Wednesday, May 26, 2010

Business Models in Flux

An interesting article at TechCrunch.
Performers are clearly going to have to be quite fit in the future.
Gaga originally broke out on YouTube and MySpace Music (which Braun was quick to say is dead), and Carter has now discovered a new star on YouTube, Grayson Chance. When asked about advertising, carter says that Lady Gaga’s videos include pre-roll and post-roll advertising (thanks to Vevo) but said that advertising isn’t a large revenue source. Record companies keep the bulk of the money made from ads and the remaining trickles down to the artists. Carter and Braun both agreed that concert tours are the main revenue stream for artists.
There are many other interesting implications. What becomes of VH1, MTV, MuchMusic? It seems that is already happening.


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