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ExtraTorrent.cc > Articles > BitTorrent Is Not the Only Reason For Decreased Music Sales

BitTorrent Is Not the Only Reason For Decreased Music Sales

BitTorrent Is Not the Only Reason For Decreased Music Sales

Added: Tuesday, January 11th, 2011
Category: Bit Torrent Freedom > The Industries Of Records, Gaming, Software, Movies
Tags:ET, p2p, Torrent, Piracy, Peer To Peer, Network, Hackers, Internet, BitTorrent, Google, utorrent, bitcomet, extratorrent, 2010, www.extrattorrent.com
The RIAA recently admitted that “comparing sales figures reveals just a part of the story”. It also noted that last year the music market “saw significant growth” in Internet streaming music services, such as Pandora, where music fans didn’t purchase music at all.

The entertainment industry has been keeping blaming P2P for the decline in legitimate music sales, but by its own admission, this is not true now, since there’re more reasons why music industry revenues are in decline.

Digital music sales are reported to be far from compensating for the decline in physical music sales. For example, last year digital album sales increased 13% to 86 million, while physical music sales dropped by 20% to 240 million.

As for today, digital music accounts for over 45% of all music sales, compared to 40% in 2009. It seems to be this very fact that should be most troubling to the entertainment industry: digital music has lower price points and enables music fans to obtain the tracks they want on services such as Apple’s iTunes. These two things result in squeezing the amount of money music industry can make on both ends – the number of tracks sold and the price paid per each.

Decreased distribution and absence of packaging costs result in the need to drop the price to charge consumers for music. This decreased the overall revenue of the music industry by default. Meanwhile, there are more forces causing a decline in music sales. The RIAA admits that one of them is free music streaming services. However, it doesn’t look like the RIAA says that it “only reveals part of the story” when regularly lobbying Congress to pass laws like the COICA.

Indeed, it seems that rights owners always need to make P2P seem much more of a problem than it really is. At the same time, a British survey has revealed that streaming music has already led to a majority of young adults to stop illegally downloading music altogether.

Of course, the entertainment industry needs to publicly admit that its business model has already changed, and that unauthorized file-sharing can’t be solely blamed for its troubles. Indeed, music consumers have an increasing variety of listening options nowadays, many of which will mean less revenue for the industry. In other words, making a playlist on YouTube, or cranking up Pandora by millions users worldwide is clearly a much greater reason for declining music sales.

January 11th ,2011

Posted by: 

Date:  Tuesday, January 11th, 2011

Comments (6) (please add your comment »)

posted by (2011-01-12 09:00:16)
No avatarNot to mention the amount of crappy manufactured music that no one actually wants to listen to that they insist on producing. :P

posted by (2011-01-12 09:35:22)
No avatar+1, windshear!! Most new music available for purchase is absolute shit.

posted by (2011-01-12 09:45:57)
bobbull avatarno shit!!!!!sick of hearing about katy perry she cant sing.

posted by Turtle (2011-01-12 14:05:55)
julio99 avatarI totally agree with all 3 of the above posters. There's just not much I would buy these days period. Most of it sucks.

posted by (2011-01-12 21:37:09)
No avatarIts been said above, today's music just sucks. The gaga's and beaver's of today are just horrible. And yes I know "beaver" I just chose to call him that. The kid comes off as arrogant, and he just looks like a douche trying to act like he's in his twenties.

posted by Blocked (2011-01-16 13:39:49)
No avatarONE poor music
TWO - STUPIDLY high cost of pre-recorded CDs and DVDs
THREE - credit squeezed to the point of having NO MONEY AVAILABLE to spend ....

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