Wednesday Morning Business Notes
Warner Music Group's investment in Bad Boy Entertainment is really paying off, isn't it? What music greatness does the label have coming next that's not from a dead rapper? Roger Friedman reported yesterday that Sean "Diddy" Combs just launched a fragrance called "Unbelievable." It certainly is.
Former RIAA chief Hilary Rosen will start an anti-piracy consultancy group with former IFPI leader Peter Berman. (News.com)
A poll conducted by Ipsos for the Associated Press and Rolling Stone reveals consumer's opinions about the quality and price of music. Three out of four say CDs are too expensive, and 58% say music is, in general, getting worse. The incredible thing about the Forbes article is that the mythical $20 CD is mentioned. Who pays $20 for a CD? Not any of the millions who shop for music at Wal-Mart, Best Buy or Circuit City. If people think $20 is too much for a CD, they're absolutely right. The problem is that few actually end up paying $20 for the average CD. Another revealing part of the study: FM radio is the main way people find out about new music. Television shows are a "distant" second. (Makes sense. Look at Amazon.com's top sellers and try to find something not related to TV or movies.)
The LA Times talks about customizable Internet radio station Pandora, which uses the Music Genome Project to recommend songs and create playlists. "For the moment, it's the coolest thing out there," says EMI's Ted Cohen. "The whole idea seems to be to give people just enough interaction so that the listening experience gets better — and it works."
Music Groups