Kara Swisher

Recent Posts by Kara Swisher

Making Fun of Prince Is Easy–Figuring Out How Talent Thrives in a Digital Age, Not So Much

So, yes, the quote from Prince about the Internet being “completely over” made him sound like a Luddite idiot.

And adding that computers and other digital gadgets “just fill your head with numbers and that can’t be good for you” pushed the music superstar over the edge into seeming like that crazy ranting dude you often encounter on the street claiming the government has invaded his brain.

But–after spending several days here in Los Angeles this week, talking to execs, talent and others who toil in the entertainment industry–I can’t say what I am hearing is that much different in terms of the continuing frustration with the lack of decent business models to replace the ones that have worked for so long and been so lucrative for the entertainment and media industry.

From music to movies to television, the biggest minds here still sound perplexed as to what will finally be the golden ticket to carry them through to the inevitable next era of digital distribution.

Still, so many questions and so few answers.

Will consumers buy subscriptions to cloud-based content? Will advertising be enough to pay for broadcasting online? Who will pay for the high up-front production costs of most major entertainment projects? Can costs come down enough to make up the difference?

And while there is now a lot of interest around tablets, such as the Apple (AAPL) iPad, and Hollywood types seem to accept that their customers are shifting their buying and consumption habits around entertainment drastically, there still remains a level of outright hostility to it all that has not changed much.

“Why is the consumer always right?” said one exec to me this week in a typical statement. “You can’t have a business if there is no business model.”

Indeed. And, in fact, that’s just what Steve Levitan, co-creator of “Modern Family,” the ABC television hit, talked about cogently at the eighth D: All Things Digital conference last month, telling a largely tech-centric crowd some truths it much needed to hear.

(FYI: We’ll be posting the video of the entire interview session with Levitan and also longtime Hollywood player Lloyd Braun here tomorrow.)

As much as he himself loves tech products, Levitan noted that lack of a business plan or credit for consumption online made digital largely pointless to his work.

“At its core, 90 percent of my job is still sitting down in a room full of people and breaking stories,” he said. “And that requires virtually no technology.”

It’s a salient point and not so different from Prince’s saying: “I don’t see why I should give my new music to iTunes or anyone else. They won’t pay me an advance for it and then they get angry when they can’t get it.”

If you remove the sillier parts of his quote that preceded it, such a statement is not unreasonable from an artist who wants to be paid for his creative efforts.

Thus, instead of mocking that sentiment, perhaps it is time for tech leaders to figure out a way to keep talent from being dragged into the future without so much kicking and screaming.

Or, as Prince might sing: He was dreamin’ of being paid when he said the Internet was over, so sue him if he went 2 fast.

Speaking of which, Prince really deserves a little more respect, folks, if only for his classic “1999,” seen here (jacked onto the Web, natch):


comments so far. Add yours.

  • http://www.lotsofdice.net Jason Lotito

    “Thus, instead of mocking that sentiment, perhaps it is time for tech leaders to figure out a way to keep talent from being dragged into the future without so much kicking and screaming”

    Why? Lots of older talent, and a lot of new fresh talent have already made their way onto the internet and are making money. It's not like tech leaders haven't been doing this for years.

    Let's look at this another way.

    Perhaps it is time for talent to listen to all the free advice they've been given for more than a decade instead of still whining and screaming.

    “continuing frustration with the lack of decent business models to replace the ones that have worked for so long and been so lucrative for the entertainment and media industry.”

    Disruptive technology works this way. It always has. You either adopt, or you fail. Just because your business relies on a certain foundation doesn't mean that foundation is required to remain. If anything, if your business fails, it's because the foundation wasn't as sound as you thought it was.

    But the best part about the quote is it's selective. Their has been, for more than a decade, proven, reliable business models in the entertainment industry. If various insiders don't like the working business models, or fail with their own ideas, how is it the tech leaders responsibility to make them more money?

  • http://twitter.com/BoilingSky David Jackson

    The music industry never paid anybody but record labels and the 0.5% of artists who recoup. Of course they want to maintain the 'indentured servitude' model.

    Business models exist online, but they exist in a way that rewards the artists first and therefore… The music industry as we know it is on its way out. Let it die.

    Movies are traded online like baseball cards and the last two years have been the biggest ever for box office.

  • kaliphonia

    The truth is, it costs money to pay talent to spend their time expressing that talent. Prince is completely right to ask for an advance from iTunes – it's simply an act of good faith on Apple's part to provide this. There's little out there as far as good business models go for online entertainment, and he's wary of it for good reason. If Apple wants to sell his music, and they think it will sell, then they should pay for it up-front – especially when you figure in the additional costs of providing the content, signing the contracts, etc.

  • http://www.lotsofdice.net Jason Lotito

    “There's little out there as far as good business models go for online entertainment,”

    That's a laugh. There are working business models for online entertainment. There have been working business models for online entertainment for years now.

    The problem is trying to copy what was done before into the online world. It doesn't work like that.

    “Prince is completely right to ask for an advance from iTunes – it's simply an act of good faith on Apple's part to provide this.”

    He has the right to ask, but he's also wrong.

  • http://profiles.yahoo.com/u/I2L5P2MRWJY6WO4IMOPFRRNANI Adrian22

    Jason is quite right. As someone who represents talent, the way is open for any artist and/or their management who want to make music and a living today. The folks scratching their heads or complaining are those in the old guard who want their control back, or, in the case of Prince, someone who is out of touch.

    For a genuine talent, one with imagination and conviction, this is the best time to be a rock musician in some thirty-plus years.

  • http://www.facebook.com/people/Paul-Sedkowski/100001467305337 Paul Sedkowski

    The issue is not what Prince says or thinks. He is not relevant because of his current opinions but only because of his place in musical history.

    What he says, however, is food for thought – if you think about it, lol. What he means is that all this digital interaction is irrelevant to the creative process. And in that he might be right. Maybe.

    By far the bigger issue is the majors’ position in all this. Like it or not, the mainstream is still saturated with major productions. TV, radio, press. They’re still guarding the money market with all they’ve got – and whoever is saying that they’re “wrong” in their methods is forgetting that they’re not wrong from THEIR point of view. If they were wrong, that market would no longer be theirs. And it still is.

    If you want to HELP them get MORE of that market back – then suggestions of what they should do or shouldn’t might make more sense. If you want to bring them down – then either say nothing or feed them disinformation (assuming that they’re listening). ;)

    It’s not clear from your post – or from the comments – which position you actually take.

    The commenters are pretty much “anti” major, and the author of this post seems to be straddling the fence. All analysis here is thus somewhat tainted with this lack of clear gutsy position and perspective.

    All that aside, I know my own position.

    The majors would be just fine by me if they played fair. But they don’t. For this reason, even though (as the good Samaritan that I am) I’d like to help them, how could I? (assuming that I was able to do so) – that would be undermining the efforts of all genuine artists whose efforts they actively, brutally – and sometimes cunningly – destroy.

    This said, here’s some food for thought for them: if the bloggers can find solutions, if certain upstarts hit it out of the part… so could they.

    But… they won’t.

    Why? Because they don’t perceive the threat clearly enough. Sure their profits have eroded – but they’re still making money and certainly have enough to eat. They’re worried about tomorrow, but they also know that tomorrow their houses will still be theirs and it will take quite a few tomorrows before they’re totally broke.

    This false impression of “we still have time to think of something” is the reason why the majors will continue looking for solutions among yesterday’s ideas. And will continue being predatory, exclusive and closed.

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