Source: Fast Company
Searching for answers in the untamed wilderness of digital music with Slacker Radio’s Jim Cady … and realizing we’re still very lost.
You’ve probably heard that the music industry is undergoing yet another digital upheaval.
Consumers are gaining access to all types of services from ad-supported Internet radio to on-demand subscriptions.
Some prominent artists, on the other hand, are still clinging to traditional models to sell their music. Jay-Z, Coldplay, the Black Keys, and a slew of indie artists and labels have publicly resisted the digital age dominated by the likes of Spotify.
And even the digital music startups themselves are scrapping over important details in their business models. Recently, SoundExchange president Michael Huppe and Pandora’s Tim Westergren were duking it out over royalty rates. Spotify and Rdio have said their responsibility ends after making payment to the labels–never mind what the artists are actually pulling down. MOG product lead Anu Kirk has acknowledged that it’s a bad time for artists. “It sucks,” he recently said. “It sucks right now that artists are getting paid so little money by subscription services, but it sucks that artists are getting paid so little money by everyone.”