

The emotional impact of music

jarome | Business, Uncategorized, music | Friday, May 30th, 2008

I’ve been going to a lot of fantastic concerts lately, Nightwish, Ladytron, and yesterday Rush. They were all great shows, unique and exciting to me in their own ways, and I’m not going to get into details because then I’d have to write a novel here, but yesterday I came to a realization at the Rush concert.
Nightwish put on an almost flawless show of intelligent, well written progressive rock, and although I am much newer to the band’s music, I knew many of their songs well. But the Rush show had far more emotional impact and was a far better to me for that reason. Why? Because I am emotionally invested in their music, I grew up with them, they influenced me in a big way both personally and musically as a producer with their technically challenging, jazz influenced, progressive style rock. Rush drummer Neil Peart’s impersonal approach to lyrics and his propensity for addressing diverse subject matter including science fiction, fantasy, and philosophy, as well as secular, humanitarian and libertarian themes always seem to leave me wanting more with the lyrics to most songs I hear and work with.

The show reminded me that this emotional investment that comes from the fact that music affects you at specific times in your life based on what is happening and what your going through and gives the music and the artist even more impact to you personally.
That personal connection and relationship is what the new music industry is based on; It’s not about a physical product any more, it is ALL about that relationship between the artist and those they affect, their audience.

I’ve added a Rush song below for you ‘Subdivisions’, which according to Neil, is “an exploration of the background from which all of us (and probably most of our audience) have sprung.” I highly doubt the music will have the emotional impact for you that it does for me, but that’s what makes my relationship with the artist special. Now if only Rush had a blog!

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