HondaTooru wrote:I'm especially interested in what DJNoz has to say about "file sharing."
In the days of old, artists would make money by doing live performances. Then some really clever people invented the record. Suddenly an artist could make a lot of extra money by recording their performance onto lots of these "records" and selling them.
It wasn't long before "record labels" emerged, big companies resposible for producing and distributing records. Because artists relied on these companies to make the majority of their money now, the companies were able to take most of the profit acquired from the sale of the records. The only reason artists made live performances was because the record labels wanted the artist to promote the product.
This continued for an extremely long time. Nowadays, if you buy a $12 CD, only about $1-$2 goes to the artist.
In the meantime, something called the "indie scene" lived on. These were "unsigned" bands that didn't have a contract with a record label. The majority of a fairly well known local indie band's money comes from live performances. They get payed a reasonable amount of money for their work, and are able to continue their music career.
The internet, combined with non commercial radio (eg. bbc, pirate, or webcast), and word-of-mouth(VERY important) offers a great way of promoting music for indie artists. They can distribute their music on a website or file-sharing network for people to freely download, thus earning fans. When that band comes to their town, there's a good chance they will pay some money for a ticket to see them. The band does quite well for themselves despite the fact that they sell very few records, because they are making good money from their live performances.
The above approach focuses on the music. Large record companies take advantage of their distribution monopoly to make large amounts of money. This is all about to change though, because people if people stop buying CDs (which they are), the record industry will be starved of what it need most - money.
In the light of this, draconian measures aside, I doubt the future even has a record industry. Even if it does, it'll be a very small one. Good news for the artist and consumer, bad news for that industry CEO who can't complete the contruction of his $5,000,000 house