Piracy has No Impact on CD Sales says Report

February 12, 2007

JPE coverA central tenet of the RIAA/IFPI terror campaign against file downloading has been that file downloading causes the industry to loose billion of dollars a year. This point is hotly debated by many who point out that downloading is more like sampling then buying and has probably resulted in net growth for the industry. However, the myopic, luddite brain-dead response of the music industry has been to ignore the mounting evidence of the negligible impact of file-sharing on music sales. Instead they prefer to sue old ladies and children and further poison their relationship with their customers.

Needless to say these arent the brightest folks in business. Fortunately, our good friends in the Ivory covered halls of academia have been busy crunching numbers and running models to see just what is what. Well the latest in a string of reports from some well lettered individuals is in and the numbers show that file-sharing is likely to have negatively impacted just .7% of CD sales. Ars Technica has the full story and its not good for the labels. You cant argue with science man.

Some of the previous research (Price and Piracy, Piracy and Sales, SSRN articles)


Fallout from Steve Jobs anti-DRM Bomb

February 9, 2007

The image “https://i1.wp.com/www.crowrunning.com/fallout_shelter/fallout_logo_small.jpg” cannot be displayed, because it contains errors.Earlier this week the Chief Evangelical Officer of Apple Computers Inc., Steve Jobs, channeled the spirit of Ronald Regan (media moguls tear down these digital walls) and wrote an open letter (read my post here) aimed at the music barron’s in their Bling’d-out offices. In it he basically says that DRM sucks, iPods rock and the labels dont grok the implications of either. Well it was a shot heard around the blogosphere and the commentary came fast a furious from low caste bloggers like myself.

screenhunter_014.jpgNot to be outdone by the rabble, the unfortunately named IFPI strongman, John Kennedy, posted a retort to Steve (El Capitain) Jobs. His response could be summed up in two words: “You First!” In what I imagine is a whining monotone, he suggests that Steve drop DRM from Apple, Disney and Pixar products as an example to the industry.

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Porn Industry Bigger Then Music Industry (Supprised?)

January 8, 2007

What would you rather do, pay a few bucks to watch a hot independent sex worker play with her naughty parts? Or would you rather pay $15 but to hear a manufactured sex worker sing about playing with hers? Well, according to a two reports that came out last week, many Americans frequently indulge in the former and are increasingly foregoing the later.

Yes that’s right folks the porn industry, at just under $13 billion, is officially bigger then the music industry which according to the RIAA’s most optimistic estimates is probably closer to a mere $11 billion dollars. Variety delivered the bad news to the music industry and AVN gave the good tidings to the folks in adult entertainment last week.

Adult entertainment is an industry faced with rampant copyright infringement, innovative competition in every area of its business, tremendous public pressure and fierce governmental oversight. Despite all this, porn continues to embraced the Internet, experiement with new products, focus on serving paying customers (while outpacing the rippers), and so they have thrived… Perhaps there is an obvious lesson in this that the music industry can hire a bunch of really smart consultants to analyze into obscurity.


Ugliness in the Music Business

December 8, 2006

I’m told there was a time when the music industry was a place of beauty and wonder. A place where the average person could hear the soundtrack of their lives or float away on the sirens call of a muse. I’m told these things but I dont remember them.

Two new stories add their wedge in ever expanding chasm between the music industry and their intended customers. Both are from the appropriately named Recording Industry vs The People and they highlight the clear death of the moral economy that may have helped the music industry remain afloat. The first one is a tale of lies and greed,apparently the RIAA’s greed got the best of them and they lied in a letter to the courts in an attempt to extort money from a a Queens mom with MS. The second story is yet another RIAA inspired lawsuit, but this time a group of folks that got shook down for a few grand by the RIAA are suing the makers of Kazaa for basically setting them up to get sued by the RIAA.

Why the music industry is so glib about throwing away its relationship with its customers will always baffle me.


Ouch! Internet Gets to Wipe it’s RIAA

November 20, 2006

How do you express your contempt for an organization that has pursued suing its customers as its business strategy? Well if your an online novelty shop with a sense of humor you express your contempt by offering rolls of toilet paper with the initials of the Recording Industry Ass of America on it. For $6 per roll, expressing your outrage by wiping your ass with the Recording Industry Ass of America is a bit costly, but from the testimonials its well worth it. I cant help but wonder what organization is more reviled, the Bush White House or the RIAA. (via BoingBoing)


Man Bites Dog, Limewire Sues RIAA, Bush Tell Truth

September 26, 2006

blurb-limewire-1.pngOnly one of the statements in the headline is true and its not the one with Dogs or pathological liars. The Register and TechDirt are running a stories on the Recording Industry Ass. of America (RIAA) getting sued by the innocent and hardworking software developers at Limewire. Yes thats right, that Limewire. The one with all the great music and software uploaded and distributed by your fellow Americans and yours to plunder without payment to anyone.

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Friday Ends Russian MP3 Era

August 27, 2006

Hark, the end of the era of legally purchased MP3’s may be near. Tuesday Friaday could mark the end of AllofMP3.com as we know (and love) it. The service becomes subject to new rules dictated by Russian strong man Vladimir Putin on September 1st and the impact of these rules may result in sweeping changes for all Russian MP3 sites. While I’m no lawyer and I dont claim to understand the nuances of Russian Law, a cursory reading of the updated rules governing AllofMP3.com’s service seems to indicate that rights holders may have been given the right to individually license content to AllofMP3.com. Given all the rabid anti-AllofMp3.com FUD music industry mouthpieces have been spreading its unlikely they’ll offer any sort of licensing agreement and this would end sale of international content by the site. Read the rest of this entry »


Two Cartoons Infinite Insights

June 20, 2006

If a picture is worth a thousand words then I would have to write a book to say what these two cartoons do. Both cartoons via Boing-Boing.

This is is from a great book entitled Files are not for Sharing by Matthew Baldwin with art by Goopymart.

This one is from The Joy of Tech on Geek Culture.


Is It All Over for AllofMP3?

May 15, 2006

Updated: A shining example of the future of online music sales has gone ominously dark. AllofMP3, which has been the center of IFPI and RIAA ire, may have finally succumbed to the forces of complacency and stasis.

Last week, Russian strongman Vladimir Putin, declared in his state of the nation address, that in addition to having more babies and ending official corruption, Russia needed to get tough on piracy. Apparently, the irony of declaring a desire for innovation while promoting a legal statue that limits it was lost of Mr. Putin. утесы рационализаторства, Mr Putin, утесы рационализаторства!!! Alas, a few days after this speech, which included the quote "We must defend copyright inside the country. That is our obligation to our foreign partners" AllofMP3.com went dark.

The site now claims to be "down for maintenance" and the allTunes desktop client that worked with the AllofMP3.com service no longer functions. On the plus side, most of the other Russian MP3 downloading sites are still up and accepting new customers although I wouldnt recommend banking on their long term prospects.

Update: Reports of the death of AllofMP3 seem a bit premature. The site is back up with what seems to be reduced content. More to come.


Ever Helpful, RIAA Highlights Music “Hot Spots”

May 4, 2006

In a demonstration of its love for music consumers, the RIAA announced the Top 12 cities to find great music compilations and mixed CD's at discount prices. The cities highlighted in the report are Atlanta, LA, New York, San Francisco, Austin, Chicago, Dallas, Houston, Philadelphia, Providence and San Diego. Singling out these cities as "hot spots" for their booming markets, "sophisticated trade" and "savvy", the RIAA states it wants to "step up" its presence in those cities and dedicate additional resource to them. Noting that these markets are home to some of the more enterprising players, the RIAA hopes to learn more from the only segment of the industry that continues to evolve.

In a veiled admission of the failure of its hard line stance against consumers the RIAA has opted to strike a more playful tone with its new campaign . Using a scavenger hunt styled theme the RIAA challenges consumers to find great music product in its "hot spot" cities using the following tips to help with purchasing and discovery.

1) Watch for Product Being Sold in Unusual Places
2) Trust your ear
3) Watch for Compilations that are “Too Good to Be True"
4) Look for Suspicious Packaging
5) Remember the Adage “You Get What You Pay For”

You should read the full (and more accurate) release here.