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Music Education Startup Chromatik Is on a Three Month Funding Tour—a Slam Dunk for Any Early Stage Investor

Music Education Startup Chromatik Is on a Three Month Funding Tour—a Slam Dunk for Any Early Stage Investor

We are experiencing a bit of “June gloom” in Southern California, but that doesn’t mean we are without our requisite ray of sunshine. Last Friday here in Los Angeles, I had the opportunity to visit with Chromatik Founder, Matt Sandler, who is heading-up one of the brightest startups based in Southern California—Chromatik Music—a ray of sunshine indeed. As a matter of fact, Chromatik might just be one of my favorite startups eva’ because Chromatik combines my love for music, education, tech, and yes—a ton of progressive innovation << and all that entails. Least not, one of the most important factors for any startup, the combined RAQ (relationship acquisition intelligence) of the Chromatik team alone makes this startup gleam—they’ve covered their court with cross-platform strategies and any investor interested in courtside seats should get ‘em while they’re hot.

What is Chromatik? In essence, Chromatik is doing for music what the Rosetta Stone did for languages—Chromatik (a word-play on a musical term, as in a chromatic scale) is redefining how students learn music by offering an adaptive learning platform that brings the world’s best music techniques, teachers, and resources to students’ fingertips via mobile and desktop applications. Founder Matt Sandler says,

“Our overarching goal is to blend the best practices of music education with what is possible in technology today. Tons and tons of people are learning music throughout the world, but music education hasn’t changed since Bach and Beethoven. Yes, we’re seeing the ‘gamification’ of music—Rock Band, Guitar Hero, Miso Music—and those are great stepping stones, but the fact remains we don’t have anything that actually helps you learn an instrument and approach music in a pedagogically-appropriate way.”

And in a world where schools are adopting new technology left and right (Kindles, iPad’s), whether state-funded, parent-funded or self-funded, and in a world where kids live, breath, and eat “gadgets and tech”—the melding of Sandler’s concept (education + music + tech) sits beautifully in a steady-state pocket of harmonic overtone perfection coiffing through band hall just moments after a Mozart Quintet releases its last note, um…let’s say the Mozart K452 Quintet in E-flat Major. Yes, that’s it. Sweet!

Founder Matt Sandler

Twenty-three-year-old Matt Sandler is energetic and perfectly-cast in the role of Founder. Sandler, an East Coast transplant whose father was a Salesman and whose family has roots grounded in music, attended UCLA, has his degree in Saxophone Performance (<< cool!), and has taught woodwinds in Los Angeles Unified and Huntington Beach Unified School Districts. Sandler has also worked A&R at Capital Records in Hollywood (<< the gig I always wanted!), helped program music at the “world famous” KROQ (106.7) here in Los Angeles, (plus attended a couple of “them KROQ Weenie Roasts”); and in the startup world, Sandler curates the Los Angeles Startup Digest and was on the early team of the social media marketing startup CitizenNet.

For a twenty-three-year-old relatively new transplant, I’d say Sandler has transitioned exceptionally well to the Los Angeles lifestyle (currently residing in Santa Monica). When we met he was adorning the “native Angelino uniform,” aka Hollywood Casual, which consists of a great pair of blue jeans and an even greater pair of flip-flops (that all non-natives adopt the minute their ship sets sail, their anchor strikes pay-dirt, and their heart docks somewhere between the worlds 18th largest Port in Long Beach, the 18th hole on Trumps National Golf Course in Palos Verdes, and the 18 bikini-clad ‘girls gone wild’ in Malibu).

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A Tale of ‘Friday’ and 50 Cent and Outlaw Disputes

A Tale of ‘Friday’ and 50 Cent and Outlaw Disputes

This blog is a tale of two recording artists who have been involved in recent disputes over their recordings. The first of these is about the aftermath of one of the most-watched videos ever on YouTube.

Back in April 2011, I wrote about the hubbub surrounding Rebecca Black’s YouTube sensation-of-a-song entitled “Friday.” Part of the hubbub concerned ownership of the master recordings of that song, for which—reportedly, I stress—Rebecca Black’s mother, Georgina Kelly, paid $4000 in production costs to Ark Music Factory—whose co-owners, Pat Wilson and Clarence Jey, wrote “Friday”—in exchange for that ownership.

In conjunction with that issue were charges of copyright infringement and unlawful exploitation against Ark by Black’s lawyers, who sent Ark a letter to that extent back in March. The lawyers specifically noted in their letter that Rebecca Black never got the master recordings and that Ark didn’t have any rights to promote her.

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What’s the Problem With the Economy? ‘The Truth’ In Less Than Two Minutes Fifteen Seconds.

What’s the Problem With the Economy? ‘The Truth’ In Less Than Two Minutes Fifteen Seconds.

Whenever a complex issue like the economy can be summed up in a matter of seconds, or in this case a matter of minutes, regardless of viewpoint—it’s worth a  post.

Former Labor Secretary Robert Reich delivers “the big picture in less than two minutes fifteen seconds.”

  • Economy doubles since 1980, but wages flat

1. Since 1980, the American economy has doubled in size. But adjusting for inflation, most people’s wages have barely increased.

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Does The ‘TV Everywhere’ (Almost, But Not Quite) Business Model Violate Antitrust Laws?

Does The ‘TV Everywhere’ (Almost, But Not Quite) Business Model Violate Antitrust Laws?

During a video advertising summit meeting held in New York during the first week of June 2011, representatives from Comcast/NBC, TimeWarner’s Turner, and Disney’s ESPN, predicted that TV “everywhere” was imminent, and that by 2013, three-fourths of TV content would be available online and on mobile devices.

The representatives are already aware of the impact that Netflix is making, but they also think that broadband caps could be what would hold it back, to say nothing of trying to clear the rights for much of that content.

Since Comcast is both an owner of cable-phone-broadband systems, as well as a content provider through its ownership of NBC, USA, Syfy, MSNBC, CNBC, Versus, Golf Channel, Weather Channel, Bravo, Oxygen and a few other channels, it can be argued that the idea of “TV everywhere” advocated by Comcast, among others, could clash with their own idea of capping their subscribers’ use of broadband.

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Touche To The Douche TechCrunch—From The Silicon To The Silicone

Touche To The Douche TechCrunch—From The Silicon To The Silicone

A TechCrunch article today announced a new Silicon Valley douchebag: “There’s a new douchebag in town. We’ve written several times about how easy it is now to start a company in the Valley, and this new gold seeker isn’t the biz dev guy. He’s the knock-off wunderkind.”

Funny—just yesterday while attending an AIMP (Association of Independent Music Publishers) lunch at The House Of Blues in Hollywood, I sat next to a native Angelino in the independent music publishing business and yes, I proceeded to chat his ear off—that’s what I do best—great conversation ensued, including that of “the douchebag.” We were there for a panel called “Show Me More Money” (reviewing royalty statements, questioning PRO’s, conducting royalty audits, etc.), which I suppose is oddly appropriate for a quick-blip commentary on “douchebagery,” plus nary I waste a face-to-face opportunity to meet and greet industry people—relationships are king. Although, make no mistake, yesterday’s AIMP panel was the bomb—brilliant minds in the fields of finance and litigation, including the creator of (David) Bowie Bonds, coming together on a serious subject. I merely found the panel title, “Show Me More Money,” somewhat humorous against the douchebag backdrop of this post.

Anyway, during our conversation when I found out my ‘new best friend’ was born and raised in Los Angeles, Beverly Hills to be precise, I asked him how he felt about all of the transplants, i.e. non-natives, who manage to follow the yellow brick road, making their way to a place where dreams come true and only the tough survive—welcome to Hollywood. On the whole, he said that he loved the influx of new people into the L.A. scene, but very keenly noted that yes, there was a Hollywood Douchebag, often a transplant, and it wasn’t pretty.

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Lipsmack: Social Music Scene On The Rise—Turntable.fm

Lipsmack: Social Music Scene On The Rise—Turntable.fm

Turntable.fm and SoundCloud Ushering In New Era Of Social Music

Read Article Here: http://tinyurl.com/452g97j

A couple nights ago, I spent some time spinning Turntable.fm—the latest social music site currently in beta. Well, not literally spinning, rather perusing this precious new site and I wound up spending the majority of my time in the “Coding Soundtrack” room developed by Andrew Brackin, a young entrepreneur-coder in South London. It was quite delicious. The “Coding Soundtrack” room had the most visitors that night with a steady stream of social chat in the mix. At last check-in on Turntable.fm just minutes ago, there were 200 visitors in the “Coding Soundtrack” room—up 105 from two nights ago—and yep, the chat stream was still cranking. Turntable.fm hosts a really cool vibe—tune in and take a listen today.

Turntable.fm ‘Coding Soundtrack’ Room Created by Andrew Brackin

“Be fair, don’t spam, no bots, play coding tunes and chill!” — Andrew Brackin

Watch How To Use Turntable.fm—Overview:

Play Youtube VideoHOW TO USE TURNTABLE.FM


Gamification—What Is It and How Can It Help Your Business?

Gamification—What Is It and How Can It Help Your Business?

Gamification. It has become one the top buzz words in tech advertising. Every agency that makes websites or apps for non-gaming products have started looking at the advantages and disadvantages of this new concept.

New Concept?

Yes, for those outside of gaming, this concept of gamification is BRAND new. The idea of game concepts in a serious business doesn’t seem to be a normal leap. First, let’s examine the concept of gamification.

Definition: Gamification is the integration of game theory or concept to non-gaming environments to increase engagement, loyalty, and entertainment values. Simply, engage users in a better way. This can be applied to any industry from health and fitness to education and transportation.

How to apply this to your needs. First a basic understanding of your customers is key. People want to feel accomplished and recognized. Then they like to share within their social circles. Games are the epitome of the Risk/ Reward system. To apply these to your business will most likely yield great results. So let’s take imaginary company X and apply this:

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FACEBOOK…The News Is Buzzing

FACEBOOK…The News Is Buzzing

No, not that Mark Zuckerberg might change his relationship status as all the news channels have been reporting. There is something more ominous for the social giant. Facebook is losing ground in the U.S. As reported by Inside Facebook, the company has lost more than 6 million users in the U.S. and more than 1.52 million in Canada. The drop is only significant in North America. Meanwhile in UK, Norway, and Russia the drop was less significant with just over 100,000 users.

TO BE CLEAR: Facebook is still growing. Countries in emerging markets are coming on strong (i.e. Mexico, Brazil, India, Indonesia, etc.) Facebook is closing in on the 687 million user mark.

The trend in the U.S. is what is more significant to evaluate. Nothing really seems to be clear about why this happened. Some noted that June comes around and students are leaving their respective schools, Facebook accounts get cancelled. Whatever the reason, this may have a larger impact if the trend continues.

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Rupert Murdoch…Digital Education Innovator?

Rupert Murdoch…Digital Education Innovator?

In one of my previous blogs, I wrote about school being out and virtual school being in. The latest twist on this idea could come from someone you never thought would involve himself in education, but this person has what he thinks is a good reason why.

Say what you want about media tycoon Rupert Murdoch, but at a Paris forum of Internet entrepreneurs and European policymakers, the 20th Century-Fox / Wall Street Journal / Sky News owner said that education was “the last holdout from the digital revolution,” and that “today’s classroom looks almost exactly the same as it did in the Victorian age.” That’s the 19th century he was just referencing.

Mr. Murdoch also told this forum, the e-G8 conference, attended by everyone from Google head Eric Schmidt and Facebook founder Mark Zuckerberg to President Sarkozy of France, that throwing money at the problem doesn’t work, and challenged the assembled to “bring to our schools the same creative force that makes businesses competitive and nations thrive.”

Rupert Murdoch

Given that this is the same Rupert Murdoch who’s had his hands in everything over the years from those naked “Page 3 Girls” in his daily Sun tabloid in London to such “wild” TV cartoon shows as “The Simpsons” and “Family Guy,” to the “fair and balanced” Fox News Channel, who knew that he would go into the education business? And to help him out in this cause, he hired a former New York City schools chancellor named Joel Klein.

Even while he was running the schools in New York City, then-Chancellor Klein supervised a pilot project in the Chinatown neighborhood back in 2009 called “School of One,” which implies the kind of online individualized instruction that Mr. Murdoch has been pushing for, in a variation on that “Victorian age” model of an adult giving lessons to a group of young students who learn at different levels.

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Lady Gaga and the Bigger 360 Monster; Plus Backplane and Beyond

Lady Gaga and the Bigger 360 Monster; Plus Backplane and Beyond

Statistically speaking, there is no denying that Lady Gaga is the most powerful celebrity in the world. In making that declaration, Forbes magazine noted that Gaga took in $90 million in 2010. There’s also no denying how extremely popular Gaga is on Facebook and Twitter, to say nothing of what she wears, nor the stands she takes on many of the hot-button issues of the day. And while Lady Gaga is the creative master-mind behind Lady Gaga Inc., she shares the business stage with Troy Carter, her Manager and the quintessential digital strategist behind her well-oiled machine—a duo like none other who claim to practice the 95/5 rule.  [95% of the time Carter does not comment on the creative side and 95% of the time Gaga does not comment on the business side—a “real trust relationship”.]

Nor can you deny how the Mother Monster herself can also do those little things for some of her Little Monsters, like feeding pizza and doughnuts to a couple dozen fans waiting in line for a couple of days outside the NBC Television studios in New York City for tickets to “Saturday Night Live”, where Gaga was not only the musical act on that show’s 2011 season finale, but also joined in some sketches with guest star Justin Timberlake.

But have you ever wondered that someone’s been making money off her power? When major-label leader Universal Music Group [UMG], through its Interscope brand, signed Lady Gaga way back in 2007, they gave her one of those “360 deals”, in which the label takes a cut of any money Gaga takes in, whether it be through album sales, concert tickets, endorsements, website, anything. And the label still owns the master recordings and music videos, among a few other things.

Troy Carter

So far, according to The Wrap’s Johnnie L. Roberts, who cited executives familiar with the numbers, UMG’s share of Gaga’s success these last 4 years has reportedly totaled $200 million, and perhaps with the blitz that centered around her latest album, “Born This Way”, as well as the new Gaga, Google-Chrome commercial, it wouldn’t be surprising if the label’s share cracks the quarter-billion dollar mark.  Of course, we wonder if her label also has a “360” claim in the development of the yet-to-be-unveiled, integrated social platform for celebrities called Backplane, which is led by Troy Carter and a team of seven, including technology investor and entrepreneur Matthew Michelsen [with Lady Gaga acting as an informal consultant with a 20% shareholder stake] and described by Carter as “a platform meant to power online communities around specific interests, like musicians and sports teams, and to integrate feeds from Facebook, Twitter and other sites,” in a recent interview by The New York Times.  Oh who are we kidding, we’d hedge a bet the label has some claim on Gaga’s shares of Backplane—unless there was a legal wrap-around loophole found on behalf of Lady Gaga, aka Stefani Joanne Germanotta.

As powerful as the Mother Monster is, I’m thinking, were it not for that 360 deal she has with the Bigger Monster that is the major record label, she would have gotten millions of dollars more than she’s getting now.

Bob Donnelly, of the law firm Lommen, Abdo, Cole, King & Stageberg, wrote about why artists should “do a 180″ on a 360 deal. In addition to extending on the analogy that signing a major-label recording contract is like “taking out a mortgage on a house, repaying the mortgage in full, but the bank winds up owning your house,” Bob says that long-term recording contracts of 8 years’ duration are that way because the labels want that “reasonable return on their investment.” Terms that, as Bob elaborates, motion picture companies and book publishers don’t require.

The record label’s cut from a 360 deal are based on gross revenues, but Bob wonders why that is when the artists and their managers don’t get paid on gross. And if an artist, hypothetically, has to give 20% of tour income to the label, after paying all the production costs and commissions to manager, booking agent, lawyer and business manager, Bob figures that artist is left with half of every net touring dollar, while the label pockets the other half.

Mr. Donnelly also makes some arguments in favor of the 360 deal, if the label used it as collateral against what they spend on the artist, and then revert the 360 rights back to that artist once the debt is paid back, it would make more sense. However, as Bob also writes, many 360 deals extend the label’s rights beyond recoupment, probably to the extent that the label would still take a cut of the artist’s earnings even if the label chooses not to release any more recordings.

What’s to say if Lady Gaga would have gone with one of two alternatives that Bob recommends—either a “Net Profits Deal” [label and artist split profits after manufacturing, distribution and marketing are deducted] or a “Self-Release Deal” [finance your own recording and own the masters, which would be a more truly independent deal]? And what’s to say if, a few years from now, Gaga will come out and say that she lost millions on that 360 deal she signed in 2007 and wants to do that 180?

And if she does, perhaps the time will come when those millions of Little Monsters get asked to “crowd-fund” a future album for their Mother Monster. Or perhaps, going a step further than crowd-funding, what if the Little Monsters could get an actualized monetary return on their investment; which is exactly the vision of start-up company ROCK STOCK, which aims to educate fans on investing and money by providing an opportunity for a fan to invest in their favorite artist, thus providing a new revenue stream and a new economy for artists, industry, brands, and fans by measuring parts and monetizing the sum of an artists career—where artists are stock purchasable by fans. In essence, Rock Stock is Kickstarter with equity.

Well…until that happens, Gaga has to put up with the Bigger Monster that is the 360 deal.