But just barely: Digital sales accounted for 50.3 percent of all U.S. music purchases last year, according to Nielsen SoundScan.

And if you want to caveat that number, that’s easy to do: For starters, the Nielsen number refers to unit sales, not revenue. So the music company’s books might still show that analog sales make more money for them. And recall stunts like Amazon’s Lady Gaga almost-giveaway last spring, when it sold nearly half a million albums at 99 cents a pop.

Still, the big picture finally resembles the one we’ve been hearing about since Napster showed up in 1999, or at least since Apple started selling music via iTunes in 2003: One day, files would beat discs.

The milestone happens to have occurred in the same year that music sales finally ticked up again. You can pick a couple different metrics to illustrate the rise, but they’re all single-digit increases. The important point is they’re not decreases.

That could simply be a one-off, and perhaps the result of lots of people buying Adele songs — Sony’s new star sold more albums than anyone has done since 2004 — or there could be a larger change afoot. Won’t know about that for a while.

But an industry that hasn’t had good news since the Backstreet Boys were big can afford to be patient.

That has yet to happen. And if it ever does, it won’t be anytime soon: Gartner projects that by the end of 2015 digital music revenue may hit $7.7 billion worldwide, while CD sales will still be around $10 billion.

But there’s something else that really struck me about Gartner’s newest numbers. Take a look and see if you can figure it out:

Catch it? Took me a minute, because I couldn’t figure out what “Personalization Services” were. What kind of name is that for a $2.1 billion industry?

Here’s the English-language definition, via Garnter’s PR team: “The ringtones and ring-back tones that consumers pay for to use on their mobile devices. Typically, these can be acquired directly from service providers and synched to the mobile phone over the air, or can be acquired via a PC or connected device and then synched to the mobile phone.”

To sum up: More than 10 years after Napster, one of the key pillars of the music business is ringtones, a business that peaked around 2005, when some of you would have recognized the image at the top right of this post.

If you’re reading this, you probably haven’t paid for a ringtone since 2007, and you probably don’t know anyone who does. But there it is, generating two-point-one-billion dollars.

And Gartner thinks ringtones won’t die off anytime soon — four year from now, it thinks it’s still a billion-dollar business. Meanwhile downloads, dominated by Apple’s iTunes, are going to grow ever so slowly. Which means that if digital music is ever really going to take off, it’s going to be up to subscription services like Spotify, which up until now haven’t gained any real traction.

Gartner figures that will change, and who knows? Perhaps the Facebook fire hose that’s spraying Spotify at the social network’s 800 million users will work. So far, the signs are encouraging.

But if that doesn’t work, things are going to look as grim as ever — a flatlined CD business, a slow-growth download business controlled by Tim Cook, and … Crazy Frog.

[Image via Wikipedia]

When the dust finally settles between the artists, labels, and distribution companies, everyone will finally realize fans are more valuable than recorded music. As traditional monetization models for recorded music sales slowly fade away, new monetization methods centered on the fan will emerge.

How do we know music will become free? The stats point to this trajectory. Total revenues for CDs, vinyl, cassettes, and digital downloads worldwide dropped 25 percent from $38.6 billion in 1999 to $27.5 billion in 2008, according to the International Federation of the Phonographic Industry (IFPI). The same revenues in the U.S. dropped from a high of $14.6 billion in 1999 to $10.4 billion in 2008.

As the stats show, sales of recorded music are headed one way — down. Sure, digital music sales have been on the rise in recent years, but they have only partially replaced physical sales, so the overall sales figures are still headed south. And it surely isn’t because people are listening to less music. It’s simply because the old adage holds true: why pay for something that you can get for free? In addition, artists, the ones with the talent, aren’t making money off digital sales. Artists get about $0.09 per song sold digitally on iTunes or Amazon. So for a million downloaded hits, an artist earns $90K. Subtract manager, lawyer, agent and other “fees”, and an artist selling one million downloads would barely make minimum wage off of the recording.

Source: CNN, Forrester

Already, there is a deluge of great (and legal!) sites providing free music — including Pandora, YouTube, Spotify, Grooveshark, MOG, Rdio, and other online destinations. This is a big change from the early days of online music, when free meant illegal. Today, music start-ups have caught on to the profit potential in “giving it away.” Companies like Pandora, which generated $67M of revenue in 2011 Q2, and Spotify with over two million paying users, don’t charge for entry-level service. Instead, these music innovators found a way to monetize music indirectly through advertising and other means. Music still comes at great cost — start-ups still pay high licensing fees to labels — but as the economics shift, licensing fees are likely to decline. (Yes, labels will do a lot of kicking and screaming.)

So how will labels offset the decline in recorded music revenue? How will artists capture more value for their creative work? The clear answer is from their fans. Musicians have really never engaged their fans, maybe every three years while they were on tour, but otherwise they just released albums and expected fans to buy them. Myspace was the first experiment with direct musician-fan engagement, and it started a trend that has continued. Now, over 300,000 musicians have BandPages on Facebook. Just about every musician has a Web site, e-commerce site, and a web strategy. Many are putting their music “out there” for discovery and promotion before it’s ever part of an album. Soundcloud has seven million users who upload their music and recordings, for example. YouTube’s most popular videos are music-related. Bands, managers, and labels understand this trend and are finding new and innovative means to monetize fans.

We anticipate a lot of “creative destruction” and changes to the value model based on fan-driven music marketing models. There are ways to make money from the music experience, and those channels — new and old, low- and high-tech — are creating opportunities for artists, labels, and music start-ups.

Here are some of the ways the music industry will make money going forward.

• Live Music
  While recorded music sales continue to decline, live music revenue has increased in the past few years. The industry has been following this trend closely and focusing more and more on live tours and events. There really isn’t a way to replicate or pirate the live experience. As cellist Zoe Keating joked about piracy at the recent SFMusicTech conference: “Go ahead, try copying me! Just try!”


Source: CNN, Forrester as above

• Patronage
  In the Elizabethan era, artists were supported by wealthy patrons; we’re headed back toward that world. Two models are possible here, and will probably coexist as supplements to the live music monetization. The first is corporate sponsorship, which is already used widely. Take the OK GO music video “This Too Shall Pass,” in which the band discreetly thanks State Farm for making it possible, or the somewhat distasteful product placements ($500K worth) in Britney Spears’s “Hold it Against Me” video. The Black Eyed Peas have become so intertwined with brands that The Wall Street Journal dubbed them the “Most Corporate Band.”

  The other sponsorship model is direct fundraising from fans – also known as crowdsourcing. In 2007, Radiohead released its album “In Rainbows” for free, asking fans to pay as much or little as they pleased. And more recently, Nataly Dawn from Pomplamoose used a Kickstarter campaign to fund her forthcoming solo album. She set out to raise $20,000 but fans overfunded her project by $104,788. This may not seem like a huge sum, but crowdsourcing will make all the difference for indie artists worrying how to pay their rent.

• Curation, Discovery and Network effect
  MP3 players were around for years before the iPod took them from the technophiles to the masses. Likewise, music services spread when they are easy to use and approachable. Pandora has managed to attract tens of millions of users to its radio service because of the KISS principal (keep it simple, stupid). While this sounds easy, it took them years to develop the music genome and “taste” algorithms that analyze billions of thumbs up/down votes to offer effortless music curation.

  Upstart Spotify made access and friends the top priority for its music service, and has unseated Rhapsody as the top dog in on-demand listening. Others like Turntable let listeners do the heavy lifting — letting anyone be a DJ and mix tracks via a competitive, social, cartoony environment. And still others, such as the Hype Machine, rely on the old-school expertise of hardcore music junkies, letting bloggers curate their own selections. The ad-supported model is all about building audiences, and it’s an ongoing cat-and-mouse game where new methods continue to emerge.

• Whales
  One dirty little secret in the free-to-play online gaming world is that “whales” — to use a Las Vegas term for big spenders — often account for a significant portion of the revenue. In many examples in the free-to-play world, the top 10 percent often contribute 50 percent or more of the revenue for virtual goods, game play, tokens, premium versions and more. In one recent example, one happy gamer spent more than $76K on a single social game buying the accessories he needed to build his fortress. Would “whale” fans of Arcade Fire spend tens of thousands of dollars to sit in on a studio recording session? Yes, and I’m offering!

  And beneath the mega-whales, there is a larger base of dedicated fans willing to pay to be a part of the experience, even if they don’t have thousands to spend. “Baby whales” mostly tend to buy merchandise: T-shirts, caps, branded toys, etc. These baby whales are still a small share of any overall fan base, but collectively, an extra $50 each from a small percentage of fans can really add up.

• Unique Experiences
  People love to engage with unique experiences — things you just can’t replicate — and will often pay top dollar for them. Concerts are one kind of unique music experience, but there are others. Nataly Dawn’s Kickstarter campaign offered big donors rewards, like their choice of a song for her to cover, early prerelease access to her album, and even a private in-house concert. In addition, there are now countless apps that let you be a part of the music, from the T-Pain auto tune app to ShapeMix’s tool that lets you remix songs yourself with isolated melody/bass/drums/vocal stems and post those to your friends. While, selling these extra experiences may not be a major monetization method, such methods do allow indie artists to generate income, and top artists to experiment with new avenues to engage and grow their fan bases.
• The Bottom Line
  Music is getting closer and closer to free. Distribution is becoming commoditized, so monetization must change. To this end, artists will have to pull out the stops to engage with fans more directly, and actively seek out fans and benefactors willing to pay more than usual for their work. The music startups that will make money over the long term are those that will connect artists with fans, help people filter and discover new music they love, and offer unique experiences. People will never stop listening to music — they’ll just change how they find it, hear it, and pay for it.

Hany Nada is a founding partner of GGV Capital (www.ggvc.com), a $1B venture capital firm with a dual focus on China and the U.S. Some of GGV’s investments include Alibaba Group, Pandora Media, YY, RootMusic, Buddy Media, Tudou, SuccessFactors, Square, and 21ViaNet.

The retailers say the ventures not only help them gain a foothold in the fast-growing digital entertainment business, but also give them an edge in selling Internet-connected televisions and movie players in their stores.

Many of the TVs that Best Buy sells now come with CinemaNow software, while many of Wal-Mart’s are loaded with Vudu. The retailers also use free or discounted digital entertainment to lure customers to their websites, much as they have long done by selling certain movie and music discs at a loss to attract shoppers to their stores.

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Spotify’s Daniel Ek, who heads up the most talked about streaming music service in Europe, continues to promise a U.S. launch this year.

But the company has been unable to strike deals with U.S. music labels, which fear popularity of the service could cut back on sales of CDs and digital downloads. In Europe, the popular service offers unlimited tracks for free, or users can subscribe for an ad-free version.

With three weeks left in the year, will the Swedish entrepreneur keep his promise? Stay tuned as Ek takes the stage with MediaMemo’s own Peter Kafka at D: Dive Into Mobile.

10:06 am: Peter takes the stage to welcome Daniel Ek.

10:08 am: Peter: Spotify is the most awesome music service that you can’t get in the U.S. It’s Dec. 7; can you get it in the U.S.?

Daniel: No, you can’t. There are more complexities. We have to do deals with music labels, etc. It’s hard, he says. “It’s a business problem and a product problem at the same time.”

10:09 am: Daniel is still eluding the question.

10:09 am: We are definitely going to do the U.S., you’ll see. I’m here today.

Peter: You can’t commit to launching in the U.S.?

Daniel: I can’t commit to a specific date.

10:10 am: With no news on a launch date, Peter asks Daniel how it works.

Daniel: You download it to your PC, and it’s also supported on a host of mobile phones. The general idea is that you can access music for free, with adverts, or if you pay, you can take it with you. The limit is 20 hours of music a month.

10:11 am: Daniel: There’s not that many ads; the fee is 10 euros. It will be $10 in the U.S. (Whenever it comes, I suppose.)

10:11 am: Peter: This sounds like a lot of products–Rhapsody, Napster, Thumbplay, etc. What’s different?

Daniel: The concept isn’t different, but more people now are consuming more music than ever. You aren’t just a punk rocker, but you may also be listening to old-school blues, etc. Music has to adapt to a consumption model.

10:13 am: Peter: Do we no longer value music because of Napster 10 years ago?

Daniel: Yes, that’s part of it, but people also want to have access to everything on every device. In the past year, we’ve seen the adoption of smartphones. Pandora has been very successful because of smartphones. People are consuming a lot more of it.

10:14 am: Peter: It’s all free, so this is a problem for the producers who aren’t getting money from anyone.

Daniel: That’s a problem, but we’ll figure out ways to provide value that people are willing to pay for.

Peter: How many subscribers do you have in Europe?

Daniel: 750,000 paying customers, who pay about 10 euros a month.

Peter: Okay, that’s up from half-a-million earlier this year.

10:15 am: Daniel: What’s unique about Spotify and why we are growing so fast…

How fast? Peter asks.

Daniel: We launched on mobile in September 2009, so it’s been about a year.

The value is convenience and accessibility and packaging it in a good way (i.e., some of the stickiness comes from users creating lists and building their libraries).

10:17 am: Daniel: Another thing helping our growth is social networks, he says. They have a huge impact on people sharing content. It’s getting to become the primary way of how I find out what’s going on.

10:18 am:( It’s demo time! For all of those who have special access, or have hacked it, you know what this looks like already.)

10:18 am: Daniel is showing off his playlists, some of which come from Spotify and some from tracks he already owns. He’s showing this offline (because he doesn’t want to incur roaming fees), so he can’t demonstrate how you’d search for new music.

10:20 am: Peter: Are people comfortable with renting songs now, and listening to music in the cloud?

Daniel: This is something the industry needs to work on to make it 100 percent reliable, but it lets people have access anywhere.

10:21 am: Daniel says he wants to provide music to users “super fast.” But he sure is dragging his feet when it comes to providing it to U.S. consumers…ho hum….

10:22 am: Peter: People are still buying CDs.

Daniel: People are always asking me why. Is it because they want to own it? I don’t think so.

10:23 am: Daniel: Everyone expects things for free on the Web, but Apple is showing that people are willing to pay for apps.

10:24 am: Peter: I hear about how Apple might be working behind the scenes, telling music labels not to work with Spotify. Have you heard that?

Daniel: I read the news, so I’ve heard about it. I don’t actually try to focus on what Apple is doing, or what others are doing. I am, first and foremost, a user.

10:26 am: Daniel: China has 400 million Internet users, and one of the top things they do on the Internet is music. For me, it strikes me as odd, the value of the entire music business is $15 billion.

Peter: It used to be $40 billion. What’s the holdup with the labels?

Daniel: It just takes time. There are a bunch of companies that say they want to do it this year. But at the end of the day, you can only do so much that’s in your control. We believe in our model.

Peter: Which is to give music away for free. Would you change your model here?

Daniel: We would not just launch a subscription service here. Right now you can pretty much access any music for free. YouTube is one of the biggest sources in the world.

10:30 am: Peter: Are you raising money now in order to pay more to get the music deals done?

Daniel: No, but I wouldn’t rule it out in the future, though.

10:31 am: What’s it like to work with Sean Parker, who was from Napster and Facebook.

Daniel: I just saw “The Social Network.” I’m not sure if it’s true, but I really liked it. Sean wrote me this really long email about all the flaws in Spotify. He’s so great at product, so for me, this is someone who has been thinking about the product since the beginning of Napster.

10:32 am: Peter: Any audience questions? Jokingly, he asks, “How about from Rob Glaser (former CEO of RealNetworks)?”

10:33 am: Next question from Glaser! He asks about the music label deals he signed in Europe.

Daniel: It’s a really interesting time. If this is going to be the next big thing, that’s why they are taking their time. Is it going to be a la carte, or subscription?

10:35 am: Peter: Google has been talking about music, and Facebook is thinking about it. Would you link up?

Daniel: We are a developer on both Facebook and Android.

Peter: I mean deep core integration.

Daniel: We would never do any exclusive deals. We want to get music to become like water. We think it’s the most social object in the world. If music could flow freely on the Web, it would surpass the popularity of photos. People are paying by looking at ads, buying tracks or subscribing.

10:37 am: Last question from the audience, about Nokia-bundled music with smartphones through a service called Comes With Music. “Do you think those kinds of integrations can work?”

Daniel: I do. Our whole strategy is around the platform. I don’t know how well the integration worked with the phones, but it wasn’t playing nicely with the Web, or with the iPhone. Like the Kindle. It works on the Kindle, but you can also read books on the iPad. Whether people pay for the device and it’s bundled in, or whether it’s part of a TV package, it doesn’t matter.

10:39 am: That’s it folks–thanks for tuning in!

How do I convert songs in iTunes to plain MP3 files? I want to use them in another program that doesn’t recognize the AAC song format that iTunes prefers.

A:

Assuming you are using the latest version of iTunes, for either Windows or Mac, first go into the General section of preferences, select “Import Settings” and then change to “Import Using MP3 Encoder.” Next, choose the AAC song you want to convert, go to the Advanced menu, and select “Create MP3 Version.”

Note that this works with songs you have imported into the AAC format from your CDs, or purchased from the iTunes store in unprotected AAC form. It won’t work with songs you bought in the days when iTunes song purchases were sold in a special copy-protected form of AAC. You can tell which type of song you have—purchased, but unrestricted; or copy-protected—by turning on the “Kind” column in your iTunes song listings. You do this from the View menu under “View options…”.

Q:

For years I have run a Norton Antivirus product and a Webroot antispyware product on my computers. For the 2011 version of the Norton product, installation requires uninstalling the Webroot program. This concerns me. Should I be nervous?

A:

I haven’t tested Norton 2011, so I don’t know for sure. But I do know that standalone antispyware products are less and less needed because security programs that once focused mainly on viruses, and ignored spyware, now are designed to protect against both. Even Webroot now sells a combined product.

Write to Walter S. Mossberg at walt.mossberg@wsj.com

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In 2000, his team dropped the hammer on the Hack SDMI challenge by demonstrating how easy it was to crack the decidedly mediocre Secure Digital Music Initiative.

Dragged into the Sony BMG CD copy-protection scandal in 2005, he discovered that Sony’s “fix” for the Digital Rights Management rootkit it used to protect some new music CDs furthered inflamed an already bad situation.

And then, of course, there were Felten’s various investigations into electronic voting machines, the most notorious being the one that revealed Diebold’s machines could be opened with a standard office furniture key. “The access panel door on a Diebold AccuVote-TS voting machine–the door that protects the memory card that stores the votes, and is the main barrier to the injection of a virus–can be opened with a standard key that is widely available on the Internet,” Felten wrote at the time. “The exact same key is used widely in office furniture, electronic equipment, jukeboxes, and hotel minibars.”

Thank God for Felten, right?

And thank God the FTC has seen fit to hire him. There’s a lot of good he can do there. As Felten described it, “My main job will be to advise the FTC leadership on technology policy issues. My goals are use my technical expertise and knowledge of the tech world to help the FTC make the best decisions on tech topics, and to contribute to building up the agency’s technical capabilities.”

Said FTC Chairman Jon Leibowitz, “Ed is extraordinarily respected in the technology community, and his background and knowledge make him an outstanding choice to serve as the agency’s first Chief Technologist. He’s going to add unparalleled expertise on high-technology markets and computer security.”

For the music industry, the mobile phone, not the Internet, is becoming a huge driver of sales as India’s 670 million wireless subscribers slowly become accustomed to using their handsets for more than just calls. Mobile phones aren’t as susceptible to digital piracy as PCs, because wireless carriers can tightly control what content they sell.

Sales of ringtones and songs on phones already make up about 30 percent of the Indian music industry’s 7.5 billion rupees ($168 million) in total revenue and are expected to account for two-thirds of an 18.7 billion rupee market in 2012, according to PricewaterhouseCoopers. At that time, Internet music will still only be a 400 million rupee market, or about $9 million. The rise of mobile music sales is happening as sales of CDs and cassettes are declining sharply year after year.

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Last week, Amazon fought back against its cheaper rivals with a price cut. And many people expect Jeff Bezos to combat the iPad by reinventing the Kindle, adding color and other features.

Here’s a step: Kindle titles that feature audio and video clips–if you read them on the iPad via Amazon’s Kindle app. The feature also works on the iPhone and iPod touch as well, but not the Kindle itself.

In theory, Amazon (AMZN) shouldn’t care whether its customers read e-books on its device or on Apple’s (AAPL) as long as they’re buying them from Amazon. But it may be a little risky for Bezos to highlight the advantages of his rival’s hardware.

Then again, these are pretty modest advantages, for now: Amazon is launching the feature with a mere 13 titles, and five of them are from travel guide writer Rick Steves. But the Steves guides underscore how useful audio can be in some cases: You can read what he has to say about the Louvre, and now you can listen to him, too.

The video is much cruder–a William Styron book has a glorified slide show, but not much else–which makes sense. There are plenty of books designed to be consumed with companion CDs or MP3s, but very few writers or publishers know what to do with moving images.

Maybe that will change now that they have hardware to play with. But my hunch is that it’s going to take some time for the book industry to get a handle on video. And by that time, perhaps the Kindle will be ready, too.

[Image credit: Visual dichotomy]

Last week, Apple released its ninth major version of iTunes — which first came out in January, 2001, before the iPod even existed — and I’ve been testing it. This release is the biggest overhaul of the familiar program in recent years, with improvements in the look and functionality of each of the software’s three main portions: the media jukebox, the built-in store and the synchronization features that move media and applications to and from iPods and iPhones.

In my tests, performed on multiple Windows PCs and Macs, iTunes 9 worked as advertised, and I found it to be less cluttered, more intelligent and easier to use than the prior version. It synced music and videos properly for me using both an iPod Nano and an iPhone. It’s available as a free download at apple.com/itunes.

To me, the two biggest new features in iTunes 9 are something called Home Sharing and a new, easier way to organize the apps on an iPhone or iPod Touch.

For years, iTunes users have been able to wirelessly stream music from nearby computers running iTunes whose owners chose to share their music. But Home Sharing takes this one step further, allowing users to actually copy the song files from one computer to another.

Right inside iTunes, you can simply peer into the shared library on another computer set up to allow this, and then select the song you want and drag it into your own library. It doesn’t delete the original from the other computer.

In my tests, this worked perfectly with music, as well as TV shows, movies and audiobooks, and it worked between any combination of my PCs and Macs. You can even configure Home Sharing to automatically transfer to your library new media purchased on another shared computer.

But Home Sharing has limitations. It only works with a maximum of five computers. These computers must be on the same local network, not connected over the Internet. And they must be the same computers authorized to play copy-protected media you buy from Apple.

With 75,000 apps available for the iPhone and iPod Touch, it has been easy to download so many that your device becomes cluttered, with numerous icons scattered among numerous screens in a manner that isn’t optimal. There’s a way to move them around, or delete them, right on the device, but it’s clumsy, partly because you can’t see all the screens at once, and partly because it’s difficult to move an icon from a location on one screen to another location several screens away.

The new iTunes lets you organize your iPhone's screen right on your computer

Now, in the new iTunes 9, when you plug in your device, the software displays an exact visual representation of your iPhone or Touch screens right on your computer, and allows you to rearrange them with your mouse. When you disconnect, the new arrangement is retained on the phone. It worked fine for me.

In iTunes 9, you also can create up to 12 automated “Genius Mixes” from your personal music library — essentially personal radio stations consisting of songs iTunes considers to be related, that play on and on. I enjoyed this feature, and found it generally made good choices.

There are also a number of small visual improvements throughout the program. In the jukebox, for instance, you can now locate all songs by a particular artist using a Column Browser — an optional left-hand column that lists the artists.

In the store, categories like music, movies and TV shows are now arrayed across the top, with drop-down menus for genres. The store also is generally better organized, with richer graphics, more white space and easier navigation.

A small touch of social networking, not exactly Apple’s historic strength, has been added to iTunes. From inside the store, you can post a link to a favorite title to either Facebook or Twitter, though this of course serves Apple by encouraging others to buy the title.

You can now buy special albums, called “iTunes LPs,” that attempt to replicate the experience of old vinyl albums by including lots of extra material. For instance, for one such title by the Doors, iTunes delivered to me liner notes, digital scans of old posters and set lists, plus photos and video interviews. Another, called Mayhem, by the singer/actor Tyrese Gibson, includes just one song, but also a vivid digital comic book with voiced dialogue.

However, these iTunes LPs take up a lot of space on your hard disk — about half a gigabyte each for the ones I tried.

Overall, iTunes 9 is a nice improvement on a much-used program.

Find all of Walt Mossberg’s columns and videos online, free, at the All Things Digital Web site, walt.allthingsd.com. Email him at mossberg@wsj.com.

]]> http://allthingsd.com/20090916/apples-itunes-9-makes-it-easier-to-share-organize/feed/ 0 http://allthingsd.com/20090818/lost-in-immersion-speaking-french-on-the-web/ http://allthingsd.com/20090818/lost-in-immersion-speaking-french-on-the-web/#comments Tue, 18 Aug 2009 23:00:52 +0000 Katherine Boehret http://solution.allthingsd.com/20090818/lost-in-immersion-speaking-french-on-the-web/

The home page of Totale shows your learning progress and options for playing language games by yourself or with other students.

If you’ve ever learned a foreign language, you know the vast difference between completing workbook activities and speaking with others. The latter experience can involve sounding out unfamiliar accents or guttural pronunciations and, though intimidating, is ultimately more rewarding. By immersing yourself in a language and navigating through situations, you learn how to speak and eventually think in that language.

Rosetta Stone (RST) has long used visual learning without translations by pairing words with images—one of the ways a baby learns to speak. For the past week, I’ve been testing its newest offering: Rosetta Stone Totale (pronounced toe-tall-A), which is the company’s first fully Web-based language-learning program. It aims to immerse you in a language using three parts: online coursework that can take up to 150 hours; live sessions in which you can converse over the Web with a native-speaking coach and other students; and access to Rosetta World, a Web-based community where you can play language games by yourself or with other students to improve your skills.

Totale costs a whopping $999, so if you aren’t serious about learning a language it’s a tough sell. Rosetta Stone says this program is comparable to an in-country language-immersion school. The company’s most expensive offering before Totale was a set of CDs (lessons one, two and three) that cost $549, included about 120 hours of course work and had no online components.

The Totale Package

Since Totale is Web-based it doesn’t come loaded onto several disks in a yellow box like the company’s previous products. But despite this digital transition, buyers of Totale will still receive Rosetta’s familiar yellow box, now filled with a USB headset and supplemental audio discs for practicing away from the PC—mostly while in the car.

I’ve spent over eight hours learning French in Totale throughout the past week, and I have to say that I’m surprised by how much I feel I’ve already learned. I realized this when I spent a 30-minute car ride listening to one of the supplemental audio CDs. I mentally identified and translated practically every vocabulary word and phrase, and I repeated the words aloud with what I thought sounded like a pretty decent French accent. This was after just four hours of work online.

Totale users can speak with a coach and three others in studio sessions.

Intensive Coursework

The core of Totale is the time-intensive online coursework. But even though this takes a lot of effort, its layout is attractive and each screen has only a few things on it so it doesn’t feel overwhelming. Lessons include identifying photos of objects or situations as they are described aloud, writing phrases (my least favorite part), and using deductive reasoning to construct and dictate your own sentences about a photo. Totale’s headset comes in handy during exercises that require you to repeat words or sounds out loud into the microphone.

Activities in Rosetta World—including solo, two-person and group games—were addictively fun. One game plays like Bingo: I listened to someone speaking French and marked words on the board as I heard them, racing to get five words horizontally, vertically or diagonally before my opponent beat me to it. I waded into these games cautiously at first, playing alone before I got familiar enough to challenge another Totale user.

Helpful indicators show how many people are available at any given time for each type of game in Rosetta World—meaning that person is logged into Totale and studying the same language as you. I never saw more than five people in the community, and it gets a little old playing (or worse, losing) to the same person after a while. Since Totale was only recently released, this community should grow over time.

A chat window at the bottom left of the browser window reminded me of Facebook’s built-in instant-messaging program, listing users against whom I competed in online games. But unlike when I’m on Facebook, I didn’t feel comfortable instant messaging with these people.

No Flashcards

Rosetta Stone’s methods, while natural and easy to pick up, aren’t what my brain expects when learning a different language. I minored in Spanish in college, learning in traditional classroom style by studying verb conjugations on flashcards and vocabulary definitions in English. So at certain times throughout Totale’s French-only lessons, a part of me wanted to know the exact definition of a phrase or the reasoning behind why something was the way it was.

The moment of truth came when I attended a real-time, 50-minute studio session online with one of the live coaches—all of whom are native speakers—and two other students (four students is the maximum allowed per class).

Rosetta Stone recommends that students complete an entire unit before joining one of these studio sessions, and the only language you are permitted to speak during the studio is the one being studied. I proudly remembered all of my new vocabulary words as our coach pointed the cursor to animals, colors and clothing, asking us questions and prompting us to ask one another questions. The coach kindly corrected us when we made mistakes, made jokes about words and used an on-screen tool to type out a few of the harder phrases.

But I fumbled around trying to remember the correct phrases and grammar to go along with my vocabulary.

I frustratingly realized that I didn’t even know how to ask my coach in French, “Why is that blanc and not blanche?” Our coach eventually answered that question and some others without anyone’s prompting because it was obvious that none of us knew what forms of some words were right or why; Totale’s coursework doesn’t include explanations. A few of the phrases our coach explained still puzzled me and I was starting to miss my flashcards from Spanish class.

Team Effort

Rosetta Stone is determined to make sure you don’t feel like you’re alone as you work through the Totale program. A “Customer Success Team” representative calls you within a day of your product purchase to answer any questions or concerns about how everything works. And this team keeps calling or emailing (you tell them which contact method you prefer) whenever you have passed a milestone in the program—or to encourage you to pick it up again if you haven’t logged on in a while.

Even for $999, you can go back in and re-use every feature in Totale, but only for one year. You can reset your scores and completely start over, attending online studios again and playing games in Rosetta World as many times as you like. But once a year is up, you’re finished with the program.

Rosetta Stone Totale works on all major Mac and Windows PC browsers, though participating in a studio session while using some browsers requires you turn off their pop-up blockers.

I still have work to do in Totale, but I’m looking forward to it—even though I find some aspects to be a bit vague. This program does a terrific job of immersing you in a language and may be the next best thing to living in a country, surrounded by native speakers. Best of all, unlike my semester abroad in Spain where college friends gave me my daily fix of the English language, Totale never lets you slip out of using the language you’re studying.

Edited by Walter S. Mossberg. Email Katherine Boehret at
mossbergsolution@wsj.com.

]]> http://allthingsd.com/20090818/lost-in-immersion-speaking-french-on-the-web/feed/ 0 http://allthingsd.com/20090417/consumers-want-to-rip-burn-dvds/ http://allthingsd.com/20090417/consumers-want-to-rip-burn-dvds/#comments Fri, 17 Apr 2009 15:22:11 +0000 Marisa Taylor http://voices.allthingsd.com/?p=10877 Apple’s (AAPL) iTunes makes saving music from CDs onto one’s personal computer a simple process, but doing the same with a DVD is much more complicated endeavor. Most DVDs are encoded with digital rights management technology to prevent copying.

Most DVD viewers think that’s hypocrisy. A study of 1,000 consumers conducted by the National Consumers League found that 90 percent think that they should have ability to back up DVDs on their personal computers in the same way they are able to do with music from a CD.

Read the rest of this post on the original site

]]> http://allthingsd.com/20090417/consumers-want-to-rip-burn-dvds/feed/ 1 http://allthingsd.com/20090311/u2-is-no-coldplay-david-letterman-is-no-apple/ http://allthingsd.com/20090311/u2-is-no-coldplay-david-letterman-is-no-apple/#comments Wed, 11 Mar 2009 15:24:43 +0000 Peter Kafka http://mediamemo.allthingsd.com/?p=5119 Big rock album of 2008: Coldplay’s “Viva La Vida.” Big rock album of 2009: U2′s new “No Line on the Horizon.”

Coldplay’s U.S. sales in the first week the album went on sale last June: 721,207. U2′s sales for its first week, which ended yesterday: 483,925.

What gives? I’m not a huge fan of either band, so I won’t opine about the albums’ relative merits. And the most obvious answer is that CD sales drop every year, so a big album in 2008 is be a smaller album in 2009.

But I will note that Coldplay got a huge push from Apple (AAPL) last year, which promoted the band over and over and over again on TV ads.

U2 has been working its disc very hard, too–most notably, a week-long stint on David Letterman’s CBS (CBS) show. But maybe a simple iTunes/iPod spot–like the one the band did a few years ago–could have done the trick.

Album promotion circa 2008:

]]> http://allthingsd.com/20090311/u2-is-no-coldplay-david-letterman-is-no-apple/feed/ 0 http://allthingsd.com/20081118/ex-yahoo-exec-heres-how-to-save-the-music-business/ http://allthingsd.com/20081118/ex-yahoo-exec-heres-how-to-save-the-music-business/#comments Tue, 18 Nov 2008 20:00:27 +0000 Peter Kafka http://mediamemo.allthingsd.com/?p=1184 “There is nothing wrong with the music business. There’s something wrong with the CD business.” Talk to a music industry optimist–yes, there still are some–for any amount of time, and you’ll inevitably hear that line.

To spell that argument out: Just because people aren’t paying $10 to $17 for a CD anymore doesn’t mean that people aren’t interested in music, and in some cases willing to pay for it.

Even if that’s true, it won’t do very much for the people who run big music companies like Vivendi’s (VIV) Universal Music and Warner Music Group (WMG), who are still stuck selling CDs and will be for years to come.

But nimble competitors think they can carve out a niche for themselves by working outside the labels and selling small batches of music-related stuff, if not CDs. That’s the premise of Topspin Media, a start-up headed by Ian Rogers, an entrepreneur who briefly ran the music unit of Yahoo (YHOO). Topspin sells a suite of tech tools designed to help artists (and/or their business people) who want to sell their product and manage their careers on their own.

The company is just creeping out of stealth mode, so it’s too early to tell whether Topspin’s prospects are any more or less promising than the future of the music business. But Rogers is a persuasive guy, so it’s best to just step aside and let him make his own pitch.

Here’s a slide from a recent presentation Rogers gave at a music industry event in Seattle that sums up his “people like music” argument. (Click on the image to make it bigger.) His larger case, which, of course, includes a role for Topspin, can be found here. Or if you just like slides, here.

[Image Credit: Ian Rogers]

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