One of the internet’s core strengths is its ability to create communities on a scale that were never possible before. People from around the world can loosely group together around a topic remarkably easily. What used to be a niche interest can suddenly be shared with millions of other people.
This has obviously had something of an impact on the music industry….
These “fake hits” are fascinating because they are hits. They have millions upon millions of streams, coming from a huge global audience. And those streams equal a very significant revenue stream. For example, if you get on “Today’s Top Hits”, the biggest playlist on Spotify, you can expect to get at least a couple of hundred thousand streams a day – more if you’re near the top of the playlist – and that adds up to a decent amount of money if you do the math. From one playlist, on one platform.
But they’re still fake. Outside of the bubble, there seems to be very little resonance or connection. You can’t sell out shows based on big streaming numbers alone. These numbers represent attention and revenue, which is great, but the engagement is transitory, at least to the scale that the numbers would suggest. They’re the start of a fan’s journey with an artist rather then the end. The fans listening to tracks on Today’s Top Hits are listening to exactly that – they’re listening to the playlist, not the tracks. There’s nothing inherently wrong with this – in fact, quite the opposite, it’s an amazingly powerful new mode of music discovery. Where things come unstuck is where this new pattern of engagement – curation bubbles and echo chambers – slams into the traditional record industry.
What does it tell us that no company ultimately bid to buy Twitter over the last month despite several reported brand-name interested buyers?
Twitter is the eighth-most-visited Internet site in the world; the best site in the world for real-time content; and is one of the few public companies in the marketplace that is growing revenue at a 20% annual rate – and no one even submitted a low-ball bid for Twitter? What is going on here?
Apparently, it tells us that there are only two companies in the world that could grow, leverage and monetize Twitter to make it worth roughly $20b under current circumstances – Alphabet-Google and Facebook — and they both practically can’t buy Twitter for antitrust reasons.
Let’s analyze why.
Make sure you’re set up with Shazam on your syncs!
Regina Spektor saw a massive spike in attention on the music discovery app Shazam thanks to the use of her song “Better” on Sunday’s The Good Wife series finale.
Spektor saw about 11,000 Shazams from the episode, according to the company — a substantial increase from the 20 per day she was seeing the week prior to airing.
The “Better” sync was used in a noteworthy scene of self reflection for protagonist Alicia Florrick, considering the different loves of her life.
B2B DIGITAL-MUSIC FIRM OMNIFONE HAS BEEN PLACED INTO ADMINISTRATION, RESULTING IN THE LAYOFF OF UP TO 70 STAFF AS IT SEEKS A BUYER FOR THE COMPANY’S TECHNOLOGY ASSETS.
The UK-based company’s clients include Samsung, SiriusXM, Guvera and Neil Young’s PonoMusic. It is unclear at the present time what the administration means for their services….
The company was facing strong competition, not least from fellow British firm 7digital, which has been picking up a succession of B2B contracts in recent years.
In December 2007, Thom Yorke explained Radiohead’s rationale for releasing their then-new album, In Rainbows, with just 10 days’ warning and a “pay what you like” price tag. It was, quaintly, an unheard-of way of doing things back then. “We were trying to avoid that whole game of who gets in first with the reviews,” he told David Byrne in a Wired interview. “These days there’s so much paper to fill, or digital paper to fill, that whoever writes the first few things gets cut and pasted. Whoever gets their opinion in first has all that power.” Radiohead didn’t want to defer to the whims of grumpy reviewers. They wanted the power.
This stealth release method led to what was, at that time, unusual: a communal listening experience across the globe.