I feel like the most uneducated statement bloggers have been making lately is that the music industry will die in 2008. That statement is so missinformed and completely against what any of the facts state. If you look at the basic facts, it is easy to make that assumption, but if you look at the overall picture, it is so far from the truth.

Sales are down to 500 Million records sold this year which is a 9.5% drop from last year, but the sky isn’t falling. What people fail to notice, is that sales of music-related items (this is physical music, digital music, ring tones, ring backs, music videos) was UP from 1.2 Billion last year to 1.4 Billion in 2007! The interest in purchasing music was actually up, just with smaller priced items. With 2008 hitting and consumers more willing than ever to consume a lifestyle of music over merely consuming one physical product, the sky is the limit in music 2.0. Rev share deals are being cut constently to further monetize content online, potentially setting up to bring in millions of dollars in the new year. Labels have began dabbling in advertising and many are moving strong into a merchandising market.

2008 is the year of 2.0, its the year that the industry will start to “get it”. I feel like anyone who is saying otherwise is so uninformed and for that exact reason they will never survive. The industry is cutting out the old and in with the new, if you can’t hang you are over with. The old industry is done and a new, stronger industry is about to rise in its ashes. If you can’t see that you may as well quit now, because you don’t belong here.