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Monday, April 18, 2005
Peer Production
Nine Inch Nails single released as GarageBand file. As peer production atomizes the traditional media value chain, players in creating and capturing value will be forced to either end. By definition, massive fragmentation in the number of peers means the value will be squeezed out of the middle of the chain.
This is an example of a shift from content/artist to platform. The inverse is the shift to aggregator or reconstructor (in this context, think superstar DJs).
This is a pretty important datapoint, don't miss it's significance - for this to happen, most players along the value chain had to be involved (Apple, labels, management, etc).
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