[radicalcut]

I can't know how will this turn out eventually but I really hope for this (or something like this) to be a turning point for the music industry.

I love music, I really do, but at some point I became so disgusted by the way the industry works that I almost stopped caring. There surely is a better way to distribute music which would allow musicians to earn more money and the consumer to spend less at the same time by leaving out labels and distributors.

[thirdsun]

What you're hoping for is already here. I'm sorry since I already praised bandcamp in another comment, however this comes very close to the better way you mentioned. As an artist you have a lot of options today - a label contract is just one of them. Bandcamp, Topspin, CDBaby (are they still around?) or direct website sales are the alternatives. And of course let's not forget smaller independent labels. It is perfectly possible to be successful without a major label these days. If an artist decides to go the traditional route, it is his decision and it wasn't his only option.

I seriously doubt that Dotcom has the artists in mind with this new venture, it is a nice way to advertise the service though and he certainly knows that. Let's see.

[patternguru714]

Labels, both big and small, benefit many artists in ways outside distribution. Many musicians join labels to be financed, hand-held for recording, cross-marketed and advertised. The financing is significant, allowing many to produce novice music for long periods while improving their talents. Websites alone and zero-cost distribution methods, including streaming, don't allow the artist to survive. Not all artists want or need labels, but many opt for them. Interestingly, even the few artists who become popular without labels usually sign label deals for the business management and exposure. Free distribution doesn't help artists to pay for production, so Mega might have a problem there.