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A study of the music industry in the Arab world
1
Anas Tawileh, Arab Digital Commons · Apr 05th, 2007 1:21 pm · 38 votes · 3 comments
 
CC BY 3.0 (http://creativecommons.org/licenses/by/3.0/)

Producing and distributing creative content under Creative Commons is an amazing means to facilitate access to human culture and promote sharing and creative development by 'standing on the shoulders of giants.' The Creative Commons philosophy counters the increasingly powerful copyright regimes and legislation that is restricting access to intellectual and artistic content. It should be noted, however, that the phase shift between the introduction of the two concepts (CC and traditional copyright) played an important role in favour of the older, more restrictive system. This difference has enabled media producers and distributors to develop appropriate business models that align with the copyright requirements at the time.

Over time, many models were conceived, adapted, modified and maybe abandoned altogether until the models most fit to match the applicable copyright regimes (and physical distributions limitations) were widely adopted. Because CC was introduced more recently, it has to tackle the challenge of developing viable business models that align well with its underpinning philosophy, while at the same time provide an acceptable alternative to traditional models.

The Western approach to create, market and distribute content was largely influenced by the mass production phenomena that dominated the rise of industrial nations in the previous century. This, in turn, has resulted in the creation of a hit culture where success is measured by the number of copies sold and where the labels exerted significant power over authors and artists. Consequently, profits were largely appropriated by the labels, and not by the original creators of the artistic works. In other parts of the world where these media supply chains were less developed than in the West, artists had to creatively search for appropriate business models that align with their local contexts. In exploring possible business models to promote the commons, much can be learned from a comparative study of other models around the world.

Dr. Nagla Rizk, a professor of economics at the American University of Cairo (AUC), has been doing research into the dynamics of the music industry in the Arab world. Her studies proved to be significantly different from the way things are done in the West. In her research, Dr. Rizk examined the Arab music business through data collection, interviews and qualitative analysis. The research has revealed interesting insights that explain the co-existence of a strong gift culture and a thriving music industry. Many Arab artists make their works available for free on the internet and tolerate 'piracy' of these works to a certain degree. Although there are IPR regimes and legislation in almost every Arab country, domestic piracy rates are estimated at 50% in Egypt and about 25-50% in Lebanon, Saudi Arabia and Kuwait ' so enforcement of these copyright laws is what really matters. Dr. Rizk found that this type of distribution channel functions mainly as a 'reputation' device by increasing artists' popularity. Artists can then capitalise on their popularity by conducting live performances, ranging from wedding parties to large concerts.

Live performance constitutes the lion share of the Arab artists' income. Dr. Rizk reported figures of US$ 40 000 per wedding for star artists, and an average of US$1 000 for less famous singers or small bands. These figures translate into a ratio of performance income to sales of copyrighted materials averaging 4.5 for superstars and 13.2 for underground artists.

The richness in social culture in the Arab world and the density of social ties and networks are also significant factors that have led to the emergence of these alternative business models. In these socially rich environments, one cannot refuse to copy a CD for a friend or a relative simply because that would violate copyright laws. Actually, in the context of the Arab world, copyright laws may be perceived as disruptive to social norms. Dr. Rizk concludes with a few recommendations to tap into these naturally supportive business models to formalise the commons in the Arab world. She calls for more flexible IPR regimes to support the evolution of the business models that have stood the test of time, and to prevent any disruption to the market dynamics that may arise from implementing Western copycat approaches without thoughtful consideration of local contexts.

Two initiatives that would support these developments, were mentioned by Dr Rizk. The first is the Arab Commons project to promote a CC culture and encourage Arab intellectuals and artists to release their works under flexible copyright terms. The second initiative is the bi-monthly free concert SOS Music Festival held in Cairo for the sole purpose of promoting underground musicians, as they do not receive the attention of big labels. Another promising initiative is the 'Kawalees Masr' (literally translated as 'Backstage Egypt') release, this is a compilation of songs from underground musicians, distributed free of charge in Egypt to promote the participating bands.

Dr Rizk argues that the models that emerged in the Arab music industry pay justice to creators by balancing the powers of distribution. There are lessons that can be learned from these models, and from other such models from around the world.

tags: cairo egypt culture music-industry arab-commons music


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Hi Anas, great post! I wonder whether Nagla (whom I had the chance to meet at the Yale A2K conference) would not like to post a few excerpts (or the whole work) at the iCommons culture databse. It would be great to have it available here! All the best from Brazil, ronaldo.
lemos · Rio de Janeiro (Brazil) · Jun 13th, 2007 5:11 am
1 out of 1 person believes this is useful
your take: useful lame

This really seems to be a global emerging trend. In Brazil and in many other countries we see the same stories. I wonder when people will realize that they are not the exption, but the rule. Congratulations for the post.
Bruno
brunomagrani · Rio de Janeiro (Brazil) · Jun 13th, 2007 5:40 am
your call: is this comment useful?
your take: useful lame

Hi Anas,

I saw your name on globaltext.org and would love to talk with you about it. You can email me through my profile or at npaharia at hbs dot edu
Neeru · Oakland, Cambridge, Fremont (United States) · Aug 02nd, 2007 2:10 am
your call: is this comment useful?
your take: useful lame
 


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