Category Archives: Stupidity

A to Z of Making It, Music, My Stories, Piracy, Stupidity, Treating Fans Like Shit

The Power Of The Record Labels

It’s 1992.

Hard rock bands are becoming too generic and soulless, especially the newer breed from 1989 and onwards. The fans are looking for something new, but they still have their taste buds all over the hard rock/metal distorted cream.

Meanwhile, the labels are signing Seattle bands, left, right and centre, while they start dropping hard rock bands left, right and centre. Not only could the labels make an artist famous, they could also make an artist destitute. And back then, without the money and power of the label behind an artist, an artist would go unnoticed.

The power the record labels had to kill careers or to destroy styles of music.

So the artist would sign a deal and get a small royalty payment from the label. Today the artists would still sign a deal because they see the label as their ticket to riches, but instead the artists are now complaining of the low royalty payment of streaming services, but it is still the label keeping the lion share.

In other words, you give to get.

You give your rights to the label in order to get a chance at fame and riches. And there’s no use yelling at streaming services. They are not record labels, they are technology companies, using music to influence culture and grow their brand. Once their brand is big enough, they will do away with music.

Because seriously, which company wants to pay billions in licensing and be constantly in the courts?  

HBO paid billions in licensing, until it got to a stage where it was unfeasible and they had to start creating their own content. Netflix at first had only licensed content. And like HBO they saw that it was unfeasible, so they started investing in creating their own, and slowly doing away with the licensing.

Now, more than any time in modern recording history, an artist can do it themselves. They can record cheaply, distribute and get paid. So artists should build their own leverage and then they can decide what is next.

But we have lived in a world where the labels have controlled the narrative for way too long and MTV made everyone think that if they learnt how to play an instrument they will be rich and famous. The majority still hold this view and the minority that don’t, are the ones making it.

People talk up Record Day sales like they matter, when only the label is winning, while digital distribution can offer an artist new audiences in places where brick-and-mortar stores would be impossible or unsustainable, like foreign countries or rural areas. The end result is growth across the board. Nowadays it’s about reaching as many people as possible and eventually the money will flow in if you do it right. That should have been the role of the labels but instead it’s up to the techies.

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A to Z of Making It, Music, My Stories, Stupidity, Treating Fans Like Shit

Greed

Greed threatens everything. The act of wanting more doesn’t work in a business built from emotions. People connect with music because it connects on an emotional level first. And not all connections are transactions. Sometimes it takes years for the music fan to spend money on an act.

So where are we at?

Years ago, in the land that introduced streaming, Swedish musicians sued the major labels Universal Music And Warner Music over streaming royalties. At the same time, major artists around the world also sued their labels over how they paid iTunes sales back to them. Eminem said it should be under the licensing rate (which is higher), while the labels argued that it should be under the sale rate (which is lower).

Then artists started filing “copyright termination” applications (which is legislated, that they are allowed to do so), however the record labels kept rejecting these applications and off to court the two parties went. Some artists won and others like Duran Duran lost. And some are still on going.

Because the labels don’t want to lose control of these rights as the more Copyrights they hold for popular songs, the more power they have at the negotiation table with the techies, so in return they get higher licensing fees, which they really keep to themselves. If the labels really cared about the artists, then they wouldn’t have put the masters of classic albums, plus the back-ups, in a tin shed with no climate control. And when it all went up in flames they employed subterfuge.

But when Napster came and the distribution gatekeeper got abolished, everyone said the major labels would fold. But instead they got more powerful because for any technological service to operate with music, they need to have a licensing agreement. YouTube has one, Apple has one, Spotify has one, Tidal has one, Pandora has one, Shazam has one and so on.

Which is a shame because of all the advances made, the major labels still operate with a business model rooted in the past. The majors still pay about 10% royalties to artists for digital income. The 10% average rate is based on the era’s when the record companies produced a physical product like vinyl or CD, stored it in a warehouse and then transported that product to a brick and mortar store. Of course at that time all of these steps in the process where accounted for.

However in the digital age, there is no need to even produce a physical product like a vinyl or CD, however the labels are still short changing their artists. If the streaming rates paid to the labels were so bad, trust me, the majors and the RIAA would be the first ones screaming theft.

Streaming services pay 70% of their revenues to music rights holders. How much of that money gets passed on to musicians depends on the terms of their contracts with labels.

If you are on a major label roster you should have followed the Def Leppard route. Due to the disagreements they were having on the digital payment terms with their label, they refused to let their label put their catalogue on digital services.

However, in order to cash in on the “Rock Of Ages” movie and the sudden interest in “Pour Some Sugar On Me” and “Rock of Ages”, they re-recorded these songs with the current band and released digital “forgeries” (as Def Lep called em) of these classics. But they did it on their own terms.

And when Def Leppard’s music finally hit streaming services, with the rate that they wanted, well there is no one really complaining about the rate?  

How did it get like this?

Once upon a time, the artists had the power. Read any bio from the 70’s and you’ll see how painful the artists were for the labels to deal with. And the artists never did what the label wanted. The label wanted hits, they wrote noise. The label wanted more like the last album, the artist went in a different direction. Then in the Eighties, the labels stole the power back through economics. With the rise in revenue due to the CD, it made the labels mega rich powerhouses. And MTV was also making artists into platinum starts. And the artists just fell in line. Because they couldn’t handle seeing an executive flying private on the monies earned from artists.

But artists today, can go it alone. Because it is the connection the fan has with the artist which is valuable.

And if more people are paying for a subscription service, then the overall pool of money grows. So if the artist is in control of their rights, then they will be paid forever. If they signed their rights away to the label, then the label will get paid forever and they will pay the artist some.

But there is always the temptation of promised millions right now to sign away your rights forever.

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Music, My Stories, Stupidity, Treating Fans Like Shit

Release Day Friday Garbage

Spotify needs to sort out their algorithms. They really need to get serious music fans involved here.

Every week my Release Day Friday songs get hijacked by crap.

Check out these hip hop/dance artists the algorithm recommended today;

  •  M.O Flashy, Hurricane (because I follow the hard rock band Hurricane)
  • Dope (because I follow the hard rock band Dope)
  • Monteaga K, Asia (because I follow the supergroup Asia)
  • InQfive, Cresta, Heart (because I follow the band Heart)
  • Charlie Puth (because I have no idea)
  • Grant Burgess, Widowmaker (because I follow Dee Snider’s band Widowmaker)
  • Coby Ras, Rainbow (because I follow Richie Blackmore’s Rainbow)

From my understanding, these artists are collaborating with other artists called Hurricane, Asia, Heart, Widowmaker and Rainbow, who have the same names as artists I follow, but in different genres. Whatever the case, surely the algorithm can be tweaked to not screw up my feed with crap.

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Copyright, Music, My Stories, Piracy, Stupidity, Treating Fans Like Shit

The More Things Stay The Same

Back in 1999, the record labels argued that they lost billions of dollars due to file sharing via Napster. They came up with this figure by saying that one file shared is the same as one lost sale. 20 years later, they are still exaggerating the same BS. And politicians get lobbied hard and suddenly there is legislation to support the record labels business models.

As internet speeds got faster, file sharing then started on movies and TV shows. Suddenly, politicians had even more money thrown at them to pass legislation from the movie studios. In democratic lands, ISP’s are forced to censor the internet, courtesy of the movie studios and music labels, which is no different to what dictatorship governments carry out on a daily basis. And when ISP’s don’t censor the internet, the movie studios and music labels take them to court for facilitating piracy. And while this is happening at the hands of the entertainment industry, the government themselves are stifling free speech by raiding the homes of reporters or by keeping eyes on the public through surveillance. ISP’s are also meant to store text messages, phone calls, web searches and tower pings on its customers.

So much for trusting the good guys.

Meanwhile, the music labels today are raking in billions courtesy of streaming (which started off as a legal alternative to peer to peer file sharing, which brought in $0). This shows, that if people are offered a legal alternative at a price which is right, they will take the legal option.

And those streaming billions were not there in the past. It took a tech company to create this revenue stream, while the record labels (the ones who should have been doing this) decided that the only way they could make money again is to get laws passed to protect old business sales model instead of innovating.

And an artist wants to have a label deal.

Why?

The labels don’t care about you and all they want is to lock up your copyright forever, because without the rights of songs, the labels have no power and if they have no power they cannot negotiate these huge licensing deals with streaming platforms.

Even the movie studios like Disney lobbied hard for laws to get passed to protect their old business models. Then Netflix, Hulu, HBO and Amazon came out with streaming services and brought in billions of dollars that were not there before. And now Disney is entering the streaming market. Enforcement doesn’t work but better legal alternatives do.

And the record labels still complain at the price of streaming. They reckon Spotify should charge more and also do away with the free tier, but are too gutless to bring out their own streaming platform and charge the money that they believe customers should pay. So they bash on Spotify or YouTube or Pandora.

And when politicians leave office, they get a nice cushy job for the very firms that lobbied them hard to introduce legislation in their favour. And this happens in democracy, which brings to mind the “One” video clip from Metallica and the scenes from the movie, “Johnny Got His Gun”.

Little Kid – When it comes my turn, will you want me to go?

Father – For democracy, any man would give his only begotten son.

We might want to re-think what the hell we are fighting for.

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A to Z of Making It, Copyright, Music, My Stories, Stupidity

Who Should Watch Over The Royalties?

Last year, the Music Modernization Act became law, in an attempt to fix some aspects of Copyright. While it had a nice clause about moving some very old music into the public domain, the issue that got all the artists excited was the changes required to the mechanical licensing process for songwriters, making it easier for songwriters to get the royalties they are owed.

But.

In all the excitement no one thought to read the details. The law gives birth to a new collection society for these mechanical royalties. So companies/organizations had to submit their proposals to The Copyright Office. And the one that looks like it could win the “bid” (the National Music Publishers’ Association (NMPA)) is one of the organizations which caused part of the current mess with royalties.

In other words, it’s another system created to move money to the big music publishers and away from independent artists.

The publishers have the PR down, telling people how they represent all songwriters which is not quite true.

And independent songwriters make up 99% of the music business, but they are all confused about what is going on and what they need to do to collect their royalties. Trusting in organizations to do the right thing is not really a good business model. And in times of confusion, the one that benefits most, is the one in power, which is the NMPA.

As the Techdirt article explains:

There is a pot of unclaimed royalties that have already been paid by music services that is estimated to be between $1.5 and $2.5 billion.

With so much money at play, the new organization will need to create some fancy algorithms to match the monies to the songwriters. However, the new law also gives the new organization a POWER to distribute any unclaimed royalties to themselves after a three year period.

So how proactive do you think this new organization would be to find these independent songwriters?

And this kind of conflict of interest isn’t new. SoundExchange is a good example. In 2005, this new body was formed, a spin off from the labels to collect online royalties and by 2009 it had a lot billions of unclaimed royalties to couldn’t match, even to well known artists.

If the NMPA gets the green light from the Copyright Office they will control billions of dollars in royalties. It’s more power to the old legacy players.

As the are Techdirt article states, the biggest challenge to being a successful independent musician is not piracy, but rather the legacy industry getting in the way and keeping money it owes independent musicians.

The Techdirt article.

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A to Z of Making It, Copyright, Music, My Stories, Piracy, Stupidity

Gaming The System

If there is demand for an artists music then why aren’t the artists servicing the demand.

Because there are people putting up bootleg and demo recordings of popular artists on digital services and making money from it in the process. In some cases they even uploading fake recordings which somehow manage to get onto the artists homepage.

Actually that homepage part crap needs to be sorted by Apple and Spotify quickly because how the fuck can you fuck that up. Too much reliance on algorithms and not enough human eyes and ears.

I got a song in my Spotify Release Radar from Tommy Lee and instead of seeing the aged, white tattooed T-Bone, I see a young black rapper. Same deal with names like Dio, Ratt, Rush, Badlands, UFO, Keel, Vandenberg, Cinderella, Icon, KISS and Journey.

The process to game the system is simply.

You just set up an account with a digital distribution company and start releasing music.

Now these distribution companies are set up for independent artists to release music. But we have bullshit artists using it to game the system and fuck it up for legitimate independent artists.

And the digital distribution companies do have fraud prevention methods but people who are gaming the system are just getting smarter than the algorithms coded by people who are not as smart as the con artists.

One fraudulent leaker earned $60K in royalties by putting unreleased tracks from a popular artist on their Spotify and Apple Music accounts.

What the fuck were the artists record labels reps doing?

Didn’t they see these unreleased songs go up.

I guess not because, they were too busy fighting stream ripping sits, pirate sites, website blocking and anything else that involves censorship of the Net instead of developing artists and taking care of their artists and paying them on time and fairly.

The way the payments work for is that Spotify or Apple or Pandora will pay the digital distributor royalties for the artists. This normally happens three months after. So for royalties earned in January, the payments to the distributor happen in March/April.

And then the distributor will hold these payments as they “clear” the royalties from being free of any copyright claims. This takes another three months.

So for a fraudulent uploader to earn $60K, it means many people were asleep at the wheel.

And legitimate independent artists get punished even further as they wait over six months for a royalty payment. All because people want to game the system and the system has too many people asleep at the wheel.

Read this article over at Pitchfork.

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Copyright, Music, My Stories, Stupidity, Treating Fans Like Shit

YouTube Manual Claims

If it’s not Spotify, it’s YouTube.

If it’s not YouTube, it’s Pandora.

If it’s not Pandora, it’s streaming.

If it’s not streaming, it’s free streaming.

If it’s not free streaming, it’s stream ripping.

If it’s not stream ripping it’s torrents.

There is always something or someone which is in the sights of the record labels and their association, the RIAA.

YouTube was criticized for not doing enough to control unlicensed uploads of movies and music. YouTube then provided the entertainment industries with ContentId, a way to claim videos as theirs that other people have uploaded. And by doing so, they could claim any monies paid on the video.

But with any automated system, it’s open to abuse and the labels did a great job abusing it. Legitimate content that had a few seconds of music (which is fair use) to illustrate their story or point in the video got taken down or claimed.

A birthday party video which parents shared that had music in the background got taken down or claimed.

And the uploader had no real rights to fight back. So the labels kept on abusing this process. They even took down their own legal content on occasions.

But after years of complaints, YouTube is finally doing something about it. Or is it.

The story of YouTube changing its policies has been getting publicity as YouTube being this evil monolith against creators but their changes only relate to the manual claims tool available to Copyright Owners. Most big artists are part of major labels and they use ContentID.

And the problematic and automatic ContentID is still the same and still open to the same abuse.

However YouTube has seen a new greedy trend emerge in manually claiming videos. These people claim a small snippet of a video uploaded to YouTube and by default transfer all monies from the YouTube video creator to the Copyright Claimant.

By changing the rules, YouTube is not stopping people from claiming these videos but they are asking for evidence and timestamps which somehow is pissing off the claimants.

And the claimants can still block the video.

To me, it’s much ado about nothing, it’s still the same old world and nothing much has changed. But it still doesn’t stop artists from Tweeting how YouTube is ripping artists off.

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Copyright, Music, My Stories, Stupidity, Treating Fans Like Shit

Keep Your Eye On The Copyright

I haven’t done a copyright post for a few weeks, but the Google Alerts each day come up with some of the most WTF moments.

First up, is Eminem’s music publisher is suing Spotify because somehow Spotify is playing songs on its service without the proper permissions from one of the biggest artists.

Is Eight Mike serious?

I guess they are. Read the article here.

Eminem is streamed a lot on Spotify and somehow, Eight Mile (which is basically Eminem) reckons Spotify doesn’t have a license to have his songs on the service.

One of his songs” ‘Till I Collapse” has 702 million streams, so I wonder when or at what stage in those hundreds of million streams did the music publisher realise that Spotify didn’t have a license.

And there is so much talk about Eminem’s most popular track “Lose Yourself”, which to me is a rip off from “Kashmir” by Led Zeppelin. The Am to F transition over a droning pedal tone is not original or unique at all.

What seems to have happened here is that Eminem has seen how other artists have made their own special deals with Spotify and he’s thinking, “I want a piece of that pie”, so let’s drum up some BS rubbish to get Spotify to pay me more.

And while I am on the topic of payments, here is a win for the artist. Ennio Morricone, who composed some massive soundtracks back in the 70s won back the right to some of his songs from the label. But he had to go to court and to appeal to get his songs back.

Morricone gave up his Copyrights for a large upfront payment and low royalties in the late seventies, however his music became very popular from the 90’s onwards.

Metallica kept using his music as an intro to all of their concerts and suddenly the movies from the 70’s in which he composed music for, had a new lease of life in the 90’s with DVD releases and what not, but the composer got nothing.

The labels of course argued these are works for hire and that the artist is not entitled to his works.

And that large upfront payment the label would have made in the late 70’s would have been recouped tenfold over the last 30 years, while the artist would have had that just one payment.

And finally, we have the US Government siding with an artist on a copyright suit.

As people are aware, Plant and Page were accused and then cleared of copyright infringement in June 2016 over the opening bars of “Stairway To Heaven” and the song “Taurus” from the band Spirit.

The decision was appealed by the heirs and the judge agreed so it’s going back to court.

So should the Government pick a side here, especially when the whole mess of copyrights is because previous Governments kept on changing and extending the terms of Copyright to suit their back pockets.

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A to Z of Making It, Music, My Stories, Stupidity

Music Distributor or Internet Brand

Spotify is the largest streaming provider today but YouTube did have that title unofficially in the past. So with any service that is used by the masses, it’s no surprise that Spotify now takes most of the punches while YouTube becomes a takedown haven for anyone who has created anything or wants to suppress free speech.

I’m sure you’ve seen all the headlines.

Spotify should pay more, Spotify is appealing the royalty rate rise, Spotify is getting sued, Spotify settles class action suit against it.

Maybe another take on those headlines might be;

  • How much does the record label keep from Spotify’s licensing and royalty payments?
  • Artists are appealing the low royalty payments they get from their label?
  • Record labels get sued for banking billions from using the Copyrights of artists to negotiate high licensing fees.
  • Artists settle class action suit against the Record Labels for keeping Copyrights longer than they should and for murky creative accounting.

Major labels no longer develop artists but they can make artists bigger. It all depends on how much an artist is willing to give up.

Because the labels will give the artist that large advance, however it will be probably be the last payment an artist will ever see from them.

Just recently, Italian composer Ennio Morricone (Metallica uses his music as a concert intro, plus he wrote the soundtracks to a lot of popular movies) won back his Copyrights. In his termination suit, it was mentioned how in the late 70s he made a deal with a label for an upfront payment in exchange for low royalties which never got renegotiated and of course by the 90s his music was being used for concerts, it became popular again as those 70s movies got re-released on DVD and so forth.

Metallica’s licensing fee would go all to the label and nothing to the Composer. A perfect example of getting a large upfront payment and then nothing in return.

The labels are greedy, who operate on intimidation and since MTV, they have been short-term thinkers. It’s all about the profits.

So what’s next for music distribution and a company living in two worlds. Spotify has a bad rep for its payments models but also a good rep because it’s useful to artists and fans, plus it pays for life.

But Spotify still doesn’t make a profit doing what it does and it still gets extra funding, to invest and grow the business. Their podcasts is a growing business as there are a lot of people who would rather listen to non-musical content than musical.

Maybe the problem with Spotify is that it doesn’t want to be just a music distribution platform. Music is seen as a means to become a global internet brand. Sort of like Apple, who used music to sell hardware.

And all you need to do is have a look at what’s happening with Netflix. The big studios who laughed off streaming once upon a time, are setting up their own streaming services. Expect the labels to do the same, because they want control of the distribution and the murky creative accounting.

And by then Spotify would be in a position to not care, because they would have repurposed the business to be a digital brand and the artists would have it even worse, because if they think Spotify is bad, wait until the labels get control of the distribution.

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