scholarly journals Dealing with digital: the economic organisation of streamed music

2020 ◽  
Vol 42 (7-8) ◽  
pp. 1461-1478
Author(s):  
Ruth Towse
Keyword(s):  
Economic Analysis ◽  
Business Model ◽  
Service Providers ◽  
Music Industry ◽  
Empirical Support ◽  
Digital Service ◽  
Streaming Services ◽  
Music Streaming ◽  
Digital Sphere ◽  
The Way

The intervention of digital service providers (DSPs) or platforms, such as Spotify Apple Music and Tidal, that supply streamed music has fundamentally altered the operation of copyright management organisations (CMOs) and the way song-writers and recording artists are paid. Platform economics has emerged from the economic analysis of two- and multi-sided markets, offering new insights into the way business is conducted in the digital sphere and is applied here to music streaming services. The business model for music streaming differs from previous arrangements by which the royalty paid to song-writers and performers was a percentage of sales. In the case of streamed music, payment is based on revenues from both subscriptions and ad-based free services. The DSP agrees a rate per stream with the various rights holders that varies according to the deal made with each of the major record labels, with CMOs, with representatives of independent labels and with unsigned artists and song-writers with consequences for artists’ earnings. The article discusses these various strands with a view to understanding royalty payments for streamed music in terms of platform economics, offering some data and information from the Norwegian music industry to give empirical support to the analysis.

scholarly journals An ecosystem lens: Putting China’s digital music industry into focus

2016 ◽  
Vol 1 (4) ◽  
pp. 350-371 ◽  
Author(s):  
Diming Tang ◽  
Robert Lyons
Keyword(s):  
Value Chain ◽  
Service Providers ◽  
Music Industry ◽  
Ecosystem Model ◽  
Digital Music ◽  
Digital Service ◽  
Chinese Music ◽  
Recent Developments ◽  
User Data ◽  
Music Streaming

The digital disruption of the global music industry hits the value chain for recorded music hard. In China, new digital service providers began to amass large user bases, offering a variety of services based on e-commerce and social messaging applications. In a low-intellectual property environment, these services have become the primary sources of digital music streaming via the Internet and increasingly through mobile telephony. This article reviews the literature on the value chains within the Chinese music industry, compares a classic business ecosystem model with a more recent model, and examines available user data on current Chinese music streaming services. We then suggest an ecosystem framework toward understanding the digital music industry in China and discuss how this framework maps to recent developments in China’s digital music industry.

Are You Hooked on Paid Music Streaming?

2018 ◽  
Vol 14 (1) ◽  
pp. 1-20 ◽  
Author(s):  
Charlie C. Chen ◽  
Steven Leon ◽  
Makoto Nakayama
Keyword(s):  
Data Analysis ◽  
Music Industry ◽  
Clear Understanding ◽  
On Demand ◽  
Behavioral Dynamics ◽  
Revenue Sources ◽  
Streaming Services ◽  
Facilitating Conditions ◽  
Communication Control ◽  
Music Streaming

The proliferation of free on-demand music streaming services (e.g., Spotify) is offsetting the traditional revenue sources (e.g., purchases of downloads or CDs) of the music industry. In order to increase revenue and sustain business, the music industry is directing its efforts toward increasing paid subscriptions by converting free listeners into paying subscribers. However, most companies are struggling with these attempts because they lack a clear understanding of the psychological and social purchase motivations of consumers. This study compares and contrasts the two different phases of Millennial generation consumer behaviors: the alluring phase and the hooking phase. A survey was conducted with 73 paying users and 163 non-paying users of on-demand music streaming services. The authors' data analysis shows two separate behavioral dynamics seen between these groups of users. While social influence and attitude are primary drivers for the non-paying users in the alluring phase, facilitating conditions and communication control capacity play critical roles for the paying users in the hooking phase. These results imply that the music industry should apply different approaches to prospective and current customers of music streaming services.

scholarly journals Music Industry: Toward A New Business Model?

2011 ◽  
Vol 5 (11) ◽  
Author(s):  
Alexis Koster
Keyword(s):  
Business Model ◽  
Service Providers ◽  
Music Industry ◽  
Retail Stores ◽  
Music Downloading ◽  
Internet Service ◽  
Internet Users ◽  
Legal Questions ◽  
New Business ◽  
The Usa

<p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt;"><span style="font-family: Times New Roman; font-size: x-small;">The last ten years have seen many changes in the music industry, mainly caused by Internet music downloading, legal and illegal.<span style="mso-spacerun: yes;">&nbsp;&nbsp; </span>The traditional business model of the recording music industry, based on the sales of CDs in retail stores, seems to be on its way out.<span style="mso-spacerun: yes;">&nbsp;&nbsp; </span>No clear new model has emerged yet, but several trends are noticeable for the recording music industry.<span style="mso-spacerun: yes;">&nbsp; </span>First, the decline of CD sales since the peak year of 2000 has accelerated, totaling 30% in the USA.<span style="mso-spacerun: yes;">&nbsp; </span>Second the recording music industry is going through a restructuring, marked by sell offs and mergers among the recording labels, by the disappearance of music retail stores, and by the foray of the majors in new directions, such as concerts.<span style="mso-spacerun: yes;">&nbsp; </span>Finally, revenues from digital music sales are increasing, partially compensating for the decrease in CD sales.<span style="mso-spacerun: yes;">&nbsp; </span>Whereas the providers of content, namely the labels and the artists, can be seen as victims of music downloading, the providers of the technology have benefited.<span style="mso-spacerun: yes;">&nbsp; </span>The sales of its iPod/iTunes systems have provided Apple&rsquo;s more revenues than the sales of its computers.<span style="mso-spacerun: yes;">&nbsp; </span>Other manufacturers are also entering this market.<span style="mso-spacerun: yes;">&nbsp; </span>Meanwhile, academics and policy makers have been studying new types of copyright licenses.<span style="mso-spacerun: yes;">&nbsp; </span>One idea is to impose a global license, paid by Internet service providers, and repaid to them by Internet users.<span style="mso-spacerun: yes;">&nbsp; </span>Many technological and legal questions must be resolved for such a scheme to become viable.</span></p>

Imperatives of Business Models and Digital Transformation for Digital Services Providers

2019 ◽  
Vol 15 (1) ◽  
pp. 105-124 ◽  
Author(s):  
Ramamurthy Venkatesh ◽  
Liju Mathew ◽  
Tarun Kumar Singhal
Keyword(s):  
Business Model ◽  
Business Models ◽  
Service Providers ◽  
Digital Transformation ◽  
Successful Implementation ◽  
Model Framework ◽  
Business Transformation ◽  
Digital Service ◽  
Digital Services ◽  
Business Customers

Despite the increasing pace of digital transformation initiatives across many industry verticals, lack of understanding among business leadership is cited as one of the major barriers for successful implementation of business transformation. This article explores the imperatives of business models and digital transformation from practical perspective and proposes an improvised business model framework with particular focus on digital services providers. Extant literature covering the trends of business models and digital transformation were reviewed qualitatively along with select reports pertaining to challenges faced by communications service providers. Key findings of this article suggest, a practical framework and business model representation to mitigate the challenges of business models and digital transformation. The authors believe, such an approach shall open up new and innovative opportunities for communication service providers to become true digital service providers which will help their business customers to plan and empirically progress with their business transformation efforts.

scholarly journals Examining User Experience of Conversational Agents in Hedonic Digital Services – Antecedents and the Role of Psychological Ownership

2019 ◽  
Vol 3 (3) ◽  
pp. 111-125
Author(s):  
Sebastian Danckwerts ◽  
Lasse Meißner ◽  
Caspar Krampe
Keyword(s):  
User Experience ◽  
Structural Equation ◽  
Underlying Mechanism ◽  
Psychological Ownership ◽  
Conversational Agents ◽  
Digital Service ◽  
Digital Services ◽  
Streaming Services ◽  
Music Streaming

Conversational agents (CA) that interact with users in human language have become increasingly popular over the past years. This study explores antecedents of the user experience with CAs in hedonic digital services, utilizing the example of music streaming services. Moreover, this study investigates whether a positive CA user experience increases users’ sense of psychological ownership towards the service, which in turn is supposed to positively influence users’ intention to use the service’s fee required premium version. Using structural equation modelling, the results indicate that perceived humanness and perceived personalization of the CA positively affect the user experience. The results also show that CAs can greatly benefit from higher humanness and personalization when users trust the hedonic digital service. Furthermore, psychological ownership has been identified as an underlying mechanism through which CA user experience leads to users’ premium usage intention, indicating that CAs might be valuable for hedonic digital services.

IoT Digital Service Provider

2019 ◽  
pp. 221-244
Author(s):  
Filipe Cabral Pinto ◽  
Isabel Borges ◽  
Fernando Santiago
Keyword(s):  
Service Provider ◽  
Value Chain ◽  
Service Providers ◽  
Digital Transformation ◽  
Cutting Edge ◽  
Communication Service ◽  
Deep Knowledge ◽  
Digital Service ◽  
New Business ◽  
The Way

Digitalization is changing the way people live and interact. A new society has been built supported by cutting-edge technology changing even the most conservative habits. This new dynamic also changes the way people consume and relate to different brands. Communication service providers are evolving their business and taking digital transformation initiatives to engage customers by putting them at the center of their operations. But only the deep knowledge of customers guarantees a change with value. The advent of the IoT enables getting useful insights about people context facilitating the delivery of personalized offers and first-class experiences all over the journey. New business can be created in an endless market across different domains. However, the IoT value chain is complex and interactions between stakeholders are not always clear. This chapter presents the on-boarding of the IoT on the service provider actuation sphere.

NEKA PITANjA DIGITALIZACIJE MEDIJSKIH USLUGA

2021 ◽  
Author(s):  
Jelena Vučković ◽  
Keyword(s):  
Media Literacy ◽  
Social Action ◽  
Industrial Revolution ◽  
Hate Speech ◽  
Service Providers ◽  
Human Life ◽  
Digital Environment ◽  
Digital Service ◽  
Internet Regulation ◽  
The Way

Life in the period of the fourth industrial revolution, complete and comprehensive digitization of almost every segment of human life, brings with it new challenges of recognition, understanding and coping in the digital environment. The crisis caused by the Covid-19 virus has further encouraged forms of virtual communication, and accelerated the development of digital services and their provision to unimaginable limits. The paper analyzes the way in which the digital environment influences the change in the way of providing media services, which are increasingly digital, and less classic and traditional. This means meeting and confronting a lot of information on the Internet and new social networks, which are becoming an alternative medium. younger population. Living in a digitized, hypertechnologically mediated world leads to the quantitative nature of information, without clearly determining its quality. A lot of information also leads to a lot of misinformation and false news. The appearance of the so-called algorithmic echo chambers, "clickbait" journalism, an increase in hate speech, as well as a decrease in trust in both the mainstream media and the journalistic profession in general. Therefore, in addition to strengthening the legal capacity of Internet regulation and the responsibility of digital service providers for the quality of audio-visual media content, it is important to pay attention to an important segment of preventive social action - development and strengthening of media literacy. Media literacy is one of the key competencies for living and working in a digitized and mediated environment, so it is necessary to clearly define its concept.

A Circular Business Model for Cloud Computing Services Providers

10.31355/33 ◽  
2018 ◽  
Vol 2 ◽  
pp. 105-120
Author(s):  
Hamed Motaghi ◽  
Saeed Nosratabadi ◽  
Thabit Qasem Atobishi
Keyword(s):  
Cloud Computing ◽  
Business Model ◽  
Circular Economy ◽  
Service Providers ◽  
Sustainable Consumption ◽  
Future Research ◽  
Extensive Literature ◽  
Computing Services ◽  
Proposed Model ◽  
Cloud Computing Service

NOTE: THIS ARTICLE WAS PUBLISHED WITH THE INFORMING SCIENCE INSTITUTE. Aim/Purpose................................................................................................................................................................................................. The main objective of the current study is to develop a business model for service providers of cloud computing which is designed based on circular economy principles and can ensure the sustainable consumption. Background Even though the demand for cloud computing technology is increasing day by day in all over the world, the current the linear economy principles are incapable to ensure society development needs. To consider the benefit of the society and the vendors at the same time, the principles of circular economy can address this issue. Methodology................................................................................................................................................................................................. An extensive literature review on consumption, sustainable consumption, circular economic, business model, and cloud computing were conducted. the proposed model of Osterwalder, Pigneur and Tucci (2005) is admitted designing the circular business model. Contribution................................................................................................................................................................................................. The proposed model of the study is the contribution of this study where provides the guidelines for the cloud computing service providers to achieve both their economic profits and the society’ needs. Findings Finding reveals that if the cloud computing service providers design their business model based on the “access” principle of circular economy, they can meet their economic profits and the society’ needs at a same time. Recommendations for Practitioners.............................................................................................................................................................. It is recommended to the startup and the existing businesses to utilize the proposed model of this study to reach a sustainable development. Recommendation for Researchers................................................................................................................................................................ It proposes a new circular business model and its linkages with community building. Impact on Society............................................................................................................................................................................................ The proposed model of the study provides guidelines to the cloud computing service providers to design a business model which is able not only to meet their economic profit, but also to meet the society’s and customers’ benefits. Future Research............................................................................................................................................................................................... Future researches can build on this research model which proposed in this study to examine the limitations of this model by using empirical researches.

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