The iPod changed the music industry model from a tightly controlled, some would say corrupt, industry, into a user choice market focusing more on singles rather than a whole album. Combined with the reach of the Internet, reality TV (American Idol) and new listening formats (streaming, satellite, websites selling mp3s) the means with which the public can purchase and hear new music is changing right before our ears.
Last week was a big week for that change. Two days before Radiohead released their new album, Trent Reznor of Nine Inch Nails posted he had dropped the record label in favor of "...a direct relationship with the audience as I see fit and appropriate." Soon afterward both Jamiroquai and Oasis were rumored to be interested in releasing their new album on a pay-as-you-wish system. How did the Internet react?
Radiohead did extremely well as their traffic spiked on the pre-order and release days. NIN also saw a sharp increase in web traffic but Oasis and Jamiroquai remained unchanged. Another big music story of last week was on Wednesday (day of Radiohead's release) when Madonna announced that she had left Warner Bros Records for the concert promotion company Live Nation in a $120 million deal. Live Nation did see a traffic boost during the week but Madonna’s site stayed relatively flat:
The fans have spoken and the message is clear. People want music their way and such is the reasoning and success for the iTunes Store and the recent launch of Amazon Mp3 Downloads store, which is completely DRM-Free. Yahoo Music VP or Product Development Ian Rogers last week also said they would not sell any more music with DRM; "I want to delight consumers, not bum them out." Artists have heard the message and are no longer waiting for the recording industry. They are moving ahead, with or without the recording industry.
Welcome to the revolution.
