On Sat, 06 May 2006 21:13:02 GMT, "Blofelds Cat" <>
wrote:
>
>"GraB" <> wrote in message
>news:.. .
>> http://www.shortnews.com/start.cfm?i...ort=0&sparte=4
>>
>> http://tinyurl.com/zq4r7
>>
>> Rock bands Cheap Trick and The Allman Brothers Band are suing Sony
>> Music, claiming they are being shortchanged on royalties for songs
>> downloaded legally over the Internet.
>>
>> According to the suit, the record company is treating digital
>> downloads like traditional record sales, rather than licensed music,
>> triggering a different royalty deal.
>>
>> Under that old rubrik, the record company deducts fees for the kind of
>> extra costs they used to incur when records were pressed on vinyl,
>> including packaging charges, restocking costs and losses due to
>> breakage.
>>
>> Tracks sold over the Internet usually go for about 99 cents. About 70
>> cents of the sale price goes to Sony. The bands are getting about 4
>> 1/2 cents per song, according to the suit, rather than the
>> approximately 30 cents they claim is rightfully theirs.
>
>Ah yes, the ongoing hypocrisy of the music industry - bleat like hell about
>how many trillions they are losing to file-sharing while at the same time
>ripping the artists off at every turn, despite already taking the lion's
>share of the profits.
>
From
http://daviswiki.org/MP3s :
According to Moses Avalon's 1998 Book, Confessions of a Record
Producer, the proceeds of a then-$17 CD would typically be distributed
as follows: Retailer: $5 (29.4%), Record label: $4.92 (28.9%),
Distributor: $2.40 (14.1%), Giveaways: $1.80 (10.6%),
Duplication/recording: $1.10 (5.8%), Artist royalty: 83 cents (4.9%),
Songwriter license: 60 cents (3.5%), Producer royalty: 27 cents
(1.6%), Musicians union: 8 cents (0.4%). These figures show two
things: How little is spent on production and the artist, and how much
goes to the retailer and the record label. Yet $20 CDs - not just $17
CDs - are commonplace now. Nevertheless, since the book was released,
the cost of physical CD production has plummeted due to advances in CD
mastering technology, as well as decreases in prices of the materials
used in CDs themselves. Indeed, a common CD package may cost somewhere
between six and 50 cents to produce, depending mostly on the amount
and quality of liner-material.
Notice what the artists get. This breakdown stinks to high heaven.
If there is anyone robbing or hurting anyone, it is the record labels.
There was a big Rap group that declared bankruptcy. Turned out they
were getting 2% of the money from sales of their CDs.