El Borrachito
Premier Staff
With the free iTunes giveaway of U2's new album, one of the biggest recording acts of the last 35 years has very publicly rejected the idea of selling recordings to the public as a way for an artist to generate revenue. Instead 500 million people today have access to Songs Of Innocence. In many cases the album downloaded into
iTunes users accounts all by itself.
If this album sold 2.5 million copies - just 0.5% of the number of people who just got it for free - in a traditional release, it would certainly be the best selling album of 2014. To put that sad number in perspective, Usher's Confessions was the top selling album in 2004 with 20 million copies sold to date. On 2.5 million in sales, the band could gross perhaps 10-15 million dollars. If it sold no better than 2009's No Line On The Horizon (1.1 million copies), 5-6 million. On the other hand, the 2009 tour grossed upwards of 700 million dollars. Maybe Apple gave U2 10 million bucks, maybe they didn't. If they did, it was a good hedge against sales that are quickly dwindling to zero. If they didn't, it's a write off on the tour promotion budget. If I were them, I would have done it too.
The problem is, they just sank the business for everyone else. If a new fucking U2 album is worth $0, what is Joe Nobody's worth? Have fun driving around the country in your van guys. That's as good as it's ever going to get. Recorded music is officially worthless. If you can put butts in seats, you can make money. If you can't fill up an 800 seat theater, go do something else. It's 1890 again - except you still have to record stuff to put on the radio! ...and airports.
How will artists adapt to the new model? Expect the established artists to auction their albums off to the highest corporate bidder as a premium product tie-in. The Jay-Z/Samsung Galaxy deal has established this precedent. If you're edgier than MacLemore, you're shit out of luck. Anyone who wants to tour and make records will be beholden to their corporate sponsors. The music business will become NASCAR. As for Joe Nobody, get back in the van.
iTunes users accounts all by itself.
If this album sold 2.5 million copies - just 0.5% of the number of people who just got it for free - in a traditional release, it would certainly be the best selling album of 2014. To put that sad number in perspective, Usher's Confessions was the top selling album in 2004 with 20 million copies sold to date. On 2.5 million in sales, the band could gross perhaps 10-15 million dollars. If it sold no better than 2009's No Line On The Horizon (1.1 million copies), 5-6 million. On the other hand, the 2009 tour grossed upwards of 700 million dollars. Maybe Apple gave U2 10 million bucks, maybe they didn't. If they did, it was a good hedge against sales that are quickly dwindling to zero. If they didn't, it's a write off on the tour promotion budget. If I were them, I would have done it too.
The problem is, they just sank the business for everyone else. If a new fucking U2 album is worth $0, what is Joe Nobody's worth? Have fun driving around the country in your van guys. That's as good as it's ever going to get. Recorded music is officially worthless. If you can put butts in seats, you can make money. If you can't fill up an 800 seat theater, go do something else. It's 1890 again - except you still have to record stuff to put on the radio! ...and airports.
How will artists adapt to the new model? Expect the established artists to auction their albums off to the highest corporate bidder as a premium product tie-in. The Jay-Z/Samsung Galaxy deal has established this precedent. If you're edgier than MacLemore, you're shit out of luck. Anyone who wants to tour and make records will be beholden to their corporate sponsors. The music business will become NASCAR. As for Joe Nobody, get back in the van.