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TheStreet Open House

Apple's iTunes Radio Will Fail the Music Industry

And, somehow, the musical industrial complex labels Pandora (P) the bad guy. It's astounding.

I have written about it every which way -- using approaches from hard numbers to strong rhetorical takes ...

The days when a so-called music-buying public existed are fading and soon will be history, just like the record album.

Capitulating to Apple's desire to keep iTunes Store sales rattling and humming will go down as the single dumbest move the record industry ever made.

Steve Jobs knew what you wanted before you did. He knew how you would act before you even knew such action could become joyful force of habit behavior. For as much as I have defended Tim Cook this week, he's just not that guy. He's attempting to force behavior, not encourage a lifestyle people subconsciously craved, but never knew they wanted.

There's no longer a reason to buy music. You can have it served up personalized for free (or for a small fee) or, when you know exactly what you want, you can fire it up for free at places such as YouTube and Vevo or for a more than reasonable monthly price at one of the many Internet radio platforms that offer access to every song under the sun.

That's called the access model. That's the future. And a good chunk of it is here ... now. We don't even need plutonium or a flux capacitor.

Royalties remain the perceived easy way out for an industry stuck in the 90s. For one too lazy to harness the opportunity the marriage of technology and big data brings.

Thankfully, so many musicians (and even label executives) are hard-working, creative and incredibly bright. The perfect type of entrepreneur. These are the folks finding ways to make their music work for them beyond royalties. Like the access model, that's the future and, it to, is here now.

-- Written by Rocco Pendola in Santa Monica, Calif.

Rocco Pendola is a columnist and TheStreet's Director of Social Media. Pendola makes frequent appearances on national television networks such as CNN and CNBC as well as TheStreet TV. Whenever possible, Pendola uses hockey, Springsteen or Southern California references in his work. He lives in Santa Monica.
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