Many companies in the music industry are busy approaching the courts and the Congress to prevent people from using direct, peer-to-peer services for listening to their favorite tracks. But, there is one company that has found a goldmine in the peer-to-peer networks concept. The company uses it for paying their artists as well as promoting them. This company known as Shared Media Licensing, based in Seattle, offers a software program called Weed. Using this software, fans can download and play a song thrice absolutely free of cost. But, if they want to play for the fourth time, they will have to pay charges that are called “Weed file” charges. The cost of the songs is around a dollar and users can burn the songs to as many Compact Disks as they want. They can pass on the songs through file-sharing networks. They can post the songs to their web pages as well.
Out-of-the-box thinking
This is absolutely an out-of-the-box thinking on the part of the company because they are trying to tackle the problem of music sharing through peer-to-peer networks that is considered unauthorized, by converting it into a great opportunity. So, everyone who shares music like this becomes a participant in the business of music. The company has launched its own website and additionally, they have also joined eBay by having their own store on it for distribution of digital music.
The software program is so designed that every time a new listener downloads a song, the Weed file will apply the set rules. This means that listeners can play the song thrice free of cost and from the fourth time, they have to pay the Weed-file charges. Listeners have the option of transferring the music to portable Windows media devices also.
The company has arranged to get the services of more than 100 content providers who independently do all the work related to finding the music, clearing the process of rights and managing all the files. In addition to these tasks, these independent providers take up the task of promoting the distribution as well as the sales through their individual websites also.
There is a commission to those who pass on the songs to their friends who may then decide to buy them. While the copyright owner of the songs gets 50% for every sale, Weed’s share is 15% for the services they render and for the cost of the software. Those who pass on the music will get 20% if their friends buy the music.
Major Contributors to the Concept
Among all the content providers, CD Baby has contributed more than 60,000 titles. At present, listeners can use more than 80,000 tracks. Some of the highly acclaimed artists who have tied up with the company for distributing some of their popular songs are Chuck D and Heart. Sir Mix-A-Lot and Kristin Hersh have also signed up with the company for distributing some of their tracks. Though there is a mixed response to this concept, majority of the singers and distributors welcome it.
P2P Concept and the Entertainment Industry
Weed is actively participating in the project P2P Revenue Engine of the Distributed Computing Industry Association in which entertainment companies can also use the same concept for earning revenues.
This guest Post is written by Marlin Yee and her team and empower knowledge sharing through their website. She through bloomfire, provides communication, content creation and shares tools. Her years of experience is what makes her company stand out from the rest.