Digital Music: Economic Perspectives

Handbook of the Digital Creative Economy, Forthcoming

20 Pages Posted: 14 Apr 2013

Date Written: April 10, 2013


The music industry is facing the development of online P2P networks, direct download services and other forms of digital piracy, while at the same time the format and promotion of pre-recorded music are undergoing major transformations with the advent of MP3 and new forms of collective promotion, particularly through online communities and social networks. The chapter is organized as follows. First, I analyze how digital piracy and digital music distribution are changing the demand for pre-recorded music. Next, I review new business models and give perspectives on how cloud services will challenge existing offers. I conclude the chapter and discusses the policy implications of digital music distribution.

Keywords: Digital music, piracy, freemium, streaming, long tail, e-commerce, Hadopi, cloud, crowd-sourcing

JEL Classification: L22, L86, K42, 034, Z10

Suggested Citation

Waelbroeck, Patrick, Digital Music: Economic Perspectives (April 10, 2013). Handbook of the Digital Creative Economy, Forthcoming, Available at SSRN: or

Patrick Waelbroeck (Contact Author)

Télécom Paris ( email )

19 Place Marguerite Perey
Palaiseau, 91120

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