Digital landscape changes music industry
New technology is allows small producers to play with the Big Boys


The digital landscape has changed things for everyone around the world (who new 20 years ago that Google would become verb?). But perhaps the most significant change, as mentioned in the Future of Music blog, comes in the recorded music industry.

As you can see from chart one, in 2000 the majority of music sales came in the form of CDs. Over the next four years, that percentage continued to grow. But in 2004, a change began. By 2010, the CD dropped below half of royalties earned, while downloaded singles and albums reached 32%.

The impact on the individual artist cannot be overestimated. Before, the huge marketing machine created by existing labels was required to get an album in the hands of the consumer. With the advent of digital downloads, pioneered by Apple with their iTunes software, anybody could get an album in the new virtual stores.

With this change came greatly improved recording and editing software that allowed amateurs recording engineers to create professional sounding recordings in the comfort of their own living rooms. Creative artists now had control of the entire process, from start to finish.

The result is an explosion of recording artists recording, producing, mastering and selling their material. The effect for a small studio like Sharp Audio is very real. With the new technology and digital distribution channels, we can play the role of a home away from home studio, offering those artists who remain reluctant to strike out on their own by providing an inexpensive recording facility as well as help making their work available through digital downloads.

Basically, while the new technology might sound a death knell for the larger labels and recording studio (or at least a rethinking of their business plan) a small operation like ours stands to gain. We are now poised to provide the same services as the Big Boys, but at a much lower price point. We are, in effect, poised for success.

Pie charts courtesy Digital Music News.