Where the Record Companies Went Wrong

Here is my two cents on the demise of the music business and when I say demise I am referring to the fat cats running music labels.

First and foremost they should have embraced Napster. Most music companies along with some stupid musical acts like Metallica decided they could stop file sharing, this was really dumb. First off you can't stop people from sharing their music what they should have done was partner with Napster.

Here is what they did, they spent millions of dollars trying to fight everyone, in the end file sharing isn't one guy who built a tool and hosted some files. It really is a community of people and that community is comprised of million of users.

Since Napster there have been hundreds of bad copycats which brings us to the file sharing tool of choice which is a Torent. The most popular place to use this great piece of software is at The Pirate Bay. Here you can not only download music you can also download movies and software.

Funny it seems things may have become a little worse for the music industry, never mind the fact they spent millions trying to stop something that is arguably worse for them than before.

Here is what they should have done. They should have realized that the music industry revenues where going to be based on merchandising and concert revenues. The actual music is much like a television show. It doesn't cost anything for the user to view or in this case listen to, they like TV should have built an advertising business around Napster that the music business would have shared in. The savings over actually making and shipping CD's might have actually made them more money.

Had they done this before the iPhone/Apple started to dictate what they had to do next might have saved their business. Hind site is always 20/20 but that's also the way the business world works and I don't for a moment feel sorry for these guys.

Is their business salvageable? I think it is to the point that they won't cease to exist, but given the fact that iTunes wants to reduce the price per song/cd I think the days of making obscene amounts of money are over. Unless of course they totally revamp their business and totally embrace the online trading business. If they were smart and they aren't they would be talking with the guys at The Pirate Bay.

This has much less to do with stealing music and has more to do with a group of people that didn't know that there business was simply changing!

This article was written by Shawn Wilson, a member of the customer support team at Datepad, where internet dating is always free. Datepad has a massive directory of informative dating articles along with a great list of dating site reviews on their dating blog.

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