Abstract:Digital music is the integration of music with information technology, telecommunications, Internet, and media. The characteristics of digital music industry value chain and economic characteristics are analyzed by comparing the traditional music industrial value chain with digital music industrial value chain in this article. The development of the digital music industry is the strategic choice. It is very important to find out the deep reasons that restrict the development of digital music industry. It will help the further development of Chinese music industry through summarizing and studying the digital music industry based on the industrial value chain theory in a timely and systematic way.