Music News Bulletin - 17/11/08

Glastonbury 2008 fails to make a profit November 3 2008
"Organiser Michael Eavis cites rising costs as the reason behind the festival's failure to make money for the first time in nearly four decades. For the first time since its inception almost four decades ago, the Glastonbury festival did not make any money this year.

The 2008 festival was known to be economically fragile, having failed to sell out in advance. The boom of UK festivals and a downturn in the economy may both have played a part, though some critics – including singers in over-the-hill rock bands – blamed a lineup that included Jay-Z." [Guardian]

Music still popular, says survey November 14 2008
"Bauer Media, the people behind magazines such as Q and Mojo, have released the results of a five-year study. And guess what? People still like listening to music. The music industry can breathe a sigh of relief for now at least: people still rather like it, a new study has found.

Bauer Media, the people behind magazines such as Q and Mojo, have released the results of a five-year study named Project Phoenix, delving into the habits of music consumers." [Guardian]

GRAMMY Northwest MusicTech Summit Keynote Nov 17
“It’s truly an honor to be asked by The Recording Academy to speak to you all today. Two years ago when I joined The Academy I was humbled. I’ve worked on the periphery of the music industry for fifteen years, building little music Web pages before there were even Web browsers for Windows or Mac, before Adam Curry’s MTV.com even, when there were just a couple of us who thought the WWW was a better Gopher. So to have finally merged lanes with the recording industry career-wise was a meaningful moment for me, regardless of the backdrop.

The backdrop, of course, is one we know well, a story we’ve heard ad nauseum at this point. Physical sales are decreasing (~20% Y/Y). The “two hit songs for $17 at Best Buy” business is over. Digital sales are increasing (~40% Y/Y) but it’s not making up the difference. Not only is digital not making up for physical sales, as the tracks are unbundled and the model is a singles-driven iTunes business, the actual value of a unit of music continues to plummet.” [TopSpinMedia]