Culture is future » Financing and economic models

06.12.2015

Streaming or nothing? An innovation could hide a few others.

Web review - 12/06/2015

Monday 8th of June, ­Apple (finally) revealed its new audio streaming service Apple Music. Already described by some as “revolutionary”, will it manage to carve its place and truly revolutionize the industry like Apple’s iTunes in its time? Besides the live on-line radio (Beats 1), a special web page named ‘Connect for artists to directly share content with their fans, and 100% human – and not algorithm – made playlists; Beyond innovation, the latecomer Apple is betting on their existing client base amounting to 800 million credit cards (vs. Spotify’s 15 million ‘paying’ subscribers) and on its marketing strategy to win market shares.

The new platform, will benefit artists? “On a worldwide average, the added value taken by artists has gone from 14% in 2000 to 17% in 2013 for recorded music, thanks to the hybrid revenue models more favourable for artists  but within a reduced market” optimistically points out Kurt Salmon’s 2015 Autumn report for the Forum d’Avignon.  Furthermore, the French Minister of Culture, Fleur Pellerin recently assigned Marc Schwartz to promote more equitable profit sharing between artists, producers and platforms.

If its not from the State, artists may seek other creative solutions via more singular business models. It’s the case for performing arts where both artistically and economically viable approaches are being experimented for productions such as  An American in Paris from the Théâtre du Châtelet (cf. our interview with the Production director, Laurence Marchand) ; as well as for Vodkaster a platform providing services in-between DVD and SVOD ; or the crowdfunding platform KissKissBankBank ; also for museums experimenting with Big data such as the Dallas Museum of Art (cf. « The ethical use of data is a competitive advantage ») … Seemingly, the cultural sector no longer needs to prove its dynamism ! 

 

The second revolution. Apple, having already transformed the music business once, is trying to do so again

On June 8th, Apple held its annual gathering for software developers in San Francisco, where it revealed a new music-streaming service. Apple’s big announcement raises two questions. The first is whether the service is truly revolutionary. The second question is whether people are likely to pay for what Apple is peddling. 

Read on economist.com

 

New business models and video pricing schemes

In 2014, 10 millions of French watched on-line videos. New supply-focused legal business models are being developed. The objective: promote related platforms and fight against illegal downloading websites. 

Read on zdnet.fr

 

News start-ups: between inventiveness and precarity

The Charon report, submitted to Fleur Pellerin, signals an opportunity to focus on news start-ups. It seems that these new hybrid news players consider themselves as being beyond conventional job perimeters and hierarchies… all while seeking a durable economic model.

Read on integrales-productions.com

 

The Théâtre du Châtelet receives 4 Tony Awards in New York

This year at the Tony Awards in New York, An American in Paris swept four nominations. A chance to remind us that the Théâtre de Châtelet largely depends on the City of Paris, which provides a large part of the Théâtre’s resources (18 million on a total of 28 million €) and the theatre space, under associative status, is innovatively managed by pooling external funding, allowing more freedom.  

Read on lesechos.fr

 

Art museums find going free comes with a costs

Museums find they’re scrambling to adapt their business models — with mixed results. When The Broad contemporary art museum opens its doors this fall in Los Angeles, it will join the ranks of America’s big free museums, reviving a frequent refrain: why aren’t they all free?

Read on fortune.com