by Bill Wyman
What happened to the music industry over the last 10 years or so was a lot like the plot of The Hangover. Bad judgment and self-indulgence producing chaos, pain, blinding sun, dim but lacerating memories … and you wake up to find there's a tiger in your hotel suite. It's been more than 10 years since compression technologies and ever-faster online speeds started making it easy to move media around online. That's the development that put the plot in motion. For music fans, what was first the slow agony—and then the thrill—of emailing a song to a friend evolved with ever-increasing speed into a world in which we can easily swap discographies of 10, 20, even 50 or 100 albums.
What that meant for the music industry was painful: Its sales are about 40 percent of what they were 12 years ago, and there are even worse metrics than that. (There's a chart on this blog post, for example, which demonstrates that people are buying about one-fourth as many CDs as they were in the 1990s.)
Throughout, chaos reigned: The fall of the CD. The rise and fall of the DVD; the rise and fall of Napster. The rise and rise and rise of the file-sharing networks and cyberlocker sites. Thousands of legal attacks by the record industry on file-sharers; the coming of Netflix; the opaque future of streaming services and cloud storage. Indeed, Steve Jobs recently announced Apple's foray into cloud storage. The idea is that we'll be able to match our iTunes libraries—music for now, but eventually video as well—to online repositories, where they will be accessible to all of our computers, TVs, phones, and pads. (I'm not buying it, but that's a subject for another time.)
But note that this has come a decade after the introduction of the iPod. While many of the industry's humiliating Hangover-like pratfalls took place in public, a lot worse was going on behind the scenes. The labels knew something was happening, but they didn't know what it was, and scrambled wildly—and spent that way, too—to get a piece of it. (Remember Warners and Imeem?) It took more than 10 years of rights wrangling, much of it done personally by the irresistible Jobs himself, with the recalcitrant and stubborn levels of the music industry, from artists and their agents and managers, to the record industry with the various labels and corporate parents, and then songwriters and their various rights organizations, most of which resisted technological change in every knuckleheaded way possible.
Speaking of which, look at the New York Times today. Hollywood and the cable industry are teaming up to penalize illegal downloaders by taking away part or all of their Internet access after five or six warnings, the beginning of a new Whac-a-Mole game that, even if successful, will just see the downloaders move to new and more secure ways to move media around.
Right now, in fact, the movie and TV business looks a lot like the music one did in the early 2000s. And as we've seen, that decade didn't work out too well for the labels. So it's worth looking at the situation and wondering how things are going to fare in the TV and movie world in the decade ahead. It can all be summed up in one single sentence. I'll get to that in a minute.
The situation for watching a movie or a TV show these days is a mess. Here's a case study. If I want to watch some old episodes of The Office, for example, I have an extraordinary slew of options. But there are two problems with this. For one, I don't want a slew of options. I really just want one. And, as for the second, they're all hard to use or incomplete in one way or another.
Read more:
What happened to the music industry over the last 10 years or so was a lot like the plot of The Hangover. Bad judgment and self-indulgence producing chaos, pain, blinding sun, dim but lacerating memories … and you wake up to find there's a tiger in your hotel suite. It's been more than 10 years since compression technologies and ever-faster online speeds started making it easy to move media around online. That's the development that put the plot in motion. For music fans, what was first the slow agony—and then the thrill—of emailing a song to a friend evolved with ever-increasing speed into a world in which we can easily swap discographies of 10, 20, even 50 or 100 albums.
What that meant for the music industry was painful: Its sales are about 40 percent of what they were 12 years ago, and there are even worse metrics than that. (There's a chart on this blog post, for example, which demonstrates that people are buying about one-fourth as many CDs as they were in the 1990s.)
Throughout, chaos reigned: The fall of the CD. The rise and fall of the DVD; the rise and fall of Napster. The rise and rise and rise of the file-sharing networks and cyberlocker sites. Thousands of legal attacks by the record industry on file-sharers; the coming of Netflix; the opaque future of streaming services and cloud storage. Indeed, Steve Jobs recently announced Apple's foray into cloud storage. The idea is that we'll be able to match our iTunes libraries—music for now, but eventually video as well—to online repositories, where they will be accessible to all of our computers, TVs, phones, and pads. (I'm not buying it, but that's a subject for another time.)
But note that this has come a decade after the introduction of the iPod. While many of the industry's humiliating Hangover-like pratfalls took place in public, a lot worse was going on behind the scenes. The labels knew something was happening, but they didn't know what it was, and scrambled wildly—and spent that way, too—to get a piece of it. (Remember Warners and Imeem?) It took more than 10 years of rights wrangling, much of it done personally by the irresistible Jobs himself, with the recalcitrant and stubborn levels of the music industry, from artists and their agents and managers, to the record industry with the various labels and corporate parents, and then songwriters and their various rights organizations, most of which resisted technological change in every knuckleheaded way possible.
Speaking of which, look at the New York Times today. Hollywood and the cable industry are teaming up to penalize illegal downloaders by taking away part or all of their Internet access after five or six warnings, the beginning of a new Whac-a-Mole game that, even if successful, will just see the downloaders move to new and more secure ways to move media around.
Right now, in fact, the movie and TV business looks a lot like the music one did in the early 2000s. And as we've seen, that decade didn't work out too well for the labels. So it's worth looking at the situation and wondering how things are going to fare in the TV and movie world in the decade ahead. It can all be summed up in one single sentence. I'll get to that in a minute.
The situation for watching a movie or a TV show these days is a mess. Here's a case study. If I want to watch some old episodes of The Office, for example, I have an extraordinary slew of options. But there are two problems with this. For one, I don't want a slew of options. I really just want one. And, as for the second, they're all hard to use or incomplete in one way or another.
Read more: