The new Amazon Cloud Player works only with a web browser or on an Android device. Before making it available on other platforms, perhaps Amazon is waiting to see how the music industry reacts to its otherwise bold move. An article on Ars Technica has the headline, “Music industry will force licenses on Amazon Cloud Player—or else,” but I hope Ed Bott on ZDNet has it right, explaining “How Amazon has outsmarted the music industry (and Apple).” There are laws, and there are contracts, and I don’t know if Amazon’s lawyers advised Jeff Bezos that he would be in violation of one or the other by introducing the Cloud Player, but so far none of the big music labels or the RIAA have filed for a cease and desist order.
Back in the early 80’s, when cassettes were an essential audio component, many LP’s came with a warning on the sleeve that said, “HOME TAPING IS KILLING MUSIC… and it’s illegal.” And that was before CD’s! Well, neither claim turned out to be true. I remember when Disney wouldn’t allow its pre-recorded video cassettes to be rented. They could only be purchased, and they even came with a message saying that, embossed into the cassette. Eventually, Disney had to relent to the reality of the times and, of course, video rentals became a huge revenue source for the studio and helped to fund its resurgent animation department.
Time and again, the music and movie industries have had to react to new technologies. Silent movies didn’t survive talkies, but movies survived the competition from radio and, 20 years later, television. The only way to succeed is to find a way to take advantage of the new technology. As I’ve pointed out before, Napster was predicted in 1972, so the music industry had plenty of warning of what was to come:
Since huge quantities of information can be computer-digitalized and transmitted, music researchers could, for example, swap records over the Net with “essentially perfect fidelity.” So much for record stores (in present form).
Stewart Brand
Rolling Stone
December 7, 1972
The controversy over this latest music distribution method will be fun to watch, because Amazon isn’t a lone college kid sharing MP3’s with friends, who can be easily intimidated. If pushed, Amazon can push back very, very hard. Similarly, the movie studios want to squeeze Netflix, but the question is, without Amazon and Netflix who’s left to distribute audio and video — Wal*Mart, Best Buy, and Target? None of them are still committed to selling physical media.