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View Full Version : Such good news.


Funkodrom
18-08-2003, 13:01:41
http://www.guardian.co.uk/arts/news/story/0,11711,1020734,00.html

For years record buyers have complained that CDs are overpriced and the music industry has responded by saying, as politely as possible, put up or shut up.

Now, panicked by the pirates, they've finally been compelled to slash prices to a reasonable level and sales have reached an all-time high.

Profits are down but that's what happens when you stop charging 16.99 for an item that costs 50p to manufacture.

Bob
18-08-2003, 14:03:37
Very true. And, like I said a 100 times here before: Vinyls and CCs are still cheaper. I guess they are much more difficult to manufacture these days

paiktis22
19-08-2003, 23:24:03
BTW next up are DVDs. Apparently there is a way to break the DVD's protection and then MPEG-4 it and then burn it to a regular CD. All it takes is a visit to the nearby video store to lent the DVD of choice. I haven't watched a "CD movie" so I can't comment on the quality though.

Sean
19-08-2003, 23:52:08
I’ve watched a couple. In fact, a friend ripped 28 Days Later when he rented it to save me the effort :). Quality was fine when spread over 2 CDs, but no special features, subtitles, extra audio, or anything.

Darkstar
20-08-2003, 20:34:18
Ripping DVDs is very easy. Heck, until it's encoded from the player to TV, it will always be ripable. The question is, how to copy the whole DVD? And even that is easy from what I hear from people that rip their DVDs, and convert them to a smaller resolution, so they can watch their stuff on their hand helds (PDAs).

The thing people miss on the $0.25 to manufacture the CD... you are not paying for the plastic and the material in it. You are paying for a copy of the content, with shipping and handling. You are paying the artists, the plant(s) that burnt the CD and packaged it, the infrastructure of the company that is fronting/owns the artists (The Fat Cats, their secretaries and assistances, HR, their cafeteria staff, their janitor crew, their IT people, their private hookers, the artists drug dealers, their lawyers, etc), all the middle men and their infrastructure that handled the product from the factory to point of sell... etc.

Seriously... even cutting out most of the middle men, Big Records are still going to keep their personal cut as high as possible. Which means that they are going to pay the artists even less. The big names and current contracts will be okay... but the new artists and the lesser knowns, those will get screwed harder.

How much a share of the profits you think those people are seeing on these buy and download a song for $0.50? They'll see nothing. Most of that will go into IT costs (bandwidth, servers, data storage), and the rest into Big Records pockets.

And that's why they are out to squash all the P2P networks. It isn't because 20 college kids that can barely afford enough change to wash their socks and shirts are pirating their music. It's to make sure those kids aren't around as a free source of music online, so you HAVE to buy your music from them.

They'll crush all the little music sellers, through various legal and illegal means. Watch. They are out to extend their co-opoly to the Digital World.

It's not digital piracy that has gotten them to drop their prices in brick and mortal. I suspect we will find that it is the retailers and their distribution channel that are taking the cut... to remain "competitive" with the direct download sales. If there's 12 songs on a CD, and you can buy them all at a bundled cost of $10 from direct download, why would you pay $20 in the store? Remember, over half of their US customers are hooked up (online), and every year, more of Europe hit the 50% mark... And as the Asian countries come online... It's where Big Record has to be, to survive the next 20 years.

And Big Movies is looking at that, to get ahead of the curve. As highspeed spreads through the world... they became easy to grab data as well...