“Show Me the Money”IntroAs many know and understand, the Internet has changed not only how we communicate, but how we conduct business. This has become increasingly apparent in the music, film and entertainment industries. The impact of the Internet on these industries has created many “controversial issues surrounding the distribution and consumption of online music”. (Web Studies, 203) Other forms of on-line entertainment, such as computer games, have also changed e-commerce and the video game market forever.
“You’re on Candid Camera”That’s right. Thanks to sites like
YouTube.com you could be an aspiring actress or creative film producer in the making. YouTube is described as “on-line video streaming service.” (YouTube.com) The best part is it’s free to its members and you can not only create videos but share them with your family and friends. The videos are easy to view and you can search for subjects and/or categories that interest you. The only equipment required is “a device that can capture digital movies—this could be a camcorder, digital camera, or even your cell phone”, (YouTube.com) it’s that easy. You can also upload a video from Windows MovieMaker.
Even power house search engines like Google are banking on success of companies like YouTube. In fact, Google recently purchased the company from founders Chad Hurley and Steven Chen for $1.65 billion. The founders apparently have hit the jackpot, but what about Google? Google is looking ahead at the possibility of “evolving community-powered broadband world” (AdWeek). This venture is destined to have an impact on video ads. Some analysts say this may develop into a new advertising form that will enable more watches of an ad by viewers, versus the ad spots that often times interrupt a viewer online. Google would utilize the matching system, or “tagging” technique of YouTube. If you are viewing a video about real estate property you would have a video advertising option such as mortgage financing or realtors.
All this sounds great, but what are the downsides, if any? Experts say, that “YouTube's tags are haphazardly used and personalization could be deemed a privacy intrusion by users” (AdWeek). Is this a violation of privacy? Others feel that Google has bumped their heads, and that the risk of a lawsuit is way too high.
According to Google CEO Eric Schmidt says it’s "the beginning of the Internet video revolution." Only time will tell.
With a little patience, I too learned how to create a video. If I can learn how, anyone can. Trust me and create your own video. (Please note that you can keep your video private and only accessible by family and/or friends. Be mindful, it can take a long time to load and lots of patience.)
http://www.youtube.com/watch?v=REAx62el34wSee how Redbull is making great use YouTube for advertising.
http://www.youtube.com/watch?v=d-HGLA6SvfQ“Music Maestro”According to Castells in the Internet Galaxy, “the Internet is transforming business practice…and proving to be a key source of productivity and competitiveness for all kinds of business.” This is evident in the online music industry. In the early 1990’s consumers that were “plugged in” began to share and disseminated music via the Internet.
MP3.com, a site that allows user to download music for free, helped to decentralize the “model of intellectual exchange”…”where a network of independent producers and consumers shared their own music and information on a non-monetary basis” which was not previously possible. (Gauntlett & Horsley, 205). For many music corporations this was a concern and it violated the corporation’s copyrights. Also, there was the concern of music being extracted “from copyrighted CDs into mp3 format for personal use and exchanged over the Internet Relay Chat or posting them up on websites” (Gauntlett & Horsley, 206).
According to Ian Dobie, fair use and copyright issues are more about “maintaining the status quo of the market-place”, and not protection for the rights holder’s. MP3.com has had its share of ups and downs, with lawsuits and acquisitions. Through it all they have created an established “legitimate market for independent music”, but can they maintain it?
Pac-man Days are Long GoneNowadays, creative abilities are mostly valued in the game industry. Specifically, businesses are seeking “creative design and scripting, software programming, project management and production, and systems development” (Flew, 105). Atari’s Pac-man is archaic and users today want “ongoing interactive dialogue” (Flew, 107). There is a game culture which feeds off of “collective intelligence”.
Popular online video games such as Planetside.com allow users to join a military outfit and fight off bad guys and alien creatures with rifles, chain guns, pistols and grenades. While you play you can chat on-line with your fellow comrades from around the globe and even beyond (Canada and England).
Other innovative and truly far out games our virtual games. For example, CNN Money.com talks about the future of video games where players use their bodies as controls and images are actually projected on the sides of skyscrapers. (Click here to read the article.
http://money.cnn.com/2006/09/27/magazines/business2/realworld.biz2/index.htm)
Video games are definitely on the rise and are becoming mainstream. Handheld game devices like PSP and Ninetendo are growing like wildfire, while Microsofts’ XBOX Video System continues to sell millions of game consoles. According to analysts, “it’s all about the Benjamins” for Microsofts XBOX, as it produces newer models with costs ranging from $299 to $399. This doesn’t include all the additional items like a $50 game to play in the console. According, to USA Today, video games are "one of the fastest growing forms of media entertainment". Profits generated are so lucrative, that its possible that one day soon college students will be able to major in video games.
Profits are soaring. Did you know...
- "Video game sales exceeded the movie industry's annual box office draw last year by $1 billion.
- The current video game hit, Grand Theft Auto: Vice City, sold more than 1.4 million copies at an average $48 apiece in its first three days. That $70 million windfall easily puts it in the ranks of a blockbuster movie.
- The popularity of NFL video games has given longtime TV football announcer John Madden celebrity status among teens and young adults.
- Designers can make $50,000 a year right out of college and twice as much if they are part of a team that produces a hit video game." (Source: USA Today Money.com)
Conclusion: Food for Thought
The Internet offers a wider audience view, and some businesses are banking on the future profits. Everywhere from music to the film industry, to video games, businesses are hoping to cash in, and start-up company founders like YouTube hope they’ll be the next Bill Gates. However, where is the line to be drawn?
Things to consider:
- Will Google be violating privacy rights by using YouTube's "tagging" technique?
- Will Google need to closely monitor their user’s videos? And, can it expand its community without pushing them away with all the advertising?
- As far as the music industry goes, is online piracy really harming the artist, the publisher and the consumer? As portrayed in the advertisements, are you stealing from another’s wallet?
- The video game industry appears wide open; however, how much is too much as far as violence for our youth? What responsibility does the creator have in marketing games to the appropriate age group?
Works Cited:
Articles/On-line Sources
Castells, Manuel (1998). “Information Technology, Globalization and Social Development”
http://www.komm.ruc.dk/mcmc/extdocs/castells.html (B)
Quah, Danny T. (1998). “The weightless economy”
http://www.unesco.org/courier/1998_12/uk/dossier/txt11.htm (B)
Wilson, Ralph F. (2000). “Web Marketing Today. The Six Simple Principles of Viral Marketing”. http://www.wilsonweb.com/wmt5/viral-principles.htm (B)
Macklin, Ben. “The Broadband-iTV Blend.” eMarketer. April 3, 2001. Available from www.emarketer.com.
“Convergence.” Whatis?.com July 25, 2001. Available from http://whatis.techtarget.com
Monkey Bites http://blog.wired.com/monkeybites
“With YouTube, Google Takes Aim at Video Ads” AdWeek. October 16, 2006. Available from
http://adweek.com/aw/iq_interactive/article_display.jsp?vnu_content_id=1003255036&imw=Y
“Video game college is 'boot camp' for designers” USAToday.com http://www.usatoday.com/money/media/2002-12-03-video_x.htm
Books
Flew, Terry (2002). New Media An Introduction. New York: Oxford University Press.
Castells, Manuel (2003). The Internet Galaxy: Reflections on the Internet, Business, and Society. New York: Oxford University Press.
Gauntlett, David (Ed.) (2000). Web Studies: Rewiring media studies for the digital age. 2nd Edition. New York: Oxford University Press.
Hayles, N. Katherine (1999). How We Became Posthuman: Virtual Bodies in Cybernetics, Literature, and Informatics. University of Chicago Press.
Jones, Steven G., (Ed.) (1995). Cybersociety: Computer-Mediated Communication and Community. Thousand Oaks: SAGE Publications.
Rheingold, Howard (2003). Smart Mobs: The Next Social Revolution. Basic Books.
References
Malonis, Jane A., (Ed.) (2002). Gala Encyclopedia of e-Commerce, Gale Group, Farmington Hills.