Figures from the UK shows (not unexpected) the increase in game sales and revenue from 2005 till 2007, while at the same time the music business loosing money, not ether unexpected. For many years now the discussion has been whether games have taken sales shares from the music industry. I would say yes! Its a never ending fight for our (the consumers) time and money. And I would probably suspect that, generally the value of music in peoples mind have decreased. This might be related to piracy and radio. But then again, every industry is affected by this, not explicit the music industry.
According to me, music is a very ambient medium, something you just can have in the background of our life, while games demand more of our attention. As the game industry steadily increase more actors want in, and other “loosing” medium want a piece of the cake. An example of a successful convergence is the Guitar Hero franchise. These games helped drive album sales for some of the bands which songs represented in the game. Still, some analyst believe Guitar Hero is at its peak. Yes that might be, depending on how the franchise is handled.
One problem with Guitar Hero, is that they seem to focus to much on old, already successful music. They sell the same old shit over and over again, the same bands which already sold millions of records and songs. It’s not really helping to drive the “new” music industry and acts. And big record companies see the success of Guitar Hero and Rock Band and problably view them as new possibilities to make more money. Yes read it right, not promote new music, help artist and bands to break, but to fill their fat, already rich fucking costume suit pockets with more money! And “they” are the ones highest up in the food chain. One of the big things I hate in business today (not only today but always), is the simple fact how the people highest in the hierarchy “must” earn the most, and when business goes bad, they usely won’t decrease their salaries. They won’t take one bullet for the team! Fucking bastards! … okey a side note here… anyway…
Yes, I believe games have eaten a piece of the music industry’s revenue. Still I think one reason could be the transition music is going through today. For the mass market CD is still the most available format, but many want music digitally. This is a period where we as consumer wait for the music industry to go all in on one format! Digitally or the old CD? Once the future format and platform really is determent and get the full focus and attention, I think people will be more willing to invest and buy music more frequently. Now it feels more like when the war for the DVD successor was raging. Bur still, with any medium they have their ups and downs. People have more choices nowadays and is very careful were to invest their money. And videogames is big today, many play them, AND they cost more. Many of my friends including myself, consider the CD price to high. If they would lower the price, we would by many many more albums.
People wont stop listen to music, people LOVE music! But I think the value in music, and what people are ready to pay for music is lower than the music industry wants. Maybe if the music industry start develop new business models and stop spending money on the wrong investments (hint: over expensive music videos), they can survive. They can if they want, and they have to according to me.
I found your site on technorati and read a few of your other posts. Keep up the good work. I just added your RSS feed to my Google News Reader. Looking forward to reading more from you.
Tom Stanley