The Ad-Supported Music Central blog provides news, analysis and opinion about the market for free, listener selected, recorded music that is supported by advertisers. The blog is written by Marc Cohen, inventor of on-device dynamic ad insertion technology and a pioneer in the field of advertising supported music.
"The problem for labels and artists, though, is that their business has long relied on selling music rather than generating money from what people do while they're listening to it. "
"Don't Sell The Music, Sell The Time Spent Listening To The Music"
"More to the point, they haven't yet made it easy for innovators such as Project Playlist to build new businesses that automatically generate income for copyright holders. That's what the major television networks have achieved in the past year by making their programs available online with built-in advertising."
"Project Playlist is one of a growing number of online services that enable people to find, arrange and play the songs available (legally or otherwise) on the Net. Because they don't store songs themselves, several of these services have argued that they don't need to obtain licenses from or pay royalties to the labels. Naturally, the major record companies disagree. Two popular playlisting sites with no visible means of support — Muxtape and Mixwit -- folded rather than fight or strike deals. Project Playlist, which sells advertising and has raised more than $20 million from venture capital firms, was sued by Universal Music Group, Warner Music Group and EMI Music in April. Sony BMG held its fire, and eventually agreed to grant a license. Playlist services could be an enormous boon to the labels."
"'Alternative distribution deals in mobile and social networking are important ways for the music industry to fill the gap left by the decline in traditional revenue streams.'"