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Written by asap
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Friday, 09 March 2007 |
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Is that 50 Cent in your pocket? Maybe it’s Nickelback’s “Rockstar” or The Black Eyed Peas — all blaring from your cell phone.
Whoever’s playing, it’s the sound of money to phone companies and the music industry, both hoping to pry more cash from your wallet.
Along with ringtones and ringbacks, Verizon, Sprint and other carriers are pushing full-length song downloads, wallpaper, games, streaming videos and even TV.
At a panel at the Digital Music Forum East, a New York gathering of music and electronics bigwigs, the discussion focused on how to get you to ditch your MP3 player and think of your cell as the go-to music source.
Since Sprint Nextel launched the first fully wireless music store for cell phones in the United States in late 2005, other carriers have followed, increasing ease and options.
To keep the money rolling in, phone companies and music retailers are pushing more user-friendly, tech-heavy phones with various music options: a range of subscription rates, bundling things like ringtones and ringbacks, quicker downloads, removable memories, and preloaded with applications to use the carrier’s store.
“I don’t think anyone in the U.S. who watches TV or goes online at the end of 2007 is not going to know that they can listen to music, buy music and enjoy music on their mobile phone,” says John Burris, vice president of wireless data at Sprint Nextel.
Meanwhile, the music industry continues to struggle as customers ditch hard copies of their music. While there’s been a 70 percent drop in CD sales in the past 10 years, digital music sales haven’t made up the shortfall, according to a recent Forrester study.
“The future for our business is not about selling CDs,” says Rio Caraeff, general manager of Universal Music Mobile, the wireless branch of the enormous Universal label. “The future for us is, I think, is brighter than ever but it’s also more complicated than it’s ever been.”
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INDUSTRY TALK
Industry terms were tossed around — words like sideloading, on-deck and off-deck, and lengthening the tail. We felt you should know what they’re talking about when they’re discussing you — and your cell.
On-deck/Off-deck — “On deck” - dependent on your handset and phone company for new music and applications.
“Off-deck” — getting your music from a retail Web site.
"Sideloading" — ability to copy music from your computer to your phone and visa versa.
"Lengthening the tail" — having recommendations and an array of options that keep you online and buying.
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