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I've explained why http://www.medianama.com/2013/05/223-why-flipkart-shut-flyte-music/ http://www.medianama.com/2013/05/223-why-flipkart-shut-flyte... after spe
by nikhilpahwa 13y ago
I've explained why http://www.medianama.com/2013/05/223-why-flipkart-shut-flyte-music/ http://www.medianama.com/2013/05/223-why-flipkart-shut-flyte...
after speaking with several people involved in the deals with flyte (from the label site as well as flipkart)
I don't buy this reasoning from Flipkart: they knew what they were getting into when they started Flyte - they had to change consumer behavior, piracy deal with payment issues, work with a really myopic music industry looking to leech every potential partner.
It's just that they were in a rush to launch the business and got it wrong from the get-go. Paying minimum guarantees was a bad idea, and then they didn't back their investment with marketing support. They're willing to burn money to grow their physical goods business, but not willing to support the digital goods business. Shutting it down in just a year is ridiculous. these things take time to be built out, to build consumer traction.
The institution that Flipkart.com is wasn't built in a year. There's no reason why Flyte should have been expected to be.