The Demise of the Newspaper and the Rise of the New News
The basic threat to traditional media today is not just that bits cost less than atoms. If plummeting costs were the only change, then media companies could exploit new technologies and become far more profitable using this new model. However, information produced and disseminated online behaves differently than physical books, magazines, and newspapers. With the new Web, the Internet is no longer about idly surfing and passively reading, listening, or watching. It’s about peering: sharing, socializing, collaborating, and, most of all, creating within loosely connected communities. Nowhere is this more true, than in the media and entertainment business where prosumers are deeply involved in aggregating, rating, and commenting on the news—and increasingly in creating the news themselves. This has now extended to virtually all media including music, film, television and radio. Indeed, the capability of humanity to report, analyze, compose, create, act, perform, produce and share has never been greater.
We believe a new, more dynamic news industry looms on the horizon. But how can newspaper executives reinvent their value proposition and their business models? Four key strategies suggest themselves: First, listen to today’s youth, because within their culture is the new culture of news and information. Second, commodity news won’t cut it for any audience, so create a distinct offering. Third, develop rich, multimedia experiences for new digital platforms and devices. Finally, embrace collaborative innovation by creating an open platform so that others can help you invent new sources of value.
Inside the Future of Music: Prosumers Take Center Stage
The Internet has opened new doors for creative collaboration and new models in the arts. Just about everywhere, the Web and the principles of wikinomics are changing the way music is produced and disseminated, deepening the bond between performers and music lovers. In this chapter we document: a radical new idea for a streaming music service that would give listeners access to all recorded music on any combination of devices they like; a new online community where music fans take over the A&R function of major labels; emerging creative platforms where amateur community members remix each others’ artistic works into powerful new combinations; and a rising indie label called Nettwerk that is finding clever new ways to monetize the emotional connection fans make with the music its artists produce.