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The Sky Is Rising Report

The Sky Is Rising Report

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Published by Jeroen de Boer

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Published by: Jeroen de Boer on Jan 30, 2012
Copyright:Attribution Non-commercial

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01/30/2012

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Contents
Executive Summary2Opportunities Abound: Enablers Not Gatekeepers5Louis CK: Open, Human and Awesome7Section 1: The Video Market9Ed BurnsNewlyweds: Back To The Roots; Simple, Cheap And Good11Kevin Smiths Red State: Proting By Avoiding The Gatekeepers14Section 2: The Book Publishing Market16JA Konrath & Barry Eisler: The New Opportunities In SelPublishing19Paulo Coelho: What IPiracy Increased Rather Than Decresed Sales20Section 3: The Music Market23CeeLo Green: The New Music Success Story Is Not In Selling Music26Jason Parker: One Working Musician Shows How People WIll Pay27Section 4: The Video Game Market30Valve: Inringement Is A Service Problem, Not A Legal Problem32Minecrat: Keep It Simple And Awesome33Humble Indie Bundle: Making People Want To Buy34Changing the Debate35
 
2Floor 64
5
The Sky Is Rising
Has the internet decimated the entertainment industry, or are we living in a new renaissance or bothcontent creators and consumers? Depending on who you talk to, you may have heard both stories. This report explores the
true
state o the entertainment industry and concludes, quite simply, that thesky is not alling on the entertainment business, consumers or content creators themselves. Instead:
The Sky is Rising
In act, what amazed us in going through every bit o data and research we could nd, was how utterlyconsistent the results were: the wider entertainment industry is growing at a rapid pace (contrary todoom & gloom messages). Furthermore, more content creators are producing more content thanever beore -- and are more able to make money o o their content than ever beore. On top o that,consumers are living in a time o absolute abundance and choice -- a time where content is plentiul inmass quantities, leading to a true renaissance or them. This
does
present a unique challenge or somecompanies used to a very dierent market, but it’s a challenge lled with opportunity: the overallmarket continues to grow, and smart businesses are snapping up pieces o this larger market. Thedanger is in standing still or pretending the market is shrinking. Therein lies the real threat: missingout on all that opportunity.Indeed, you wouldn’t know it, just listening to the entertainment industry talk about how much theentertainment industry is "dying," but data rom PricewaterhouseCoopers (PwC) and iDATE show thatrom 1998 to 2010 the value o the
worldwide entertainment industry grew 
rom $449 billion... to $745billion. That’s quite a leap or a market supposedly being decimated by technological change.O course, the world economy grew over this period o time,but a particularly compelling bit o data shows that, in theUS specically, consumer spending on entertainment as apercentage o income has
continued to rise
signicantlyover the last decade. According to the Bureau o LaborStatistics, in 2000, 4.9% o total household spending wentto entertainment. That number gradually increased overthe decade -- and by 2008, it was up to 5.62%, an increaseo nearly
15%
in the same decade as the internet wentmainstream. In other words, or all the reports that people just want stu or ree, and are not willing to spend on entertainment, the actual data shows thatthey’re spending noticeably
more
on entertainment today than they did ten years ago.Similarly, reports o job losses in the sector are equally hard to square with reality. Once again, lookingat the Bureau o Labor Statistics data, employment in the entertainment sector grew nicely in thedecade rom 1998 to 2008 -- rising by nearly 20% over that decade. The BLS continues to predict
Executive Summary

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