In Affärsmodellbloggen, Weekly disruption feed

Enjoy this weekly feed of inspiring, interesting and intellectual articles and news, with a focus on disruption!

Music industry disruption not finished?

Music streaming, with Spotify in the lead, has taken the music industry from shrinking to steadily growing last years. During 2017, sales from streaming increased with 41% in total, which helped the music industry to grow by 8%. However, Spotify is still showing red numbers and that is mainly due to high royalty payouts. Royalty spending is not likely to decrease much with upcoming royalty negotiations where the major record companies argue that payments are too small. Can these tensions affect the entire music value chain? It is not impossible even if the record companies still have a strong position. For example, Spotify has started licensing music directly from artist, leaving the record companies outside the value chain.

→ Related article: The Tension Is Building Between Spotify and the Music Industry

Inditex (Zara etc) scared of Amazon?

As Amazon keeps venturing into fashion (and basically all other markets as well) incumbents are scared of what’s to come. In particular those chains (like Inditex) who have traditionally grown with bricks-and-mortar stores (ie not online). Inditex have now announced they are aiming to have online sales in all countries by 2020, basically doubling todays presence. Not a small feat if they meet that target. But will it be enough? Can they manage “the last mile” (including huge numbers of returns)?

→ Related article: Zara Sets Goal to Sell Everywhere as Amazon Encroaches

Auto industry update

Tesla’s announcement for their upcoming roadster has affected development of other sports car manufacturers. “Koenigsegg’s namesake founder Christian von Koenigsegg revealed that his company started reworking its engines just to remain competitive with the Roadster’s vaunted 1.9-second 0-60MPH time.” “This is embarrassing,” he said.
Meanwhile Volvo (Geely) and its brand Polestar are looking to completely change the buying/owning experience, into something more like an app store. From owning to subscription. This week they also announced a new concept car for the future of mobility. “It looks like the sort of cabin you’d see on a $20,000 United Emirates dream flight, complete with a dining table, bed, and champagne on ice. But it’s not a plane. It’s a Volvo.”

Finally, Dyson which last year announced their venture into auto have now reveled one of their first big steps toward release in 2021, investments to create engineering work spaces and over 10 miles of test tracks. Whats interesting about Dyson is that through their whole history they have been developing electric motors, also they will use solid-state batteries which they claim are more efficient. Toyota is also working on solid-state batteries and last year said it hoped to have them in electric vehicles by the early 2020s. Most definitely very interesting times ahead for auto!

→ Related article: Tesla’s Roadster prompts Koenigsegg to rethink its supercars
→ Related article: Polestar wants to change almost everything about how you own a car
→ Related article: Volvo’s new concept car is basically a first-class airplane cabin
→ Related article: Dyson Moves Ahead on $2.6 Billion E-Car Plan With Test Track


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