Is the revival of the music industry testament to what good old fashioned patience can achieve in this fast-paced technology world?
The internet was once considered to be kryptonite as far as the music industry was concerned.
File sharing sites like Limewire and Napster were stripping profits and the industry was on its knees. In 2012 the Financial Times reported the music industry in the UK had loss £500million to illegal file sharing sites.
As we have seen this all has changed thanks to music streaming. Streaming has revolutionised the industry and Spotify and Apple Music alone now boast over 100 million pay monthly subscribers. Leading Goldman Sachs to estimate that streaming alone could boost the industry by $104bn by 2030. This new age digital revolution has helped to revive the industry it once ripped apart!
Only last month Spotify signed a deal with Warner Music Group paving the way for its expected floatation on the New York Stock exchange. Although it has not been easy convincing music labels that streaming will be their saviour, there is no doubt we are now to starting to see a change in attitude and increasing acceptance, a trend exemplified by the fact Taylor Swift returned her music to Spotify last month having previously withdrawn her catalogue of music from the platform.
Major Labels once believed the only way to stop illegal downloading was by shutting down the relevant sites but that only led to expensive legal action that bit ever deeper into their profits. However they appear to have learned that as one site closes, another opens.
Convenience and relatively affordable monthly subscription prices mean consumers are now less likely to illegally download the favourite artist’s new songs or albums. The deep dark web has given more than just a lifeline to industry desperately in need of one. The Music Industry now has a stable business model that could bring about another golden age for this much loved industry.