Business Closed Loop: Starting with Ringback Tones to Take Down Giants

"Why did we almost mess things up earlier?"

Why do fraudulent claims and middlemen like "General Manager Zhao" exist?

"Could it be that the demand for ringback tones exceeds the supply?"

"There's no reason for that, there are so many record companies."

Wang Song seemed to have grasped something, but it quickly vanished.

……

The song became a hit, and so did the troubles, which were impossible to shake off.

This is not.

Yao Beina, along with Chang Sisi and Zhang Zhen, had just come out of the Zhongyin School gate.

He was quickly stopped by a middle-aged man who had been waiting for a long time.

With a broad smile, his gaze was fixed on the younger and prettier Chang Sisi.

On the left, they're touted as "future top stars," and on the right, "beautiful and with a sweet voice."

Yao Beina frowned, reached out and grabbed Chang Sisi's wrist, turning to shield her behind her.

"Contact our studio manager to discuss collaborations. We're only responsible for production; don't delay things."

After saying that, he pulled Chang Sisi forward, with Zhang Zhen following beside them to keep the man at bay.

Undeterred, the man chased after him, shouting, "Hey! Leave your contact information! It'll be a shame to miss this opportunity!"

The three of them did not stop walking.

The faint sound of a man's angry mutterings drifted over.

"What kind of attitude is that! A bunch of students, they don't know what's good for them! They really think they're so great just because their song is a hit? Sooner or later, nobody will dare to buy it!"

As Yao Bei walked, she took out her phone and called Wang Song, briefly explaining that she had been blocked.

Wang Song paused on the other end of the phone, then said directly, "Don't go to Brother Li's recording studio, there are already several groups of people waiting there."

"The three of you come straight to the studio and stay here for the day."

On the way, Chang Sisi held the crumpled business card, her little schemes starting to stir in her mind again.

Even strangers praised her for being beautiful and having a sweet voice.

If this song really sells for a good price, she'll definitely make her roommate look bad.

She's only a freshman in college, but her songs have already become hits, and so many companies are vying to collaborate with her.

Sophomores, juniors, and seniors—that's something I wouldn't even dare to dream of.

Debuting this year, making a name for themselves in the Super Girl competition next year, and topping the record sales charts the year after.

After a few years of honing her skills, she'll become a superstar.

But the current situation of Xianming Studio is completely different from what she imagined.

Wang Song sat in the corner, holding a small notebook in his hand.

It records the information and conditions of all callers.

"Hello, this is Xianming Studio."

"Copyright? The copyright is in our studio. Buy it outright? How much?"

Five thousand?? You're dreaming.

Jiang Yilei hung up the phone, cursing under his breath; his initial respect had turned into a powerless, perfunctory response.

She had just hung up one call when another one rang. She gripped the receiver and shouted at Wang Song.

"Boss! If this keeps up, I'm going to lose my voice! These people are never going to stop!"

Wang Song looked up and glanced at the room full of people scrambling around.

"Don't just stand there, Jiang Yilei, take a break, the rest of you take turns answering."

I had just hung up one phone when it rang again immediately.

Chang Sisi was still reeling from the joy she felt at the school gate.

Seeing everyone scrambling around, he instinctively reached out and picked up the receiver.

"Hello... This is Xianming Studio."

That's a terrible commotion.

The other person was clearly taken aback for a moment, then immediately switched to a gentler tone.

"Wow, that voice...you're the singer, right?"

"Chang Sisi, right? I've heard your song 'Decent,' it's so moving, you have a bright future ahead of you!"

Chang Sisi's eyes lit up immediately, and her voice became even more cheerful.

"Thank you, thank you... Who are you?"

The other party abruptly changed the subject, getting straight to the point: "I work in music copyright cooperation."

"The company wants to buy out the copyright to your song for a fixed price of 20,000! But considering your potential..."

"I've changed my mind. I'll personally add another ten thousand, how about that?"

Thirty thousand! It all depends on Chang Sisi's feelings.

Chang Sisi was so excited she almost jumped up.

Completely forgetting to cover the microphone, he turned around and pointed the receiver at the person inside the room, asking:

"Sister Yao! Brother Wang! They're offering 30,000 to buy out the shares, which is much higher than before!"

He clearly heard her question on the other end of the phone and immediately became anxious.

"Hey classmate! Listen to me!"

"I'm not just involved in copyright matters, I also have connections with the Super Girl program team, the one from Hunan TV!"

"This is your only chance! The people in your studio don't know the business; they'll only hold you back!"

"Tell me the copyright information, and I'll have someone draft a contract and make the payment immediately."

"I can help you get through the insider channels, skip the preliminary rounds, and go straight to the regional competition. Guaranteed exposure!"

Chang Sisi was flustered. "Wait...wait, let me ask."

"Useless stuff, a waste of money, I'll add 10,000 yuan."

"Let's wait for the song to rot in our hands. Let's see who will buy it in less than a month."

Jiang Yilei rushed over, took the phone, and prepared to yell back.

On the other end of the phone, there was a click, and then a busy tone came from the receiver.

Chang Sisi held the receiver, frozen in place.

It's not Hunan TV... it's a scam.

It wasn't because they valued her talent... they just wanted to bypass the studio and steal her songs at a low price.

The man at the school gate seemed to have the same angry and frustrated shouting at the end.

All that talk about Super Girl and a promising future is fake.

"Waaah...he...he lied to me."

Large tears fell unexpectedly onto the back of Chang Sisi's hand, which was tightly clenching the hem of her clothes.

Jiang Yilei sighed and put his arm around her trembling shoulders.

Chang Sisi remained silent.

He simply tore the crumpled business card to shreds and stuffed it into his back pocket.

Wang Song looked at Chang Sisi, who was still sobbing.

He glanced at his silent companions, his gaze finally settling on the small notebook filled with records of greed and chaos.

That problem continued to bother him.

Now there's another one: Why are they in such a hurry?

They're eager to buy out the shares, eager to scam people out of bargains, and even if they're exposed, they'll still stubbornly stick to their story:

No one will take it except me.

Wang Song turned on his computer and casually browsed the forums.

I'm trying to find real expert analysis inside.

suddenly.

He found an inconspicuous post

The title is "My song got over 100,000 ringtone downloads, but I only received 3,000 yuan."

Wang Song clicked on it.

As the title suggests, the so-called cultural company is nothing more than a middleman who collects songs for SPs (Special Service Providers).

It was bought for three thousand dollars, without even a signature.

When they went to argue with the other party, they were met with a dismissive remark that the contract stipulated a buyout.

"Three thousand yuan..."

Wang Song read it in a low voice, then looked at Chang Sisi's face, which had just been overjoyed about the 30,000.

A chilling anger replaced the previous confusion.

Wang Song stood up.

"Vice President Jiang!! Quickly!!"

"How many of the songs currently on the ringtone charts are promoted by record companies?"

"Everyone come here, and don't answer the phone anymore."

Jiang Yilei quickly operated the system, and the results popped up line by line on the screen, attracting everyone's attention.

"The production company behind 'Two Butterflies' is... Birdman Art? What a lame name, not a record giant."

"The 'Mice Love Rice' sung by Yang Chenggang... is not it either."

"Above the Moon, Phoenix Legend, this is the record giant they signed after they became popular."

"Ten Thousand Reasons, Turtle, 100 million ringtone downloads, after becoming popular, it signed with Phoenix Legend."

Jiang Yilei raised his head, his voice filled with disbelief.

"65% of the top 20 songs don't have a major, established record label behind them."

Li Ran suddenly spoke up: "So, those people who bought our senior's songs before...?"

He didn't finish speaking.

But Zhou Tao replied, "It was also resold to them."

Yes!

That makes sense!

No wonder works like "Autumn Never Returns," "Seeking Buddha," and "The Old Man and the Sea" are so popular.

A song by an amateur could become so popular that everyone knew it at the time.

It's not that songs are looking for distribution channels; it's that distribution channels are going crazy looking for songs.

The record companies either didn't like it or couldn't reach an agreement.

SPs are eager to stock up on songs for operators, scouring for unreleased songs everywhere, yet they exploit information asymmetry to manipulate creators.

Brokers profit from the price difference, and it has become common for them to fraudulently claim and purchase songs at low prices.

The studio was deathly silent.

All the greed, deception, and belittling in the phone call just now have their answers.

This is a distorted system that devours creators.

They were just one step away from being swallowed up.

Wang Song snapped out of his daze; the phone was still ringing in his ear.

To everyone's astonishment, he directly unplugged the studio's landline phone line.

"Boss, what's this?"

"We have great songs, endorsements from prestigious universities, and clear copyrights. Why should we follow their rules?"

Even after these words were spoken, the people in the bungalow were still puzzled. "Then what should we do?"

"They told me one by one over the phone that it was like haggling at the market."

"But putting them together creates competition."

He looked at Chang Sisi, who was sobbing slightly.

"You're being bullied and you're still begging others to cooperate?"

That doesn't make sense.