World Music Sales Projected to Decline Until 2005
Published January 08, 2003
By then someone should have figured out how to make money again:
- The value of recorded music sales is likely to fall 6 per cent this year to $28.7bn as a combination of intense price competition, volatile consumer demand and piracy continues to dog the industry.
Sector forecasts published on Wednesday by Music Week, the London-based trade magazine, suggested that the global music market would continue to decline until 2005 - further threatening the profits of leading labels such as BMG, Universal and EMI.
Music Week said that overall sales would be down 15 per cent between 2001 and 2004, when the value of album purchases is forecast to reach $28.1bn. At that level, the market would be almost 30 per cent below its peak in 1996.
The decline, which is expected to level off in the middle of the decade, has forced a number of music companies to explore alternative revenue streams including on-line tie-ups with web servers and deals granting a share of artists' touring and merchandise revenues. [Financial Times]
- World Music Sales Projected to Decline Until 2005
- Published: January 08, 2003
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- Section: Music
- Filed Under: Music: News
- Writer: Eric Olsen
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People are pissed at the industry. The industry needs to provide at least a mediocre online subscription service then brainwash the stupid masses into thinking it's "the kewelist" this is what Musicnet and Pressplay will be in the future, although they both suck right now. And they'll probably be successful at this by the year 2005 (personally, I think 2006). Then other BIG COMPANIES will start making money off the web when the entertainment industry gets people used to the idea of paying. There will be no interesting content online at that time, it'll be the same top 40 radio songs that are played to death now, and the same movies that are available to rent right now. There will be MORE commercials. They'll make deals with ISPs to filter P2P traffic, deals such as the AOL/TimeWarner and Microsoft/Disney deals. They'll also filter traffic from ANY web server, email server and search engine running at home so people can't provide free hosting of ANY content. ALL ISPs WILL DO THIS, THERE WILL BE NO COMPETITION TO GO TO. WI-FI will be flooded with their spam (AKA advertisements) and will be ruined. At a time when the cost of providing Internet access will be at an all-time low, the bill to the customer will be at an all-time high. The Internet will suck in the future if you pay for content now.
That's a pretty bleak view - I can't imagine it will be that bad. Eventually the customer's will will be done.
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Oh, the poor dears, only making 28 billion this year. They must be wondering how they're going to support their cocaine habits when they're so bereft of cash.