Music Biz Academy Digest - Issue #17 - August 16th, 2001
An update from http://www.musicbizacademy.com.

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THE MUSIC BIZ ACADEMY
http://www.musicbizacademy.com

FEATURING:
Musician's Online Directory:
http://www.musicbizacademy.com/directory

The Academy (Articles and Tips)
http://www.musicbizacademy.com/articles

The Bookstore
http://www.musicbizacademy.com/bookstore

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WELCOME....
Welcome to the August 16th edition of the Music Biz Academy
digest! We've got an action packed issue, so let's get right down
to it!


ALL THE RAGE....
The music industry is buzzing this week with efforts by major
labels to create and market copy-proof CD technology to
consumers. There's a great push underway to stop piracy and
copy-copying once and for all. The music industry has one big
message to consumers: no more song trading!

What music format will replace CDs? Only time will tell, but
there is currently a big debate going on between marketers and
manufacturers. Will it be DataPlay? DVD-Audio? SACD? Get ready to
throw out your old CD collection, because the music industry is
hoping to convince you to update your collection with a new,
improved (and did we mention copy-proof?) format! How soon? Maybe
sooner than you think!

Finally, The U.S. Justice Department has launched an antitrust
investigation into two online music subscription services, both
scheduled to launch this fall. MusicNet and pressplay, both
backed by the recording industry to fill the void left by
Napster, are facing an uphill battle. Federal investigators
notified the record labels that they intend to examine possible
anti-competitive aspects of the digital music ventures created by
the music industry's big five, Universal Music Group, Sony Music
Entertainment, Warner Music, EMI Group and BMG.


MUSIC IS YOUR BUSINESS
We are very proud to be one of the first resellers of Chris
Knab's new book, 'Music Is Your Business'! MIYB is the official
textbook for the Art Institute of Seattle's Audio program, and is
filled with insights into the music business and tactics for
marketing your music. It includes examples of industry marketing
documents, a sample of an artist bio and fact sheet, and
checklists for starting your career and running your own record
label. You'll find more details at
http://www.musicbizacademy.com/bookstore/musiciyb.htm . MIYB is
on sale now for a special, introductory price of $24.95. The
price goes up to $34.95 after September 30th.


SUPPORT YOUR HOST!
MusicBizAcademy.com is free, the articles and directory are free,
but please show your support by trying out our music and support
the work of you host, David Nevue: http://www.mp3.com/davidnevue
Stop by and check out a few tunes.


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Latest Additions To The Academy
http://musicbizacademy.com/articles/
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PAYOLA CITY
http://www.musicbizacademy.com/knab/articles/payola.htm
In the wild world of urban radio, money buys hits -- and nobody
asks questions. Article by Eric Boehlert.


PERFORMANCE CONTRACTS
http://www.musicbizacademy.com/articles/perfcontracts.htm
If you're lining up gigs for your band, you need to protect
yourself. Here are some guidelines as to what to include in your
performance contract. Includes links to sample contracts. Article
by Maria La France with support from Brett Trout, Attorney.


TRADITIONAL RADIO VS. THE WEB
http://www.musicbizacademy.com/articles/radio/index.htm
How is web radio (and downloading) going to impact your efforts
in reaching mass numbers of people with your songs? Fortunately,
for those who have studied media (yes... "media" is a topic in
and of itself,) there is an answer that we can use. But you need
to separate "radio" from "downloads" in order to understand it.
Article by Brian Farrish.


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Recent Additions/Updates to the Musician's Directory....
http://www.musicbizacademy.com/directory
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DIAMONDISC AUDIO
http://members.tripod.com/~diamondiscaudio/
Diamondisc Audio is a full service digital audio mastering
company specializing in mastering services and transferring your
music to compact disc as well as short-runs of CDs, digital
editing, mixing, song catalog archiving to CD, audio restoration,
MP3 audio file creation (for near-CD quality streaming &
downloading over the internet), SHOUTcast internet broadcasting,
web site development and video editing.


MUSICIANSCONTACT.COM
http://www.musicianscontact.com/
Over the past 30 years, managers, record company personnel,
producers, booking agents, employers and production companies
have used Musicians Contact to locate replacement musicians and
singers. Complete acts and solo artists are also offered to these
same talent seekers. Musicians Contact is a very important
service you should consider if you are seriously interested in
doing music full time. Clients using Musicians Contact seeking
fill-in musicians include such big names as Glen Frey, Tom Waits,
Warrant, Dishwalla, Herbie Hancock, Neil Diamond, Ozzy Ozbourne,
Billy Joel, and others. Sound too good to be true? Check out
their testimonials. A great service, available to musicians for a
small subscription fee.


PUMP AUDIO
http://www.pumpaudio.com/
If you're in the market to license your music to TV, film, video
games or other advertisers, check out this fascinating service by
Pump Audio. With your permission, Pump Audio will include your
music in their database for promotion and possible licensing to
their clients. You keep all copyright, ownership and publishing
rights, and receive 50% of the licensing fees billed to their
production clients if your music is used. Essentially, Pump
offers potential income from your music without anyone taking
ownership or control from you, and best of all, it costs you
nothing. Well worth investigating.


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Articles From Around The Net....
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IT'S NOT OVER JUST BECAUSE YOU SIGN A DEAL!
http://www.musicdish.com/mag/?id=4195
There is a myth that has hung around unsigned artists that goes
something like this: "If only I could get a record deal,
everything will be fine", or "We won't have to slog it out as
hard when we sign our deal, our label will have all the
connections we need!" This may or may not ring true to many of
you. Chances are ALL of you have something similar in the back of
your minds. Article by Chris Standring (A&R Online)


FREE REPORT: "SONGWRITERS IN THE NEW MILLENNIUM"
http://www.musicdish.com/survey/songwriter/
"Songwriters in the New Millennium" takes an in-depth look at the
songwriting community as it enters the new millennium,
characterized by drastic change brought on by technology & the
Internet. The report series contains over 16 in-depth articles
analyzing the results from the survey by some leading members of
the songwriting community such as Dean Kay (ASCAP), J.W. Johnson
(BMI), Allen Foster (The Songwriters Monthly), Mark Schulz
(NARAS) and David Michael Thomas (NSAI), and is edited by Anne
Freeman.


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Featured Music Industry News
http://www.musicbizacademy.com
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MP3.COM WILL HIDE ADS, FOR A PRICE
http://www.internetnews.com/IAR/article/0,,12_866791,00.html
Music download site MP3.com (NASDAQ:MPPP) on Wednesday unveiled
its plans to offer paid access to a version of its site that
lacks ads. Through the new Ad-Free service, the San Diego,
Calif.-based firm is offering to let users browse the site free
of takeover ads, banners and buttons. But the service comes at a
price -- $2.99 a month, or $29.99 annually.


TECHNOLOGY PUTS A LOCK ON CDS
http://news.bbc.co.uk/hi/english/sci/tech/newsid_1489000/1489619.stm
Sharing music recorded on compact discs among friends over the
internet has proven itself to be as American as apple pie and
baseball. But music-swapping is a pastime that may be soon halted
if recording companies have their way. Stung by the success of
internet-based Napster, major record labels, such as Vivendi
Universal, Sony, EMI and Warner Music, have signed on with
encryption firms that have developed technologies to halt the
so-called pirating of copyrighted music.


SINGERS TO CASH IN ON WEBCASTS
http://www.forbes.com/2001/08/13/0813music.html
Thanks to Napster and Dr. Dre, digital downloads get all the
attention in the online music world. But streaming audio, or
broadcasting music over the Internet, is actually just as popular
as swapping and selling music files online. And since it isn't
mired in litigation, it's likely to grow much faster. Already 49
million Internet users say they listen to streaming audio at
least once a week, according to Forrester Research analyst Eric
Scheirer. By 2005, 99 million consumers will be tuned in online.
That's good news for singers and bands, since they stand to
profit handsomely from the new medium.


MUSIC COMPANIES FIRE FIRST SHOTS IN AUDIO WAR
http://news.independent.co.uk/digital/news/story.jsp?story=88295
Consumers face confusion and months of marketing hype from the
world's biggest record companies in a new "format war" which has
broken out in the music industry. The record companies are now
taking sides in a battle between two rival but high-quality
digital music discs which are intended eventually to replace the
CD – the DVD-Audio and the Super Audio CD, known as the SACD.


CEO: NEW NAPSTER WORTH THE WAIT
http://www.zdnet.com/zdnn/stories/news/0,4586,5095418,00.html?chkpt=zdnn_nbs_hl
In an interview with German magazine Stern, published Wednesday,
Hilbers defended Napster against charges that the service had
become irrelevant after being shut down for a month. "Napster is
not dead," Hilbers said in the interview. "The name is very
valuable, and we operate with a high level of pressure to make it
a functioning company." Hilbers did not give details on when the
subscription service, long slated for release sometime this
summer, would launch. But he said the monthly fees would be
approximately $5.


ONLINE HITS LAND A RECORDING CONTRACT FOR DUO
http://www.zdnet.com/zdnn/stories/newsbursts/0,7407,2802454,00.html?chkpt=p1bn
A French duo unwittingly landed a contract with a major record
label after a rude ditty they made up to entertain friends gained
a cult following on the Internet, an EMI France spokesman said
Wednesday. The EMI Group Plc has signed virtual band The Mules
after a computer copy of their satirical song won fans as far
afield as India and Canada. "The song was retrieved more than
200,000 times," said the record label spokesman. "We're taking
advantage of the buzz generated via MP3 and Internet. If it's a
hit, we could launch an album."


RIAA ASKS JUDGE TO SKIP TRIAL IN NAPSTER SUIT
http://www.sonicnet.com/news/story.jhtml?id=1446479
Kicking sand in the face of its all-but-defeated foes at Napster
this week, the Recording Industry Association of America asked a
judge to skip a trial in its lawsuit against the file-sharing
service and simply rule that Napster is liable for copyright
infringement. Lawyers for both sides are scheduled to discuss the
request for a summary judgment at a hearing in San Francisco on
October 1, according to an RIAA legal filing.


RECORD LABELS PLAN COPY-PROOF CDS
http://www.msnbc.com/news/610615.asp
The music industry is escalating its crusade against
Napster-style music swapping with a plan to place stringent
controls on compact discs —including, perhaps, the one you bought
last week. Some of the world's major record labels — Vivendi
Universal’s Universal Music, Sony Corp.’s Sony Music, AOL Time
Warner Inc.’s Warner Music, EMI Group Plc, and Bertelsmann AG’s
BMG — are already running quiet field tests of CDs that cannot be
copied, or “ripped,” to a personal computer.


NEW DISC FORMAT COMING - IS IT THE END OF THE MUSIC CD?
http://www.zdnet.com/zdnn/stories/news/0,4586,5095272,00.html?chkpt=zdnn080701
InterTrust Technologies, a maker of digital rights management
software, said Monday it has partnered with start-up DataPlay to
provide secure digital media in a move to thwart music piracy by
replacing the compact disc. InterTrust said it will place DRM
formats on DataPlay-enabled devices, including blank and
prerecorded discs. Such DataPlay discs, about the size of a
quarter, can hold 11 hours of compressed music, or seven to 10
albums. Both companies are betting that DataPlay's discs are
eventually going to replace the compact disc, which has been
considered to be the source of music piracy on the Web.


MUSICNET AND PRESSPLAY FACE ANTITRUST INVESTIGATION
http://www.siliconvalley.com/docs/news/depth/music0804001.htm
The U.S. Justice Department has launched an antitrust
investigation into two online music services, both scheduled to
launch this fall, that are backed by the world's largest record
companies. The two online services under investigation, MusicNet
and pressplay, are the record industry's best effort to fill the
void left by the once-popular renegade music-swapping service
Napster, which has been shut down for more than a month.


ONLINE MUSIC BILL TAKES AIM AT BIG LABELS
http://www.thestandard.com/article/0,1902,28463,00.html
Record companies that license songs to other online music vendors
would have to make the same music tracks available to all
competing services under a bill proposed in Congress Friday by
Rep. Rick Boucher, D-Va., and Rep. Chris Cannon, R-Utah. The
proposal isn't likely to make it into law anytime soon, but it
could increase pressure on the major record labels to strike
deals with some of their online competitors.


WITH NAPSTER WEAKENED, RIAA HOPES TO SETTLE LANDMARK LAWSUIT
http://www.sonicnet.com/news/story.jhtml?id=1445467
After driving Napster to its knees in court, the music industry
is ready to settle its copyright infringement lawsuit against the
now-crippled file-sharing service. Hilary Rosen, president of
industry trade group the Recording Industry Association of
America — which led the fight against Napster — said Thursday
that since a judge has already issued an injunction ordering the
service to block copyrighted music, going to trial is
unnecessary.


MP3.COM TONES DOWN LOSSES, AND REVENUES
http://www.thestandard.com/article/0,1902,28412,00.html
Digital music company MP3.com reported pro forma second-quarter
earnings Wednesday that beat analyst estimates even as revenues
shrank from year-earlier levels. MP3.com posted a pro forma net
loss, which excludes some expenses, of $1.6 million (2 cents per
share), compared with $5.2 million (8 cents) a year earlier. The
average estimate of three analysts polled by Thompson/First Call
was a loss of 4 cents per share. Including all costs, MP3.com
reported an $11.6 million (17 cents) loss for the quarter,
compared with a loss of $177.1 million ($2.71) for the
second-quarter 2000.


LIFE AFTER NAPSTER: DIGITAL MUSIC GETS READY FOR ACT II
http://www.business2.com/articles/web/0,1653,16647,00.html
Everyone these days seems to be trying to figure out how to turn
digital music into a profitable business. At center stage are two
companies, backed by major labels, that are preparing to launch
their own for-pay digital music services on the Web before the
end of the summer. Those services -- Pressplay (backed by Sony
(SNE) and Vivendi Universal (V)) and MusicNet (backed by AOL Time
Warner (AOL), EMI, Bertelsmann's BMG, and RealNetworks (RNWK)) --
will be the first true test of whether anyone will be willing to
pay for streaming music and downloads off the Web.


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Recommended Resources
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HOW TO PROMOTE YOUR MUSIC SUCCESSFULLY ON THE INTERNET
Spring 2001 Edition!
http://www.musicbizacademy.com/bookstore/htpromotemusic.htm
If you want to sell your music on the net in any form, this book
will teach you how to design and market a web site that will SELL
YOUR MUSIC and bring in that extra income you need to boost and
financially support your music career! The author is currently
making over $4000 a month selling music related products and
advertising on the internet. 'How to Promote Your Music
Successfully on the Internet' shows you exactly how he did it,
step by step! Download Version Available for only $14.95!


THE GUERRILLA MUSIC MARKETING HANDBOOK
http://www.musicbizacademy.com/bookstore/guerrillamusic.htm
This guide to independent music success features over 175 ways to
thrive and prosper with your own band or record label. Download
Version Available! The PDF version of this great book is now only
$29.95!


THE MUSICIAN'S ATLAS - 2001 Edition
http://www.musicbizacademy.com/bookstore/musiciansatlas.htm
Created by The Music Resource Group, this 368-page volume
provides access to over 15,000 music businesses and key industry
contacts in more than 25 categories. Current names, phone and fax
numbers, e-mail and website addresses, detailed submission
policies and the styles of music preferred is just some of the
information you'll find on every page of The Atlas. Available in
hard copy for only $24.95!


THE INDIE CONTACT BIBLE
http://www.musicbizacademy.com/bookstore/indiecontactbible.htm
Need to create some BUZZ about your music? Looking for reviewers?
Radio station contacts? Promotion services? Then grab The Indie
Contact Bible. This fantastic new musicians 'black book' contains
350 pages filled with contacts with publications and radio
programmers all over the world. These are people who actively
look for music to review! Download or Hard Copy Version Available
for $19.95!


MUSIC IS YOUR BUSINESS
http://www.musicbizacademy.com/bookstore/musiciyb.htm
Used as the official textbook for the Art Institute of Seattle's
Audio program, this invaluable book is filled with insights into
the music business and tactics for marketing your music. It
includes examples of industry marketing documents, a sample of an
artist bio and fact sheet, and checklists for starting your
career and running your own record label. Available in hard copy
for $24.95 until September 30th! Thereafter, MIYB sells for
$34.95. Buy it now and save!


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ALSO FROM MIDNIGHT RAIN PRODUCTIONS and RainMusic.com

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http://www.freesheetmusicguide.com

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http://www.sheetmusicaddict.com

WHISPERINGS: SOLO PIANO RADIO
http://www.mp3.com/stations/whisperings

REAL WORLD NEWS
http://www.realworldnews.net

Thanks for your continued support of RainMusic.com and The Music
Biz Academy!


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ABOUT THE MUSIC BIZ ACADEMY
The Music Biz Academy is brought to you by Midnight Rain
Productions (http://www.rainmusic.com) . It is a resource
designed for musicians promoting or selling music on the
internet. Each week we feature news, articles, and reviews
related to the art of online music promotion and music related
product sales.

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