1 00:00:00,000 --> 00:00:05,880 On the Croisette in Cannes, movers and shakers in the music world gather for MIDEM, 2 00:00:05,880 --> 00:00:11,360 the 38th annual get-together of the international music industry. This year, 3 00:00:11,360 --> 00:00:16,240 Europe decided to top the bill by organizing the Border Breakers Awards. These new awards, 4 00:00:16,240 --> 00:00:20,880 supported by the music industry, recognize European artists whose first album sold 5 00:00:20,880 --> 00:00:30,800 most widely throughout the European Union. For the organizers of the prize, the idea is to 6 00:00:30,800 --> 00:00:36,640 promote Europe's cultural diversity. We are European because we know that there are Greeks, 7 00:00:36,640 --> 00:00:41,880 Spaniards, Portuguese, Norwegians, Finns, etc., and we love it. That's our identity. 8 00:00:41,880 --> 00:00:47,320 We are not a single population, we are different, and it is in this diversity that we find ourselves. 9 00:00:50,880 --> 00:00:55,480 At the same time, MIDEM provided the opportunity to discuss challenges and perspectives for the 10 00:00:55,480 --> 00:01:00,360 music business. What was clear, this is an important industry for Europe in terms of 11 00:01:00,360 --> 00:01:03,400 jobs and earnings, yet it suffers from something of a paradox. 12 00:01:03,400 --> 00:01:12,480 It suffers and benefits from diversity, that is, languages, cultures, feelings in 13 00:01:12,480 --> 00:01:18,720 the different countries, which means that music, like cinema, circulates too badly, 14 00:01:18,720 --> 00:01:26,720 and there is a very clear need to make artists or songs of a country better known in other European 15 00:01:26,720 --> 00:01:34,440 countries. In one part of Europe, let's say in Greece, they don't know what is happening in the 16 00:01:34,440 --> 00:01:41,240 north of Sweden, and vice versa. We don't know very much about what is happening in the south 17 00:01:41,280 --> 00:01:48,760 of Spain, so there is no natural incentive to move the artist from one part of the Union to another. 18 00:01:48,760 --> 00:01:55,360 For those involved in the business, there's one recurring question. How to improve the 19 00:01:55,360 --> 00:02:00,040 mobility of artists and their work, both inside and outside the European Union? 20 00:02:00,040 --> 00:02:30,000 I would like to see better distribution facilities. I'd like to see some practical solutions. I think at an artistic level, there's quite a lot of support, but the business-to-business is where you 21 00:02:30,000 --> 00:02:41,040 find the gaps. Help European artists to tour and do showcases in other countries. There are big, 22 00:02:41,040 --> 00:02:47,400 significant problems for smaller companies to reach the market. The barriers to entry are very 23 00:02:47,400 --> 00:02:55,240 difficult. The cost of marketing is prohibitively expensive. The difficulty with accessing mass media, 24 00:02:55,240 --> 00:03:01,560 radio, TV, newspapers, is more difficult than it should be. If it's already tough to promote 25 00:03:01,560 --> 00:03:07,120 exchanges between European countries, what happens when you decide to take on the biggest music market 26 00:03:07,120 --> 00:03:17,480 in the world? The United States is a bit more nationally oriented than they were before 27 00:03:17,680 --> 00:03:25,640 September 11, 2001. That made them a little bit more close to the outside world. The opportunity 28 00:03:25,640 --> 00:03:32,520 to sell European music in the United States is becoming more difficult, but I suspect that 29 00:03:32,520 --> 00:03:38,960 that's just a business process. I think once there is a realization that the European music 30 00:03:38,960 --> 00:03:43,200 needs to reach the American market, we'll just have to find new ways of doing it. But at the 31 00:03:44,160 --> 00:03:50,920 moment it looks difficult, but everything is cyclical. Some countries have taken steps to 32 00:03:50,920 --> 00:03:55,360 help their artists tackle the major markets outside Europe. That's certainly the case in 33 00:03:55,360 --> 00:04:00,680 Germany, France and the United Kingdom. Initiatives which the European Commission has watched with 34 00:04:00,680 --> 00:04:08,680 interest. I think international it's more about access. It's more about knowledge maps, 35 00:04:08,680 --> 00:04:16,520 understanding how the markets work, understanding who the players are, how retail, how radio, how 36 00:04:16,520 --> 00:04:23,920 the clubs work. So we wanted to introduce an appropriate mechanism to support music artists, 37 00:04:23,920 --> 00:04:28,800 managers, producers, publishers and the record companies themselves. And one of those is the 38 00:04:28,800 --> 00:04:34,080 UK office in America. In France, it's not necessarily obvious when you're looking for something in 39 00:04:34,320 --> 00:04:42,560 Australia, with the time difference, with the different cultural barriers that may exist, 40 00:04:42,560 --> 00:04:50,400 to find good contacts and to arouse an interest for your product in the country concerned. We have 41 00:04:50,400 --> 00:04:56,240 a network of nine offices in the world, on four continents, which actually allow us to be 42 00:04:56,240 --> 00:05:01,200 a relay for these French professionals, to help them either find distributions, 43 00:05:01,360 --> 00:05:06,520 licenses, to organise tours, to be present at festivals abroad. 44 00:05:06,520 --> 00:05:11,120 The industry has made proposals for pilot projects that the European Union has funded, 45 00:05:11,120 --> 00:05:15,360 and which have shown the practices in the different Member States to stimulate their 46 00:05:15,360 --> 00:05:20,400 export, but also to create bridges between these different institutions and to see how 47 00:05:20,400 --> 00:05:26,720 we can find a strong and European response to the American difference, for example. 48 00:05:27,720 --> 00:05:34,040 This pilot project studied the feasibility of an export office in New York, and this year we 49 00:05:34,040 --> 00:05:37,960 will deepen the results of this study, which are quite encouraging. 50 00:05:37,960 --> 00:05:44,880 These sorts of initiatives are all well and good, but the key to success is often more about getting 51 00:05:44,880 --> 00:05:49,440 the chemistry right. The key to success is simply the talent and the fact that the artist 52 00:05:49,440 --> 00:05:55,320 directly addresses not only the French public, but all the public. What is interesting is to 53 00:05:55,320 --> 00:06:00,360 see that the record is close to the gold record in Germany, but in its French version, 54 00:06:00,360 --> 00:06:05,600 while the success is explained in France, in particular by the quality, the strength of the lyrics of the songs. 55 00:06:05,600 --> 00:06:11,480 You can always find all kinds of explanations, but I don't think there are any. 56 00:06:11,480 --> 00:06:13,200 That's what's magical about this job. 57 00:06:18,200 --> 00:06:22,880 Another sizeable obstacle to the free circulation of artists and their work in Europe is the 58 00:06:22,880 --> 00:06:27,400 differences in national legislation, an area where most musicians feel powerless. 59 00:06:53,880 --> 00:07:03,880 And now the next big issue is how to stamp out pirating and illegal downloading from the Internet. 60 00:07:03,880 --> 00:07:07,880 This is an explosive phenomenon with consequences all down the chain. 61 00:07:22,880 --> 00:07:28,880 You have to set the rules of the game on the Internet. I believe that the Internet gives a lot of opportunities to music, 62 00:07:28,880 --> 00:07:37,880 provided that it is paid for. As for piracy, it is illegal. So, indeed, the public authorities at the local level, 63 00:07:37,880 --> 00:07:44,880 but also the European institutions, and they are not going to allow it, have to do something about it. 64 00:07:44,880 --> 00:07:48,880 What's clear is that Europe's music industry is facing some major challenges for the future. 65 00:07:48,880 --> 00:07:54,880 Some of those challenges are already being tackled through European legislation, which offers better protection to artists. 66 00:07:54,880 --> 00:08:00,880 But more needs to be done, which is why the European Commission is working in concert with the industry itself, 67 00:08:00,880 --> 00:08:03,880 to give the music business the support it needs. 68 00:08:03,880 --> 00:08:11,880 But more needs to be done, which is why the European Commission is working in concert with the industry itself, 69 00:08:11,880 --> 00:08:14,880 to give the music business the support it needs.