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Music Sales Drop 2% Q3 Despite Digital Growth


Overall demand for music among U.S. internet users fell 2% in Q3 of 2008 according to a new NPD survey which included purchased CDs and downloads, P2P sites, and borrowing music to rip. It’s not clear if the numbers are just a blip or within some margin or error, but they certainly can’t be spun as good news for a beleagured music industry. Growth in track sales and the number of new downloaders did, however, offer a ray of hope along with music discovery via video games. The proportion of U.S. Internet users, age 13 and older, purchasing a CD… Read more »

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Warner Music Group Pulls Videos From YouTube As Talks Break Down


Warner Music Group pulled all of its music videos and related content off YouTube this weekend as negotiations between the label and the video site hit a stand still. WMG was one of the first of the majors to align itself with YouTube. “We are working actively to find a resolution with YouTube that would enable the return of our artists’ content to the site,” the label says in a statement. “Until then, we simply cannot accept terms that fail to appropriately and fairly compensate recording artists, songwriters, labels and publishers for the value they provide.” While WMG has withdrawn… Read more »

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Music industry to stop suing music swappers


LOS ANGELES — The group representing the U.S. recording industry said Friday it has abandoned its policy of suing people for sharing songs protected by copyright and will work with Internet service providers to cut abusers’ access if they ignore repeated warnings. The move ends a controversial program that saw the Recording Industry Association of America sue about 35,000 people since 2003 for swapping songs online. Because of high legal costs for defenders, virtually all of those hit with lawsuits settled, on average for around $3,500. The association’s legal costs, in the meantime, exceeded the settlement money it brought in.… Read more »

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EMI.com relaunches as music discovery lab


After several months of open rumors, EMI has relaunched its flagship web site as a music discovery destination.   While direct purchase will be enabled soon, the real purpose of the site is voyeuristic.   The company wants to watch and learn as consumers search for, discover, enjoy and purchase music from the EMI roster. “It will help us gain even more knowledge about consumers’ preferences,”   says EMI exec Alex Haar. “Those insights will be invaluable to our artists, helping them respond to fans in a more relevant way. This is the beginning of a longer term experiment.”  … Read more »

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"Chinese Democracy" shows limits of retail exclusives


When Wal-Mart sold 784,000 copies of AC/DC’s ” Black Ice ” during the album’s first week in stores, many label executives believed that more superstars would release albums exclusively through big-box retailers. And when Best Buy experienced disappointing sales of Guns N’ Roses’ “Chinese Democracy,” some of those same executives thought, well, maybe not. “Chinese Democracy” (Interscope), the rock act’s first album of all-new material in 17 years, sold 261,000 units in its first week of availability, according to Nielsen SoundScan That included sales at Best Buy, exclusive digital retailer iTunes and other stores selling import versions of the album.… Read more »

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Music tax faces strong opposition


The industry gets upset when anyone calls this a “tax” so I’ll use the “voluntary license” term, even though tax is much more accurate. A true voluntary license wouldn’t require everyone having a certain provider to opt-in, but that’s exactly what this plan would require. In fact, as the slides indicate, eventually it would basically require all ISPs to “opt-in” forcing all of their members to “opt-in.” Suddenly, everyone has to pay. That’s not a voluntary license. It’s a tax. However, even if we step back and pretend it’s really a voluntary license, and even if we grant the premise… Read more »

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Mumbai attacks a blow to India's concert business


At a time when some international recording artists are looking to include India in their Asian touring itineraries, the recent attacks in Mumbai could hurt the country’s emerging live entertainment business While India’s touring market remains relatively small and is hampered by inadequate infrastructure, a growing number of Western recording stars have performed there in recent years, including Beyonce 50 Cent Wyclef Jean the Rolling Stones, Shakira Aerosmith Lionel Richie and Iron Maiden “The tragic events in Mumbai will have a huge impact on the decision of artists touring in India in general,” Agency Group CEO Neil Warnock says. “This… Read more »

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Wet Seal launches music initiative with Fall Out Boy


The Wet Seal today announced the launch of an in-store music program focusing on driving licensed merchandise within the music category. The launch begins with the highly anticipated release, Folie à Deux, by Island’s multi-platinum and award winning artist, Fall Out Boy. The program includes a bundle package where customers can get the new release and an exclusive tee by Pete Wentz under his Clandestine label. “The connection between fashion and music has always existed and is important to our customer. The program we have developed with Island brings so many key elements together, we felt this was a great… Read more »

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iTunes holds 12.6% of U.S. music market


Digital music sales continue fast growth in the U.S., accounting for 18 percent of the music market there this year, and set to climb to 41 percent of total sales across the next five years, Forrester Research reports. The report predicts 55 percent of U.S. online consumers will pay to download music in 2013. Despite this strong growth, labels must get used to a smaller value music market, say the analysts, overall the U.S. music market will shrink from its current level of $10.2 billion to $9.8 billion in the next five years. Forrester also found 64 percent of subscribers… Read more »

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Coming soon to Blockbuster stores: concert tickets


SAN FRANCISCO —-  Blockbuster Inc . will begin selling concert tickets at about 500 of its video rental stores, bolstering its effort to create a one-stop shop for entertainment. Under a three-year agreement announced Tuesday, Blockbuster ‘s stores next month will become the primary brick-and-mortar sales outlet for music concerts staged by promoter Live Nation Inc. in the United States. Dallas-based Blockbuster will supplant a hodgepodge of department stores, supermarkets and other retailers that Live Nation had been relying upon as part of an unraveling partnership with Ticketmaster Entertainment Inc. Beverly Hills-based Live Nation is breaking away from Ticketmaster to… Read more »

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