1 Sites of sound: recording studios and the musical economy Andrew Leyshon School of Geography University of Nottingham Nottingham NG7 2RD [email protected].

11

Sites of sound: Sites of sound: recording studios and the musical recording studios and the musical

economyeconomy

Andrew LeyshonAndrew LeyshonSchool of GeographySchool of Geography

University of NottinghamUniversity of NottinghamNottingham NG7 2RDNottingham NG7 2RD

[email protected]@nottingham.ac.uk

Presentation to the Presentation to the Association of Professional Recording StudiosAssociation of Professional Recording Studios

University of Nottingham London OfficeUniversity of Nottingham London Office1212thth July 2006 July 2006

22

Long-term research project:Long-term research project:The future of a copyright-based economy in The future of a copyright-based economy in

an era of digital reproduction and distributionan era of digital reproduction and distributione.g. Music industrye.g. Music industry

Record companies (done … )Record companies (done … ) Recording studios (in progress)Recording studios (in progress) Distribution and consumption (in future)Distribution and consumption (in future)

33

iTunes: over 1 billion downloadsiTunes: over 1 billion downloads Legal download sales exceed $1bn a yearLegal download sales exceed $1bn a year A library of two million songs availableA library of two million songs available 420 million singles downloaded in 2005420 million singles downloaded in 2005 335 legal online sources available335 legal online sources available

However …However …

44

The top ten P2P programs have been downloaded over The top ten P2P programs have been downloaded over 640 million times worldwide 640 million times worldwide

an estimated 2.3 an estimated 2.3 billion billion music files alone are exchanged music files alone are exchanged across these networks across these networks every monthevery month. . E.g. KazaaE.g. Kazaa

user base of over 140 million computer usersuser base of over 140 million computer users more than double the membership of more than double the membership of Napster Napster at its peak.at its peak.

55

Global music sales, Global music sales, 2001-2004 ($m)2001-2004 ($m) 2001: 39,3182001: 39,318 2002: 36,7882002: 36,788 2003: 34,1072003: 34,107 2004: 33,6142004: 33,614

(15% decline)(15% decline)

66

Impact of Internet piracy?Impact of Internet piracy? BPI-sponsored research: UK illegal downloading, BPI-sponsored research: UK illegal downloading,

20042004 Numbers stableNumbers stable

Threat of legal actionThreat of legal action Increase in number of full album downloadsIncrease in number of full album downloads

Roll-out of broadbandRoll-out of broadband 58% of illegal downloaders obtain more than 4 tracks per month 58% of illegal downloaders obtain more than 4 tracks per month

(cf 38% of legal downloaders)(cf 38% of legal downloaders) UK losses (£m):UK losses (£m):

2003: 2782003: 278 2004: 3762004: 376

But assumes each download is a direct substitution for a But assumes each download is a direct substitution for a purchase … purchase …

77

Impact on the UK music industryImpact on the UK music industry

Real value of UK Real value of UK recorded music sales, recorded music sales, 1978-2004 (£m: 2004 1978-2004 (£m: 2004 constant prices)constant prices) 1978: 934.21978: 934.2 1984: 688.81984: 688.8 1994: 1,188.41994: 1,188.4 2004: 1,214.12004: 1,214.1

(BPI, 2005)(BPI, 2005) (Modest growth)(Modest growth)

UK-based record UK-based record companies net invisible companies net invisible earnings, 1993-98 (£m)earnings, 1993-98 (£m) 1993: 233.01993: 233.0 1994: 223.41994: 223.4 1995: 317.71995: 317.7 1996: 280.01996: 280.0 1997: 262.51997: 262.5 1998: 207.71998: 207.7

(Dane et al, 1999)(Dane et al, 1999) (growth, then decline)(growth, then decline)

88

Internet Piracy as ‘tipping point’ in music industryInternet Piracy as ‘tipping point’ in music industry Shift from 90:10 recovery rate to 97:3Shift from 90:10 recovery rate to 97:3 Legitimated talk of a crisis of reproduction in industryLegitimated talk of a crisis of reproduction in industry

Competition for ‘share of wallet’ of market under age of 24 Competition for ‘share of wallet’ of market under age of 24 Computer games, mobile phones, DVDs, etc.Computer games, mobile phones, DVDs, etc.

Rounds of restructuring within industry as response to crisisRounds of restructuring within industry as response to crisis Job lossesJob losses Contractual changesContractual changes

CancellationsCancellations Broader in scope (e.g. inc. merchandising)Broader in scope (e.g. inc. merchandising)

Shrinking of artists rostersShrinking of artists rosters Reduction in budgets for A&RReduction in budgets for A&R Impacts on constituent sectors of music industryImpacts on constituent sectors of music industry

e.g. Recording studio sectore.g. Recording studio sector

99

1010

MethodologyMethodologyMapping commercial success of studiosMapping commercial success of studios

Best selling 80 CDs in UK, 2003Best selling 80 CDs in UK, 2003 i.e. top 100, minus compilations.i.e. top 100, minus compilations.

Interviews with recording studio owners, Interviews with recording studio owners, managers, engineers, management companies, managers, engineers, management companies, etc. etc.

29 hours of interview material 2005-06 (on-going)29 hours of interview material 2005-06 (on-going)

1111

OutlineOutline

(i) The economy of the recording studio sector(i) The economy of the recording studio sector (ii) The geographies of commercial success in the (ii) The geographies of commercial success in the

recording studio sectorrecording studio sector (iii) A socio-technical history of recording studios: from (iii) A socio-technical history of recording studios: from

unique to generic spaces?unique to generic spaces? (iv) Discussion(iv) Discussion

1212

(i) The economy of recording studio (i) The economy of recording studio sectorsector

Very little information; most estimates (UK)Very little information; most estimates (UK)Recording studiosRecording studios

Overseas earnings: £3.7mOverseas earnings: £3.7m Turnover: £30mTurnover: £30m Employment in studios: 660 *Employment in studios: 660 * Value-added: £15mValue-added: £15m

ProducersProducers Employment: 750*Employment: 750* Value added: £14mValue added: £14m

*(shifting population; shift to self-employed even in *(shifting population; shift to self-employed even in studios; retainers rather than salaries)studios; retainers rather than salaries)

1313

Value-added Value-added (£M)(£M)

FTE EmploymentFTE Employment Value added per employee (£)Value added per employee (£)

ComposersComposers 930930 1,5001,500 620,000620,000

Publishing Publishing CompaniesCompanies

9696 1,2751,275 75,00075,000

Collection Collection SocietiesSocieties

2626 913913 28,00028,000

PerformersPerformers 350350 46,00046,000 8,0008,000

Record CompaniesRecord Companies 405405 7,1287,128 57,00057,000

Record Producers 14 750 19,000

Recording Studios 15 660 22,000

ManufacturersManufacturers 8787 3,0003,000 29,00029,000

DistributorsDistributors 8686 2,5782,578 33,00033,000

RetailRetail 279279 16,09016,090 17,00017,000

TotalTotal 2,2882,288 79,89479,894 29,00029,000

1414

Understanding the role of recording studiosUnderstanding the role of recording studios Recording studios as socio-technical spacesRecording studios as socio-technical spaces

AssetsAssets Space (-)Space (-) Time (-)Time (-) Technology (-)Technology (-) Expertise (-)Expertise (-) Congeniality (+)Congeniality (+)

Sites for project-based workSites for project-based work Time-limited projectsTime-limited projects

Days to monthsDays to months Of decreasing durationOf decreasing duration

1515

Exist within an Exist within an oligopsonyoligopsony: a market of few : a market of few buyersbuyersRecord companiesRecord companiesFilm and TV companiesFilm and TV companies

(Cf. supermarkets and farmers … )(Cf. supermarkets and farmers … )

Low barriers to entry and over capacityLow barriers to entry and over capacityBarriers undermined by increasingly generic Barriers undermined by increasingly generic

technology and shift to on-the-job trainingtechnology and shift to on-the-job training

1616

Oversupply intensified by investment in studios as ‘vanity’ or Oversupply intensified by investment in studios as ‘vanity’ or ‘emotional investments’:‘emotional investments’:

AL:AL: “Oh right, so … how come you managed to be “Oh right, so … how come you managed to be able to able to afford a desk like that?”afford a desk like that?”

R:R: “Oh no, I was employed by them [studio]. [The “Oh no, I was employed by them [studio]. [The studio owner] studio owner] was a … he's made his money out of [successful was a … he's made his money out of [successful female UK female UK singer in 1980s], he'd written, or co-written [her singer in 1980s], he'd written, or co-written [her songs] … songs] … they’d sold 13 million records I think”.they’d sold 13 million records I think”.

AL:AL: “That would do it then”.“That would do it then”. R:R: “That “That would would do it, and he walked away from that do it, and he walked away from that

with a with a few million quid and always wanted a studio much few million quid and always wanted a studio much to his … to his … well, it's not the wisest investment shall we say”.well, it's not the wisest investment shall we say”.

…… R:R: “Yes … it's a love thing you know … all his “Yes … it's a love thing you know … all his

accountants told accountants told him he'd never make any money out of it but it's him he'd never make any money out of it but it's just just something people want to do”.something people want to do”.

(Interview 5 Studio Engineer, Male 20s, 2005)(Interview 5 Studio Engineer, Male 20s, 2005)

1717

But … some overcapacity important to recording centres But … some overcapacity important to recording centres being seen as world-class sites that can cope with being seen as world-class sites that can cope with vagaries of demand …vagaries of demand … “ … “ … people always say to me … when a studio that’s similar to people always say to me … when a studio that’s similar to

ours goes under …. ‘Oh, that must be good for you because ours goes under …. ‘Oh, that must be good for you because you’ll get more work”. Well, in some senses, yes: when I’m quiet you’ll get more work”. Well, in some senses, yes: when I’m quiet I might not be as quiet because I gain some work. But people I might not be as quiet because I gain some work. But people will stop coming to London as a centre of excellence [if there are will stop coming to London as a centre of excellence [if there are not the] back-up places … if they can’t get into [Studio A] they not the] back-up places … if they can’t get into [Studio A] they don’t moan about having to come here, but then if there’s don’t moan about having to come here, but then if there’s absolutely nowhere … for them to go and they can’t get into one absolutely nowhere … for them to go and they can’t get into one … of the places here then they’ll stop coming and they’ll take the … of the places here then they’ll stop coming and they’ll take the work [elsewhere], stay in America or whatever” (Interview 2, work [elsewhere], stay in America or whatever” (Interview 2, Studio Manager, female, 40s, 2005).Studio Manager, female, 40s, 2005).

1818

Studio business modelsStudio business models‘‘Top end’: e.g. Abbey Road, Air, Olympic, etc.Top end’: e.g. Abbey Road, Air, Olympic, etc.Medium e.g. Mayfair, Eden, Livingstone, etc.Medium e.g. Mayfair, Eden, Livingstone, etc.Residential studios e.g. Rockfield (nr. Brecon); Residential studios e.g. Rockfield (nr. Brecon);

Chapel (nr. Lincoln): Recording hotels. Chapel (nr. Lincoln): Recording hotels. Budget/homeBudget/home

Significant disinflation in studio rates: Significant disinflation in studio rates: 2005-06 rates same as in mid- to late-1980s2005-06 rates same as in mid- to late-1980s

1919

(ii) The geographies of commercial success (ii) The geographies of commercial success in the recording studio sectorin the recording studio sector

2020

Top ranked recording studios, 2003: by Top ranked recording studios, 2003: by credits on best selling 80 CDs in UK, 2003credits on best selling 80 CDs in UK, 2003

1.1. Angel Recording Studios (London) 8 creditsAngel Recording Studios (London) 8 credits2.2. Air Studios (London) 7 creditsAir Studios (London) 7 credits3.3. Mayfair Recording Studios (London); Metropolis Studios Mayfair Recording Studios (London); Metropolis Studios

(London); The Record Plant (Los Angeles): all 5 credits(London); The Record Plant (Los Angeles): all 5 credits4.4. Conway Studios (New York); The Hit Factory (Miami); Conway Studios (New York); The Hit Factory (Miami);

Sarm West Studios (London); Olympic Studios (London); Sarm West Studios (London); Olympic Studios (London); Sanctuary Townhouse Studios (London); Whitfield Street Sanctuary Townhouse Studios (London); Whitfield Street Studios (London): all 4 creditsStudios (London): all 4 credits

5.5. Britannia Row Studios (London); Capitol Studios (New Britannia Row Studios (London); Capitol Studios (New York); Eden Studios (London); Encore Studios (Los York); Eden Studios (London); Encore Studios (Los Angeles); The Hit Factory (New York); Ocean Way Angeles); The Hit Factory (New York); Ocean Way Studios (Los Angeles); Sony Music Studios (New York); Studios (Los Angeles); Sony Music Studios (New York); Stargate Studios (Trondheim): all 3 creditsStargate Studios (Trondheim): all 3 credits

2121

2222

2323

2424

2525

West London Studio clusterWest London Studio cluster Proximity to Proximity to

recording companiesrecording companies “ … “ … a lot of bands come to London. Even if they're not from a lot of bands come to London. Even if they're not from

London, they'll move to London to play the London gig circuit in London, they'll move to London to play the London gig circuit in the hope that's where they'll be discovered. So a lot of them the hope that's where they'll be discovered. So a lot of them are living here, all the record companies are here. A&R guys are living here, all the record companies are here. A&R guys are generally lazy and they don't want to go far [to call into a are generally lazy and they don't want to go far [to call into a studio] (Interview 5, Studio Engineer, Male 20s, 2005)studio] (Interview 5, Studio Engineer, Male 20s, 2005)

clientsclients ““Your client base is down the M4 and the M3 and the A3, that’s Your client base is down the M4 and the M3 and the A3, that’s

where, if you look it's around your Henley's and what have you, where, if you look it's around your Henley's and what have you, that's where all the big name artists live - go and plot where that's where all the big name artists live - go and plot where your clients live. And so you're trying to get as far into London, your clients live. And so you're trying to get as far into London, you're trying to head beyond the end of the motorway if you you're trying to head beyond the end of the motorway if you like, that's why Chiswick is so popular, it's hanging off the end like, that's why Chiswick is so popular, it's hanging off the end of the M4” (Interview 16, Studio Manager, male 50s, 2005)of the M4” (Interview 16, Studio Manager, male 50s, 2005)

2626

2727

2828

2929

3030

(iii) A socio-technical history of recording (iii) A socio-technical history of recording studios: from unique to generic spaces?studios: from unique to generic spaces?

Origins of recording Origins of recording studiosstudios Owned by record Owned by record

companiescompanies Recording spaces for Recording spaces for

their own artiststheir own artists Part of vertically Part of vertically

integrated integrated organisationsorganisations

E.g. EMI Studios E.g. EMI Studios (Abbey Road), (Abbey Road), LondonLondon

1931-1931-

3131

Studio as a ‘laboratory’ e.g. EMI StudiosStudio as a ‘laboratory’ e.g. EMI Studios Bespoke equipment, developed by EMI, tested in and exclusive Bespoke equipment, developed by EMI, tested in and exclusive

to studio.to studio. Technical training and educationTechnical training and education

cf. role of BBC cf. role of BBC Persisted as model into the 1970sPersisted as model into the 1970s

3232

“ … “ … in those days there was a laboratory so we tested every bit in those days there was a laboratory so we tested every bit of gear before it went into use and it was very much the of gear before it went into use and it was very much the technical department controlled what went on in studios … it’s all technical department controlled what went on in studios … it’s all commercial now … whatever piece of junk people want you get commercial now … whatever piece of junk people want you get it in and they use it” (Interviewit in and they use it” (Interview 3, freelance engineer/former 3, freelance engineer/former Abbey Road employee, Male 50s, 2005)Abbey Road employee, Male 50s, 2005)

““There was a chief engineer who set technical standards in the There was a chief engineer who set technical standards in the studio, it was very much the technical off-shoot of the record studio, it was very much the technical off-shoot of the record company and they were used as an advisory centre and … part company and they were used as an advisory centre and … part of signing a deal to an EMI artist in those days was the attraction of signing a deal to an EMI artist in those days was the attraction of working in a fantastic studio like Abbey Road, so every major of working in a fantastic studio like Abbey Road, so every major [record company] at that time had their own good technical [record company] at that time had their own good technical facility that would be part of the deal” (facility that would be part of the deal” ( ibid.ibid.))

3333

Mode of development created idiosyncratic Mode of development created idiosyncratic studio space unique to each organisationstudio space unique to each organisation Dedicated space, equipment and labour in each Dedicated space, equipment and labour in each

studio complexstudio complex Producers and engineers salaried employeesProducers and engineers salaried employees Role as technical laboratory created time and space Role as technical laboratory created time and space

for creative innovation in musicfor creative innovation in music Liberal attitude to use of space by artistsLiberal attitude to use of space by artists artists were given extended recording time in studios owned artists were given extended recording time in studios owned

by their record labelsby their record labels E.g. at Abbey Road: EMI artists The Beatles, Pink Floyd. E.g. at Abbey Road: EMI artists The Beatles, Pink Floyd.

3434

Erosion of this system from late 1960s onwardsErosion of this system from late 1960s onwards Growing power of ‘star’ producers and engineersGrowing power of ‘star’ producers and engineers

E.g. George Martin: AIRE.g. George Martin: AIR Initially production company, later a studioInitially production company, later a studio Shift of successful producers and engineers to freelance statusShift of successful producers and engineers to freelance status

Alan Parsons, Glyn Johns, Geoff Emmerick, etc. Alan Parsons, Glyn Johns, Geoff Emmerick, etc. Growth of an independent studio sector in 1970s to Growth of an independent studio sector in 1970s to

serve demand from independent producersserve demand from independent producers Studios often set up by producers (Studios often set up by producers (see abovesee above))

Business model was based more on producer royalty income Business model was based more on producer royalty income than efficient management of the studio assetsthan efficient management of the studio assets

Record company studios remained heavily cross-subsidised Record company studios remained heavily cross-subsidised by record companies to maintain technological lead and to by record companies to maintain technological lead and to control studio space for its own artistscontrol studio space for its own artists

3535

‘‘Loose’ organisational space: not rigorously Loose’ organisational space: not rigorously managedmanaged“ … “ … the number 1 studio [at Abbey Road] is 90 feet the number 1 studio [at Abbey Road] is 90 feet

by 40 odd or whatever, huge area, and if it wasn't by 40 odd or whatever, huge area, and if it wasn't busy we’d play badminton in there or there'd be busy we’d play badminton in there or there'd be someone maintaining a car … it was pretty laid someone maintaining a car … it was pretty laid back.” (Interviewback.” (Interview 3, freelance engineer/former 3, freelance engineer/former Abbey Road employee, Male 50s, 2005)Abbey Road employee, Male 50s, 2005)

3636

This era came to an end in the late 1970s/early 1980s:This era came to an end in the late 1970s/early 1980s: For EMI it was the takeover by Thorn - imposed financial For EMI it was the takeover by Thorn - imposed financial

discipline on the studiodiscipline on the studio For the sector as a whole - development of new digital recording For the sector as a whole - development of new digital recording

consoles by Solid State Logic (SSL) and Neveconsoles by Solid State Logic (SSL) and Neve Based in Oxford and in CambridgeBased in Oxford and in Cambridge

Established in late 1960sEstablished in late 1960s Consoles made outside vertically integrated record companiesConsoles made outside vertically integrated record companies

recording technology became more genericrecording technology became more generic SSL ‘Total Recall’SSL ‘Total Recall’

Saved and automatically rest faders from track to track, session to Saved and automatically rest faders from track to track, session to sessionsession

Became obligatory technology in studiosBecame obligatory technology in studios

3737

The SSL consoles with TR became necessary for The SSL consoles with TR became necessary for studios wishing to attract producersstudios wishing to attract producers

Required significant investments from studiosRequired significant investments from studios £250,000 - £300,000 per console£250,000 - £300,000 per console 2-3 control-recording rooms per studio2-3 control-recording rooms per studio

Moved power further away from studios to producers Moved power further away from studios to producers consolesconsoles, not the studio spaces , not the studio spaces per seper se, became the most , became the most

significant requirement in recordingsignificant requirement in recording Closed the technological divide between studiosClosed the technological divide between studios

Work transferable between consoles, and therefore Work transferable between consoles, and therefore studios, which improved producers choice of studio and studios, which improved producers choice of studio and recording company’s leverage in bargaining for ratesrecording company’s leverage in bargaining for rates

3838

Era of destructive competition between Era of destructive competition between studiosstudiosStagnant day rates from mid- late-1980s onStagnant day rates from mid- late-1980s on

Undercutting on quotes to capture businessUndercutting on quotes to capture business

Regressive effect on working conditionsRegressive effect on working conditions Introduction of the ‘Lock-Out’ (12 hour working day for Introduction of the ‘Lock-Out’ (12 hour working day for

engineers)engineers) (more latterly: coercive opts outs from European (more latterly: coercive opts outs from European

Working Time Directive for salaried engineers … )Working Time Directive for salaried engineers … )

3939

“… “… it's … 24/7, 7 days a week. You know, you feel it's … 24/7, 7 days a week. You know, you feel guilty about asking for a Saturday off … in a guilty about asking for a Saturday off … in a month's time … If you were to leave a studio and month's time … If you were to leave a studio and go freelance you could probably earn in four days go freelance you could probably earn in four days what you earn in a month as a retainerwhat you earn in a month as a retainer” (Interview ” (Interview 5, 5, Studio Engineer, Male 20s, 2005)Studio Engineer, Male 20s, 2005)

““[12 hour shifts] minimum, most studios are [12 hour shifts] minimum, most studios are booked on a 12 hour day unless it's a strict studio; booked on a 12 hour day unless it's a strict studio; they're booked hourly. So you leave home at nine they're booked hourly. So you leave home at nine and you get home at midnight, one o'clock and and you get home at midnight, one o'clock and that's nearly everyday, and if you have one day off, that's nearly everyday, and if you have one day off, a Sunday for instance, all you want to do is sleep, a Sunday for instance, all you want to do is sleep, or do your washing.” (or do your washing.” (IbidIbid))

4040

Shift to on-the-job trainingShift to on-the-job training Drives wages downDrives wages down Search for staff with ‘emotional intelligence’ rather than defined skill Search for staff with ‘emotional intelligence’ rather than defined skill

setssets Esp. in rock/pop studios, cf. orchestral studiosEsp. in rock/pop studios, cf. orchestral studios

Desirable engineers are those that are ‘transluscent’ (‘there, but not Desirable engineers are those that are ‘transluscent’ (‘there, but not there’) – coping strategy for dealing with the sometimes monstrous there’) – coping strategy for dealing with the sometimes monstrous egos of artists (and some producers)egos of artists (and some producers)

““People who have complimentary personalities, and by that I mean not People who have complimentary personalities, and by that I mean not … sycophantic. They're the kind of people that … are quite happy for … sycophantic. They're the kind of people that … are quite happy for their egos to be smashed and jumped on 50 times a day and get on their egos to be smashed and jumped on 50 times a day and get on with it and realise it's all part of the process of that artist, [who] has to with it and realise it's all part of the process of that artist, [who] has to walk in and has to be the boss. … [A]t times, yes, he is going to be walk in and has to be the boss. … [A]t times, yes, he is going to be goddamn rude to you and all the rest of it, make you feel like shit” goddamn rude to you and all the rest of it, make you feel like shit” (Interview 16, Studio Manager, Male 50s, 2005)(Interview 16, Studio Manager, Male 50s, 2005)

Strong gender division of labourStrong gender division of labour Male engineersMale engineers Mostly female studio managersMostly female studio managers

4141

Progression to freelance the norm rather than exception for Progression to freelance the norm rather than exception for engineersengineers

Before age of 30Before age of 30 Low salaries (£12,000 pa)Low salaries (£12,000 pa) Salaries reduced even further by shift to retainers – given Salaries reduced even further by shift to retainers – given

first refusal of work that comes in – effectively paid out of first refusal of work that comes in – effectively paid out of recording budget, not by retained earnings of studiorecording budget, not by retained earnings of studio

Freelance work driven by project-based model – punishing Freelance work driven by project-based model – punishing overwork when busy, no/little pay when no workoverwork when busy, no/little pay when no work

Studios recruit engineers that have potential to become Studios recruit engineers that have potential to become freelance as they will become future clients for the studio freelance as they will become future clients for the studio as producers/engineers – thus, studios seek to generate as producers/engineers – thus, studios seek to generate their own demand through the labour markettheir own demand through the labour market

4242

Problems facing studios in 1980s mitigated for Problems facing studios in 1980s mitigated for a decade by boom in post-production worka decade by boom in post-production workRe-mastering for CDsRe-mastering for CDsVideos, DVDsVideos, DVDs

4343

But, from mid-1990s on, clear signs of economic But, from mid-1990s on, clear signs of economic problems in recording studio sector:problems in recording studio sector: i) Reduction in recording budgets i) Reduction in recording budgets

Fallen from norm of £85,000 per album to as little as £20,000Fallen from norm of £85,000 per album to as little as £20,000 ii) Decline of the SSL/Neve console and rise of Pro- ii) Decline of the SSL/Neve console and rise of Pro-

Tools Tools More investment, and ‘without end’More investment, and ‘without end’

Although rigs cheaper, software upgrades are continuousAlthough rigs cheaper, software upgrades are continuous End of tape supply as a studio income streamEnd of tape supply as a studio income stream Reduction in demand for space and timeReduction in demand for space and time

Pre-studio preparation work – the further fragmentation of Pre-studio preparation work – the further fragmentation of project-based work to incorporate domestic space/home project-based work to incorporate domestic space/home studiosstudios

4444

iii) ‘Runaway production’: orchestral soundtrack work, iii) ‘Runaway production’: orchestral soundtrack work, film scoring, etc.film scoring, etc.

Top End London studios benefit from runway production from Top End London studios benefit from runway production from Los AngelesLos Angeles

Buffer against some of the above trendsBuffer against some of the above trends But signs of runaway production bypassing London for But signs of runaway production bypassing London for

central Europe (Prague, Budapest)central Europe (Prague, Budapest) Similar trends for other orchestral recordingsSimilar trends for other orchestral recordings

iv) Consumer demand for ‘lo-fi’ productsiv) Consumer demand for ‘lo-fi’ products i.e. MP3s not 5.1 … i.e. MP3s not 5.1 …

v) Loss of US market for UK artistsv) Loss of US market for UK artists Lack on interest in US in UK musicLack on interest in US in UK music

4545

IV DiscussionIV Discussion

Crisis of recording studio sectorCrisis of recording studio sector Falling recording budgetsFalling recording budgets Falling demandFalling demand Deteriorating employment conditionsDeteriorating employment conditions Continuing erosion of barriers to entryContinuing erosion of barriers to entry Technology reducing demand for time and spaceTechnology reducing demand for time and space Runaway productionRunaway production Studio closuresStudio closures Unemployment and underemploymentUnemployment and underemployment

4646

Outcome: accelerated vertical Outcome: accelerated vertical disintegration of productiondisintegration of productionRecord companiesRecord companies

devolve responsibility for delivering albums to devolve responsibility for delivering albums to management companiesmanagement companies

Record companies not that interested in A&R – have Record companies not that interested in A&R – have become brand-led, marketing companiesbecome brand-led, marketing companies

Rise of management companies as intermediaries in the Rise of management companies as intermediaries in the industry – develop artists to pitch to record companiesindustry – develop artists to pitch to record companies

This may strengthen the industry’s ties to This may strengthen the industry’s ties to London/South EastLondon/South East

More diverse ‘network of creativity’More diverse ‘network of creativity’

4747

StudiosStudiosdevolving responsibility for filling time and space to devolving responsibility for filling time and space to

producersproducers Producers roomsProducers rooms

Renting of small spaces to independent producersRenting of small spaces to independent producers Externalises risk to producers Externalises risk to producers Provides producers with creative environment (cf. Provides producers with creative environment (cf.

Home studios)Home studios) But for some an unstable market … many entries and But for some an unstable market … many entries and

existsexists

4848

Studios could attempt to push this vertical Studios could attempt to push this vertical disintegration further disintegration further

Could utilise their recording assets to become management Could utilise their recording assets to become management companies or production-publishing companiescompanies or production-publishing companies

Use studio assets (technology, labour, expertise)Use studio assets (technology, labour, expertise) Keep some rights to product they sell on to record companiesKeep some rights to product they sell on to record companies But … But … need money to fund the development of artists … need money to fund the development of artists …

… … and few recordings cover the cost of their productionand few recordings cover the cost of their production

Studios could seek to exploit their buildings as part of Studios could seek to exploit their buildings as part of the ‘musical heritage’ industrythe ‘musical heritage’ industry

But … problems of organising this while remaining a working But … problems of organising this while remaining a working studiostudio

4949

In meantime … further restructuring in studio sector in In meantime … further restructuring in studio sector in response to broader problems facing the music industry response to broader problems facing the music industry

… … and a crisis for motion picture companies is on the horizon and a crisis for motion picture companies is on the horizon as new generation broadband is rolled out which will reduce the as new generation broadband is rolled out which will reduce the time it takes to download a film to less than 5 minutes … time it takes to download a film to less than 5 minutes …

Key questions:Key questions: How far does the thinning out of the recording studio sector How far does the thinning out of the recording studio sector

have to go before benefits accruing to surviving studios begin to have to go before benefits accruing to surviving studios begin to threaten the competitiveness of the London/UK studio sector as threaten the competitiveness of the London/UK studio sector as a whole?a whole?

Or, does the rise of ‘democratic’ digital recording technology Or, does the rise of ‘democratic’ digital recording technology mean that there just won’t be the demand for so much mean that there just won’t be the demand for so much professional recording so the sector will diminish but remain professional recording so the sector will diminish but remain internationally competitive? internationally competitive?

5050

EndEnd