THE MUSIC DOPE

comments on the machinations of the music industry

Thursday, April 14, 2005

CDs are dead, and major labels are not far behind.

Jeff Jarvis gets it. He sees the future for what it is. Do you?

Are you in denial about the coming decade?

Jarvis points out that "aggregation is the new scale" or, as I'd put it, "the reason digital distribution is changing everything."

Scale--the theory that size matters--is the building block of aggregation, for small scale begats limited aggregation. But today consumer scale (from a digital perspective) has achieved critical mass. The emergence of profitable niche has stretched the long tail and taken the fat end of the market with it. It's obvious that as soon as some copyright issues are resolved, the music industry is going to explode.

As Jarvis alludes, mass customization is upon us, from Nikes to Barbies. It's even upon us in the music business, except that it's still underground and basically uncaptured. The massive success of iTunes hints that customization will fuel opportunity sooner rather than later.



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