There isn't much that can slow the music industry's annual spring break party that is the South by Southwest conference. Despite continued declines in CD sales, concerns over a major industry merger and the recent passing of the beloved pop craftsman Alex Chilton, nearly 2,000 bands played over four days in Austin, Texas, some as many as three of four times per day, and all hoping to snare a bit of the spotlight -- or simply reclaim it.
When the sponsors leave town and the last beer can is swept up, the industry that most of the artists at SXSW are still trying to penetrate won't always be a welcoming one. The fest played host to big acts trying to snare some critical love (Muse), artists on the comeback rant (Courtney Love), indie cult heroes in need of a larger audience (the Besnard Lakes, above) and hyped artists making the best of their first trips to Austin (the Dum Dum Girls, Sleigh Bells).
It's easy to say there's something for everyone in Austin during SXSW. If one wants only to listen to live hip-hop or noise bands for nearly 96 hours, there's no place easier to do that than the Texas capital during mid-March. If one wants to forgo registering for the fest -- and clearly many do, as a SXSW spokeswoman said registration was expected to match last year's total of around 12,000, and yet the parties and crowds swell every year -- one can easily still see all the buzzed-about artists.
Yet once everyone has retreated back to his or her respective starting cities, the business that awaits them won't be offering the free flavored mix drinks as in Austin, to say the least. Many artists at SXSW tend to the artier side -- the sweepingly grand electronic soundscapes of Sweden's Björk-influenced jj come to mind -- yet Matador head Gerard Cosloy noted that for all the success the Internet has brought to the underground community, it isn't getting any easier to make a living.
"We have to work twice as hard and spend twice as much money to sell half as much as we used to," Cosloy said, adding that the market for mid-level success for indie artists -- about 15,000 in sales -- has "completely disappeared."
There are, of course, the media-hyped sources of revenue that are supposedly going to save the music industry -- we've all read countless stories with someone saying a cliche like "TV is the new radio." After all, even the XX, a band that experiments with song structures at their most tense and minimal, can shoot up the charts after having a cut in an Olympics-themed advertisement.
But such things are luck, not a business model, said SXSW participants. "They're quite amazing windfalls," said Domino head Kris Gillespie, before quickly adding that purses are getting tighter. "The money has dropped off the edge of a cliff, in terms of advertising money."
It's now an industry of niches, and nowhere is that more evident than SXSW. Whether taking in the off-kilter, blues-spiked rock of Holly Miranda, or the devastating crush of guitars and harmonies that is Australia's Beaches, much of what was heard at SXSW has a targeted audience. Although the distinctions between cult and mainstream are getting blurred.
"The majors are looking at us, the indies," said Portia Sabin, who oversees Kill Rock Stars. "The business model of the majors, where you need to sell 250,000 just to recoup your investment in a new band, that's not practical anymore. So how you can make money if you only sell 5,000 copies? That's what we know."
In other words, they know how to survive. That's a trait that's going to come in handy as the industry further consolidates. For those who opted to stick close to the convention center rather than consume free cupcakes and watered down beer all day, the recent merger of Ticketmaster and Live Nation became a contentious subject.
The Department of Justice's assistant attorney general for antitrust, Christine Varney, was on hand to defend the government's approval of the merger, although the industry's skepticism and concerns weren't really answered. Varney stayed on point, telling SXSW that the Justice Department had attempted to create more competition in the ticketing space, and not dismantle Live Nation Entertainment's massive vertical integration, which puts ticket sales, promotion, concert venues and artist management under one roof.
Domino's Gillespie slammed the green light as "immoral," and Varney urged angry SXSW guests to write the Justice Department. Comments on the merger are being accepted until early May, and will be reviewed to see whether further court action is necessary, she said.
"I know it's not a satisfying answer," Varney said when pressed as to why the Justice Department didn't force Live Nation Entertainment to A) sell its management firm, B) sell its venues or C) allow competing promoters to leave their contracts with Ticketmaster. "We are constrained by the law. The overlap that we found was in ticketing. That's why the remedy rests in ticketing."
There is a so-called consent decree, which will allow competitors of Live Nation Entertainment to report anti-competitive practices. And if you have a problem with that? "The only thing I can tell you to do is to continue to try and work your deals and let us know if you think the consent decree is being violated," Varney said.
As the big guys get bigger, SXSW was a fitting reminder that while the music industry may still like to party and channel its reckless past, endurance is rarely sustained by indulging in excess.
"There's a lot less money being advanced for tour support," Matador's Cosloy said. "That's due to not just shrinking record sales, but what's happening in the live music business. When someone says to me, 'What do you do for tour support?' I say, 'We'll be very supportive. If you need to call someone in the middle of the night, we'll be supportive.' "
And now for the music: After the jump, some of the acts that made the biggest lasting impression on me: