The Digital Music Distribution Revolution
The Digital Music Distribution Revolution
What industry conditions lead to the revolution in audio distribution? Which stakeholders stand to benefit most (or least) from this revolution?
The MP3 technology gave its users several advantages such as the chance to transfer music to the new digitally recorded format, while also providing a way to download and play music digitally on personal computers. For example, software programs gave listeners the ability to convert CDs to the new digital format, whereas broad base MP3 licensees allowed easy access to encoders and decoders for customers. In addition, Napster provided a way to share freely MP3 files on the internet, while added features in iTunes, such as those that only allowed upload to a maximum of five computers, prevented their users from mass distribution of the recorded materials. Other applications prevented MP3s from being played on non-iPod MP3 players or prevented customers from emailing them (Keshani, 2013).
Music became cheaper to access because the MP3 format began offering it at reasonable prices online. Apple’s iPod ultimately allowed for the success of iTunes. Podcasting became a tool that individual artists could use to make their podcasts available for their listeners to download without harming their copyrights (Keshani, 2013).
Several things contributed to the audio distribution revolution in regards to the competitors in the recorded music business. These included information technologies allowing high-speed, low cost distribution, storage and advertising options that allowed artists to by-pass expensive record labels (Schilling, 2010).
Customers were the stakeholders that benefited most from the digital music revolution, because they could get much more music for cheaper prices. In addition, independent musicians benefited greatly, because they were able to put their music out to the public even if they did not have a formal recording contract. Third, sellers of digital media such
What industry conditions lead to the revolution in audio distribution? Which stakeholders stand to benefit most (or least) from this revolution?
The MP3 technology gave its users several advantages such as the chance to transfer music to the new digitally recorded format, while also providing a way to download and play music digitally on personal computers. For example, software programs gave listeners the ability to convert CDs to the new digital format, whereas broad base MP3 licensees allowed easy access to encoders and decoders for customers. In addition, Napster provided a way to share freely MP3 files on the internet, while added features in iTunes, such as those that only allowed upload to a maximum of five computers, prevented their users from mass distribution of the recorded materials. Other applications prevented MP3s from being played on non-iPod MP3 players or prevented customers from emailing them (Keshani, 2013).
Music became cheaper to access because the MP3 format began offering it at reasonable prices online. Apple’s iPod ultimately allowed for the success of iTunes. Podcasting became a tool that individual artists could use to make their podcasts available for their listeners to download without harming their copyrights (Keshani, 2013).
Several things contributed to the audio distribution revolution in regards to the competitors in the recorded music business. These included information technologies allowing high-speed, low cost distribution, storage and advertising options that allowed artists to by-pass expensive record labels (Schilling, 2010).
Customers were the stakeholders that benefited most from the digital music revolution, because they could get much more music for cheaper prices. In addition, independent musicians benefited greatly, because they were able to put their music out to the public even if they did not have a formal recording contract. Third, sellers of digital media such
References: Answers. (2013a). Can iPod play non-iTunes songs? Retrieved from http://wiki.answers.com/Q/Can_iPod_play_non_iTunes_songs Answers. (2013b). Should Apple allow its iPods to play non-iTunes songs? Retrieved from http://wiki.answers.com/Q/Should_Apple_allow _its_iPods_to_play_non-iTunes_songs Caldas, C. M. (2012). Why do so many digital music services fail? Retrieved from http://gigaom.com/2012/03/17why-do-so-many-digital-music-service-fail/ DeVito, D. (2010). The digital music distribution revolution. http://dcdevito.wordpress.com/2010/01/26/the-digital-music-distribution-revolution/ Keshani, M. C. (2013). Innovation presentation-Chapter 9, Group D. Retrieved from http://www.slideshare.net/reezthericko/industry-conditions-that-led-to-the-revolution-in-audio-distribution-which-described-in-the-case-7184960 Schilling, M. A. (2013). Strategic management of techonological innovation. NY, NY: McGraw-Irwin. Siegler, M. (2012). In the age of cloud music, The iPod Nano endures—But for how long? Retrieved from http://techcrunch.com/2012/10/23/ipod-nano-review/ USU. (2013). Retaining your copyright. Retrieved from the Utah State University website: http://www.usu.edu/copyrightatusu/author/retaining-your-copyright.cfm/