Tech rocks: using the Internet, the vocal Chuck D and the legendary Nile Rodgers are once again shaking up the music industry - Technology - Industry Overview

CHUCK D AND NILE RODGERS ARE WHAT YOU'D CALL "OLD SCHOOL" IN THE MUSIC INDUSTRY. BUT THEY'RE teaching us new lessons about music and technology. Chuck D, 41, the charismatic front man for the groundbreaking, politically and socially outspoken hip-hop group Public Enemy, began promoting hip-hop acts in New York City in 1979, Nile Rodgers, 49, started his career at 16 making music on Sesame Street before heading up the musical group Chic and later producing hits for artists such as Madonna, Sister Sledge, Diana Ross, and David Bowie. Chuck and Nile share a vision of what the industry should be, and they are using technology to realize that vision.

Both artists are banking on the success of their online ventures: Chuck (photo above right) heads up Rapstation.com and SlamJamz.com, and Nile launched the Nile Rodgers MP3 Dance Club (www.mp3danceclub.com) last year. Their companies use MP3 (Motion Picture Experts Group, audio layer three) file-sharing technology, a format used for compressing audio to transmit as files at near-CD quality over the Internet. Everyday millions of people upload, download, and share MP3 files, but most big record labels have not embraced the technology for fear of Napster-like situations--the widespread distribution of copyrighted materials without the company's (of the artist's) consent. Granted, the labels do have a point. At its height, Napster had more than 1.5 million users distributing nearly 3 billion MP3 files without paying for any of it. And there are many other sites like Napster waiting in the wings. But while neither Chuck nor Nile advocate piracy, they don't view file sharing as a negative. Rather, they see it as a way for artists to control the distribution of their work and put more of those dollars in their own pockets, not those of their labels. So, yes, Chuck and Nile see things differently.

Why take on the music industry? The son of political activists, Chuck says he remembers the impact that his parents' ideals had on him. "[They] inspired me to be independent and always go against the grain if the grain was not helpful to the whole cause." Known for his candid, if not bold, statements, Chuck is quick to add, "I don't go against the grain for the grain's sake. I go against the grain because I see right now there may be a BLACK ENTERPRISE magazine where you're encouraging people to go into the market and to have control. The reality is that big business smashes that foundation."

When Public Enemy parted ways with their label, Def Jam, in 1999 after disputes about digital distribution (Public Enemy was the first major group to release an album online--1998's There's a Poison Going On), Chuck decided it was time to take charge. He is an outspoken advocate of the artist's right to release music online, independent of the label, thereby retaining control of his of her career.

"One of the most frustrating things about big business [is] the cost of marketing and promoting hip-hop and rap music through the traditional venues like radio and television. The cost factor could run as much as seven figures," says Chuck, "[and] the only ones that could afford to market of promote the traditional venues were the five major labels [that] could all sneeze at a million dollars going down the drain." Chuck now uses his Websites as his distribution channel as well as for promoting new and existing talent. RapStation.com boasts approximately 250,000 visitors per month and has more than 100,000 members.

Chuck anticipates that sites like SlamJamz.com will form a third tier to the music industry, a tier that includes and embraces the black artist. "When it comes down to us black folks and our knowledge of this business, which has been around for a hundred years, the majority of us are clueless, [yet] we are some of the biggest consumers. What I am trying to do is get people to stop thinking only as consumers and get into the participation as a manufacturer and [into] the production of it."

Members at SlamJamz.com can purchase credits and then download new music: 30 credits ($5), 50 credits ($8), and 100 credits ($10). Some songs a re free; others cost approximately one to three credits. Then the user "owns" the tracks. Once members have signed up and downloaded the tracks, manipulation, such as re-mixing, is encouraged. In fact, Chuck regularly releases his music to the public to remix and holds contests to determine the best mixes. "It's a perfect service area," he adds. "Anyone can go to the site and pull a mix down, and anyone can remix a song from anywhere on the planet to be pulled down as a legitimate remix."

A FORTUNATE ACCIDENT

While it's easy to see how Chuck became involved in the merger of technology, politics, and music, it's not that obvious with Nile. The New York City native candidly admits that he got into the online game almost by accident--he sits on the board of directors for a software company called Visiosonic, which produces PCDJ players that allow professional and "wannabe" DJs to mix music. "It's really kind of silly," Nile laughs. "Remember the Reese's Peanut Butter Cup commercial? One guy had a chocolate bar and the other guy had a jar of peanut butter, and they tan into each other. One day, the CEO [of Visiosonic] and I were sitting around just sort of brainstorming and realized that our two respective entities would marry quite well together."