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I think he's right that it hurts the music industry in the long-run, but I think it's wrong to investigate them for anti-trust. They should be allowed to make whatever deals they want, as there are many competitors in the streaming space. Apple is far from a monopoly. But I do think that the right way to go is what UMG is doing, which is banning the practice outright. If it hurts the industry, the people running it will adjust to it. And really, I don't think short-term exclusives are all that bad or very damaging. People have no patience. I just don't like that you can only get a certain artist on a certain streaming label, because it means that people have to pay for several different services. And in the long-run, it probably doesn't make the music labels any extra money because they still get paid the same price per song played, regardless of how many platforms a user is signed up for. An individual can only listen to so much at once. So they might get a short-term benefit from Apple paying them or whatever, but long-term it doesn't make sense. It's best to have your songs on as many platforms as possible. As for the indie angle, I don't think that makes sense. People who are into indie stuff will always find a way to seek it out, through places like Soundcloud, YouTube, different streaming radio channels, or even live shows (what a concept!). Then bands grow in popularity organically from there. Making music isn't always like making an app. You can't just shoot it out there and expect huge success overnight. And for that matter, the vast majority of apps aren't like that either. Placement helps but you have to make it first.
 
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"Because there's a conspiracy between Apple Music and the industry to change the game, to get everybody to pay for a subscription by putting hit content behind a paywall.

Apple should be investigated by the government for antitrust."
Sigh. "I don't like it therefore the government should punish the other guy." Apple is well within its rights to offer deals containing exclusives to artists/labels, who are under no obligation to accept such deals. And the media company that owns the labels (both of whom owe their entire existence to having signed artists to exclusive deals), is well within its rights to insist that the labels/artists that it owns not accept such exclusive deals. End of story.

Oh, but some guy, who is not a media company, or label, or artist, doesn't like it, because Apple has some sort of advantage conferred to them by having made lots of money, so the government should punish Apple for being successful. Apple's edge here being, apparently, that they are offering artists more money than they would have gotten otherwise. So apparently this guy is angry that the artists are being offered a choice of getting more money. I seem to have missed the part where Apple pointed guns at anyone, forcing them to sign a contract.
 
If an artist like Taylor Swift want's to whore out her music to the highest bidder, so what? Ultimately I don't care.

No music, movie, show, book or game is good enough for me to have to constrain myself into indentured servitude of a specific corporation because they paid top dollar to offer it exclusively.

This is capitalism and the only crime are consumers that are unwilling to free themselves from the slavery of corporate greed, and that is a crime entirely of their own making.

The slippery slope is created, however, if a corporation strives to become a monopoly through anti-competitive practices. If Apple wants to dump billions into securing every top artist release and prevent them from releasing on any other platform, this starts to fall into the the grey area of anti-competition rules that are created to avoid companies from establishing a monopoly. And as much as all you fanbois would love if Apple Music was the only game in town, I am sure most of you would bitch and complain loudly if suddenly it costs $50+ a month to listen to any music from Apple because there is no other service available.

Someone mentioned that Game of Thrones is an HBO exclusive, so why can't Apple have their own exclusives? The difference is that HBO isn't striving to block all other channels from making or showing any other shows so that HBO becomes the only channel to watch on TV. Offering good content that people want is different than blocking content from other channels.

While Apple can certainly create or offer their own exclusives for specific artists, there are other news reports indicating that Apple is striving to create a monopoly by boosting profits to lure artists away from other platforms, much in the same way as Walmart always reduces prices to lure customers away from other retail stores, so that eventually the competition can't compete and close shop.

This is the kind of capitalism I abhor because a consumer should always have a choice in where to place their money. While a consumer can opt into Apple Music to hear the newest Beyonce or Swift album, ultimately it's their choice; however if Apple Music becomes the only music service on the market then that is criminal.

This is very unlikely because Amazon and Google both have DEEP pockets too, and I am sure at some point if Spotify is struggling someone will buy them out.

However it would be better if music and all content creators don't buy into this garbage of whoring out their wares to the top bidder and agreeing to exclusive contracts. Ultimately having your content on as many platforms as possible will work the best, I mean Apple Music is like 3rd or 4th music platform and there are far more consumers on all the other platforms. But people like Taylor Swift use fans like pawns in her own greedy endeavours and personally I don't have much tolerance for people like her that claim to be all about the independent musician while bitching when "independent artists" cover her songs because she won't get paid for them on top of millions she is already making. People that are already making millions that whine about losing money are useless drains on society.
 
You may want to lay that blame elsewhere. Spotify have done far more damage than Apple, and are hoping to do even more.

I doubt they have done damage, if they have done anything, it is saving the industry. They have me as a paying costumer now, not as a pirate. Deleted all MP3 the minute I got access to ad free Spotify. It is just not worth the hassle to organise and download music anymore, when you have it almost all at the flick of your hand.

If there was a world wide "netflix" with access to any tv series older than 1 month or movie older than 3 months, I wouldn't download a TV series or movie anymore. Heck, they could charge me up to $80 a month for a subscription.
 
.... But when anyone bar Apple does it, it's absolutely fine. Yes that seems fair.

I just can't help but think, get a grip. It's a business, just like the rest of them and any other type of business. You need something to differentiate yourself from the competition, that's generally how any and every business works.
So you have to wait a week or two before you have the chance of hearing whatever exclusive on whatever service on the competing services. Boo hoo, it's so unfair, I want it now and I deserve it now because the world owes me everything. Oh damn, my dummy has been propelled from my pram. Ffs.


Hmmm, I'm in a cheerful mood today :D
 
It's been said, but this encourages piracy. If i'm a fan of Frank Ocean, I can illegally obtain his album and add to my music library. Even once the exclusivity ends, I still have the music in mp3 format, and the artist will lose out on future plays of his music if I'm playing it from my own source.
 
Target, Walmart, Cracker Barrel, ...there's an endless list of brick-and-mortar stores that offer exclusive versions of albums with special/additional tracks or bundled albums. An exclusive window of time from an Apple Music "store" is no different.

TV "channels" are also examples where you have to subscribe on-line or via a cable provider to access the exclusive content. Nothing new here either.

Universal may be in the label's name, but the practice will cost its hit artists in the long run. Indie artists don't get the radio air play of the Top 40 artists...nothing new here either.

And since when has fame ever been fair? The famous get the attention, and they become famous by getting attention. As old as time, there's been many hardworking, deserving artists who never gain fame. Fame can't be earned...it's either a gift or purchased. That's not Apple's fault.
 
It's a dog eat dog kind of world and Apple is just better at it. This letter to me simply sounds like a scorned executive who's watching his pockets take a hit because someone else did it better and/or he/they didn't do it first. Tidal did it, Spotify has quite a few tracks I can't get anywhere else, so does Napster, and then you have something as basic television shows. There's certain things I can't watch on TV without paying, say, HBO a premium fee.
 
"Because there’s a conspiracy between Apple Music and the industry to change the game, to get everybody to pay for a subscription by putting hit content behind a paywall."

According to the news today, Spotify wants to do the same thing to appease the music labels. "We will encourage more people to become paying subscribers." So it is not a monopolistic practice on just Apple's part, for those of you trying to spin it that way.

Ref:
http://www.trustedreviews.com/news/report-spotify-to-put-some-content-behind-premium-only-paywall
and
http://ca.finance.qa2p.global.media.yahoo.com/news/pay-wall-coming-spotify-looks-184016760.html
and
http://uproxx.com/music/spotify-premium-paywall/
 
This letter is nonsense.

While he's right that there needs to be a way for people to casually discover and share music there *also* has to be a way that music is paid for.

So it makes sense there would be a free tier but also a paid tier, and a substantial number of people would need to opt for the paid tier for some reason.

It seems the artists, publishers and distributers have come up with these exclusives as one of the reasons. It's fair to gripe about that if you don't like it, but not if you can't come up with better alternatives.

The exclusive periods are short so they actually do little to prevent people from discovering music. There are certainly much worse ideas. But what better ideas are there?

Lefsetz accuses the artists, publishers and distributers of ripping off the consumers, but as far as I know, no one is making money at streaming. At the moment, the big bad evil companies and artists are subsidizing your streaming music, to a greater extent if you are on a free plan or a less extent if you're paying.

Realize that they can't keep can't keep losing money forever. They will have to either find a way to make money at streaming or stop streaming altogether. I'd expect more differences in features and content between free and paid tiers in the future, not less, and for the paid tiers to get more expensive.
 
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Good. Apple should be investigated.

For what? Doing something that happens everywhere in retail? Making an arm's length deal with the artist? Games go exclusive to consoles (e.g. Tomb Raider XBoxOne only for 1 year), toys go exclusive (e.g. some "special editions" only available at Toys-R-Us), regular consumer products go exclusive ("sold only in these fine retailers").

This is a deal made between Apple and the artist where (no doubt) they get comped for the exclusive, get the promotion (i.e. more plays), and then eventually it all opens up. It's not like Apple is saying "give me an exclusive or you're not on our service". They want as much music as they can get, and they'll pay extra for exclusives.
 
I doubt they have done damage, if they have done anything, it is saving the industry. They have me as a paying costumer now, not as a pirate. Deleted all MP3 the minute I got access to ad free Spotify. It is just not worth the hassle to organise and download music anymore, when you have it almost all at the flick of your hand.

You don't work in the music industry do you? I'll agree that from a consumer point of view Spotify is a great thing, but streaming in general is an awful thing for artists. Spotify are on a race to the bottom because they aren't converting enough people from their free tier to paying customers. This means that they are looking to pay even less per play than they do at the moment, which quite frankly is peanuts.

It's interesting that you admitted to stealing music before paying Spotify a small monthly fee, I wonder if you used Utorrent for that?

There's no coincidence that the former CEO of the most popular bit torrent client started up a streaming service where the vast majority of users still get music for free.

Spotify and streaming in general are far from saving the industry, they are actively killing it.
 
There have been exclusives inside and outside of the music industry for as long as I can remember.

Before the advent of iTunes and streaming music in general, labels and distribution companies would have exclusive releases with various record store chains, retailers (i.e. walmart, bestbuy, amazon etc.), part of Prince's catalog is exclusive to Tidal, Adele's latest was exclusive for a time upon release etc...

Clothing and Merchandise lines are exclusive quite often to limited retail chains etc.

These exclusivities have been and are fine with distribution companies and no one raised this kind of butt hurt....I agree that this is more about losing control of the process of being a middle man than caring about the "children"
 
Completely agree with Mr. Lefsetz. Every Spotify the first mover in the streaming business is a toddler compared to Apple. It should be a fair game for small guys like Spotify, Pandora etc.
 
Yeah, you tell them man! Let's also cry because Game of Thrones is an HBO-exclusive and not on Netflix as well. HBO "should be investigated by the government for antitrust", right?

Dumb reply. You don't see the difference?

Let me explain. HBO MAKES Game of Thrones. Netflix does not. Apple DOESN'T MAKE ANY MUSIC and only DISTRIBUTES said music on behalf of copyright owners.

So why should have exclusive rights of distribution for content it doesn't make?
 
It's been said, but this encourages piracy. If i'm a fan of Frank Ocean, I can illegally obtain his album and add to my music library. Even once the exclusivity ends, I still have the music in mp3 format, and the artist will lose out on future plays of his music if I'm playing it from my own source.

Or, if you truly like and respect the artist, you way two frikkin' weeks.

Why does everyone feel entitled to get everything *today*?
 
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