Welcome!

Industrial IoT Authors: Carmen Gonzalez, Elizabeth White, William Schmarzo, Yeshim Deniz, Liz McMillan

News Feed Item

Independent study reveals 66% reduction in key operations expense over 5 years for digital music providers adopting DDEX data exchange standards

Microgen Plc (LSE: MCGN), the enterprise software provider, today announced the results of a commissioned study conducted by Forrester Consulting on behalf of Microgen titled, ‘The Total Economic Impact of The DDEX Standards’ (January 2013). The study determined that there are significant financial benefits for digital music market participants to adopt DDEX standards.

Forrester Consulting conducted interviews with four major digital music participants, including a European rights society with relationships with over 2,000 records labels, a distributor with over 300 retailers, a subscription music service and a content owner (a label). Using the Total Economic Impact (TEI) framework, Forrester Consulting modelled the costs that rights holders and retailers (both large and small organisations) face to set up and install the data feeds required to communicate digital music inventory and usage information.

With the widespread adoption of connected devices, consumer demand for digital music continues to move faster than the media sector’s ability to fully exploit that demand. New subscription services aim to fulfil this demand but many struggle to launch platforms that enable consumers to discover relevant content and at a compelling, sustainable price.

The digital supply chain relies on the management of a high-volume of low-value transactions. The sale of a digital music track often requires record companies, retailers, collecting societies and other intermediaries to interact multiple times, from ‘announcing’ the track is available to reporting its usage. In the past, the digital music market has been hampered by non-standardised or proprietary reporting formats.

The adoption of standards supports the propagation of new technologies to distribute media, lowering the barriers to entry for new firms and ultimately resulting in increased choice and reduced costs for consumers. If artists, content labels and distributors can afford to improve and broaden their offerings, more customers will listen to digital music broadcasts and there will be more revenue for songwriters and other rights owners.

Among the key benefits of adopting DDEX standards highlighted in the Forrester Consulting TEI study are the following:

  • A reduction in data feed creation and integration expenses of 66% over 5 years
  • Reduction in data feed maintenance expenses of 25% as proprietary feeds are replaced with DDEX feeds
  • DDEX users avoid significant training costs each time new data feed is implemented
  • Labour productivity improvements from automating processing takedown requests

Forrester Consulting also anticipates that as more organizations implement DDEX in the future, new entrants and the overall DDEX ecosystem may experience the following benefits:

  • Improved time to market. Where one or both partners have already implemented DDEX standards, the time to automate message exchange with new partners will be significantly shortened. In turn, lower barriers to entry will foster new partnerships and will allow faster exploitation of market opportunities
  • Reduced start-up costs for new entrants
  • Benefits of adopting DDEX will further improve with increased adoption

“All of the organizations we interviewed were unanimous in their desire to lower the costs of managing data exchange in their part of the digital music supply chain” according to the Forrester Consulting study. “They also wanted to make their business operations more flexible and agile [,…] improve the transparency and auditability of sales data [,… and] lower the cost of entry for new players into the digital music industry.”

“The Forrester TEI study clearly presents the financial rationale for new and existing digital music market participants to incorporate standards for data exchange” states Kirit Joshi, DDEX Chairman. “An automated global transaction processing infrastructure based on open standards provides operational savings whilst enabling faster adoption of new and improved digital music options for consumers which ultimately drives revenue for content creators. “

“Microgen firmly believes in the benefits of implementing standards and the Forrester Consulting TEI study clearly outlines the value of adopting the DDEX message formats and choreographies. With the ever increasing volume of digital music and media transactions, the only way for the Digital Media Supply Chain to be efficient is to adopt these standards across the ecosystem” states Martin Redington, SVP Product & Delivery at Microgen.

Access the Forrester Consulting study at the following link: http://www.microgen.com/uk-en/enquiry-form/forrester-consulting-total-economic-impact-ddex-standards-january-2013

Methodology: Forrester Consulting Total Economic Impact (TEI) Framework

For this study, Forrester Consulting used its proven TEI framework, which provides a complete picture of technology investment decisions. Forrester Consulting interviewed four representative organisations operating in the digital music supply chain, subsequently performing financial analysis to compare the costs of DDEX against proprietary standards for data exchange. Forrester Consulting also considered the costs of data feed maintenance, training and labour productivity improvements associated with processing takedown requests. Forrester Consulting constructed a financial model, populated with the applied cost and benefit data.

About the Digital Data Exchange (“DDEX”)

DDEX is a consortium of leading media companies, music licensing organisations, digital service providers and technical intermediaries, focused on the creation of digital supply chain standards.

To support the automated exchange of information along the digital supply chain, DDEX has standardised the format in which information is represented in XML messages and the method by which the messages are exchanged between business partners. These standards are developed and made available for industry-wide implementation.

DDEX standards help rights holders, retailers and technical intermediaries to more effectively communicate information along the digital supply chain. This leads to efficient business transactions, reduced costs and increased revenues for all sectors involved.

Formed in 2006, DDEX initially focused on standardising message formats for the digital music supply chain but the foundation of the standards is sufficiently generic that they can easily be adapted to other digital media supply chains. Find out more about DDEX at www.ddex.net.

About Microgen

Microgen is an enterprise software provider that enables business teams to quickly address their most demanding application requirements.

Microgen is recognised for its expertise in finance integration and for the Microgen Aptitude, Enterprise Application Platform, used to quickly build bespoke business applications. Microgen delivers software, applications and services to many of the world’s largest financial services, digital media and telecommunication companies.

Microgen is headquartered in London, UK with offices worldwide. Find more information about Microgen at www.microgen.com.

Microgen ® Microgen plc. Microgen Aptitude ® Microgen Aptitude Limited.

Microgen Aptitude - European & U.S. Patents Pending (for more information please refer to our website: http://www.microgen.com/uk-en/company/patents-and-trademarks)

All other trademarks are the property of their respective companies.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
The Internet of Things will challenge the status quo of how IT and development organizations operate. Or will it? Certainly the fog layer of IoT requires special insights about data ontology, security and transactional integrity. But the developmental challenges are the same: People, Process and Platform and how we integrate our thinking to solve complicated problems. In his session at 19th Cloud Expo, Craig Sproule, CEO of Metavine, demonstrated how to move beyond today's coding paradigm and sh...
What happens when the different parts of a vehicle become smarter than the vehicle itself? As we move toward the era of smart everything, hundreds of entities in a vehicle that communicate with each other, the vehicle and external systems create a need for identity orchestration so that all entities work as a conglomerate. Much like an orchestra without a conductor, without the ability to secure, control, and connect the link between a vehicle’s head unit, devices, and systems and to manage the ...
Financial Technology has become a topic of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming 20th Cloud Expo at the Javits Center in New York, June 6-8, 2017, will find fresh new content in a new track called FinTech.
"We're a cybersecurity firm that specializes in engineering security solutions both at the software and hardware level. Security cannot be an after-the-fact afterthought, which is what it's become," stated Richard Blech, Chief Executive Officer at Secure Channels, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
"Once customers get a year into their IoT deployments, they start to realize that they may have been shortsighted in the ways they built out their deployment and the key thing I see a lot of people looking at is - how can I take equipment data, pull it back in an IoT solution and show it in a dashboard," stated Dave McCarthy, Director of Products at Bsquare Corporation, in this SYS-CON.tv interview at @ThingsExpo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Everyone knows that truly innovative companies learn as they go along, pushing boundaries in response to market changes and demands. What's more of a mystery is how to balance innovation on a fresh platform built from scratch with the legacy tech stack, product suite and customers that continue to serve as the business' foundation. In his General Session at 19th Cloud Expo, Michael Chambliss, Head of Engineering at ReadyTalk, discussed why and how ReadyTalk diverted from healthy revenue and mor...
Whether your IoT service is connecting cars, homes, appliances, wearable, cameras or other devices, one question hangs in the balance – how do you actually make money from this service? The ability to turn your IoT service into profit requires the ability to create a monetization strategy that is flexible, scalable and working for you in real-time. It must be a transparent, smoothly implemented strategy that all stakeholders – from customers to the board – will be able to understand and comprehe...
SYS-CON Events has announced today that Roger Strukhoff has been named conference chair of Cloud Expo and @ThingsExpo 2017 New York. The 20th Cloud Expo and 7th @ThingsExpo will take place on June 6-8, 2017, at the Javits Center in New York City, NY. "The Internet of Things brings trillions of dollars of opportunity to developers and enterprise IT, no matter how you measure it," stated Roger Strukhoff. "More importantly, it leverages the power of devices and the Internet to enable us all to im...
The Internet of Things (IoT) promises to simplify and streamline our lives by automating routine tasks that distract us from our goals. This promise is based on the ubiquitous deployment of smart, connected devices that link everything from industrial control systems to automobiles to refrigerators. Unfortunately, comparatively few of the devices currently deployed have been developed with an eye toward security, and as the DDoS attacks of late October 2016 have demonstrated, this oversight can ...
You have great SaaS business app ideas. You want to turn your idea quickly into a functional and engaging proof of concept. You need to be able to modify it to meet customers' needs, and you need to deliver a complete and secure SaaS application. How could you achieve all the above and yet avoid unforeseen IT requirements that add unnecessary cost and complexity? You also want your app to be responsive in any device at any time. In his session at 19th Cloud Expo, Mark Allen, General Manager of...
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smar...
"ReadyTalk is an audio and web video conferencing provider. We've really come to embrace WebRTC as the platform for our future of technology," explained Dan Cunningham, CTO of ReadyTalk, in this SYS-CON.tv interview at WebRTC Summit at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
Bert Loomis was a visionary. This general session will highlight how Bert Loomis and people like him inspire us to build great things with small inventions. In their general session at 19th Cloud Expo, Harold Hannon, Architect at IBM Bluemix, and Michael O'Neill, Strategic Business Development at Nvidia, discussed the accelerating pace of AI development and how IBM Cloud and NVIDIA are partnering to bring AI capabilities to "every day," on-demand. They also reviewed two "free infrastructure" pr...
WebRTC is the future of browser-to-browser communications, and continues to make inroads into the traditional, difficult, plug-in web communications world. The 6th WebRTC Summit continues our tradition of delivering the latest and greatest presentations within the world of WebRTC. Topics include voice calling, video chat, P2P file sharing, and use cases that have already leveraged the power and convenience of WebRTC.
As data explodes in quantity, importance and from new sources, the need for managing and protecting data residing across physical, virtual, and cloud environments grow with it. Managing data includes protecting it, indexing and classifying it for true, long-term management, compliance and E-Discovery. Commvault can ensure this with a single pane of glass solution – whether in a private cloud, a Service Provider delivered public cloud or a hybrid cloud environment – across the heterogeneous enter...
"At ROHA we develop an app called Catcha. It was developed after we spent a year meeting with, talking to, interacting with senior citizens watching them use their smartphones and talking to them about how they use their smartphones so we could get to know their smartphone behavior," explained Dave Woods, Chief Innovation Officer at ROHA, in this SYS-CON.tv interview at 19th Cloud Expo, held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Fusion, a leading provider of cloud services, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Fusion, a leading provider of integrated cloud solutions to small, medium and large businesses, is the industry’s single source for the cloud. Fusion’s advanced, proprietary cloud service platform enables the integration of leading edge solutions in the cloud, including cloud...
Video experiences should be unique and exciting! But that doesn’t mean you need to patch all the pieces yourself. Users demand rich and engaging experiences and new ways to connect with you. But creating robust video applications at scale can be complicated, time-consuming and expensive. In his session at @ThingsExpo, Zohar Babin, Vice President of Platform, Ecosystem and Community at Kaltura, discussed how VPaaS enables you to move fast, creating scalable video experiences that reach your aud...
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo 2016 in New York. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place June 6-8, 2017, at the Javits Center in New York City, New York, is co-located with 20th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry p...
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life sett...