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| From | "bob" <segarini@sympatico.ca> |
| Subject | Sony-BMG...from Bob Lefsetz. |
| Date | Fri, 18 Jun 2004 10:11:01 -0400 |
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Lefsetz for you all...
bib
> If what happens to the record business is the same thing that happened to
the
> radio business, we're FUCKED!
>
> Reports out of Brussels today say that European antitrust regulators are
> going to approve the merger of Sony Music and BMG.
>
> Now under the theory of AMERICAN antitrust legislation, I see no
impediment
> to this merger. For the threshold in AMERICAN antitrust legislation is
barrier
> to entry. Is there such a consolidation that NO ONE ELSE can get into the
> marketplace. It was upon THIS conclusion, and the bullying used with a
dominant
> market position, that Microsoft was adjudged a monopolist.
>
> Yes, that company providing the operating system for your PC...they didn't
> get there by being the BEST, but by driving out all competitors. Truly.
If you
> wanted to install another operating system on your PC, Microsoft charged
you
> for Windows ANYWAY! THAT was their agreement with PC manufacturers.
Heinous
> to say the least.
>
> Andy Lack and Michael Smellie have convinced Mario Monti and his troops
that
> they need this merger to SURVIVE! Because of changed business conditions.
>
> What a crock of shit.
>
> Make no mistake. The MAJOR LABELS are responsible for these market
> conditions. P2P piracy is a smokescreen. The reason these companies are
in trouble is
> because of runaway marketing expenses and a lack of avenues to expose
their
> product.
>
> The merger?
>
> That's not going to speak to runaway marketing costs. That's just going
to
> speak to OVERHEAD! Accounting. It's got NOTHING to do with the music
business
> per se. Hell, one could save money by having one company do ALL the back
> room accounting in America.
>
> As for solving the labels' problems...
>
> They're just gonna work less product. THIS is good for the public? Make
no
> mistake, the major labels would like to turn the music business into the
MOVIE
> business. Where there are only a FEW HUNDRED records released a year.
> Choose from THAT buddy. What are the odds something new and different is
gonna
> break from THAT?
>
> You see the majors have rigged the established system. Allowing nobody
else
> in.
>
> If you're an indie you can't get on MTV.
>
> If you're an indie you can't get on radio.
>
> In other words, if you're an indie, you can't be HEARD! And the first
step
> to selling records is the ability to HEAR them!
>
> THAT'S where the Internet comes in. It levels the playing field.
Suddenly
> indie product can be HEARD! P2P is a BOON for indie product. Which is
why the
> major labels are fighting it so hard. Internet RADIO is a boon for
indies,
> which is why the record labels are for prohibitive license fees.
>
> Do you see the game here?
>
> If the majors were REALLY interested in saving their businesses they'd
OPEN
> UP THE AVENUES OF EXPOSURE! They wouldn't lobby to MERGE, they'd lobby to
> break up radio conglomerates. Repeal the law allowing groups to own so
many
> stations in so many markets.
>
> They'd ban all forms of indie promotion and payola. Which is just another
> way of keeping those who can't pay out of the game. I mean the Montreal
Expos
> can't compete with Steinbrenner's Yankees and they're IN the major
league!!!
>
> The subterfuge is AMAZING! And Mario Monti and his peeps are too ignorant
to
> see through it, not knowing how business is TRULY done in the music world.
>
> But they were on to something when they talked about tacit collusion re
> pricing.
>
> Let's see what happens with Apple Computer NOW! Apple BROKE THE LAW! Oh,
> not the codified law, the law of a country, but the law of the MUSIC
BUSINESS!
> You don't testify against your supplier, against the MAN!
>
> The major labels have gone on record that music is undervalued. They're
> fighting to RAISE prices online. Now, with a greater concentration of
power, they
> will. Hell, it sounds like looney-tunes, but it's true.
>
> And doesn't the merger give Sony Connect a leg up? Certainly as it
concerns
> exclusives.
>
> This whole country is fucked up. There's such a concentration of power in
> the entertainment world that what's churned out is lowest common
denominator
> crap made to appeal to the broadest demographic.
>
> EVERYBODY agrees that the seventies were the last great era of film. Back
> when the AUTEURS were in power. Before the business stole back control.
>
> And same deal in the MUSIC business. The acts of the seventies made their
> records without supervision, delivering finished product. You can't get
away
> with that today. Even ANDY LACK has got an opinion on the music. THINK
about
> that. That would be like a guy getting elected President who'd never been
> outside the U.S. deciding to attack a foreign country. WHOOPS! That DID
happen!
> TO DISASTROUS RESULTS!
>
> No true artist respects the suit. For these aren't suits like Ahmet,
people
> who understand and know the music, these are accountants and lawyers and
> corporate henchmen just looking for annual, no QUARTERLY, increases in
profits.
>
> This is fucked up.
>
> Allow these companies to merge. Allow Lack and Smellie to break out the
> champagne. But DON'T allow these blowhards to suppress the truth with
their
> chicanery.
>
> Music has never been worse off than today. Because the powers in control
of
> manufacturing, distribution and control are so few. Yes, the bigger the
> company, the more there is at risk, the more they play safe. And the more
they use
> their muscle to MAINTAIN control.
>
> Thank god it's so easy to MAKE music.
>
> Support alternative distribution and alternative exhibition. Or else
we're
> DOOMED!
>
> Only the indies can save us.
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