Yet Radiohead are singularly about to demonstrate the true paradigm shift taking place in the music industry, and it has little to do with technology: that the artist is, and always has been, the most powerful player in the business.

Simply put, only the artist has a direct relationship with their fans! Everyone else is simply along for the ride.

Of course, for a long time the cost of recording, manufacturing and distribution was prohibitively expensive; marketing remains so. While digital technologies have changed that paradigm what is becoming clearer is that the relationship between the artist and fan is a quantifiable, valuable asset.

Something that Despair, RoosterTeeth, and Undependents could have told ‘em.

Also: Radiohead are plural?

The music industry has its own unique characteristics and severe issues.  However, many lessons can be learned by following it.

Lefsetz Letter on Madonna/Live Nation
Bottom line, the majors have lost their clout. Their monopoly was always distribution, and they used this to get talent to sign. Eventually they owned EXHIBITION also. So, if you wanted to play, you had to sign with them. The fact that they weren’t hip enough to know this wasn’t going to last forever is astounding, especially since trends come and go so quickly in the music business.

Lefsetz Letter on Radiohead

You can’t make a TV show by yourself. Certainly not a movie. Not that anyone can see. But you can make a record all by your lonesome, it doesn’t cost that much. And you can say exactly what you want, you don’t need to clean it up for Wal-Mart. And, you can distribute it yourself online. That’s what Radiohead is doing.

Will they make a deal with a major for physical distribution? Will they do it themselves? Or will they leave ALL that money on the table?

Undies are already very familiar with saying what they want to say.  And they already distribute themselves online.

If you can attract a growing audience for what you create, you hold a massive amount of power in this emerging space.  Use it wisely.  Learn how to make the most of these new opportunities.

Radiohead has decided to self-release their next album and allow fans to pay whatever they want for it. It think it is safe to say that they’re going to make a killing in both real and social capital (“Not that that’s why I did it…”, “No God forbid you should lose your standing as a cult failure…”,”You think I’m a failure George?”,“I will NOT get sucked into this conversation.”)

From Wiki: “The band are currently without a record contract, having fulfilled their six-album contract with EMI in 2004. In interviews in 2006, they admitted that “for the first time, we have no contract or release deadline to fulfill – it’s both liberating and terrifying”

Others Musicians have gone down the Internet-as-Road-Less-Traveled path but few have done so have been this big at the time of their “departure. “

Radiohead to give away new album – Telegraph
Radiohead, the internationally renowned band, has taken the unusual step of telling fans that they can pay as much or as little as they like for the band’s new album In Rainbows.