Logan Robertson
Mrs. Yackle
English 10/Period
21 February 2017
Research Rough Draft
The Music Industry: Sales Increasing or Decreasing
The chills you get when listening to music is caused by your body releasing dopamine while you’re expecting the peak of a song. Music has made a huge impact on the world. People who were rich or wealthy back then would pay people to play them something, but nowadays just about everyone listens to music anytime. Most people download music on their phone, MP3, or iPod, but could you say that peer to peers are destroying the industry. A lot of big companies, such as Pepsi and Coca-Cola, put billions of dollars into some apps that allowed music downloading, like Spotify. Although there are a lot of reasons why
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Just about any company or person with enough money can sponsor you. Spotify has consumed four million paying and customers and roughly twenty million people use it all together. Coca-Cola has invested millions of dollars into streaming services. Coca-Cola has invested ten million dollars alone in Spotify. After Coca-Cola invested in Spotify, Spotify gave them a channel called “First Day Fridays”. Since Spotify added the channel they gained one and four million listeners. Spotify isn’t the only one who got something out of it, Coca-Cola did too, they got a small boost in sales shortly after their investment. Pepsi is also trying to get more people to put more money into music. …show more content…
In 1978 the music industry started to call this “digital music piracy” because technically people were downloading “free music”. When music sales experienced a fall the Napster (a P2P program) was immediately blamed for it. According to the IFIP, RIAA (Recording Industry Association of America), and other industry representatives illegal music downloads have had a negative effect on music sales. After discussion, the music industry took P2P companies to court. Some legal action was taken some individual people who continued to illegally download music files. The industry representatives were afraid that music piracy would be an example of ending legal users. The music industry isn’t alone when it comes to facing digital piracy, the movie and video game also claim to have a decrease in sales. On average every person spends about fifty dollars on recorded music. When people stop paying for music, it will cause deflation, the more people who do this the lower entertainment can make an impact on the U.S. GDP (Gross Domestic
The music industry has changed in more ways than we could imagine. At first we started with artists just selling singles, then it transformed over to people buying albums, and then on iTunes started to sell songs for just cents. In the year 2005, Pandora was launched on the Internet and later they created a mobile app. Most of the artist’s music can be found on YouTube. Free downloads have affected this industry as well.
“It is estimated that such illegal product costs the music industry more than 300 million dollars a year domestically.” This is why the Recording Industry Association of America (RIAA) is taking a strong stance against MP3 piracy. The damage done to the recording industry in lost profits, increased prices, and lost jobs is overwhelming. In an attempt to put a damper on file swapping, and recapture lost revenue the RIAA has been suing people ...
Within this essay i shall be examining to what degree the music economy has entered a post-industrial state. I shall do this by first highlighting the the definition of post-industrialism and show how this affected musicians in the present day; and as a result how this has affected my personal and professional development within the music industry. I will highlight interesting factors such as the different interpretations of how we define an era, what place the creative industries have within a post-industrial society and areas of my own professional development, goals and education.
Artists and fans alike have been at the forefront of the music-scene revolution, and both have benefited in a number of ways. While major record labels try to find new ways to return to the years of massive profit, many artists have found new ways to connect with fans on a more personal level as well as new ways to get their music heard. Fans are discovering the perks of following artists that aren't controlled by four-record deals and corporate input. The music landscape is changing. This is a good thing.
Throughout time, people have resorted to stealing in order to obtain items instead of buying them. It became a problem so consequences were made. Even dating back to the Ten Commandments there were laws against stealing. Recently, theft has become a problem over the internet. Musicians and music companies have lost millions in revenue. Websites such as Napster, The Pirate Bay, and Pandora have made it extremely easy for people, specifically teens, to illegally download and or listen to music for free. Pirating music has become a problem especially because “91 percent of all new music was downloaded illegally over the Internet instead of purchased,” says Logan Lynn from Huffington Post (Lynn). Many, such as the RIAA claim that music piracy is “an ongoing and evolving challenge,” (Who) while others suggest that it is “keeping the music industry alive,” (Issacson).
Recently, there has been a series of copyright infringement litigations against Internet businesses that are involved with unauthorized distribution of music files. The US recording industry claims to lose three million dollars per year because of piracy. A report predicted an estimated 16 percent of all US music sales, or 985 million dollars would be lost due to online piracy by 2002 (Foege, 2000; cited from McCourt & Burkart, 2003) Even though this claim has to be taken with caution, as it is based on false assumption that if copyright laws were strictly enforced, audio pirates would become buyers, it is apparent that audio piracy grew to a worrisome level for the record industry. (Gayer & Shy, 2003)
Big time record companies and artist are losing billions of dollars due to people illegally downloading music files. The
Since early in the 1990's, software publishers have been concerned about their losses from software piracy. The music recording industry now faces a much larger threat than the software industry. Its very existence is in question as music is extensively pirated through internet downloads and copying CD's. The total cost of pirating music is estimated at $12.5 billion annually, of which $5 billion is a direct cost to the recording industry. The recording industry has experienced dropping profits and has lowered employment because of the effects of music piracy (Blyth, 2008). Many argue that as a result of music piracy, the structure of the industry must change and the era of both big record labels and superstar bands is ending (Dvorak, 2003). Nevertheless, many people, especially college students, do not seem to regard music piracy as unethical. Understanding consumer attitudes may be an important step in developing a solution to the economic problem of music piracy. This study develops a model based on the Theory of Reasoned Action (Fishbein & Ajzen, 1975) to promote further understanding of attitudes toward music piracy and how those attitudes influence music piracy behavior.
Everyday you probably see people talking or jogging by with earphones in, the chances of that person listening to illegally downloaded music is huge. According to the Recording Industry of America reports “63% of U.S. people illegally download music” (RIAA). Also, according to Stop Online Piracy Act (sopa)- they argue that online piracy is a larger problem than most people truly think, one that cost the U.S. economy between $200 and $250 Billion per year, and it responsible for the loss of 750,000 American jobs. Some people understand the economic cost and problems of music piracy, others say it doesn’t matter is these superstars lose a little but of profit. But I think that if they are working hard and trying to provide entertainment for people then we should at least provide them with pay to make sure that they are still able to do what they love to do. According to the University of Pennsylvania Law Review, in 2011 was thought to be promising for record labels, as total albums sales increased by a whole 1.3%, though the industry’s struggle are still continuing for the sales then dropped 4% in 2012. The Pennsylvania Law Review also states that, as much as 95% of music is downloaded illegally yearly, for free. The quality of music being created is greatly affected by music piracy, but people are so interested in the free music people don’t take it into account.
In this case, there are three main effects of Napster on the recording industry. The first one is that it caused a large decline in record sales in a short time. According to this case, the spending on recorded music in U.S dropped 4.1% in 2001 and the industry’s top 10 albums also sold much less compared to the year before. The second effect is that it cased the sales of CD burners, blank CDs and digital audio players increase and nowadays, most new computers come with CD-RW drives installed, which means people can easily store downloaded music, share music with friends and take it with them anytime as well. The third effect is that it increased the cost of recorded music. Once people can download free music through peer-to-peer software services, they have less incentive to buy original editions, which will make recording industry spend more to fight against copyrights and invest more in new artists and new music. Overall, these three effects make the recording industry go through a hard time.
The music industry is an ever-evolving revolutionary entertainment industry for the masses. Music provides entertainment to all different masses due to the variety of genres produced. Music is a very profitable and complex industry. Music has expanded to a worldwide industry for musical artist to express their art through the form of song to the masses. Music not only appeals to the ears but to every aspect of a person. Music allows for individuals to explore and let their imagination expand as they here a song. Throughout the years the industry has undergone dramatic changes. Whether it is genres, forms of how it is distributed, or even the impact the artist have had. The industry is diverse and ever changing as the years continue. In the past 20 years the industry has changed with help of the technological breakthroughs and adoptions.
The music industry impacts the lives of people from around the world. With the implementation of technology, the influence of the music industry has spread to affect anyone with access to technology. Streaming services have contributed to the increased popularity of music. While there are positive effects to being able to stream music and have multiple ways of listening to it, the music industry suffers from the lack of revenue and illegal activity associated with technology. Technology has had both positive and negative effects on the music industry by affecting how people access music and how music is produced
Spotify is operating on “mixed advertising/freemium business model”. The freemium business model is based on idea that the company offers simple and basic services for free for the user to try and more advanced or additional features at a premium [3]. One important role in Spotify’s business model is having advertisers who generate revenue that is used to finance costs of free subscription. In other words, without ads, there would be no free music.
Production companies took a bold step forward by uploading their content online. People now are not obliged to buy a full album to listen to one song, for a minimal fee you can buy the track you want, the same goes for movies and electronic publications. The downloaded files though will be digitally protected so that only the person who downloads them can use them, and he can’t share them at home or with friends. Even with this step from production companies, a large portion of people who download music still do it for free. Moreover hackers came up with new ways to remove the digital copyrights so the same as before one downloads music and distributes them around.
Music piracy is a developing problem that it affects the music industry in many different ways including being responsible for the unemployment of 750,000 workers, as well as a loss of $2,5 billion; therefore, I want to explore ‘To what extent has music piracy affected the music industry market in the United States over the last 10 years?’