Consumers Transitioning from Purchasing to Renting Media

Apple and Amazon, two of the world’s most successful retailers, find themselves struggling in today’s market to increase the sales of books, movies, music, and games because of a shift in consumer priorities. It seems that consumers no longer want to buy media; they want to rent it. The two companies can be considered largely responsible for creating the problem because they made it so easy to rent books and stream music that consumers didn’t feel the need to buy media anymore. Continue reading Consumers Transitioning from Purchasing to Renting Media

Social Trend: Facebook Changing the Direction of Journalism?

Facebook, which reaches around 1.3 billion people monthly, currently makes up 20 percent of traffic to news sites. The social media platform provides around 30 percent of U.S. adults with news, acting as the leading news source for many consumers. Facebook, which sees itself as a personalized newspaper, is hoping to lead the change in how readers consume journalism. The company, along with other social media sites, could potentially control the future of certain news sites. Continue reading Social Trend: Facebook Changing the Direction of Journalism?

Simon & Schuster and Amazon Strike New Deal for E-Books

Publisher Simon & Schuster announced yesterday that it has negotiated a multiyear agreement with Amazon for print and electronic books. According to a letter signed by CEO Carolyn Reidy, the deal “is economically advantageous for both Simon & Schuster and its authors and maintains the author’s share of income generated from e-book sales.” The letter also indicates that the contract gives control of e-book pricing to Simon & Schuster, “with some limited exceptions.” Continue reading Simon & Schuster and Amazon Strike New Deal for E-Books

Hachette and Amazon Continue to Battle Over E-Book Prices

As Amazon and Hachette continue to battle over the prices of e-books, Hachette’s authors have decided to appeal directly to Amazon’s board. Authors United is warning the board of the reputation that the retailer will develop if it blocks the sale of books, a tactic that may prove helpful considering the significance Amazon places on its reputation. Authors United members have until Wednesday to sign the letter, which will be sent to Amazon’s 10 board members. Continue reading Hachette and Amazon Continue to Battle Over E-Book Prices

LiketoKnowit Gives Instagram Users Easy Way to Shop Online

LiketoKnowit is a website that allows Instagram users to easily locate items, such as clothing and jewelry, in an Instagram post and then purchase them online. After signing up on the website, whenever a user “likes” a post on Instagram that links to “liketoknow.it,” they receive the information about the product in their inbox with links to shop online. RewardStyle, a company that allows fashion bloggers and publishers to earn commissions on items they link to, developed the site. Continue reading LiketoKnowit Gives Instagram Users Easy Way to Shop Online

Yahoo Targets Mobile Advertising Market with Flurry Purchase

Yahoo is purchasing mobile app analytics firm Flurry, a company that collects data from some 540,000 apps to help marketers identify which mobile ads work the best for Android and iPhone users. While financial specifics have not been released, insiders suggest the deal is valued at more than $200 million, one of the largest under CEO Marissa Mayer. The acquisition is another step by Mayer to pursue mobile advertising revenue, a market largely dominated by Google and Facebook. Continue reading Yahoo Targets Mobile Advertising Market with Flurry Purchase

Amazon Announces its Kindle Unlimited, the Netflix for Books

Amazon announced its new Kindle Unlimited, a $9.99 per month unlimited reading and listening service that provides access to more than 600,000 Kindle books and thousands of audiobooks from Audible. It will be available for the Kindle as well as iOS and Android mobile devices through the Amazon Kindle app. Analysts suggest that the service, which will compete with existing ebook subscription services Scribd and Oyster, could spark as much as $1 billion in growth for Amazon. Continue reading Amazon Announces its Kindle Unlimited, the Netflix for Books

Facebook Pursues Video Advertising with LiveRail Acquisition

Facebook announced Wednesday that it will acquire ad technology firm LiveRail, furthering its efforts with effective video advertising. LiveRail, sometimes referred to as a “supply side” platform, helps media companies sell video ads programmatically. The company currently works with clients such as A&E, Univision, MLB and BET. Facebook believes that the LiveRail acquisition will eventually lead to better video ads that are more relevant to its community. Continue reading Facebook Pursues Video Advertising with LiveRail Acquisition

Apple’s Settlement in E-Book Case Will Likely Pay Consumers

Apple has ended its civil class-action lawsuit over the price of e-books with a settlement that is worth an estimated $100-$300 million. Last year, a federal judge ruled that Apple broke antitrust laws by driving up the prices of e-books in cooperation with five major U.S. publishers. If Apple’s appeal of last year’s case is unsuccessful, the tech giant may be paying out millions to e-book customers. The terms of the settlement also cancel a damages trial set for July. Continue reading Apple’s Settlement in E-Book Case Will Likely Pay Consumers

New Trend: Social Media Stars Featured in Festivals and Tours

A capacity 12,500 tickets were sold for DigiFest NYC, a festival where more than 70 social media stars took to three stages this past weekend. The event is part of a booming corner of entertainment that features performers and personalities who are generating fans via social networks such as YouTube, Instagram and Vine. Los Angeles startup DigiTour Media produced the festival, and is one of several companies putting social media celebrities on stage for paying audiences. Continue reading New Trend: Social Media Stars Featured in Festivals and Tours

ASCAP and BMI Push For More Flexibility in Music Licensing

The Justice Department announced this week that it will review the regulatory agreements created in 1941 that govern ASCAP and BMI. It is likely that, as a result, a lobbying fight will surge between technology giants like Pandora and Google against music companies and songwriter groups. If changes to the regulatory agreements are not made, major music publishers, including Sony/ATV and Universal, may withdraw from ASCAP and BMI.  Continue reading ASCAP and BMI Push For More Flexibility in Music Licensing

Judge Rules in Royalty Lawsuit Between Pandora and ASCAP

In somewhat anticlimactic fashion, the lengthy, dramatic battle regarding what digital music service Pandora should pay ASCAP ended Friday when U.S. District Judge Denise Cote ruled that Pandora should continue to pay the performing rights organization what it has been paying through 2015. Pandora had argued that it should pay less than the current 1.85 percent of revenue, while ASCAP had argued for an escalating rate structure that would require Pandora to pay 2.5 percent of revenue for 2013 and 3 percent in 2015. Continue reading Judge Rules in Royalty Lawsuit Between Pandora and ASCAP

Pandora Lawsuit Could Impact Music Industry’s Royalty Model

For the past 73 years, the Justice Department has governed licensing organizations ASCAP and BMI to ensure songwriters receive fair royalty rates when their songs are played. Now Pandora is taking on ASCAP in a trial over royalty payments that is being carefully followed by the publishing industry. Music publishers including Sony/ATV and Universal are calling for an overhaul of the system, while tech firms are claiming that publishers are attempting to skirt federal rules designed to protect them.

Continue reading Pandora Lawsuit Could Impact Music Industry’s Royalty Model

Will Books Follow Music and Video with Subscription Model?

The concept of “literary Netflixes” has been gaining momentum in the past few months. Oyster, a book subscription service that launched four months ago, recently raised $14 million to expand. Many members of the publishing industry are cautious about adopting a subscription model for e-books because they believe it could cannibalize sales and devalue books. However, Oyster notes that despite the apprehension, it has been signing publishers and already has a library of more than 100,000 titles. Continue reading Will Books Follow Music and Video with Subscription Model?

ComiXology: Sales of Digital Comics Pages Soar to 6 Billion

ComiXology, a digital comics platform that launched in 2009, sold 4 billion pages of comics through its iPad app last year, earning it the title of most profitable non-game app for the iPod for the third year in a row. That figure shows a drastic increase in sales since the launch of ComiXology, which has sold more than 6 billion pages of comics total. CEO David Steinberger says the considerable growth is due not only to long-time comics lovers moving over to digital versions, but new, first-time comics fans. Continue reading ComiXology: Sales of Digital Comics Pages Soar to 6 Billion