Essay On Effect Of Downloading On Music Industry

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Related post for Essay on effect of downloading on music industry

According to the Recording Industry Association of America (RIAA), 30 billion songs were illegally downloaded between 2004 and 2009. Even with sites like iTunes and Rhapsody offering legal downloads, peer-to-peer file sharing still exists. Illegally downloading music has had a significant impact on the music industry resulting in a loss of profits and jobs, and changing how music is delivered to the masses.

Financial Losses

The RIAA reports that music sales in the United States have dropped 47 percent since Napster first debuted in 1999. The availability of free music has cost the music industry $12.5 billion in economic losses. To recoup some of these losses, the music industry has filed lawsuits against individuals who have been found to have illegally downloaded music. In some cases, individuals have been sued for thousands, if not hundreds of thousands of dollars.

Layoffs

Singers and bands are the public face of the music industry, but creating, recording and promoting a song takes a large team of people. As record companies have seen their profits decrease, they have cut positions they are no longer able to afford. This includes artists as well as engineers, songwriters, producers, technicians and marketing support. The RIAA reveals that more than 71,000 jobs have been lost as a result of illegally downloading music.

Investment in New Music

Declining profits and fewer staff leave the music industry with less funds and opportunities to recruit and develop new talent. Record labels are more inclined to focus their money and time on established artists and only a few, promising new artists. As a result, more new artists have to look for outlets to create and promote their music on their own, such as selling it directly online.

New Marketing Strategies

The illegal sharing of music has impacted the way the music industry markets and promotes its artists. The introduction of Napster and illegal downloading helped usher in a new era of digitally accessible music where singles trump a full-length album. To expose its artists to a wider audience, the music industry has had to develop and deploy new tactics like ringtones and digital licensing music to sites like YouTube and Pandora. Touring and promotional deals are more lucrative for the music industry than selling songs.

About the Author

Based in Omaha, Neb., Amy Adkins has been a professional writer and editor since 2001. She writes primarily on the topic of health and health care and has experience in marketing communications, public relations, corporate communication and technical writing. She received her Master of Arts degree in communication from the University of Nebraska-Omaha.

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