Story here.
Anyone who's read my blogs for a while knows that I'm a huge of of digital distribution. Massive, even. They will also note that I tend to favor developers over publishers, publishers over platform holders. Well, today is one of those days; this is one of those blogs.
Once again the Recording Industry Association of America is showing how backward they are. Sadly, many digital music distributors (such as Apple, Amazon, Napster, iMeem, Live365, etc) are following suit right behind them. What is the issue this time? Cutting royalites to song-writers.
Makes total sense, I know.
Again, the artist is being shown to be viewed as being a replacable commodity who should be working at minimum wage; an artistic "McJob." Never mind the fact that writers are the very people the industry is dependent on to have a salable product. Some may be musicians themselves, some are not. But RIAA would like to simply butcher their royalties from what they are now; obviously (to them) management is worth more. From Ars (emphasis added):
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Here's how far apart the two groups are: when it comes to digital downloads, the NMPA wants 15¢ per track for the songwriters (often split 50/50 between the songwriter and the music publisher), but the RIAA only wants to pay 5¢ or 6¢ a track. DiMA suggests paying even less.
For streaming music, the NMPA suggests that 12.5 percent of total revenue would be a fair payment, while the RIAA thinks that 0.58 percent would be appropriate. DiMA has suggested that songwriters don't actually deserve any mechanical royalties at all for streaming music, comparing the practice of streaming to radio and arguing that radio's "performance royalty" should be used instead.
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I don't know about you, but more than anything else the RIAA seems hellbent out burning every bridge with artists they can while at the same time making themselves less and less relevant. One could argue that DiMA would like to see more indepentant artists come out so they can't have a collective bargaining weight a label has to offer, at the same time minimizing their costs. While there have been efforts to give artists a label-free option, I'm not sure how they've done.
The gaming industry needs to look at these bone-headed groups and consider the future. Digital distribution, while not mainstream, is a fact of life and will only get bigger. Publishers and developers need to consider rights and royalties for both retail and digitially sold games, plus what happens when one of the goes out of business. While we've moved past the Sierra vs Valve lawsuit, obviously, the fact remains that this is an important issue. Having a comtemporary or forward looking view on these subjects will help publishers attract developers (royalties and rights retention) as well as be a point for developers to attract new employees, fresh from college or industry veterans.
Seriously; do you think anyone who's worked on an 8- or 16-bit game is seeing much of anything from Live, PSN or the Virtual Console? The publisher (rights holder), however, is probably making a nice bit of money, though (royalties issue). Likewise, how many games will never be brought back because the rights to the game are up in the air or trapped in a quagmire of legalities?
I'd like to thank the RIAA for giving me a chance to not only show them as the buffoons they are. I do hope they lose this fight. At the same time I would like to point to this as a warning sign for the gaming industry. We might be riding high right now, but if that is to continue, then we must not make the same mistakes as other industries.
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