Free Song Promotion Is Expected From Amazon

The major record labels lined up with Pepsi-Cola and Apple four years ago to give away 100 million songs through Apple’s online store, unveiling the promotion in a Super Bowl commercial with music from the band Green Day. The effort helped spread the word about Apple’s iTunes offerings.

Pepsi’s promotion is back this year on a much bigger scale — but with the star wattage provided by Justin Timberlake instead of Green Day, and Amazon in place of Apple.

The switch is an indicator of the continuing tension between the music industry and Apple. Pepsi’s earlier ad, set to Green Day’s version of the song “I Fought the Law,” prodded music fans to quit pirating music online and instead buy songs — legally — from Apple’s then-fledgling iTunes. Four years later, iTunes is by far the biggest digital music store, and the industry is taking a liking to Amazon’s rival music service, introduced in September.

Though iTunes blazed a trail in encouraging fans to pay for music online, record executives now complain that Steven P. Jobs, Apple’s chief executive, wields too much clout in setting prices and other terms. At issue now is whether the labels can help popularize a more industry-friendly service and accelerate the pace of digital sales.

Behind this strategy is a growing desperation: sales of digital albums and songs are rising far too slowly to offset the rapid decline of the CD, the industry’s mainstay product. CD sales slid 19 percent last year; after adding in the 50 million digital albums sold last year and counting every 10 digital songs sold as an album, overall music sales were still down 9.5 percent, according to Nielsen SoundScan.

In trying to nurture Amazon’s service, the four major record companies have offered it one potential edge. One by one, they have agreed to offer their music catalogs for sale on the service in the MP3 format, without the digital locks that restrict users from making copies of the songs. (Sony BMG Music Entertainment, the second-biggest company and the last holdout, signed on last week. Sony BMG is a joint venture of Sony and Bertelsmann).

All of the companies except the EMI Group still require Apple to sell their music wrapped in digital rights management software, or D.R.M., which is intended to discourage rampant copying. Some consumers say D.R.M. creates confusing problems, like a lack of compatibility between most songs and the devices sold by Apple and Microsoft. In fact, it was Mr. Jobs who, in February, called on the industry to drop its longstanding insistence on the use of the software, saying it had failed to rein in piracy.

In any case, the industry is waiting to see whether — and how quickly — Amazon can grow into a credible alternative to iTunes, and whether Mr. Jobs will stand by as his service, which commands as much as 80 percent of digital download sales, is challenged.

“This is really a stare-down,” said one major label executive who was briefed on the new Pepsi promotion and who requested anonymity because he had not been authorized to speak about it.

Industry executives say the rivalry could intensify if the two services jockey over who will be given exclusive rights to some songs or special promotions. A senior executive at another record company, who requested anonymity out of concern about irritating Mr. Jobs, said he was prepared to keep copy restrictions on his label’s songs on iTunes for six months to a year while Amazon establishes itself. Apple insists on selling all single tracks for 99 cents, while Amazon sells them for 89 cents to over a dollar.

Danny Socolof, president of Mega, the Las Vegas marketing agency that developed the promotion, which is called “Pepsi Stuff,” said the industry’s collective shift away from D.R.M. would “unleash a new age in the music business, and it’s sorely needed.” He said Pepsi’s alliance with Amazon reflected in part the record companies’ “desire to increase the retail space” online “and help level the playing field.”

In the promotion, to be announced Monday, consumers who buy Pepsi drinks will receive points that can be redeemed for music downloads at a special section of the Amazon site. Amazon and Pepsi, a brand of PepsiCo, will give away up to a billion songs, along with prizes like DVDs and electronics, though only a fraction of the eligible Pepsi packages are expected to be redeemed.

The biggest of the four music companies, the Universal Music Group, has declined to join the offer, executives briefed on the situation said, over a pricing disagreement. (Universal, a part of Vivendi, will still sell music through the Amazon service.) The Warner Music Group is also expected to participate.

Amazon is expected to pay the record companies around 40 cents for each track that is given away in the Pepsi offer; Amazon’s usual payment ranges from 65 to 70 cents, executives briefed on the deal said.

Industry analysts said they expected Apple to treat the situation as a minor annoyance. And an expansion of the digital music market is likely to increase sales of iPods, which are more lucrative than the iTunes store and dominate the digital player market.

Forcing Apple to continue selling restricted music is “kind of like a couple of pebbles in the shoe,” said Michael McGuire, an analyst at Gartner. To Apple, he said, “maintaining parity is probably somewhat important, but in the end, they’re still selling iPods.” He noted that Amazon also sells many iPods.

An Apple spokesman declined to discuss the company’s competitors but pointed to Mr. Jobs’s letter of February, which said Apple would embrace a D.R.M.-free world.

It is far from clear that Amazon’s unrestricted music files will be an advantage. Russ Crupnick, an analyst at the NPD Group, joked that D.R.M. should stand for “doesn’t really matter.” Mr. Crupnick said he did not think many iTunes customers were bothered by copy restrictions or would defect to Amazon to buy unencumbered music.

But, he said, Amazon may find an opportunity to expand the overall market. “The much bigger target is all of the people who don’t do digital downloading yet. How do I convince them that digital music is a good thing to begin with? I think Amazon is in a good position to do that, but it’s a long struggle,” Mr. Crupnick said.

Others suggest that the struggle may be so long that the industry will decide to experiment with other ideas, like the offering of music free through ad-supported Web sites, or subscriptions attached to cellphones.

“I’ve never thought that the pay-per-song model was really a replacement” for the CD, said David Goldberg, a former general manager of Yahoo’s music service who works at the investment firm Benchmark Capital. But the industry may endure more suffering before an answer emerges, he said. “It’s going to be a very dramatic change in the business. It’s just a question of when, not if.”
Source :http://www.nytimes.com

Today's Mercury Flyby To Be the First Since 1974

Right around noon today, if all goes as planned, a spacecraft called Messenger will swoop past the planet Mercury and begin two days of unprecedented picture-taking and data-collecting.

The flyby, the first visit to Mercury in more than 33 years by an emissary from Earth, will mark a key moment in a NASA mission that will ultimately place the first satellite into orbit around the tiny planet that sits closest to the sun.

The planetary science community is eagerly awaiting images and information that should shed light on some of the enduring mysteries about the planet -- such as where in the solar system it was formed and why its hard metal core is so large and its outer rock crust so scant, compared with those of Earth and the other rocky planets.

"Mercury is a difficult place to get to, and it's taken a long time to get back," said principal investigator Sean Solomon, who has worked on the mission for more than 11 years. "But now we're in place to learn things about one of our few sister rocky planets, and we're ready for some real surprises."

The desk-size spacecraft was launched in 2004 and has taken a circuitous path to Mercury, swinging twice by Venus and once by Earth for gravity assists. Messenger will make two more passes by Mercury to let the planet's gravity slow it down enough for it to swing into orbit in 2011.

Still, today's whisker-close flyby will be, NASA officials say, a high point of the mission. Not only will the spacecraft pass within a record 124 miles of Mercury's surface at a relative speed of more than 16,000 mph, but it also will quickly begin sending back its first observations of the physical and magnetic makeup of the planet, to be made by instruments that could answer some of the most basic questions about Mercury's character and history. It will be the closest pass by Messenger in the entire mission, and the nearest to the planet's equator.

"The biggest mystery of Mercury is why it has so much heavy metal -- a core very different in size from other planets," Solomon said. "We think we can begin to unravel the mystery once we know the chemical makeup of the planet's surface."

There are several competing theories on how Mercury came to be what and where it is. One is that the searing heat of the sun stripped the crust off a once-larger planet and left primarily the core. Another is that the planet collided with another celestial body during a time when the early solar system was cluttered with them. Under this theory, Mercury's outer crust and mantle were smashed away and the planet was knocked into its close-in orbit.

Because Mercury is so close to the sun, designing a spacecraft that could stand the heat and calculating a trajectory that would place Messenger into orbit -- rather than plunging into the sun -- were daunting tasks. Temperatures on the ceramic-cloth sunscreen that protects its instruments will reach 600 degrees Fahrenheit.

The spacecraft's instruments were designed never to face the sun because they would otherwise quickly overheat and be destroyed, and even pointing them at Mercury will be done for very limited periods. On the side facing the sun, the planet reaches 1,100 degrees at the equator, and on the dark side, it drops to as low as 300 degrees below zero.

The name of the probe, Messenger, is an the acronym for Mercury Surface, Space Environment, Geochemistry and Ranging. It is the first spacecraft to visit Mercury since Mariner 10 in 1974, at a cost of $446 million for the life of its mission. Reflecting the new technologies and logistical knowledge that made the mission and its unprecedented orbiting possible, the European and Japanese space agencies will also be sending spacecraft to Mercury soon.

The planet they will scrutinize has craters, volcanoes, and many unusual and unexplained features, including what might be frozen water in polar crevasses protected from the sun. Its mass is only 5 percent that of Earth's, but its metal core accounts for 60 percent of that mass (compared with about 30 percent for Earth and Venus, and 20 percent for Mars). Mercury also has an active magnetic field in its thin atmosphere, the only rocky planet other than Earth with that feature. And it contains one of the largest impact craters in the solar system -- the Caloris Basin, which is 800 miles in diameter, or about a quarter of the planet's diameter.
Source :http://www.washingtonpost.com