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| Get our free newsletter for the latest releases Contents Music Software Quick Reference Resources Online Ordering Software Authors Company Info | Shareware Music Machine News Give Your Music Away For Free (part two) Date posted: July 15 1999
Media Media Media - we need to take more of a media approach to making money from music as the media are very good at making lots of money from the activity surrounding their products while giving us most of what they have for free. So let's take their example and give the music away for free but sell the legitimacy of the activities surrounding the music. At Hitsquad we've developed the concept of Serialized Songs - that is you individually encrypt a watermark with a serial number into each copy of a song you want to sell. This is the difference between the free tap water and the expensive bottled water that Phil Tripp talks about. The serial number is the bottle we put the otherwise free water into. It's important to note here that I'm not talking about using encryption to try and prevent copying of the song - only to show that an individual copy of a song is a legitimate one - a genuine tribal marking. In fact a new online record label was recently launched by a number of people who previously worked for one of the world's foremost encryption companies - PGP, and they do not intend to try and use encryption to prevent unauthorized copying. Now let's revisit the school playground... Imagine if that same kid turns up and says "Hey I've got the new Savage Garden song, in fact I've got the 5th ever copy of the song anywhere in the world!" Not only can we ensure a legitimate copy of the song is more desirable than a free copy but we can also make many other benefits available to the legitimate tribal members now that we can easily identify them. Here are just a few examples:
Will New Approaches Work? Well the evidence is clear to us at Hitsquad that consumers prefer new approaches as do artists and investors. So far this year over $600 Million has already been invested in new approaches and we believe that figure will top $2 Billion before the year is out. A perfect example is MP3.com which makes generates more revenues every day from advertising than it does from a week's worth of CD sales, and those advertising revenues make their way back to the artists in the form of royalties paid to collection agencies for the right to let people listen to music at their web site. And one important thing not to be forgotten - the software industry has already proven new approaches will work with companies like Netscape who give their most popular products away for free selling for billions of dollars and generating huge amounts of income every single day.
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