The End of Traditional Music and Publishing?

Publishers across all industries, from news to music, are grappling with the changing landscape of content consumption. They lament that consumers are no longer willing to pay for content. However, the author argues that consumers never truly paid for content, rather they paid for the medium in which it was delivered.

• The price of books, music, and movies has always been heavily influenced by the format, not the quality of the content.
• Publishers have traditionally focused on selling the medium, whether it's paper, vinyl records, or DVDs, rather than the information itself.

Is "Content" a Thing of the Past?

The author suggests that the term "content" itself is misleading. It implies a generic, undifferentiated product, which is how both publishers and consumers perceive it. In essence, "content" is information that people don't truly need.

• People are willing to pay for information they believe will generate profit, like stock tips or industry reports.
• However, historical evidence suggests that people are less likely to pay for information they perceive as "content" unless there is a direct financial benefit.

Can Music Be a Revenue Stream Again?

The author questions the viability of traditional music publishing models. He argues that platforms like iTunes function more like tollbooths than stores. They control access to music and charge consumers small fees, essentially taxing them rather than selling them content.

• This tollbooth model only works if the channel is controlled, and even then, the revenue is limited.
• Once consumers perceive a toll as burdensome, they will find alternative ways to access content.

Exploring the Future of Music and Publishing

The author outlines two potential paths for publishers: give content away for free and generate revenue indirectly, or find ways to embed content in products that consumers will pay for.

• The first path might involve giving away music for free and generating revenue through concerts, merchandise, and advertising.
• The second path could involve creating tangible products that incorporate content, such as books with unique features or physical experiences that enhance the content.

The Rise of New Music and Media

The author emphasizes that traditional publishers are unlikely to be the ones to succeed in the new landscape. He believes that new forms of music and media will emerge, taking advantage of technology to offer consumers something they couldn't have before.

• The future of music and publishing lies in innovation and creativity, not in clinging to outdated business models.
• Publishers need to shift their focus from selling content to providing value and experiences that resonate with consumers.

The Power of Software in the Future of Music

The author compares the music and publishing industries to the software industry. He acknowledges that software companies can charge high prices because their customers are often businesses that face significant penalties for using pirated versions.

• Software is treated as a different type of product than "content" like music or articles.
• Publishers would need to become software companies to replicate the success of software companies.

Embracing the Future

The author concludes by emphasizing the importance of adapting to change. He believes that the future of music and publishing will be shaped by innovation and new ways of providing value to consumers. Those who embrace new technologies and create compelling experiences will be the ones who thrive in this evolving landscape.

• Publishers must shift their focus from selling content to creating value and experiences that resonate with consumers.
• The future of music and publishing lies in innovation and creativity, not in clinging to outdated business models.