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“More and more companies lose control of their customers when new
technologies enable them to interact with products on their own terms”
“Companies lose control of their customers
          when new technologies
    - and the resulting new behaviors -
enable them to interact on their own terms”
Control = Money?
Exclusivity = Leverage
   = more Money?
Consumers = the enemy...?
Copy.........Right




Image: Kevin Kelly kk.org   Image: Flickr.com/sameli
Larry Lessig said it all...
We must re-think permissions and standards,
 strike new balances for a connected world,
and monetize usage & engagement not copies
Attempts at increasing “control over digital
 content” while the users are getting more
     connected will fail spectacularly
Sharing: you ain’t seen nothing yet...!
The demise of physical media is certain
The future: a fight for attention - not for distribution
Source: Ars Electronica 2008
A ‘Networked Society’- Mindset
Make it good, make it fairly priced, make it
easy, make it social, make it connected...




                            Source: Reid Hastings (CEO) via Slideshare
The new Broadcasters &
the new advertising revenues
Source: Reid Hastings (CEO) via Slideshare
Property = Paper
 Value = Embodiment
Scarcity generates Cash
Property: Device & Access
  Value: in Aggregation & Curation
Scarcity of Attention (i.e. worth $£€)
A crucial slide from Ovum:
Networked Business Models

Experience Economy

                     Data Economy
                          Image licensed from sevensheaven.nl
We are living in a world where data and digital goods drastically
     increase in value while many physical goods decline
Imagine...
Approx. $30 Billion
      yearly revenues
     Example: 3-4% for
   unlimited music would
  equal approx. $ 1 Billion

 Other monetary benefits:
 Usage & marketing data
Cost-neutral market access
Myriad of up-selling options

Other players just like Google:
Facebook, Baidu, QQ, Yahoo,
   Cyworld, Ovi, Amazon,
 Skype... and every single
      Mobile Operator!
We need a new, public, clear, open, standardized,
    non-discriminatory, collective system of

         Usage Rights
Not far fetched...!
Special
                                                       Other        Fan
                                      editions and
                            Live                       media      products
                                        collectors’
                           events,                    products   & services
                                       items, incl.
   HD &                   webcasts,                   (games,
                                         physical
 premium                    VoD                       apps...)
                                         products
 formats




 source: Flickr/unknown



Up-selling options for music
From selling content to selling context
So how will artists & creators get paid?
                  Public Performance (2.0)

Up-selling (many options)

   Flat Rate Revenue Shares


                      Branded Content Deals
     Sponsorships

                  Fan Clubs / Direct Funding
Music 2.0: an open Ecosystem. Or none.
Devices
             Media &     Advertising
            Content &
Telecoms
           Entertainment
www.mediafuturist.com @gleonhard

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Context: The Future of Music (Presentation at Euroslagt Groningen NL Jan 2010)