• Telegraph, Thursday, October 11, 2007 12:15 PM

Radiohead's revolutionary decision to spurn a recording contract in favor of distributing its new album on its own may have caused at least two major artists to follow suit, according to the London Telegraph. Jamiroquai and Oasis, both out of contract with their former record labels, are considering offering their new work for free--or at least on a "donation" basis, similar to what Radiohead is offering fans who download "In Rainbows," the band's new album.

This is a serious headache for major labels like Warner Bros. and Universal, which depend on these major acts to sell millions of albums worldwide. Music management executive David Enthoven, whose company represents British pop star Robbie Williams, believes many could follow Radiohead. "Why would you sign your career away to a record label when CD sales are falling so rapidly?" Then there's digital downloads, which may be experiencing rapid growth, but are still massively outstripped by illegal downloads by twenty to one, according to the Telegraph.

The idea behind performers giving their music away for free is twofold: one, artists want to be on the side of their fans, who clearly don't want to pay for music; two, by giving music away for free, they intend to attract more fans and recoup the money in concert sales and merchandise. Case in point: Radiohead saw an 11-fold traffic increase after announcing that it would give away its album for as little as $0.90. Fans also have donated as much as they want for the download, and many are paying $80 for a special edition extended box set.

Read the whole story at Telegraph »