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Digital Business Models

Digital Business Models. WIPO Emerging Licensing Conference. Geneva, 4th November 2010 Francis Keeling, VP Digital Universal Music Group International. Unlimited Music Mobile Subscription. MP3 Bundles. S t ream & Keep Your Favourites. Artist Clubs. Free S t reaming Ad Supported.

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Digital Business Models

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  1. Digital Business Models WIPO Emerging Licensing Conference Geneva, 4th November 2010 Francis Keeling, VP Digital Universal Music Group International Confidential

  2. Unlimited Music Mobile Subscription MP3 Bundles Stream & Keep Your Favourites Artist Clubs Free Streaming Ad Supported

  3. The Digital Music Market Place • Streaming services – Give consumers free access • Spotify, last.fm, Pandora, Orange Monkey • A La Carte Stores – Give consumers products to own • iTunes, Amazon, MediaMrkt, Telecom, 7Digital • Subscription Services – Unlimited catalogue at low cost • Nokia Comes with Music, Napster, Rhapsody, TDC • Audio Video – Watch music videos through PC and Set Top Box • BT Vision, Canal, Virgin Media TV, VEVO Confidential

  4. The Problem • The development of these services is stunted by piracy • It is impossibleto compete with free • Service Providers and Search Engines Take No Leadership or Responsibility • The music industry depends on investment in new talent • To produce, market, promote and distribute • Our success depends on investment new artists, not old catalogue • Future depends on investment in new services • But who will invest where free is the customers alternative? Confidential

  5. Music Subscriptions & Internet Providers • Offer huge opportunity for ISPs • Reduce churn, acquire new customers • Entertainment strategy • 3 screen model – PC, Mobile & Set Top Box • They are better than piracy • Experience, Quality, Connectivity, Metadata, No Viruses • Carrot & Stick Approach • Combined with anti piracy provisions • Willingness of the Music Industry to launch services • To try new models & take risks! Confidential

  6. What We Provide • Comprehensive Licensing Process • Either International or Single territory • Universal Offices & Digital Teams in over 50 countries • Full catalogue of repertoire • Artists sign rights on a country by country basis • Content • Tracks / Albums / Videos in format required by retailers • Digital Delivery and Reporting systems (All metadata) • Marketing Support • Promotional Assets (Images, Videos, Interviews, Appearances) • Advertising (TV ads / Outdoor tagging, eCRM) • Further INVESTMENT in Artists! Confidential

  7. Thank You

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