Summary:

Playing A New Tune: The Music Industry’s D-I-Y Era, the newest report from ContentNext Media Research Director Lauren Rich Fine debuts today…

Playing A New Tune: The Music Industry’s D-I-Y Era, the newest report from ContentNext Media Research Director Lauren Rich Fine debuts today in conjunction with our EconMusic conference in LA. Lauren kicked off EconMusic with her market research and analysis of the digital music industry; the report, with a detailed look at the music-deals space over the past three years, is now on sale. The former newspaper analyst expected to be writing about an industry more dysfunctional than newspapers; instead, she found evidence of innovation, investment and potential — despite the pesky lack of a concrete business model to replace the income from CDs. Among the findings:

– “Acquisitions were more focused on content technology, while investments focused more on community, distribution and technology.”

– “While innovation is welcome with open arms … the amount of capital chasing the digital-music business is too great for the eventual returns. Even if the genie can be put back in the bottle and there is a way to charge for copyrighted information, our analysis suggests there are too many music-related sites.”

– Three deals accounted for roughly 81 percent of the $10.5 billion disclosed acquisition activity.

– Only 22 investments in the music space were recorded for all of 2008, down 39 percent from 2007.

Much more in the report itself.

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