Big entertainment must evolve along with consumers

Since the advent of the original Napster in 1999, big
entertainment companies have fought Internet piracy by going after
the technology and software that makes it possible. But
Napster’s shutdown in 2001 only paved the way for future
file-sharing programs with new technologies more resistant to
litigation.

The social mind-set and technological capacity for Internet
piracy has survived and is here to stay. Instead of fighting, big
companies need to evolve and embrace technology that creates
experiences unparalleled by pirated media.

Some people will pay to see a movie in a theater because they
appreciate the experience. Others will pay to ensure that the media
seamlessly streams through their home entertainment center. The key
for big entertainment is not selling the product ““ music and
films sell themselves ““ but instead selling the experience:
the dark movie theater, or the ability to watch last night’s
television show while walking to class. However, big entertainment
has clung to the old media experiences.

Most recently, the Motion Picture Association of America and the
Recording Industry Association of America have produced a bill for
the Senate that, if passed, would require that any new technology
only use media in its “customary historic use.”

In other words, the media could only be formatted or processed
with technology that has already been developed. The attempt here
is to maintain profits through old technologies and experiences,
like watching television and having to sit through commercials.

If the bill passes it comes at the expense of the consumer, who
loses the benefits of the next iPod or TiVo technology ““
technologies which continue to redefine the entertainment
experience.

The “customary historic use” bill is not the first
example of big entertainment fighting media technology. Meet
Digital Rights Management, technology that limits what consumers
can do with legally purchased digital media in an attempt to cut
down on illegal file-sharing.

Apple DRM technology prohibits songs and videos purchased from
iTunes to be played on anything other than an iPod. Sony recently
made headlines for including spyware on its CDs, which kept
consumers from making MP3s.

The immediate effect of all this bickering about technology is
that consumers become particularly disenchanted with big
entertainment. As technology gets better, consumers learn to expect
a better, more streamlined media experience that costs less.

Ten minutes of advertisements forced into a 30-minute television
show just doesn’t fly anymore. If big entertainment wants to
survive, it needs to find a new, profitable entertainment instead
of forcing the antiquated down our throats. It needs to accept
certain realities of the digital age.

For one, Internet piracy is here to stay. Technologies designed
to stop this only fuel the fire by limiting what people can do with
legally purchased media. If consumers can’t download MP3s off
iTunes and play it on non-iPod players or other computers because
of DRM technology, chances are they’ll pirate it for free. At
least then they can do with it what they want.

The digital age has seen the rise of the independent artist. New
digital production equipment, such as high-definition video cameras
and inexpensive digital audio recording systems, have made the home
studio or independent film set a professional standard. Soon,
filmmakers or musicians will no longer need a million-dollar
budget, an ad campaign or classic commercial distribution from big
entertainment to make a living.

In a Wired magazine article on DRM trends, Doc Searls, co-author
of the “Cluetrain Manifesto,” made this prediction on
the future of e-commerce: “There is too much talent out there
that is going to take advantage of a lower and lower threshold of
production. … It’s inevitable that some people are going to
make really good movies for a little money and distribute it on
their own.”

Look at Google Video, one of Google’s latest products and
“the world’s first open online video
marketplace.” With Google Video, the independent filmmaker
can upload his film online and charge a reasonable viewing price.
Because he won’t waste money on excessive advertising or huge
production costs, he can make a nice living off modest sales.

While big entertainment refuses to evolve, new digital
technology is beginning to take over the role of big entertainment
by providing inexpensive production alternatives for the
independent studio or artist. If big entertainment isn’t more
receptive, it may just end up the odd man out.

Got a favorite film on Google Video? Tell Macdonald at
[email protected]. Send general comments to
[email protected].