Quick Update: I keep reading TONS and TONS of blog posts in regards to both why this deal is both good and bad in regards to YouTube. I think I should clarify why I believe this deal is a good thing overall.
This has nothing to do with YouTube. Whether YouTube survives the HypeBubble or not is up to YouTube and its ability to prove that profit can be derived from all 100million (and growing!) of those daily video views.
What this does have to do with is the fact that a major presence in the music industry has made a significant move in what I believe to be the right direction: Treat your customers like customers instead of criminals. Nothing more, nothing less.
Yes, this is only one company, and its only one division of one company for that matter. But its this simple change in thinking that has already shown signs of other industry players opening things up a bit more. Its not going to happen overnight, though as more and more companies realize that other companies are generating a revenue stream from a previously untapped source, it could happen fairly quickly. Furthermore, their product is now being advertised to 100’s of millions of daily visitors. For those that do it right, there will be simple ways to allow someone who sees a clip, likes the song in the background, and would like to purchase that track for themselves, can do just that.
Oh, you wanna know who’s probably going to be the first folks to do it right?
WebTV (theres just something about technology, Microsoft, and the number seven (as in seven years *too* early (CDF? 7 years too early. DHTML, err, I mean Ajax? 7 years too earlier. Internal browser storage persistence? 7? Yup!)
In short: These are not new ideas. Just a new way to apply the old ones.
via a link from Sylvain (thanks Sylvain!)
“From the article, ‘Warner Music has agreed to make its library of music videos available to YouTube, marking the first time that an established record company has agreed to make its content library available to the user-generated media company. Under the agreement, YouTube users will have full access to videos from Warner artists. They will also be permitted to incorporate material from those videos into their own clips, which are then uploaded to YouTube. Warner and YouTube will share advertising revenue sold in connection with the video content.’ This is in contrast to how Universal is handling the situation.”
So, to my letter,
Dear Jack Valenti,
Step One: Don’t Sue Your Customers
Step Two: Find Innovative Ways To Turn Your Customers Into Marketing Machines
Step Three: Save Money By Not Having To Pay Lawyers To,
Step Four: … (Not) Sue Your Customers
Step Five: Pay The Artists You “Represent” More Money Because Of All The Money You Both Save and Gain as a Result.
Your former customer(s?)