New Digital-Type Age Thing?

I saw this story in the New York Times over the break, and I wanted to talk a little bit about it. It seems that the major record labels are finally starting to rework some of their strategies to recognize the potential that digital downloads have. They've been blaming file sharing programs for causing CD sales to slip for years now, but instead of viewing digital music as the enemy, they've slowly started to see things closer to consumers' eyes. The popularity of services like iTunes has probably helped them see the potential big business that's there, as well.

The new setup being explored by Universal and Warner Music Group will offer unsigned bands with a decent grassroots following a chance to have themselves signed for a digital-release contract only, with the hopes that the new music will turn a profit based on digital sales alone. The only thing I don't like about this setup is that the bands still have to pay for the recording themselves, and it seems as though the labels still have lots of freedom to drop underperforming bands at will, leaving the groups with lots of studio bills.

Even with this potential, though, I think the bands that will get signed to this new branch will be decent enough to survive under the new model. Heck, small indie bands have been self-producing their own stuff for decades, and more than a few have risen to the top because of their own efforts. Here's hoping that the big record labels won't give up too soon on this kind of thing, because overall, I think it's a step in the right direction.

Eventually, I hope to see universal acceptance of the kind of model a lot of bands are following with their live concert releases: an album is released and is made immediately available for download in multiple formats (so people can choose their favorite format, including some lossless ones like FLAC), OR you can also choose to order a complete CD with liner notes. It's still not a perfect system, though, because I'd definitely miss the experience of going into a record store and picking up something I had no idea existed before I walked in. It just goes to show that there are a lot of issues to work out as we move into the next phase of the music industry.

On another note, though, I still don't really understand this linkage between digital downloading and a drop in CD sales. My downloading has always had the exact opposite effect on my music spending habits, and it's increased even more when you factor in my iTunes surfing. I guess not every user is as big a music freak as me, though, willing to shell out the bucks for the latest Shins album or whatever. Ah well... time will tell, as it has since the whole Napster fiasco started.

What are your thoughts on the whole situation?

In other, completely unrelated news, some guy named Ken Jennings lost on Jeopardy tonight. The streak is over, and a new chapter in history can be written! I would post a link to the audio or video of him losing, but there's none up yet that I can find. That'll change soon, I'm sure.

On the flip side of the coin, at the Holiday Inn in Blacksburg, VA tonight ... my team won The Game by $180. Another new chapter in history? Not quite, but still. Boo. Yah.