The Transformation of Recording Studios in Hong Kong after the Asian Financial Crisis in 1997

The Cantopop market has shrunk since the Asian financial crisis in 1997. Its position has been replaced by Mandapop and K-pop. Due to the shrinkage of the market, international music companies and local big labels have become increasingly conservative, making significantly cuts in the budgets for music productions, and thereby leading to the closure of various large recording studios. Owing to advancement in digital technologies, a number of small project studios, which have been established in Hong Kong in recent years, have started to make significant contributions to Cantopop development.This study attempts to understand the transformation of recording studios in Hong Kong, with particular emphasis on how digital technologies provide suitable soil for the growth of different kinds of project studios. In light of the transformation, this paper aims to answer the following questions: 1) How did technological development contribute to the rise of project studios? 2) What are the differences between the traditional large recording studios and the project studios? 3) How did the project studios lead to a new musical landscape in Hong Kong? New insights are offered based on interviews with owners and stakeholders of such studios.