So let’s get this straight. The music labels think we should pay more for a song downloaded from a server that isn’t theirs, over a network that isn’t theirs, because, well, just because.
No, its because profit margins shrink when routing IP traffic through monopolized networks. Its kind of basic ECONOMICS. IP traffic over wi-fi = competitively routed, device agnostic. IP traffic through cell phone networks = monopolistic. Do you think monopolistic tendencies also lead toward revenue splits that aren’t in the favor of artist/recordco? Indeed. Its why you have a 39 dollar song (ringtone extrapolated) vs. a 6 cent ringtone.
It has nothing to do with inherent value, and all to do with maintaining enough margins to even make it worth it.
So complain to your cell provider.
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It doesn’t matter what the reason is. That’s how people respond when it feels like they’re getting ripped off. Just because Coke’s attempt to sell soda for more on a hot day and less on cold ones makes ECONOMIC sense, doesn’t mean it is a good POLICY decision.
It YOUR problem, not OURS. Either you complain to the cell phone providers because it hurts your overall business or don’t. There is always an alternative to fans that doesn’t make these kinds of RETARDED DISTINCTIONS or YELL AT US IN ALL CAPS.
Posted 24 May 2008 at 10:51 am ¶it is basic market economics. When your profit margin shrinks because of more hands in the pie, you increase the retail price base to make up for it.
Its not endemic to only the music business, which is what Fireball is implying. Automobile manufacturers do this too (see the Prius, BMW, etc)
THis is not my problem really, its the fact of capitalistic economics. So unless you want to go to communism, just deal.
Posted 24 May 2008 at 10:54 am ¶Post a Comment