London’s The Independent published an interesting interview with Tony Wadsworth, former EMI chief when Radiohead left EMI.  His view of the industry is worth a read.

An excerpt:

“The industry is moving from a transaction based business to a usage and licensing business,” says Wadsworth. He cites the interactive computer games Guitar Hero and Rock Band as key sources of income. Advertising opportunities for the music industry have grown with the splintering of media, he says.

“The more media proliferates, the more opportunities there are because music is an incredibly versatile content and can be used in association with many other different media,” he says. “It can be the featured content – such as when you buy an album – or it can be used in conjunction with visual content, if you are consuming a movie. Or it can be background. There are many levels music can be consumed at.”

Full article.