C.J. Von Bargen Dr.

Erin Dietel-McLaughlin WR 13300 14 November 2011

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Digital Musical Immortality: How the Music Industry Thrives in the Technological Age The development of technology in the recent digital age has called for changes in nearly every major industry. However, there exists a common negative outlook in society that suggests that technological advancements harm society. Whenever there are technological advancements in the medical or computer fields, for example, one of the most immediate and popular reactions is that it will result in negative consequences. The truth is that in the end, these advancements eventually result in overwhelming benefits, such as cures for diseases in the medical field. The common public reaction to technological advancement in the music industry has been no different. As one of the major fine arts, music continually evolves to maximize appeal to the public. The music industrys most recent and notable transformation in the digital age has likewise been an effort to enhance the success of the industry. Both veteran and developing artists, however, point to the dangers of the digital obstacles for the industry. Most notably, the explosion of notorious file sharing services such as Napster, LimeWire, Kazaa, and others have led many to believe that the outlook for the music industry in the digital age is a dim one. In particular, many aspiring artists see their careers as overwhelmingly threatened. This initial appearance of technology as an obstacle, however, is being disproven by the emerging benefits experienced by the digital music industry. This paper will therefore argue that while technological developments have posed threats to the musical realm, the industry and even aspiring artists are pushing these threats aside and experiencing great success in the digital age.

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Illegal file sharing, otherwise known as piracy, is the most widely discussed threat to the digital music industry. This threat will therefore be presented first to establish a basis of what exactly the music industry has overcome in the digital age. Those who disagree with the notion that the industry is succeeding in the digital age often point to piracy as the crippling blow to music, and all other entertainment industries for that matter. Because of this popular opinion, it is important to analyze the effect that piracy has had on the industry so far. Steve Knopper outlines the emergence of piracy into the digital forefront in his book Appetite for Self-Destruction: The Spectacular Crash of the Record Industry in the Digital Age by claiming that peer-to-peer services were popping up like Whack-a-Mole early in the previous decade (194). The Digital Music Report 2011 provided by the International Federation of the Phonographic Industry admits that the value of the recording industry fell 31% between 2004 and 2010 (14). While these losses are clear, they cannot be the only areas of focus when looking at the industry in the digital age. This is because the success of current and developing music artists can be attained in many different ways. Because of this, debates have risen about the exact level of success or damage that the music industry has experienced due to technological advancements. The Los Angeles Times presents one such recent debate. Andrew Keen, one of the most prominent figures in the discussions of piracys negative effect on the entertainment industry and author of the popular related book Cult of the Amateur, offers his case in the LA Times debate titled, Dust-Up: How Big a Risk Does Piracy Pose to the Entertainment Industry? Keen argues in the debate that the large population of illegal downloaders inevitably deprives entertainment industries that are in the business of making money simply because of how risk-free it is to illegally download files (qtd in Dust-Up). The other side of this LA Times debate, represented by Public Knowledge leader Harold Feld, suggests that file-sharing is by no means deadly to the

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entertainment industries. The mere existence of this debate within the last year suggests that the degree of success of entertainment industries, particularly the music industry, is worthy of current discussion and assessment. Since piracy is a byproduct of recent digital advancements, this assessment of the music industry is appropriately placed within the context of the digital age. In addition, the frequency of illegal downloads often suggests that developments in the digital generation have posed too much of a threat to the industry and for future artists. The remainder of this paper will therefore be an extended rebuttal to those who argue that the music industry is experiencing its downfall due to the onset of the digital era, while also proving to developing artists that the future of the music industry is a bright one filled with promise. The simplest and most direct way the music industry has disproven Keens theory is the astounding availability of digital music to any given individual. As the amount of information and other materials on the Internet increases daily, so does the availability of one of the most widely consumed forms of media, namely music. It is this increase in the amount of music on the web that has brought so much success to all players in the music industry in this digital age. More music online available in more places simply means more discovery of music and ultimately more consumption. This provides a major digital avenue for the music of developing artists to reach the public. The digital means of musical discovery is exactly what Steven J. Tepper discusses in his article, Pathways to Music Exploration in a Digital Age. The explosion of the Internet has often accompanied both the expansion and diffusion of culture, facilitating more choices available to more people Tepper (227). As such an integral aspect of modern media culture, music is becoming available through more available options. Some of these many options include, but are certainly not limited to, online CD collections, artists websites, YouTube, and of course digital storefronts like iTunes, Napster, Rhapsody, and MusicMatch

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(Tepper 228). As one can imagine, exploring new music was no easy task when these services were nonexistent (Tepper 230). Therefore, individuals have now come to rely on the musical one-stop shop services like iTunes. Now, all a developing artist needs to do is to get his or her product on one of these services and that artists music will likely be consumed. In addition, there is a distinct parallel between this increase in modern cultures musical reliance on the Internet and the music industrys reliance on revenue in the digital realm. The Digital Music Report 2011 provides statistical evidence of this trend by stating the percent of industry revenue from digital markets is up from 2% to 29% between the years 2004 and 2010 (13). Certain sources depart from this idea that the business side of the industry is thriving. The general opposition referenced in the journal article, Impact of Legal Threats on Online Music Sharing Activity: An Analysis of Music Industry Legal Actions by Sudip Bhattacharjee, et al claims that piracy introduces a devastating effect to the financial affairs of the music industry (qtd 92). However, Abhijit Sen refutes this opposition in his journal article Music in the Digital Age: Musicians and Fans Around the World Come Together on the Net by arguing that there is music everywhere and the music industry has more channels of revenue like ringtones, concert tickets, license agreements with TV shows and videogames than ever before (9). A developing artist who can simply get his or her name out there can therefore look for profits in not only music sales, but also through concerts, television, and merchandise. In other words, the easy access to digital music puts all members of the industry in a much more successful position, despite any negative influence of piracy. The music industry is also combating any negative influence from piracy through the pockets of the tech-savvy cellphone users. Just as cellular technology has exploded, the music industry has followed suit in its financial success. The emergence of smartphones into the daily

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lives of many has allowed the music industry to further its success in the current technological age. MIT researcher Sherry Turkle discusses the attachment that the current generation has to certain devices in this technological age. In her article, Always-On/Always-On-You: The Tethered Self, Turkle particularly elaborates on the bond that the current culture has to cellphones. The growth in both cellphone use and cellular technology has rendered the cellular user population focused on other connections (Turkle 138). The music industry has surely been one of these other connections (Turkle 138) that receives the attention from the ever-growing smartphone population. The music industry has realized that there are profound profits that can be made by streamlining music to the general population through smartphones. In fact, the more popularity that smartphones gain, the more the music industry reaps the benefits. The IFPI report tracks these benefits as a new generation of smartphones and applications has made more services available across different devices and has helped boost the popularity of music downloads (6). The report by IFPI applies Turkles argument by acknowledging the apparent growth in smartphone usage (IFPI 10), which has resulted in an increase of music consumption directly from such handsets (IFPI 10) belonging to todays tethered individuals. Tepper similarly acknowledges the benefit that the music industry is experiencing thanks to the vast number of downloads on digital devices by this digitally born generation (245). Both established and developing artists can now spread their products in the pockets of millions of smartphone users. When a closer look is taken at the cellular trends, this new generation of smartphones (IFPI 6) reveals that the sky is the limit for such benefits in the music industry. Just as the dominance of smartphones has brought gains to the music industry, todays most dominant websites like YouTube are providing equally important benefits. Music continues to be made easily and readily available to the numerous individuals that visit YouTube. The

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emergence of such a powerful site has brought fame and fortune to many ordinary individuals around the globe. The possibility of YouTube stardom (9) in present day vocabulary, as mentioned in Christopher Cayaris The YouTube Effect: How YouTube Has Provided New Ways to Consume, Create, and Share Music, naturally entices aspiring musicians, as well as the music industry in general, to use this digital age developments to their advantage. Seeing as though the site is visited daily by over two thirds of the Internet users in the United States (Cayari 2), the makers of music that gets uploaded on YouTube are consequentially experiencing many benefits in this digital age. Many aspiring artists can now use the popularity of YouTube to elevate their own popularity so that they attain a loyal fan base, which then creates an audience to play for at live profitable events. Not only are musicians, new and veteran ones alike, benefitting from the accessibility of videos on YouTube, but other private companies within the music industry are also seeing financial promise. Entire companies like VEVO have been born and have flourished through the web hits and advertisements as the company powers music videos across YouTube (IFPI 27). VEVO and other newly established video-based companies successfully multiply the support and fan bases of countless artists. Significant financial rewards come from the presence of VEVO channels on YouTube as artists attract significant audiences (IFPI 10), which of course means more fans consuming more songs. The benefits that these artists experience through companies like VEVO on YouTube are extended by Cayaris discussion of the growing frequency at which web users visit YouTube (2). A new or developing artist who can streamline his or her music through VEVO will surely reach the eyes and ears of these frequent visitors to YouTube. The sites monumental popularity discussed by Cayari only compounds the success that the entire

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music industry experiences during this digital age, whether it is new musicians, superstar artists, or even private companies. The success and fortunes that the worlds most prominent musical artists gain through these website can easily be acknowledged. However, there are many individuals and organizations that can strongly argue that new or developing artists do not experience these benefits of the digital music age. In particular, videos on YouTube provide viewers a way to watch or listen to songs or music videos at no charge. This availability of free consumption, along with the frequency of piracy, can put a burden on smaller or developing artists in an effort to succeed financially. This is evidenced in the 77% drop in debut album sales since 2003 (IFPI16). Although some new artists have the privilege to put on concerts, live performance revenues cannot make up for the fall in recording income (IFPI 22). Since these developing artists are the potential future of the industry, it is very reasonable to wonder how these new artists, and the future of the industry in general, can manage to succeed in the digital age. The case study explored by Christopher Cayari provides a solid response to this exact dilemma as it shows where the artists and the industry can find overall success in regard to digital music. The case study tracks a young developing musician by the name of Wade Johnston and the success he found in promotional networking sites like YouTube (Cayari 9). Songs were uploaded (Cayari 13) and covers were produced as Wade used a combination of methods to jumpstart his musical career on YouTube. The popularity that Wade received strictly from YouTube allowed him to develop more songs and eventually EPs and CDs (Cayari 17). Wade then started performing in live shows as a way of gaining additional revenue. Although Wade has not yet been discovered, YouTube has undoubtedly allowed Wade to promote himself as a musician, person, and song-writer (Cayari 18). This success that Wade Johnston has

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experienced from YouTube is surely no fluke, as evidenced in the example provided by Abhijit Sen. In his journal article, Sen traces the similar success of guitarist Jerry Chang to show that there is no way he would have attained any degree of international fame within a period eight months prior to the availability of digital technology (19). Developing artists thus do not suffer nearly as much as the critics claim; in fact, advancements such as YouTube should encourage developing artists like Wade and Chang to find their potential fortune in the music industry. This potential for success for developing artists is by no means limited to just the exposure offered on YouTube. New technology, particularly offered in sites like YouTube, allows developing artists to use preexisting songs from other artists and put their own remix or spin on songs, which is often called a mash-up (Cayari 24). This ability on sites like YouTube has given rise to all new digital music genres for developing artists to capitalize on, even if they do not have substantial instrumental music talent. With more genres through which aspiring artists can enter through, these new digital musicians are given an enhanced chance to succeed in musical production. The other musical production obstacle that this new technology addresses is the personal cost for the musician. Recording studio sessions can be very pricey, but new digital programs like GarageBand are offering developing artists affordable, yet high quality ways to produce their own music (Sen 17). With the combination of more genres and cheaper methods of creating music as results of digital age advancements, the music industry inevitably offers a more abundant and diverse set of products to whatever a given consumer musically desires. These innovations in the music industry have been constantly in combat with the threats of the digital age. These ups and downs that the music industry has dealt with in the digital age have led to vital reforms through legislation. Ultimately, these stricter policies have proven to benefit all form of copyrighted material from the threats that loom in the digital world. The

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existence and magnitude of services that promote piracy of copyrighted material, particularly music files, certainly cannot be questioned. The constant threat of this piracy has, however, sparked a legal response that is just as large, if not larger, in magnitude. The Sudip Bhattacharjee, et al. journal article marks the initial groundbreaking legal action against major piracy with the taking down of Napster in 2000 (92). Through the help of the Recording Industry Association of America (RIAA) since then, the music industry has proceeded to work for strategic legal measures that have ultimately caused a general reduction in individual sharing (Bhattacharjee, et al 93). The 2011 IFPI report shows the success of this recent legal action when it reminds the reader of the closure of Limewire, the blocking of The Pirate Bay in Italy and Denmark, and the removal of more than seven million infringing links all within the last 12 months (3). In addition, the report offers a case study of Sweden to show the success of a recent piece of legislation that reduced pirating activity of individuals by 52% after the law was established (11). The introduction of these laws is therefore providing the principle that prevents many individuals from continuing their piracy, which is just what members of the music industry, especially new artists, need to continue to thrive in the digital age. Although Bhattacharjee explores this apparent success, he also reminds the reader that there remains a significant amount of files online for file-sharers to access if they wish to do so (109). Specifically, his study of files from the twenty most popular music albums at the time indicated that more than 300 individual files associated with these popular albums were accessible to a file-sharer (109). The IFPI report insists that the music industry acknowledges this issue, but that the solution to the issue of illegally downloadable files takes time (11). This graduated response, which involves eliminating file-sharers through a series of steps, has been met with praise as many governments are either legislating or giving the approach active

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consideration (IFPI 18). This gradual legal approach is undoubtedly transforming the music industry into a secure sector of the economy. As this approach gains popularity, all forms of copyrighted material benefit from the resulting protection. Already, CDs and DVDs are experiencing much more protection from piracy with the introduction of effective encryptions that prevent illegal sharing of such products (Sen 10). This permeation of the music industrys piracy protection systems indicates that these recent legal actions allow all copyright-based industries to continue to thrive in the digital age. Thanks to this gradual legislative reform, aspiring and established music artists, along with all other members of the industry, should not feel the future of their careers being threatened by file sharing. Between the protection provided by this legislation, and the previously discussed mediums of success, thrive has truly been an appropriate verb to describe what the music industry continues to do in the digital age. Whether it has been through the mass availability of music, the access to music through tethered devices, the unquestionable exposure of music on sites like YouTube, or the technological advancements in digital music production, the music industry has used the power of the mighty digital revolution to its advantage in all sorts of ways. Granted the capabilities of the Internet have introduced threats to the status of the industry, all members of the industry have either created or utilized ways to benefit from technology and to ultimately conquer said threats. As more technological advancements are inevitably yet to come, the music industry, like all other commercial industries, must adapt to extend its profound success, just as it has until now. With great advancements in the digital arena come great avenues for triumph over digital threats for aspiring artists, popular artists, and all other industry members in the digital age.

Works Cited

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Bhattacharjee, Sudip, Ram D. Gopal, Kaveepan Lertwachara, James R. Marsden. "Impact of Legal Threats on Online Music Sharing Activity: An Analysis of Music Industry Legal Actions." Journal of Law and Economics 49.1 (2006): 91-114. Print. Cayari, Christopher. "The YouTube Effect: How YouTube has Provided New Ways to Consume, Create, and Share Music." International Journal of Education and the Arts. 12.6 (2011): 1-29. Print. "Dust-Up: How big a risk does piracy pose to the entertainment industry?" Los Angeles Times. 15 May 2011. Web. 6 Nov. 2011. IFPI Digital Music Report 2011. Rep. Zurich: International Federation of the Phonographic Industry, 2011. Print. 29 Oct. 2011. Knopper, Steve. Appetite for Self-Destruction: The Spectacular Crash of the Record Industry in the Digital Age. New York: Free, 2009. Print. Sen, Abhijit. "Music in the Digital Age: Musicians and Fans Around the World Come Together on the Net." Global Media Journal 9.16 (2010): 1-25. Print. Tepper, Steven. "Pathways to Music Exploration in a Digital Age." Poetics 37.3 (2009): 227249. Print. Turkle, Sherry. Always-On/Always-On-You: The Tethered Self. (E)dentity. Ed. Stephanie Vie. Southlake: Fountainhead Press, 2011. 135-143. Print.