CANNES, France (Top40 Charts/ MIDEM PR) - 8,000 participants, spanning all sectors of the global music business, from over 80 countries LEFT Cannes saying that MIDEM 2009 had served as a launching pad for them to examine new business models that embrace digital and that they are facing the future with confidence.
Executives agreed that while in previous years the music industry had swung between nervousness to outright hostility towards the Internet and mobile telephone makers particularly on the issue of piracy, the mood had changed at MIDEM 2009. Indeed, MIDEM 2009 saw high-profile attendance from the likes of Nokia, Sony Ericsson, Orange and Blackberry parent Research in Motion (RIM), whose co-CEO Jim Balsillie told MidemNet attendees, "the music industry is living an extraordinary moment."
Summing up the shift in industry thinking, TAG Strategic's managing partner, Ted Cohen, told delegates attending the two-day MidemNet conference, "now is less about dreaming of the future and more about getting down to business. We are no longer railing against technological advancements. We are now thinking simply about achieving something that works, being practical and looking at models that can monetise music and create wonderful experiences for music fans."
Among the new business models discussed in Cannes was Nokia's unlimited download service, Comes With Music, which allows Nokia purchasers to download as many songs as they wish from a catalogue of five million tracks. Nokia's Executive Vice President of Entertainment and Communities, Tero Ojanperä, speaking at MidemNet, announced that within the next ten weeks CWM will be extended to include Australia and Singapore and they are now looking at a European rollout of the service.
Sony Ericsson's Head of Content Acquisition Management, Martin Blomkvist confirmed that he had held talks with labels at MIDEM to discuss pricing points and business models for the company's PlayNow service, while Orange's Vice President of Music, Laurence Le Ny met with rights-holders for discussions on developing Musique Max and Musique Hits, Orange's unlimited download services.
"I think the debate over the merits of music on the Internet or on mobile has shifted dramatically and this shift was evident during MIDEM," says MIDEM Director Dominique Leguern. "The industry is no longer wondering whether to work with new distribution outlets, but how to work to the benefit of everyone."
Kevin Arnold, Founder and CEO of the independent Online Distribution Alliance (IODA), the industry-leading digital distribution company for the global independent music community, agreed that the industry has moved on and that 2009 will be seen as a stepping stone to a brighter future. "As the music industry continues its transformation, MIDEM is an important grounding force that brings us together to focus on the fundamentals of music, marketing and innovation. Historically, bad times make for good opportunities and MIDEM brings us together to explore new possibilities and dive into the next era of our changing industry," he said.
That next era, according to MIDEM delegates, will increasingly involve brands teaming up with music groups as part of global marketing strategies. In Cannes, Bacardi announced that its nine-month old deal with UK dance group Groove Armada will now include new online elements to launch the band's new EP via online sharing service www.bliveshare.com. International brands which chose to use MIDEM to develop their relations with the music industry and explain their music strategies included Coca Cola, A|X Armani Exchange and Guitar Hero video game publisher Activision Blizzard.
"The growing presence of brands at MIDEM is an indication of what the future holds for the music industry," commented Dominique Leguern. "These are exciting as well as challenging times and we had the great opportunity of sharing the experiences of two emblematic artists at the forefront of building new business models, Radiohead and Trent Reznor. At the International Manager Summit, Brian Message (manager of Faithless, Kate Nash and Radiohead) clearly said that flexibility and creating value are today's tools for success and a Trent Reznor/Nine Inch Nails case study presented the artist's huge creativity in building new ways of connecting with fans."
CD sales may be decreasing, but there are many sectors of the music industry which post considerable vitality such as publishing, and the introduction of the MIDEM International Publishing Summit provided a platform for important discussion on where publishing is heading.
Managing Director of Artiste Management Productions, Harvey Goldsmith was in upbeat mood at Cannes. Commenting on MIDEM 2009 he noted "there's a ton of business being done in Cannes and I mean a ton. The press gets hooked up on numbers. I don't worry if there are 8,000 or 8,000,000 people at MIDEM, it's the quality of the attendance that interests me. In fact, if there a few less people, it makes for a better event as you don't get hassled every five minutes."
MIDEM delegates expressed satisfaction over efforts to establish international standards for rights administration. Universal Music Publishing Group (UMPG) and France's Society of Authors, Composers and Publishers of Music (SACEM) unveiled DEAL (Direct European Administration and Licensing), their joint model for the licensing and administration of rights for multi-territory online and mobile use in Europe. SACEM CEO and Chairman Bernard Miyet said of DEAL, "the UMPG/SACEM agreement has made a significant contribution to establishing a coherent and efficient model for the licensing and administration of online rights in Europe."
On the legislation front, France's music industry, which has seen physical music sales drop by 60% over the last six years, welcomed French Minister of Culture and Communications Christine Albanel's statement of commitment to push through new online anti-piracy legislation. Christine Albanel, who officially opened MIDEM on January 18, said in Cannes that she is doing "everything possible" to bring the proposed legislation before France's National Assembly (parliament) by March. The law, which has already been accepted by the French Senate, contains a series of anti-piracy measures including suspension of internet access for persistent offenders.
Some key industry figures are warning governments to be cautious about what legislation they adopt. Addressing MIDEM delegates, Feargal Sharkey, Chief Executive of UK Music, said the industry and Internet service providers are close to finding a mutually acceptable solution to the file-sharing issue which could negate the necessity for government intervention.
While the MIDEM exhibition floor saw heavy traffic in the daytime, delegates migrated to the concert venues during lunch and in the evening to listen to some 300 performers from 23 countries. MidemTalent concerts which drew both the crowds and praise included Charlie Winston, Sliimy, The Ghost, Yodelice and Ndidi Onukwulu. Reflecting the diversity of music available in Cannes, Cuban-American soprano Eglise Gutierrez brought 900 people to their feet for a standing ovation following her performance at the MIDEM Opera Night, January 19.
Headlining the Brits at MIDEM show, singer, songwriter and piano player Jamie Cullum provided his audience with an appetizer to his much-anticipated new album, which is due out in the spring or early summer, by playing selected tracks from the album. Cullum admitted to being a fan of Charles Aznavour, a feeling that was reciprocated by Aznavour who received a MIDEM Lifetime Achievement Award.
60s British pop and rock icon Donovan took Cannes by storm with live performances including one which hushed assembled journalists attending a press conference by the singer. Donovan and Reed MIDEM Chief Executive Paul Zilk were awarded France's prestigious cultural title "Officer in the Order of Arts and Letters" by French Minister of Culture and Communications Christine Albanel. The French opera singer, Philippe Jarousski, received the title "Knight in the order of Arts and Letters". The titles recognise outstanding contributions to the arts in France and the world.
The 44th edition of MIDEM will be held in Cannes from 24-27 January 2010 (11th MidemNet, January 23-24).
