Tom Silverman has made his entire career in the music industry. Circa the early 80s he founded Dance Music Report, the New Music Seminar (NMS) and Tommy Boy Records, now Tommy Boy Entertainment, whose roster includes hip hop staples De La Soul, Naughty by Nature, House of Pain, and more. WE+PR, the public relations team who works with NMS, set up a phone interview for me with Silverman, who had tons to say about the music industry. Stream the full interview—all 55min—by pressing the play button to the ←left—or on Bandcamp.

Our interview took place on January 20, 2011. Later that night he would fly to France to attend MIDEM and I would drive with my dad to Philadelphia—fearless of impending snow—to see my cousin Sharon headline at Johnny Brenda’s. On the phone that afternoon, Silverman told me about some of his early experiences with Tommy Boy Records, thoughts on the current state of the industry, and about the then upcoming New Music Seminar in Los Angeles—NMS LA 2011 took place last week (February 14–16).

If you remember I’d attended NMS NYC 2010 last summer and had heard Silverman speak to the summer crowd inside Webster Hall. I can tell you he is extremely passionate about what’s right and wrong in the music industry, which you’ll be able to hear yourself as our conversation heats up through the interview. Below I’ve transcribed a few select moments.

08:00 Silverman: We aren’t selling records—we’re selling perception. The perceived value of music is 100 percent arbitrary.

09:30 Silverman: He [Steve Jobs] has to work with a gigantic lead time and drop new products every 3–6 months like we drop albums. We haven’t thought about the obsolescence of music [in the way that Jobs thinks about Apple's product lifecycles].

15:45 Silverman: [On iTunes] every time somebody coverts from buying songs to buying an album [Soundscan] deducts it from buying singles. It acts almost as if those singles hadn’t been bought. So if I bought two singles from an artist last year and then I bought the album this year, then that artist gets minus two singles. So that’s also had an impact. In 18 percent of iTunes sales, album sales are ‘complete my album’ sales, and with some artists it’s a lot more than that. So every time somebody completes an album it’s a minimun of one song, but most usually it’s two songs that are minused out. That’s had a major impact in turning song sales backwards, not because less songs are selling, but because single songs are being coverted into albums and then being deducted from singles.

16:45 Silverman: What’s happening right now is catalog sales are dropping off in singles and they’re slowing down substantially in albums (digital albums) because people have already rebought their collections in MP3 form—in digital form.

25:05 RVE: If you’re going to advertise anywhere I don’t know why you would do it anywhere besides Facebook—because of the way you can target stuff. [...] Say you’re in a rock band in New York City. You could target an ad on Facebook to people that like the Smashing Pumpkins that live in New York City that are between the age of 20–25. [...] I wouldn’t advise anyone to buy ads on Google. I know Google makes all this money from ads but I never click on them—I have clicked on Facebook ads.

34:10 RVE: I was reading about [Pablo Picaso] on Wikipedia and there’s so many things that correlate to the music industry. [...] They said the total number of artworks he produced is estimated at 50,000 which is a lot of pieces of [art] but he didn’t sell most of them. He had most of them in his possession when he died. He only sold the ones that he needed to sell to make money. The rest of them he kept because…I guess he just wanted to keep them or was just to busy making art. He wasn’t really concerned with it. I wonder if today if he’d be like taking pictures of it and uploading pictures of it to Flickr…or you know? Also they said that his art has been stolen more than any other artist in the world. [...] He’s pretty much referred to as the most famous artist.

35:35 Silverman: There’s influential art and there’s popular art. Just because it’s popular it doesnn’t necessarily mean that it’s important but it does mean something. Margaret Mead, the famous cultural anthropologist, said “never doubt that a small group of thoughtful committed citizens can change the world—indeed it is the only thing that ever has.” The point is it’s always a small group of people that make all the change. [...] Kind of like Kool Herc, Afrika Bambaataa, and Grandmaster Flash all in the Bronx doing hip hop and nobody else in the world was doing hip hop—it changed the whole world really but it came from a 5-mile radius.

36:45 RVE: People would probably want me to ask about what you said in the Wired interview last year about most albums being just “noise” from “hobbyists” that clutters the marketplace. I mean I think that came across as kind of like a negative outlook to a lot of people, but I was thinking, aren’t really—I mean a hobbyist is really someone that just does something for pleasure. I think it has sort of a negative connotation [...] but aren’t the hobbyists the ones really driving musical innovation, or don’t you think they’re playing a big part in that?

37:30 Silverman: It doesn’t seem like they are. I always believed that they would be but it doesn’t seem like they are. Why isn’t any of that stuff breaking through? I mean if it’s that fantastic, it’s findable, everything findable, somebody’s got to discover it, and the word needs to spread. Why isn’t all this fantastic, creative, amazing art coming out musically through the web where everything is available accoding to the long-tail theory.

38:00 RVE: You want to think the cream will rise to the top.

38:03 Silverman: And it’s not happening. In fact not only is it not happening, it happened more before there was an internet than it’s happening now. I can tell you when Afrika Bambaataa came out with “Planet Rock” it rose to the top and I had only one or two employees working with me and we ended up selling 600,000 twelve inches. The cream rose to the top better then than it does now.

39:00 RVE: People like choices. Me, I don’t want to hear something that’s like everything else. I want to find [music] that’s different, the stuff that’s cutting-edge, and the stuff that’s changing. I mean there’s so many like generic…I mean there’s a lot stuff that just sounds generic. When you find something that’s really unique, really good, then it’s awesome. The more people you have making music the more likely that’s going to happen.

39:40 Silverman: Definitely there’s five times as many people making music now than there was 10 years ago. There should be five times as many great pieces of music coming through than ever. But the opposite is true. [...] In 2008 there were 1,500 releases that sold over 10,000 units. In 2009 that number dropped to 1,300. In 2008 there were about 200 artists who broke 10,000 for the first time. Less than eight of them were DIY artists that broke on their own or on very small indie labels. [... ] Eight artists breaking on brand-new or on their own labels is pathetic!

41:50 Silverman: Using samples, moving around samples, and working with Garage Band is kind of like the musical equivalent of color by numbers. [...] You don’t have to be able to play an instrument really. You don’t have to be an amazing engineer. You don’t have to go into a studio and know how mic’s work. Anyone can do it. It’s a two-edged sword. On one edge it gives power to the people and on the other edge it gives power to the people who have no abilities.

42:50 RVE: I’d rather have a world where anyone can make music. [...] I think stuff gets filtered by people’s friends. I think people say “hey did you listen to this?” I think that’s still going on but I think it’s going on Facebook and in text messages—I think it’s still going on in person too but it’s also happening on Facebook [...] because it’s easy to share stuff. I think the stuff that’s getting shared more is the stuff that has more readily available in a “content” format.

48:25 RVE: Every TED video that gets recorded goes on YouTube and is available for free…why not do that for NMS?

48:35 Silverman: You know what if I could charge $5,000 like TED charges for people that come and have a waiting list then I’d put everything up there [on YouTube].

48:55 RVE: The way I see it though it doesn’t cost you anything extra to put it on YouTube, right? Wouldn’t it be free promotion?

49:02 Silverman: If we put it on YouTube and people see that then they don’t have to come to the conference. Then it does cost me something because our numbers will go down even further and we won’t be able to afford to do the conference.

49:17 RVE: The New York one [last summer] sold out, right?

49:20 Silverman: It sold out but it sold out at such a low price. [...] It’s a marginal business. Let’s put it this way. Nobody makes money at the New Music Seminar.

52:50 RVE: I just feel like instead of listening to those baby-boomer generation executives I’d rather listen to their kids because I think that’s where you’re really going to learn stuff.

53:03 Silverman: I hear you but nobody’s going to pay to hear their kids talk [at NMS].

// NMS NYC 2010 and NMS LA 2011 both sold out. I think unleashing all the keynotes on YouTube would increase attendance—do you? Who’d you like to see speak at the next NMS?

Get On Bits.

Digital is the bomb. When I say ‘get on bits’ I mean get digital. Get on YouTube. Get on Facebook. Get indexed. Become bits. Bits outlive memories. Legacies live on bits. ‘All we are is bits in the cloud.’

Bring Me The Horizon singer Oliver Sykes pushes the edge of the Vans Warped Tour 2010 stage in Dallas, TX.
Photo: earlylove/Flickr

YouTube it.

In 2010, YouTube takes the cake as being the sweet spot for music. Their fact sheet reads currently that “people are watching 2 billion videos a day on YouTube” and that “52 percent of 18-34 year-olds share videos often with friends and colleagues.” Vevo, which launched in late 2009, saw screaming growth through 2010 largely due to its integration with YouTube. It’s pretty understandable why video is so engaging—it combines multiple senses: sight, hearing, and—if you’re pressing a keypad or touchscreen—touch. Triggering the brain from multiple angles makes for strong communication and vivid memories. Video influences people. Last month in Wired, TED curator Chris Anderson and Jon Chu talked about how access to free online video accelerates innovation. Chu used the example of kids who learned dance moves by watching videos of other dancers, “Kids in Japan are taking moves from a YouTube video created in Detroit, building on it within days and releasing a new video, while teenagers in California are taking the Japanese video and remixing it to create a whole new dance style in itself. This is happening every day. And from these bedrooms and living rooms and garages with cheap webcams come the world’s great dancers of tomorrow.”

Live is unique.

Seeing a live show is an experience—it’s not a product, but that’s not to say that it can’t be captured on one. Ask Aderra, a company who “records live concerts to flash drives and MicroSD wristbands which are available to the audience immediately after the performance.” Their USB drives can also be used to access exclusive content on the web. It’s important to realize that experiences have more intrinsic value than products.

Cut the intro.

Get right to the hook. Two time lessons in 2010 were seconds and clicks. At NMS NYC 2010, Jay Frank (@futurehitdna) said that artists have, “10 seconds to engage someone—to impress them.” He said to “clicks to content,” because the more clicks it takes, the more it’s bye-bye attention span. In a way this explains the addiction to YouTube, whose videos are one mere click beyond Google search results. “Anything more than two clicks and you’re missing out on the majority. … Impress them fast.” If you’ve made it this far into the post, you’re a champion, and deserve a video for the rest of the ride.

API breakout.

Expect to see more mashups based on music APIs. Most notable IMO are mashups built on APIs from The Echo Nest and from SoundCloud. The Echo Nest is a data-driven startup that launched in 2008. Its platform is in use on MTV Music Meter, MOG All Access, Indaba Music, Bandintown, exfm, and more. Based on data from Compete, web visits to SoundCloud were up 850% in 2010. A number of apps—many mobile ones—support integration with SoundCloud. Keep Grooveshark on the radar, their web visits were up 235% based on Compete, and unofficial Grooveshark API documentation is available on APIshark. The Grooveshark library is also accessible through the Tinysong API. Spotify too has potential for a mashup explosion. See the API list: 30 Music APIs.

Mystery tour.

There are several events/ticketing services out there beyond Ticketmaster/Live Nation, such as Eventful, Songkick, Ticketfly, and Live Music Machine. Ticketing is mysterious and because of that I think less music startups have gone in its direction. But live music is really what music is all about, and I think we’re going to see a lot more action in this space, especially when more people have smartphones and are using location-based apps. But the question I’m asking about ticketing is, ‘what could possibly stop Facebook from wiping away the entire online ticketing industry with an official ticketing service within Facebook Events?’

Brainmelt.

I’d like to write about licensing, but it’s just so boring and complicated, still, in 2011, and this article is already way to long for the YouTube Generation. I do think something about the licensing needs to change, especially in the U.S. where “WTF is SoundExchange?” is the typical reaction, and many musicians believe that receiving payouts from rights organizations is a straight-up myth—it’s not, but setting it up may melt your brain. For now what I think is worth knowing is that the majority of money that SoundExchange pays out comes from Pandora. So if you’re on Pandora, then you definitely want to be registered with SoundExchange. If you’re asking “how do I get on Pandora?” then read this. First, push to the end of this article. You made it this far. I promise you it’s worth it.

Born free.

If you asked Austin Powers what he thought about the internet, I know exactly what he would say..: “it’s freedom, baby, yeah!” His nemesis, Dr. Evil, would be saying “throw me a frickin’ bone here!” Who would you rather be? Free is the nature of the internet and what makes it such an advance. If you’re not embracing that free spirit, then you’re in the wrong industry. It’s like the accelerated innovation I mentioned at the start of this rap. Everyone is building on each other’s work. It’s human nature. Pablo Picasso would tell you that “good artists copy—great artists steal.” Picasso didn’t become famous by making a few great paintings. He became famous by making thousands of them. He only sold the ones that he needed to, keeping the rest in his possession, and nowadays I can’t help but wonder if he’d be getting them on bits. Really it comes down to more than creating fresh music, but being innovative on every front, and living it. That, my friends, is art. // @ryanve

Seth Godin writes: “Art is a personal gift that changes the recipient. The medium doesn’t matter. The intent does. … Art is unique, new, and challenging to the status quo. It’s not a decoration, it’s something that causes change. If there is no change, there is no art. If no one experiences it, there can be no change. The more people you change, the more you change them, the more effective your art is. … Art is the product of emotional labor. If it’s easy and risk free, it’s unlikely that it’s art. … A machine can’t create art. It’s much more likely to be art if you do it on purpose.” (Linchpin, pp. 83–86)

I didn’t attend SXSW in person, but I sure discovered some great new bands by putting together this photo set. I was especially impressed by what I’ve seen so far of Sleigh Bells, Red Bacteria Vacuum, and The Very Best. What were your favorite SXSW events this year, and what are your favorite photos from this set? View more photo sets at virtualmusic.tv/photojournal/

Many people don’t know how to react—a sign of great art—and many are obsessed. Albeit R-rated, Enter The Ninja is uplifting and upbeat. It has all the key components to music video greatness—originality, emotion, energy, dance moves, realism, symbolism, shock value, humor, balance, and masterful execution. It’s a musical blend of deft artistic expression formed by four creative friends having fun. On DieAntwoord.com you can listen to their 16-track beat-heavy album $O$. The site is in-your-face artistic euro-style and includes 20 fun facts about the Zef-rap crew, which consists of dynamic rapper frontman Ninja (Waddy Jones), sexy profane blonde singer Yo-Landi Vi$$er, and PC-beatmaker DJ Hi-Tek. Also appearing in the crew is Leon Botha—a Cape Town artist with the hyper-aging disease progeria. Each member is a unique persona fueled by their own inner Zef—a term best described by Ninja in the video interview below the break. Ninja says, “If you love it, we love you too, and if you hate it, it’s because you’re not on my level.” Pitchfork posted an email interview.

Ninja has sculpted, both with his flesh and his music, the ultimate South African. He is everything in the country, “fucked into one person.” That he is willing to go so far to embody this idea is thrillingly, gloriously radical. Cape Flats Calling | The Walrus

Die Antwoord is radical but true-to-life, and personally I can’t get enough of their Zef flow. Enter The Ninja is my favorite track but the whole album is sublimely groundbreaking. I love the lyrics, the vision, the creativity, and the fierce (but IMO positive) energy. Expect Die Antwoord to tour in Europe/USA this year, and if the video below is any indication, it looks like the show will be next level.

Human Brain Connections by ethanhein on flickr