Live music is a combination of music and the Internet. In other words, it is a new product of O2O application in music industry. “Watching” music has brought new hope to the industry and is trying to grope a way to make customers spend money on it.
There are lots of categories of Live, such as music, game, sports, variety show and so on. 6Rooms, YY and 9158 focus on “Live show” mode which is recognized by the capital market. In July, Songcheng Entertainment Company acquired online live network platform 6Rooms with 2.6 bn Yuan. On August 26th, according to CMBN’s queries, YY (NASDAQ:YY) gathered shares at $53.45/share and valued at $2.925 bn. Listed on the Hong Kong Stock, Tiange’s(01980) share price was HK$ 2.840 /share, currently value was HK$ 3.9 bn.
In South Korea a young man who broadcasts his eating meals everyday gets popular. In USA, a video-streaming app called Meerkat hits SXSW. Though the company received $ 14 million financing in Match, it was banned by Twitter, who launched its own video-streaming app called Periscope. Meerkat had no choice but to seek help from another social networking giant Facebook. In China, after referring to the Meerkat and Periscope mode, here came social live startups such as “Zai Zhibo”
Last August, Twitch, a game live platform, was acquired by Amazon at $970 million, which encouraged domestic game live startups. At present, there are five game live platforms in China: Douyu, Zhanqi, Huya, Huomao and Longzhu. Longzhu is under Tencent and Huomao is under Wanmei. Huya is a channel of YY and Zhanqi belongs to Zhejiang News Company. The independent company Douyu finished its AB round financing in a short period with 20 million Yuan in A round from Sequoia Capital and $20 million in B round. But news came this year that Douyu has spent so much on anchors that they were at financial shortage.
Currently, the majority of live platforms are UGC-oriented. Their contents are mostly entertainment show, video, social networking and game live. Some of them sign well-known anchors to attract fans. At the same time, there are more broadcasting platforms that are gradually being evolved in other categories, such as variety shows, beauty show, talk shows. But music and sports follow the elite rule and now dominated by PGC.
If e-sports fans are said to welcome the outbreak of game broadcasting year in 2014, then music fans celebrated the outbreak of live music broadcasting year in 2015. After LeTV successfully started the paid Wang Feng concert live last year, Tencent Video, Youku, PPTV, HumanTV, Music163, MiguMusic, KugouFanxing, Ximalaya, LizhiFM, KKLive emerged into live music business. Even Momo poached Liang Qiaobo, Music Director ofI am a Singer,who later becomes Chief Content Officer of Momo. It’s very likely that Momo will enter into live music business.
On August 22nd, “the future of live music streaming new business” salon was held by CMBN in Modernsky Lab, Beijing. LeTV music CEO Yin Liang, S.A.G. founder Zhang Bo, S.A.G. CEO Yang Jun and music live app Yema’s founder Li Hongjie, Modernsky mobile music live platform CEO Zhang Dongliang are invited to discuss.
Saloon also invited well-known music critic Deng Ke and well-known music critic & Qida Music co-founder Zhang zhaoyi as special hosts.
StageIt: Set a starting price, it’s up to you to pay how much!
“The backseat of the car, bus, or the kitchen table, almost anywhere you can have sex, you can give concert.” Evan Lowenstein, the founder of online music performance live web StageIt said. The company was founded in 2009. At the end of 2011, it received $3.5 million from Sean Parker, the founder of Napster.
On StageIt’s website, it is defined as “A front row seat to a backstage experience”. Musicians can choose any stage to perform and stream with just a guitar, a chair and a laptop. Generally, the starting ticket price is set by musicians and StageIt. But through “it’s up to customer to pay how much” service,
audience can reward performers and communicate online. Generally, artists can get 60% of profit, which is much higher than other mainstream shows. One of the investors Buffett said “This model really works.”
Now StageIt is still on the move, and has attracted lots of hot artists to sign with. In 2013, it was nominated as one of the most innovative companies in music industry. On the website, we found that there was Jacob Collier’s live on August 27thand 90 min perform was at $20 (least). When we checked again in the afternoon, there were only 6 tickets left.
Evntlive acquired by Yahoo, turned into a small channel
In early 2008, Yahoo launched video-streaming service Yahoo Live. But in November that year, Yahoo had to shut down the service for the video service provider did not have a stable way to make profits; besides, Yahoo Live only attracted 1,500 users.
In December 2013, Yahoo announced that it acquired a startup of less than ten-month’s history—a live concert streaming platform called Evntlive. It was until then that video-streaming was pushed in front of users by Yahoo. At that time, the startup had four goals: providing live content for music fans that missed the concert, collecting social media discussion and adding paid music video contents, setting up video live database of musicians and building a music e-commerce market after the user-base is large enough.
Evntlive was founded by Judy Estrin, former Cisco Chief Technology Officer and co-founder. It aimed to provide fans with multi-angle live concert video, online chatting and other interactive functions. Unfortunately, after the team entered Yahoo Video, live music became a small channel of Yahoo —– Yahoo Live, with which it gave up its former goals. In China, Tencent’s live music followed Yahoo’s mode: user free + ads. In Yahoo Live, all of the contents are the cooperation of Yahoo and Live Nation. The update speed is slow and the content is not that impressive.
At present, the global video and digital entertainment contents are controlled by Netflix and YouTube, accounting for nearly half on the Internet. According to Techcrunch, many startups have been trying to get into live music industry over the years, but no one has made its dominating position in this market. The reason is that there are lots of internal barriers in the music industry that hamper digital
The latest news about Yahoo in video area is that it launched a silent video communication app named Livetext on July 30th. The app combines traditional input mode with silent video communications, hoping to develop further in IM application market by using mobile tools like WhatsApp and Snapchat.
(Translator: Ellie; Editor: Chuqian Li
Copyright © 2015 China Music Business News