Chaos in global entertainment alliance

GERA, whose founders are primarily bricks and mortar retailers, was set up to develop a global ecommerce model dealing in entertainment products. Issues relating to the rapid growth of new technologies being introduced globally, and the effects that such growth has on retail communities, are expected to be priorities for the alliance.

GERA's vision is, through its service to the retail community, to create a more level playing field by advising on the issue of digital distribution. ChaosMusic, with its expertise and experience with internet solutions, will assist with the association's concerns.

ChaosMusic's online strategy is "to grow the brand and user base ASAP", said Rob Appel, founder and CEO of ChaosMusic.

Chaos's announcement of its GERA participation coincided with its posting of positive half yearly results. The company's online revenue of approximately $1.2 million for the six months to December 31, 1999 represents a 757 per cent growth over the previous six-month period. Chaos also saw an almost four-fold increase in membership numbers during the same period, from 8500 to approximately 31,7000.

Appel sees the increase in ChaosMusic's revenue and membership numbers continuing to "grow for some time to come" as they are currently at the "low end of the (growth) curve".

Appel views participation in GERA as a positive thing for the online music industry, saying the space is "recognised as a legitimate part of the (music) industry" and is "impossible to ignore".

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Sarah Keegan

PC World

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