Comment Re:Heads on pikes (Score 1) 131
not true even remotely.
While MAFIAA may be incredibly stupid, don't think their finance people are as stupid. It's not hard for them to figure out if it's not worth the money.
Apparently, it is.
If they thought about it, it's obvious that this isn't going to recover money. As the thread title says, it's about heads on pikes. The aim is to scare people into not downloading.
Of course, even that is not really the aim. The argument actually goes like:
- 1. We used to make lots of money
- 2. We don't make as much as we used to (actually, we don't think we are making as much money as we think we should be)
- 3. The kids are downloading it and not paying us
- 4. Let's count every download as a lost sale...There! that's where our money went
- 4. If we can stop downloading, people will buy the music instead
- 5. We can afford to spend a few megabucks if it stops piracy
- 6. PROFIT
It's further complicated by a sense of moral outrage from point 3. They are CRIMINALS. It is our DUTY to PUNISH them.
And then they sign off on their advertising budgets and promotions and schmoozing and expense accounts, because that's just a legitimate and accepted cost of doing business. Sure, it'd be nice to cut those costs, but "spend a dollar, get two back" is good financial math.
So, the finance guys accept the cost, because of points 5 and 6.
They won't, they can't think of downloading as a legitimate business expense, despite strong indications that downloaders spend MORE money on purchases. They refuse to consider that, maybe, their business model is broken.
The music industry does not want to think of themselves as being like Polaroid, or Kodak, or Atari, or Nokia.
Their finance people may be smart and competent, but right now that equates to an optimal deck-chair rearrangement, whereas what's needed is a course change away from the iceberg.