Download ucla 5.27.13 - Al`s Records and Tapes

howtechnology,
deregulationandgreed
reshapedmusic
andthemusician:
1980-2013
CD:
Compactdisk:
CD:
Compactdisk:
COMMERCIALLY1982
CD:
Compactdisk:
COMMERCIALLY1982
“PERFECT”COPIES
CD:
Compactdisk:
COMMERCIALLY1982
“PERFECT”COPIES
DIGITALSPEED
Pre- CD:
- ALBUMS
- ORIGINALLY 22 MINS. PER SIDE (44
MINS. MAX)
Pre- CD:
- TAPE…
Walkman:
- 1979.
Walkman:
- 1979.
- IPOD OF IT’S TIME.
Walkman:
- 1979.
- IPOD OF IT’S TIME.
- PIRACY
CD PLAYERS
1983-ish.
CD PLAYERS
1983-ish.
CD WAS PLANNED TO BE THE SUCCESSOR TO
THE GRAMOPHONE RECORD
CD PLAYERS
1983-ish.
CD WAS PLANNED TO BE THE SUCCESSOR TO
THE GRAMOPHONE RECORD
NOT
RECORDABLE
Initially:
CD PLAYERS
1990- CD-R
Perfect copies of cds.
CD:
1983:
reinvigorate record business:
CD:
1983:
reinvigorate record business:
- high end audio file recordings
CD:
1983:
reinvigorate record business:
- high end audio file recordings
- consumers re-purchase back catalogs
(beatles, rolling stones, marvin gaye…)
CD:
1983:
reinvigorate record business:
- high end audio file recordings
- consumers re-purchase back catalogs
(beatles, rolling stones, marvin gaye…)
- record companies become CATALOG focused.
- cost of promoting and signing new acts vs.
cost of re-marketing proven catalogue.
CD:
1983:
reinvigorate record business:
- high end audio file recordings
- consumers re-purchase back catalogs
(beatles, rolling stones, marvin gaye…)
- record companies become CATALOG focused.
- cost of promoting and signing new acts vs.
cost of re-marketing proven catalogue.
- price DOUBLES cost of albums/cassettes.
Sampling:
SYNCLAVIER II IN 1980.
Sampling:
SYNCLAVIER II IN 1980.
FEATURES:
SAMPLING, 64 VOICE POLYPHONY, 32MB
OF WAVEFORM RAM (EXPANDABLE TO 768), 32
OUTPUTS, MUSIC-NOTATION PRINTING,
DIGITAL
HARD-DISK RECORDING.
MULTITRACK SEQUENCING, AND
Sampling:
CHANGES RECORDED POPULAR MUSIC
FOREVER.
Sampling:
CHANGES RECORDED POPULAR MUSIC
FOREVER.
- ORCHESTRAS
Sampling:
CHANGES RECORDED POPULAR MUSIC
FOREVER.
- ORCHESTRAS
- STUDIOS
Sampling:
CHANGES RECORDED POPULAR MUSIC
FOREVER.
- ORCHESTRAS
- STUDIOS
- MUSICIANS
Sampling:
CHANGES RECORDED POPULAR MUSIC
FOREVER.
- ORCHESTRAS
- STUDIOS
- MUSICIANS
- MUSICIANSHIP
Sampling:
“borrow” from others..
Sampling:
“borrow” from others..
- sounds great!
- no need for musicians
- no need for studios
Sampling:
“borrow” from others..
- sounds great!
- no need for musicians
- no need for studios
publishing owned by major labels:
- reshuffling of accounting in lawsuits
- labels continue to adjust from being record
makers into ancillary units
Sampling:
“borrow” from others..
- sounds great!
- no need for musicians
- no need for studios
publishing owned by major labels:
- reshuffling of accounting in lawsuits
- labels continue to adjust from being record
makers into ancillary units
legal departments:
- #1 growth industry in the music business
legaldepartmentsbecome
#1growthindustryinthe
recordbusiness.
MTV:
1981:
changes record business:
- additional promotion
- visuals vs./in addition to: touring
- spawns copycats:
- vh1
- tnn
- bet
Downloading:
Downloading:
Size of the file:
- mp3 vs. cd or dvd
Downloading:
Size of the file:
- mp3 vs. cd or dvd
changes record business:
Downloading:
Size of the file:
- mp3 vs. cd or dvd
changes record business:
- unlike advent of cd… downloading is allowed.
Downloading:
Size of the file:
- mp3 vs. cd or dvd
changes record business:
- unlike advent of cd… downloading is allowed.
NO RESPONSE:
Downloading:
Size of the file:
- mp3 vs. cd or dvd
changes record business:
- unlike advent of cd… downloading is allowed.
NO RESPONSE:
- mp3 file sharing 1993…
- Napster started 1999…
Downloading:
Size of the file:
- mp3 vs. cd or dvd
changes record business:
- unlike advent of cd… downloading is allowed.
NO RESPONSE:
- mp3 file sharing 1993…
- Napster started 1999…
- RIAA first suit: 2003.
recordlabels...
NOresponse…
fordownloading.
FREEMUSICFORALL!
The Telecommunications Act of 1996:
The Telecommunications Act of 1996:
- LIFTED THE LIMIT ON HOW MANY
RADIO STATIONS ONE COMPANY CAN
OWN.
The Telecommunications Act of 1996:
- LIFTED THE LIMIT ON HOW MANY
RADIO STATIONS ONE COMPANY CAN
OWN.
- THE CAP HAD BEEN
40 STATIONS.
The Telecommunications Act of 1996:
- LIFTED THE LIMIT ON HOW MANY
RADIO STATIONS ONE COMPANY CAN
OWN.
40
- THE CAP HAD BEEN
STATIONS.
- CLEAR CHANNEL: MORE THAN
1,200 STATIONS.
The Telecommunications Act of 1996:
- LIFTED THE LIMIT ON HOW MANY
RADIO STATIONS ONE COMPANY CAN
OWN.
40
- THE CAP HAD BEEN
STATIONS.
- CLEAR CHANNEL: MORE THAN
1,200 STATIONS.
- DROP IN THE NUMBER OF MINORITY
STATION OWNERS
The Telecommunications Act of 1996:
- LIFTED THE LIMIT ON HOW MANY
RADIO STATIONS ONE COMPANY CAN
OWN.
40
- THE CAP HAD BEEN
STATIONS.
- CLEAR CHANNEL: MORE THAN
1,200 STATIONS.
- DROP IN THE NUMBER OF MINORITY
STATION OWNERS
- HOMOGENIZATION OF PLAY LISTS
The Telecommunications Act of 1996:
- LIFTED THE LIMIT ON HOW MANY
RADIO STATIONS ONE COMPANY CAN
OWN.
40
- THE CAP HAD BEEN
STATIONS.
- CLEAR CHANNEL: MORE THAN
1,200 STATIONS.
- DROP IN THE NUMBER OF MINORITY
STATION OWNERS
- HOMOGENIZATION OF PLAY LISTS
- LESS LOCAL NEWS.
The Telecommunications Act of 1996:
- LIFTED THE LIMIT ON HOW MANY
RADIO STATIONS ONE COMPANY CAN
OWN.
40
- THE CAP HAD BEEN
STATIONS.
- CLEAR CHANNEL: MORE THAN
1,200 STATIONS.
- DROP IN THE NUMBER OF MINORITY STATION
OWNERS
- HOMOGENIZATION OF PLAY LISTS
- LESS LOCAL NEWS.
- MORE DIFFICULT FOR NEW ARTISTS TO GET
AIRTIME ON COMMERCIAL RADIO
MediaMonopoly…
VerticalIntegration:
FROM THE EARLY 1920S THROUGH THE EARLY 1950S, THE AMERICAN
MOTION PICTURE INDUSTRY WAS CONTROLLED BY A FEW
COMPANIES.
THE MOST POWERFUL OF THESE STUDIOS WERE THE FULLY
INTEGRATED BIG FIVE STUDIOS: MGM, WARNER BROTHERS, 20TH
CENTURY FOX, PARAMOUNT PICTURES, AND RKO.
THESE STUDIOS NOT ONLY PRODUCED
AND DISTRIBUTED FILMS, BUT ALSO
OPERATED THEIR OWN MOVIE
THEATERS.
UNIVERSAL STUDIOS, COLUMBIA PICTURES, AND UNITED ARTISTS
PRODUCED AND DISTRIBUTED FEATURE FILMS, BUT DID NOT OWN
THEIR OWN THEATERS.
MediaMonopoly…
VerticalIntegration:
VERTICAL EXPANSION (BUYING INTO INTEGRATION) CAN BE USED
TO INCREASE SCALES AND TO GAIN MARKET POWER.
THE ACQUISITION OF DIRECTV BY NEWS CORPORATION
IS AN EXAMPLE OF FORWARD VERTICAL EXPANSION.
DIRECTV IS A SATELLITE TV COMPANY THROUGH WHICH NEWS
CORPORATION CAN DISTRIBUTE MORE OF ITS MEDIA CONTENT:
NEWS, MOVIES, AND TELEVISION SHOWS.
THE ACQUISITION OF NBC UNIVERSAL BY COMCAST CABLE
IS AN EXAMPLE OF BACKWARD VERTICAL INTEGRATION.
MediaMonopoly:
VerticalIntegration:
IN UNITED STATES V. PARAMOUNT PICTURES, INC., THE
SUPREME COURT ORDERED THE FIVE VERTICALLY
INTEGRATED STUDIOS TO SELL OFF THEIR
THEATER CHAINS.
MediaMonopoly:
VerticalIntegration:
APPLE ITUNES:
- owns store
MediaMonopoly:
VerticalIntegration:
APPLE ITUNES:
- owns store
- owns hardware
MediaMonopoly:
VerticalIntegration:
APPLE ITUNES:
- owns store
- owns hardware
- owns software
MediaMonopoly:
VerticalIntegration:
APPLE ITUNES:
- owns store
- owns hardware
- owns software
APPLE:
DOES NOT MAKE CONTENT.
LET’STAKEABREAK.
MusicCommunity:
MAKINGARECORD:
MusicCommunity:
MAKINGARECORD:
- artist
MusicCommunity:
MAKINGARECORD:
- artist
- songwriter
MusicCommunity:
MAKINGARECORD:
- artist
- songwriter
- producer
MusicCommunity:
MAKINGARECORD:
- artist
- songwriter
- producer
- engineer
MusicCommunity:
MAKINGARECORD:
- artist
- songwriter
- producer
- engineer
- musicians
MusicCommunity:
PROMOTINGARECORD:
- artist.
- record company.
- promotion team.
- radio stations.
- video team.
- concerts… promotion team, agents, etc.
- musicians.
HistoryofMusicBudgets
In 1979 a typical music budget for a 60 minute prime time
show was $35,000.
($104,117 adjusted for today's dollars)
HistoryofMusicBudgets
In 1979 a typical music budget for a 60 minute prime time
show was $35,000.
($104,117 adjusted for today's dollars)
This amount covered:
 Composer’s fee.
HistoryofMusicBudgets
In 1979 a typical music budget for a 60 minute prime time
show was $35,000.
($104,117 adjusted for today's dollars)
This amount covered:
 Composer’s fee.
 Musician’s payments (typically 30 musicians for 1 or 2
sessions).
HistoryofMusicBudgets
In 1979 a typical music budget for a 60 minute prime time
show was $35,000.
($104,117 adjusted for today's dollars)
This amount covered:
 Composer’s fee.
 Musician’s payments (typically 30 musicians for 1 or 2
sessions).
 Arranging and orchestration.
HistoryofMusicBudgets
In 1979 a typical music budget for a 60 minute prime time
show was $35,000.
($104,117 adjusted for today's dollars)
This amount covered:
 Composer’s fee.
 Musician’s payments (typically 30 musicians for 1 or 2
sessions).
 Arranging and orchestration.
 Union benefits, payroll taxes.
HistoryofMusicBudgets
In 1979 a typical music budget for a 60 minute prime time
show was $35,000.
($104,117 adjusted for today's dollars)
This amount covered:
 Composer’s fee.
 Musician’s payments (typically 30 musicians for 1 or 2
sessions).
 Arranging and orchestration.
 Union benefits, payroll taxes.
 Studio costs.
AFMStrike
Confluence:
- End of studio music departments:
- Copying
- Orchestration
- Studio costs
AFMStrike
Confluence:
- End of studio music departments:
- Copying
- Orchestration
- Studio costs
- Rise of technology:
- Synthesizers
- Home recording
- Sampling
Badluck.
Theartofcomedyis…
Theartofcomedyis…
ttttttt…
Timing.
AFMStrike
AFMstrike
technology
AFMstrike
technology
endofsystem (musicdepartments)
badluck.
badluck.
timing.
income...
vultures.
ThePackage
- Solution to troublesome AFM strike.
- Created by agents Mike Gorfaine and
Sam Schwartz along with Mike Post.
- Undercut AFM Strike.
- Reconfigured TV and film music
economics.
ThePackageDeal
• Pre-1981: Composers fees were
separate line items in budgets
from:
– musicians fees
– conductors
– orchestrators
– studio costs
ThePackageDeal
• Pre-1981: Composers fees were
separate line items in budgets from
musicians fees, conductors,
orchestrators, etc.
• Post-1981: Music budget cut by 50%,
all expenses paid by composer,
whose profit = what is left at the
end.
ThePackage
- Composer is paid a fixed fee for the
entire job, including recording
expenses.
- Package dis-incentivizes composer
from working with:
-
Musicians
Copyists
Contractors
Orchestrators
Recording Studios
ThePackage
- Born with AFM strike, 1980.
ThePackage
- Born with AFM strike, 1981.
- Mike Post approach the producers:
"Give me the publishing rights for
my music, I'll charge you half of
what you now budget for a TV score,
and don't ask me how I do it.”
ThePackage
- Born with AFM strike, 1981.
- Mike Post approach the producers:
"Give me the publishing rights for
my music, I'll charge you half of
what you now budget for a TV score,
and don't ask me how I do it.”
- Post delivered the scores
ThePackage
- Born with AFM strike, 1981.
- Mike Post approach the producers:
"Give me the publishing rights for
my music, I'll charge you half of
what you now budget for a TV score,
and don't ask me how I do it.”
- Post delivered the scores
- the AFM strike failed
ThePackage
- Born with AFM strike, 1981.
- Mike Post approach the producers:
"Give me the publishing rights for my
music, I'll charge you half of what you
now budget for a TV score, and don't
ask me how I do it.”
- Post delivered the scores
- the AFM strike failed
- Post became the top earning
TV
composer of the last 40 years.
ThePackage
- Born with AFM strike, 1980.
- Makes Composers Independent
Contractors/Employers
ThePackage
- Makes Composers Independent
Contractors/Employers
ThePackage
- Makes Composers Independent
Contractors/Employers
- Constricts/Eliminates/Limits AFM:
-
Musicians
Copyists
Contractors
Orchestrators
ThePackage
- Makes Composers Independent
Contractors/Employers
- Constricts/Eliminates/Limits AFM:
-
Musicians
Copyists
Contractors
Orchestrators
- Introduces a new way of working:
FREE!
- composers, with no collective
bargaining, and no protection from a
union, begin to work as such:
FREE!
- composers, with no collective
bargaining, and no protection from a
union, begin to work as such:
- Free, unlimited demos… and…
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
- Free lyric writing
- Consistently decreasing fees for shows
- Non union buyout of musicians
- 100% of the publishing
- Copyright ownership
- Unlimited changes
- Contractual clause that prevents budget over runs
regardless of what changes are asked for
FREE!
- Unlimited demo submissions
FREE!
- Unlimited demo submissions
- Free composition
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
- Free lyric writing
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
- Free lyric writing
- Consistently decreasing fees for
shows
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
- Free lyric writing
- Consistently decreasing fees for shows
- Non union buyout of musicians
- 100% of the publishing
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
- Free lyric writing
- Consistently decreasing fees for shows
- Non union buyout of musicians
- 100% of the publishing
- Copyright ownership
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
- Free lyric writing
- Consistently decreasing fees for shows
- Non union buyout of musicians
- 100% of the publishing
- Copyright ownership
- Unlimited changes
FREE!
- Unlimited demo submissions
- Free composition
- Free recording
- Free arranging
- Free singing
- Free lyric writing
- Consistently decreasing fees for shows
- Non union buyout of musicians
- 100% of the publishing
- Copyright ownership
- Unlimited changes
- Contractual clause that prevents budget over runs
regardless of what changes are asked for
TVMUSIC:
In 1979 a typical music budget for a 60 minute
prime time show was $35,000 ($104,117
adjusted for inflation)…
TVMUSIC:
In 1979 a typical music budget for a 60 minute
prime time show was $35,000 ($104,117
adjusted for inflation)…
In 2013 a typical music budget for a 60 minute
prime time show is…
$14,000- an 87% overall drop.
TV:HOURPRIMETIME
Writers’ Guild of America minimums:
Network Primetime 60 minute script (Courtesy of the WGA)
WGA: 129% of 1979
Music: 13% of 1979
• 1979: $8,655 ($25,347 adjusted for 2011)
• 2011: $32,700
WGA = 129%
1979
2010
Music = 13%
TheEnd
- Spotify, Pandora, Youtube… whatever…
- Musicians have no leverage
- No union
- No association with strong unions (WGA, others)
- No precedents
- No partnership with record labels
- Labels remain only entity with real power due to
catalogs
- Composers, musicians, songwriters, producers,
engineers…
- NO protection
- Who benefits:
Lawyers.
Howdoesthisgenerationrebuild?