Next Big Sound (a/o June 18th):
Maybe it's hard to make love and war at the same time. Late last year, we published a list of 865 different Grooveshark label partners, as prepared and shared by the company itself. The only problem is that several of these labels immediately demanded a removal from this list, and Grooveshark itself soon requested that the entire story be deleted. Of particular concern, according to one Grooveshark executive, was indie consortium Merlin, whose president Charles Caldas was disinterested in having his member labels posted.
Here, have a look. Maybe you're on it.
Others, like EMI, forcibly removed themselves in other ways (ie, massive lawsuits). And for those still working with the company, membership has complicated benefits. Which is why it's unsurprising that Grooveshark has only added 10 smaller indie label partners this year, according to information disclosed by the company.
We have no idea how many have jumped shipped in that time, but we're guessing the number is much greater than ten. Indeed, the company now claims that label partners are 'in the hundreds,' which suggests a drastic chop from something approaching 1,000 last Christmas.
The 2012 additions (since January 1st) are Warrior Records, 1320 Records, Bang Gang Records, Duckhead Green, Palaver Records, Amplifi Digital, Accendo Media, Dox Records, and Eponymous Entertainment, all of whom are banking on heavy Grooveshark traffic and exposure. Frankly, that may be all that matters to these smaller partners, especially in such an attention-starved fan atmosphere.
Others may be uncomfortable with issues of artist-unfriendliness and very serious legal accusations related to content infringement and non-payments. Indeed, one artist recently laughed when we asked him about Grooveshark royalties (answer = '$0.00'), and others like King Crimson and The Eagles have taken their issues public. More recently, an extremely combative Tunecore CEO Jeff Price exposed the company for skipping mechanical royalty payments, while National Music Publishers' Assocation president David Israelite opened the possibility of future legal action.
The question is whether all of this is creating an icy, unfriendly climate for potential partners - on all levels. We've certainly seen the very ruthless, dark side to this company, though problems may also be happening on the consumer side as well. Which brings us to Spotify, a company with fewer artist and label issues and a lot more adults in its chairs. And Spotify seems to be dragging Grooveshark's traffic southward since entering the US last summer, thanks to continued free access, a cleaner collection, continued innovation around apps, and far better mobile access.
Karma Tuesday, August 21, 2012
Got to love the hate that Spotify got for paying the rightholders 70% of its revenue.
2009: $18 mil revenue
2010: $99 mil revenue
2011: $236 mil revenue
2012: projected $889 mil revenue
With 4 million paying subscribers (about 90% of these 4 millions are on the $10, 10 euro, 10 pounds tier).
Visitor Tuesday, August 21, 2012
Paul, ya come off like a such a bitter catch.ya.next.tuesday. In this article. I don't know. I struggle with you. Attempted commentary can be great, but I truly don't feel like you add anything to the industry from a journalistic viewpoint. I do appreciate that Grooveshark attacked you and your business though, so vendetta's against everyone might sometimes translate into healthy journalism.
Sad Songs Wednesday, August 22, 2012
Thank God Paul isnt' listening to a--holes like you.
He's got the cajones the call the Grooveshark guys out and keep calling these guys out regardless of threats, intimidation, lawsuits and endless harassment.
THAT'S real journalism folks at least in my book
Ohhh... and Grooveshark? Word is this is becoming the sinkhole of financnes with brick n' brack law firms cleaning up the scraps before near certain bankruptcy. Tough industry and assholes don't always win.
Yup.
Akin Tuesday, August 21, 2012
but how do you feel about "legitimate rape"?
Visitor Tuesday, August 21, 2012
Thanks for being thorough. Without you there would be no music industry. How dare they try to pay labels. Disgusting.
unsuccessrice Wednesday, August 22, 2012
Warrior Records, 1320 Records, Bang Gang Records, Duckhead Green, Palaver Records, Amplifi Digital, Accendo Media, Dox Records, and Eponymous Entertainment
ugh.. WHO?
anyone know Wednesday, August 22, 2012
heard grumblings that two of the more obnoxious members of the grooveshark team are no longer with the co.: paul gellar and jack deyoung. can anyone confirm? and are there others? I have trouble calling it "losing talent" because these two are basically pretenders, but seeing ppl jumping ship is nice to see.
Truthiness Wednesday, August 22, 2012
Jack isn't there anymore. Marshall Custer, Vishal , John A, and a couple other original employees have also left.
Paul, might still be there, but he hasn't been around the office of late. Also his twitter doesnt list grooveshark affiliation - http://twitter.com/paulycrush
Around late 2011 and early 2012, they let go alot of people in order to pay legal fees and friends that they hired.
It would be really interesting to see what Andres Barreto has to say about having helped found this company.
Just another voice in the air Wednesday, August 22, 2012
Wow, way to take your personal beef with these two in a comment thread. Even if these guys are skeezy, who cares and more importantly, what makes you think a credible source will actually confirm that?
Truthiness Wednesday, August 22, 2012
I'm assuming you're speaking to user 'anyone know' since I don't have a personal beef with anyone mentioned.
My good friend from FL works in their sales office in NY. Grooveshark relies heavily on sponsorship for survival.
Once the ad team leaves, it's a wrap.
Visitor Wednesday, August 22, 2012
when vp's leave a co. under market and legal scrutiny, it's news. did you guys think you can just call "time-out" and go home to mommy? those titles aren't just to impress clueless co-eds.
the co. looks done. I think it could have been avoided if there was just one adult there. karma.
Moosejaw Wednesday, August 22, 2012
Paul Geller is leaving Orlando and moving to New York so he won't be in the office much. Don't know if he's leaving the company but looks like the lawsuit is still hanging over his head.
Interesting that Marshall CUster who was lead counsel bailed on the company - hmmm, maybe some reparations in order for him or maybe being the smart lawyer he jumped just in time
from his blog the Gellerist : http://www.gellerist.com/
"I know what you are thinking: just another hater who outgrew Orlando and moved-on. But, it’s not like that. I have real work to do. I’m going to write female-fronted pop music and do startups. I’m going to fight this epic lawsuit and I am going to continue to help spread music in an open environment on open platforms to open people. I’m going to help create products that revolutionize media delivery, that change the way people think about government and most importantly, that bring the most amount of happiness to the widest array of people possible. I’m going to pet some cats."
"This is not the end for you and me, Orlando. I was born in New York and I grew up in South Florida but when people ask me where I’m from, I’ll always say Orlando. It’s just time to let go."
zippy Wednesday, August 22, 2012
looks like the recent failures haven't effected his self esteem much. I like the part of the blog entry when he thanked the people that didn't approach him at the club because they didn't think they were cool enough.
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