Aesops record label fable

Aesops record label fable: About 2,600 years ago, give or take a century, Aesop shared the follow tale:

“One day a countryman going to the nest of his Goose found there an egg all yellow and glittering. When he took it up it was as heavy as lead and he was going to throw it away, because he thought a trick had been played upon him. But he took it home on second thoughts, and soon found to his delight that it was an egg of pure gold. Every morning the same thing occurred, and he soon became rich by selling his eggs. As he grew rich he grew greedy; and thinking to get at once all the gold the Goose could give, he killed it and opened it only to find,—nothing.

Moral: “Greed often overreaches itself.”

(From: Bartleby.com)

Apparently, the parents of future record-label executives failed to read that story to their kids a few years back, as there are reports that record executives have finally figured out that Apple doesn’t make money on music, but on hardware. Learning that, they now want a cut from iPod sales.

Is there any industry in the world run by bigger idiots? Will there be any mourners at the funeral when the record labels all die? What’s next? Should anyone who creates “content” that is distributed online demand a cut from computer sales?

  • Hudge

    Well geez that seems perfectly reasonable, as long as they also get Sony and the other makers of audio equipment to share revenues too. How about a penny for every blank CD sold, on the theory that some music will wind up on most of them? And what about musical instruments – holy cow, think of the revenue windfall from all those garage bands and Wayne’s World wannabes?
    It’s amazing these bozos don’t try to charge royalties on the music played at funerals and weddings.

  • rex

    Actually, Bill, there is such a royalty on blank tapes and CDs to “subsidize” the record label and publisher. However, in the current case rearding iPods, Apple the consumers are already compensating the record label directly by purchasing the song. This is not like the desire to charge a royalty on blank tapes: It’s like them wanting to charge a royalty on any playing device: 8-track-players, for example.

  • Tim Germer

    My two cents = Jobs went up against Eisner with Pixar. Eisner in a ring with record execs? Eisner by TKO, easily 🙂

    I would expect that Jobs will push as hard as he can on the record labels. Maybe Jobs and Soderbergh can campaign together on the tagline “Out of Whack!” 🙂

    Other than that, this whole thing is going to get really ugly.

  • Hudge

    Thanks for the clarification on the royalties, Rex. I see the diff now.