Music investment of the future, could it be a data file?

February 20, 2005

Many of us us have seen and felt the sting of the evolution of music. I'm not talking about the progression of Rock to Rap, I'm talking about the evolution of the medium we purchase our music on. We happily trotted to the store to buy and re-buy the same music over and again in a succession of formats: vinyl, 8-track, cassette, compact disc, Super Audio CD, DVD-Audio. The thing is, maybe it's time to break this cycle and it seems that even some in the business are thinking along these lines. In fact, they are even going public with their thoughts.

Petersen and many other music-biz insiders agree that, in the next decade or so, the CD will very likely be surpassed as the album format of choice.

"The new format is no format," predicted Petersen, a 24-year industry veteran who also owns a record label, a recording studio and a music-publishing company. "What the consumer would buy is a data file, and you could create whatever you need. If you want to make an MP3, you make an MP3. If you want a DVD-Audio surround disc, you make that."

"We're moving beyond the media stage to the delivery stage," agreed Mitch Gallagher, 41-year-old editor of EQ, a San Mateo, Calif.-based magazine for music producers. At some point, he said, "you won't have something to hold in your hand" until you transfer a data file to a blank disc or tape.

We can only hope that one day this will be the case. But, I'm a bit pessimistic that we will ever see this happen. Simply because of the dramatic loss of revenue to the labels. But, who's to say that there will not become a model that charges us each time we wish to create a new recording via some type of plastic. What do you think? Is there a hope for a "format-less" future? Make sure to read the article as there is some good information and interviews. Then it would be interesting to know some of our opinions.

Source: Mail Tribune