Jay-Z Embraces Now Music Business Model

According to the Urban Network Jay-Z in Line to Strike Mega Deal with Live Nation. Yes, this is the same Live Nation that recently inked a deal with Mega Pop & Rock Stars Madonna and U2. We've been telling you that the old music business model no longer works. With so many areas to brand, market, promote, publicize and advertise a recording artist brand one should look to the new or now music business model.

While not yet completely defined the now music business model is one that embraces the changing climate of technologies that allow for a recording artists brand to be promoted, distributed and sold using a number of methods. The now music business model overstands that a recording artist may not sell 10,000,000 million or 500,000 physical copies (CD/albums) with music on it, but that same recording artist may sell 100,000+ downloads of a single, have their own social networking site with 250,000+ fans, sell merchandise direct to fans from their own website or blog, monetize (make money) their entire web presence, have special live performances that may only be viewed through a membership based website, etc. The point is that the now music business model is as fluid as the technology it uses. It embraces change. It learns from consumer/fan behavioral as opposed to attempting to alter it. Jay-Z apparently embraces the now music business model as seen by his actions to enter a new deal with Live Nation.

Urban Network Reports:

"The pundits have been predicting it for months, and now the New York Times confirms it. Jay-Z is on the verge of closing a deal with a concert promoter that rivals the biggest music contracts ever awarded. The multi-Grammy winning rap superstar plans to depart his longtime record label, Def Jam (where he also was most recently president), for a roughly $150 million package with the concert giant Live Nation that includes financing for his own entertainment venture, in addition to recordings and tours for the next decade. The pact, expected to be finalized this week, is the most expansive deal yet from Live Nation, which has angled to compete directly with the industry’s established music labels to distribute recordings, sell concert tickets, market merchandise and control other aspects of artists’ careers." CLICK HERE to read the full article.

Music Industry Connections, Music Conference, Music Money