Mash up model - Buzz around Xobni

A mash up is extending the capabilities of an application, usually you mash up application together to create your own application. It's a powerful technique for web site publisher s to improve the capabilities of their own service, the flip side though is that revenue of the used application is not not always shared with the integrator... That might be why is not so popular in the professional publishing industry but well used by entrepreneurs that want to increase their traffic.

Having said that, I need you to test and add-on, which is close to a mash up in the sense that it's adding capabilities to an application. Interesting about the one I need you for, Xobni, is that it's an add-on for outlook that automate the classification of your inbox in a GMAIL style. It's using a viral technique to promote the launch of their beta (again the beta syndrome I mentioned previously!) and I can be invited quicker if you click on the button and sign in for the free account... So please, act now ! You are one click away of participating in a viral action :-)


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Business Model evolution in the music industry

2007 is a cornerstone year in the music industry. Various business model have been tested and I guess that 2008 will see some trends emerging. Let's take the Radiohead example, no figure have been officially released but simply the fact that a well established band can produce, market and distribute his own music is already a revolution. The perception of the workload (and cost) is not always reflected in the price the people wanted to give away for the In Rainbow Record (average of 2.5£). Now that this action is closed and that the album is regularly distributed through I-tunes and XL recording, I'm wondering if it was just not a marketing action....

Madonna is another example, she signed an all in contract with the concert promoter Live Nation (Clear Channel), valued at 120m$ for 3 albums, concert organization, selling merchandising and Licensing her name. That contract is also unique because behind live Nation, clear channel owns a full supply chain for the music industry from Radio to ticketing and venue. The value add of such deal for Clear Channel is huge !

The open source model is also applicable for another segment of artists. Smaller artists (in term of audience ,not in term of quality !) can benefit from free distribution and social platform like Jamendo with their 2530.000+ users to create a buzz and get noticed by professionals.

To conclude, many other alternative where elaborated but in essence to go back to the primary objective of this blog (publishing industry), the value chain is not changing in the music industry. The content (the music itself) is more and more accessible for free on the web and the value added of the actors need to be refine to establish new business models. Orgnaization like the Rolling Stone (not sure if I can still call them band :-) needs a new record to promote a worldwide tour, the money is defenitely not generated by that new album. I can see similar trend in the publishing industry, the information is more and more available for free and adaptation are needed to monetize new value added.