Attatunes Online Distribution

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Current Status of Music Industry

Transformation in the music / entertainment community due to the advancement of technology.

To unlock the enormous potential of digital music, there is also a need to address piracy both in P2P networks and other forms. Education and legislation are both needed to prevent piracy and the effects.

Factors impacting the current business models

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Past

The "old" recorded music distribution system was simple: • label to distributor, • distributor to record store, • record store to consumer,

Effects on music industry – Tower Records Effects on movie industry - Blockbuster

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The Old Music Distribution Model

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Present

The music industry is desperately trying to maintain its multi-tiered distribution model, and the associated revenue / cost structures.

• These revenue / cost structures no longer pertain to distribution of digital objects and typically provide compensation to the artist in the 6% or less range per song sold.

• The current model also perpetuates outdated charges and fees and passes these irrelevant costs on to the artist i.e. 10% breakage charges.

• The New 360 deal current in the online environment introduced by the Record Labels.

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Current Distribution Model

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Digital Music – Summary of Statistics

1000% - the increase in the value of the digital music market 2004 – 2010

13 million – tracks licensed by record companies to digital music services

6% growth of global digital music in 2010

29% - the proportion of record companies global revenues from digital channels

€240 billion – estimated cumulative lost retail revenues to the European creative industries due to piracy 2008 – 2015

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Piracy and the Effects

Figures indicate piracy is hitting investment in New Music on a global scale, with the sales volume of best selling debut titles falling precipitously in recent years.

Large numbers of jobs are disappearing, approx of 12M and many more under threat.

Great new legitimate music offerings exist all over the world, but they will not survive if the market continues to be massively rigged by piracy.

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Future

The future of the music industry that was reported by the IFPI Report 2011 is a fragmented industry that unless dealt with will continue on a slippery slope downward.

The creative arts will no longer have a platform to distribute their work. Lack of tools and legislation to prevent piracy. If left to continue it will erode

the industry.

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Attatunes Online Distribution

ATTATUNES

will focus on aggregating musicians, singers & songwriters in an online, social networking domain to provide a simple, easy to use set of tools and services enabling any artist to quickly establish a direct artist to consumer online presence and relationship

will shift the focus of the distribution model away from the publisher/ label and it will reside with the artist.

will establish an online domain that will support direct artist to consumer

sales. • The key is the Copyright which will remain in the hands of the artist.

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Attatunes Focus

Taking advantage of the move away from the brick and mortar music stores to online distribution.

Seize upon the consumer traffic for the estimated increase in digital music sales that was US$4.6 Billion Dollars in 2011

Place the artist in a better financial position by allowing them to keep all their sales and copyrights.

Advocate for preventing digital piracy by educating the public.

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A Content management database system that will enable artists to upload and manage their content online.

E-commerce capabilities that will enable fans to purchase a members products & services online i.e. “direct to the consumer” .

Customizable home pages for musicians - professionals with the ability to add video, audio, photo and digital content, blog, wiki’s, forums, events and an online store.

Homepages for “fans” with the ability to “link” fans to a musician’s home page or other fans.

The ability to post sections of songs for review by fans & casual users.

How will Attatunes do it?

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FB Advertising

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But Wait There’s More

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Attatunes

Entertainment powered by Attatunes

Music Film e-Books Art Games

The greatest danger for most of us is not that our aim is too high and we miss it, but that it is too low and we reach it

Michelangelo

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Online Distribution Community with

A Purpose and A Conscious

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Questions