Warner Music has said that companies like Harmonix and Activision will need to shell out more cash to license songs for games like Guitar Hero and Rock Band.
Warner Music leading man Edgar Brofman told Reuters that considering each company's game is completely dependent on the content the music industry owns and controls, "The amount being paid to the music industry ... is far too small." Brofman compared the significance of rhythm music games to the industry shifting introductions of MTV and iTunes.
Even though it has been reported that royalties for content sales in music games are much higher than other services, such as iTunes, we're surprised it took this long for the industry to start sobbing about getting paid. If licenses change, could this spell an increase in downloadable content prices?
[via CVG]
Reader Comments (Page 1 of 2)
8-07-2008 @ 3:24PM
John said...
It could spell an increase in the number of people who won't buy the game or extra content.
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8-07-2008 @ 3:24PM
VPhoenix said...
No, it will spell a decrease in music licensed from Warner Music.
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8-07-2008 @ 3:53PM
Tony said...
Warner is one of only four "major" labels now.
Stopping licensing from any one of these affects a metric ton of smaller labels and god knows how many bands and musicians. I have a feeling if push came to shove they'd probably give in to some of the label's demands sadly... otherwise that's a huge change.
I'd hope you're right though. Maybe if they worked with the other three majors to keep things the same Warner would just have to give in or get nothing.
8-07-2008 @ 4:10PM
VPhoenix said...
Well, I hope Activision and Harmonix stay strong on this. Record labels are less relevant now than ever and you'd think they'd be trying to play nice with companies putting their music into peoples' hands instead of trying to screw them for all they're worth.
As one datapoint: I've bought GH II, GH III, and Rockband, and not being a fan of either rock or metal I recognized only a few tracks in each game before I bought it. Now I love just about every song in those games from hearing it and "playing" it so many times. Does anyone think I'd feel differently if it'd had been 50 different tracks from 50 other talented musicians I'd never heard of? I don't think so.
Come to think of it, these games have pretty much done for me what record labels did in the past... hmm, no wonder Warner Music is starting to worry.
8-07-2008 @ 3:25PM
andyg8180 said...
heres my take... No name bands are getting a lot more love being a freakin Bonus Track than they would have ever gotten by going it alone...
Big name artists are also feeling an increase in CD sales/itunes downloads...
So look at it this way warner:
1: youre getting royalties already per track
2: youre getting the EASIEST form of advertising for offering that license
3. you suck balls Warner... Esp for going Bluray exclusive lol
I just dont get it... if you look at that gameplan, its a freakin win win situation...
Or, those songs can sit in a coffin like they have been for years... OR they can get a butt load of publicity from games like GH and RB...
BOOOOO GREEEEEDY CORPRATE BASTARD SWINE!
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8-07-2008 @ 3:26PM
Delirium said...
I rarely buy the 500 point packs so an increase means I would only buy the amazing songs that come out. I'm pretty sure there's a lot of suckers out there willing to pay more for less.
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8-07-2008 @ 4:02PM
AoE said...
what do you mean by willing to pay more for less? If licensing fees go up i think we'll just be stuck with higher price points, same amount of content though, it's not like you'll be purchasing songs 1/2 a song at a time now.
8-07-2008 @ 5:23PM
Delirium said...
I could say something to save my error, but I have nothing. I simply meant more money for the same content, some of which isn't that good to begin with.
8-07-2008 @ 3:27PM
andyg8180 said...
okay, im sorry for being angry... can i have my Usher Guitar Hero track now?
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8-07-2008 @ 3:29PM
Larry said...
There goes a guy who does not get it. They are finally getting young people, primarily, to actually pay for music again, and they want to stick it to developers.
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8-07-2008 @ 3:33PM
ihateemo said...
I love how he says "music industry" and not "bands". This guy is everything that's wrong with the industry right now.
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8-07-2008 @ 3:35PM
J.D said...
Jeez guys. Don't you care if Edgar gets the extra swimming pool he's always wanted?
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8-07-2008 @ 3:36PM
eric said...
I love it when big corporations refuse to change their business plan when technology makes them obsolete.
Personally I have bought quite a few tracks and CDs because of music I have learned about from Rock Band and Guitar Hero. These people should be jumping for joy for a new revenue stream opening up instead of killing it off but then again that never stopped them before.
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8-07-2008 @ 3:39PM
Tony said...
The thing is that a lot of these "no name" bands aren't on some of these bigger labels. I'd be surprised if some of them were even on a label that was supported by the RIAA in the first place... in which case different deals are hammered out.
It's funny how not a single band has brought this up, yet some suit is clamoring for more money for his industry. I'm sure they make PLENTY off of this as it is.
I think the publishers/developers should just say to people like him that, look, maybe this game wouldn't exist without music you own, but you'd not have this completely new revenue stream if it wasn't for *us* coming up with these games in the first place.
And not only is it a new revenue stream they clearly never considered, it's a new revenue stream that requires ZERO WORK on the part of the labels.
I don't know how he thinks any consumer would take comments like this. Certainly not positively... lol
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8-07-2008 @ 3:40PM
SadisticHam said...
And this is why i download all my music illegally, keep on trying to screw your customers music industry, the more you squeeze the more we steal.
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8-07-2008 @ 4:17PM
jkdoug said...
Yeah, because theft is justified when you steal from the rich. You either pay the fees to listen to the music you love most, which may limit you to only a few top artists, or you choose to not listen to the music except through streaming channels.
That said, I do also feel that rock stars, actors, athletes, etc should not make the millions many of them do. Let's pay the rock stars like teachers and pay the teachers like rock stars!
8-07-2008 @ 4:39PM
SadisticHam said...
Who am i stealing from? The bands? The artists? Naa. See, they don't set the prices. There not in charge.
The real criminals are the ones who think they can charge me £12 for a bloody album.
No. I show my support for the bands i like by buying merchandise and going to there concerts, that money goes to them more so than greedy record labels.
8-07-2008 @ 3:41PM
Patton said...
Xav, your choice of picture for this article made me bust out laughing at work. Well played, sir.
Edgar can cry about it all he wants. It'll be his loss when Activision and EA simply refuse to pay the costs. I'm sure the other labels are tickled pink about the advertising for their product that they get paid for.
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8-07-2008 @ 3:45PM
tlarkin79 said...
Those games use licensed music, but what makes they great games are the periperals and the software that takes that music and makes a great experience. games like the upcoming Lips show that you don't need extra licensing to get great music into games like these.
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8-07-2008 @ 4:01PM
Dirk Dorkelson said...
Kind of inappropriate for a Big Four record exec to be complaining that the evil software company isn't paying him enough for his role in music-making. How much do Warner's artists see per CD sold, versus what the record label pulls in?
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