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State of Online Music: RIAA's Efforts Paying Off

melquiades writes "The NYT (regreq) has a new article about online music, suggesting that the recording industry's war against P2P is paying off: pay-to-download services are rising in popularity. "Largely because of tough actions by the record companies to combat free music sites through the courts, legislation and even through techno-guerrilla tactics, there is a noticeable change of sentiment in a small segment of the downloading cognoscenti. Though their numbers are low, many are the early adapters who spot a trend first." Though the article falls into the common fallacy of equating P2P with illegal copying -- I'm one of the numerous artists who wants people to download my music for free -- it sums up the state of affairs well, particularly in this quote from online music consultant Michael Haile: "Record labels know what consumers want. We all do. They want a Napster you pay for. We all know that. But why would the labels want that at all? Making CD's is like printing money.""

30 of 306 comments (clear)

  1. People are downloading less pirated music.... by SpanishInquisition · · Score: 5, Funny

    Because they are downloading a lot more pirated porn, thank God for cable.

    --
    Je t'aime Stéphanie
    1. Re:People are downloading less pirated music.... by StoryMan · · Score: 5, Funny

      Vice always drives profit.

      It pleases me to hear that porn and P2P music and video are (or have been) the new "killer application."

      An old guy I know wanted me to set him up with DSL so he could find out what all this hubbub about music is all about. (He really called it "hubbub", too).

      But I suspect he'll check out some porn, too. We all like porn and downloadable music. But very few us will admit it.

      BTW, how come someone hasn't set up a P2P network that allows me to stream music from my buddy's computer. Wouldn't this be the same as listening to music at a friend's house? Would the RIAA shut this down?

      Even cooler would be to stream video from my bud's computer. It's like we're in the same room together -- but we're just virtually there.

      Anyway, I set the old guy I know up with DSL. Got him to sign on, fork over the cash. He's got an install in the next few weeks, and I've got a free PS2 coming my way (on account the DSL folks are giving away a free XBOX or PS2 to whoever signs up by Sep. 30.)

      So soon he'll be able to check out that hubbub. (Is hubbub short for something? Or is it one of those words that sound like the thing they're describing? I've been in hubbub before -- and I've checked out a lot of hubbub -- but I'm not sure it ever sounded like 'hubbub' when I was checking it out.)

    2. Re:People are downloading less pirated music.... by The+Turd+Report · · Score: 4, Funny
      But I suspect he'll check out some porn, too. We all like porn and downloadable music.

      Back in the day, an 80+ year old guy walks in to the front office of the ISP I am working for.
      "I have a complaint," he yells.
      I groan and ask what he wants to complain about.
      "It is about all this porn on the internet," he tells me.
      I once again groan. This old twit is going to rant on and on about porn...
      "What about it?" I ask.
      "I can't find any of it," he exclaimed.

  2. RIAA, you're right by dotgod · · Score: 5, Funny

    Nobody downloads music off of the internet illegally anymore. Please move on.

  3. Now this is truly moronic. by asdfasdfasdfasdf · · Score: 5, Insightful

    Maybe it has something to do with the fact that pay services have gotten much better in the past 18 months, with far more selection? Just maybe?

    No, no, it's because they killed napster. Idiots.

  4. What are these services like? by LordYUK · · Score: 4, Interesting

    Are there limits to what I can have at one time? How much are they? Are there lots of Audiogalaxy type material (rare songs, live songs, etc)? Is it fast, or would I get better downloads and searches using carrier pigeons? Most important do I get to burn the songs to CD, keeping them forever, or until a "contract" is up?

    --
    This is my sig. Its pathetic.
    1. Re:What are these services like? by TRACK-YOUR-POSITION · · Score: 5, Informative

      I've used Emusic. I've had no problems with download speed--usually maxing out my DSL, certainly faster than any p2p networks I've used. The downloaded songs are just mp3s, so you keep them forever. Selection doesn't rival audiogalaxy, alas, but they certainly have a lot outside of the mainstream. Of course you don't need to subscribe to see what songs/artists they have available--look at www.emusic.com.

  5. Sad state of the affairs... by genka · · Score: 5, Insightful

    While admitting to downloading some redily avalble music, I mostly looked for some more obscure europian bands from 70s and 80s. They are long out of print, and there is no hope for new CDs. Now, thanks to RIAA, those musicians will be forgoten forever.

    1. Re:Sad state of the affairs... by intermodal · · Score: 5, Insightful

      actually, they want them to be forgotten. otherwise if you listened to good music from times gone by, you wouldnt buy the horrible shit they're pushing nowadays.

      --
      In SOVIET RUSSIA... erm...NSA AMERICA, the Internet logs onto YOU!
    2. Re:Sad state of the affairs... by scoove · · Score: 5, Insightful

      thanks to RIAA, those musicians will be forgoten forever

      Obscure european bands from the 70s and 80s do not produce revenues for the colluding recording industry oligopoly.

      Neither do innovative niche forms, like ebm, trance, gothic/industrial, etc. Such forms require music industry executives to actually have a clue about the music and has less need for slick MTV marketing formulas.

      While we've all been worrying about RIAA, the death of shoutcast, pay-per-play licensed media, etc., many of us have missed the other side of the game being nailed by RIAA - their quiet partnership with the broadcast industry.

      Emerging dominant broadcasters like ClearChannel (who were given the go ahead to roll up more than the previous FCC limit of stations per market, slaughtering local staffing, and running most of the programming remote from a central location) have become a favorite partner for RIAA firms - got a new Britney tune? Write ClearChannel a check and you're guaranteed airplay and CD sales.

      ClearChannel's station rollup, the death of independent broadcasters, effective Congressional lobbying (my congress critters in both parties are strong supporters of RIAA and the National Association of Broadcasters/NAB), and Copyright Office hijinks might just put an end to creative music in the US.

      Then again, someone's got to buy all of these awful things piling up in the warehouses...

      *scoove*

    3. Re:Sad state of the affairs... by pezpunk · · Score: 5, Interesting

      i'm another musician who wants people to download my music for free. look. most musicians start off like this. they do it because they love it. then some record label comes along and fills the musician's head with promises of bags of money. over time it gets ingrained. must ... make ... money. then, when the label screws the artist, the label can blame the internet.

      my band's solution is to remove money from the equation. take our sounds for free (ok, pay for the hardware -- actual cd's, shirts, etc).

      why don't we care about the money? because, and this is the part that pisses other bands off most, we believe we actually OUGHT to have day jobs. yep. and we pull it off, too. we have mortgages and wives and 9-5 day jobs AND we tour once a year AND play gigs about twice a week. in the spring we're touring europe for 4 weeks. this is a lot of hard work. we do it because we love it, not because we want to make a fortune. and, in my opinion, great music has to come from a passionate and difficult place inside. not a comfortable one.

      ok now i'm rambling.

      anyway, point is, i have no sympathy for a greedy musician. a band CAN survive on enjoyment, love, energy, and passion, without the corrupting notion that the band is a "business". mine is living proof.

      --
      i could live a little longer in this prison
  6. OMFG!!! by Lxy · · Score: 4, Insightful

    Imagine that the record companies are supposedly finding success in what we've wanted all along.

    The answer has not been to stomp out the P2P networks. They will always be a fact of life, especially as consumer bandwidth gets faster. The answer is to look at this new technology and figure out how to embrace it as a business model.

    P2P networks have flaws. Most kiddes can't label their MP3s correctly. Inevitably, The 1 person who has the song you're really looking for is on dialup. It goes on and on, but with P2P, you get what you pay for. Having a centralized pay for download service overcomes these issues. By paying a hosting company to host your MP3s, you're almost guaranteed good download speeds and properly labeled MP3s.

    Now, if they RIAA had listened back in 1998 when people were telling them this, maybe they wouldn't be so hated.

    --

    There is no reasonable defense against an idiot with an agenda
    :wq
  7. Another bit of news... by questionlp · · Score: 4, Interesting

    News.com is running an article on a study that KPMG did... in which they state that the ??AA need to embrace downloadable music and videos and to stop/reduce using copy protections to thwart piracy.

  8. Uh? by dohnut · · Score: 5, Insightful


    pay-to-download services are rising in popularity

    That's kind of like saying this new car model we introduced last year is selling better than it was 2 years ago.

    --
    Stupider like a fox! - H.S.
  9. I Don't want a napster I pay for by Erich · · Score: 5, Insightful
    I don't want a napster I pay for. That means that the record labels would make money from other people's bandwith.

    However, I would like a place where I could download very high quality, RAW .wav or Ogg Vorbis or MP3 files for, say, $0.50-$1.00 each. Maybe $5.00 for a whole album. From a fast server. That are not in some sort of DRM vault.

    This way, I own the music. I can do whatever I like with it: burn it to a CD, put it in my portable player, whatever I want to do within my fair use rights. And I also don't have to (effectively) pay additional money by trying to hunt someone down with the file I want at the quality I want, with a good connection that won't stop halfway through the download.

    Merely having the record industry collect money for "allowing" other people to share music peer-to-peer is not sufficient.

    --

    -- Erich

    Slashdot reader since 1997

  10. You know, maybe the RIAA pulled one on us... by raehl · · Score: 5, Insightful

    Maybe they're not as dumb as we think - maybe they know that downloading music helps record sales, and maybe they actually DO want users downloading music.

    Just as long as the service that does it is theirs.

    What if the long term RIAA vision isn't that you can't get your DRM music off your CD, but you can only get it off and send it with software and hardware from the record companies (or their affiliates?) Maybe this is all just a play by the record companies - they only print their music in a format certain devices can read and transfer, and they only allow themselves or their affiliates (Sony records - sony cd players?) manufacture the equipment that can read the CD's.

    Now not only do they get to charge you for the CD, but they'll charge you $1 to send a song to your friend, and charge him $30/month for a license to the software that lets him play it....

  11. Better subscription services by techstar25 · · Score: 5, Interesting

    The RIAA would love to take all the credit and say that the music subscription sites succeed because the P2P services are getting worse, but that's simply not true. The guerilla tactics hardly put a dent in my p2p experience. It sounds to me like the subscription services are just getting better. They know what we want, they've just been afraid to offer it to us because they coudn't put together a viable business model.

  12. RIAA is not thinking ahead by yog · · Score: 5, Interesting

    What's it going to be like when internet2 is pervasive? When every home is wired with fiber optics for 100 Mb net access, or 1000 Mb access or whatever? You will be able to download the equivalent of a present day CD in a few seconds. You will have a handheld with 100s of gigabytes of storage and, thanks to BlueTooth Rev. 17, you'll be able to beam an entire movie at DVD quality to a friend's handheld in a matter of seconds.

    In this future world, perhaps about five to ten years from now, how on earth will RIAA prevent music and video piracy? It seems doubtful that drm initiatives will succeed; people have an enormous incentive to bypass it, and as bandwidth increases, that incentive will only grow.

    I think eventually we'll have to come to some sort of compromise between the content producers, marketers, and consumers, and settle on some sort of "reasonable fair use" doctrine as once existed with cassettes and VCRs.

    --
    it's = "it is"; its = possessive. E.g., it's flapping its wings.
    1. Re:RIAA is not thinking ahead by Pinball+Wizard · · Score: 5, Insightful
      the future world you are referring to won't happen when 7 companies supply 95% of media and a single company supplies 90% of all desktop software. Further, how many viable broadband providers are there? I bet you could count them on the fingers of one hand.

      Sigh, you should be right about this, but if you were the majority of people would already be using broadband. The very few powers that be have a vested interest in keeping their product(media, software,information) scarce, so although possible, your vision of the future is not likely to take place for a very long time.

      --

      No, Thursday's out. How about never - is never good for you?

  13. Re:Yeah, right. by SirSlud · · Score: 4, Insightful

    > Record labels know what consumers want. We all do. They want a Napster you pay for.

    Read it again. "They" seems to imply the record labels, not people, the way its quoted.

    But as an aside, I find it interesting how there are alot of people who want a pay-for Napster (mysql included), but nearly anybody that wants a free napster remains fairly voiceless, outed by a handful of people intent on reducing everybody but themselves as a freeloader.

    When you can choose from RIAA Media (CDs), Naspter, Pay-Napster, most people seem to comprehend that the "Pay Napster" is what is going to keep the music being made.

    But when you can choose from RIAA Media or just Naspter, people are going to use Naspter because they know that the Pay For Napster could exist .. its just the RIAA is dragging its feet. People won't turn down advancements in technologies, but they certainly will compensate for it if they have the opportunity.

    Thats what the RIAA doesn't get. People will take what they want, but will only repay for it if its actually feasible to do so (ie, price is fair and method of payment exists). Its not that everybody wants something for nothing, its simply that they won't deny themselves something if the supplier is too lazy, reluctant, or scared to figure out where to put the tip jar.

    --
    "Old man yells at systemd"
  14. Huh? by Dirtside · · Score: 5, Insightful
    Why does the fact that pay-to-download services are on the rise, necessarily mean that the RIAA is "winning" this War On Filesharing (which is about as "winnable" as the War On (Some) Drugs)? Is the amount of filesharing actually going down, or is it unaffected (or even rising) while another market entirely (pay-to-download) is growing?

    Also, from the article:

    Just six months ago, this sort of talk would have been unthinkable, downright apostasy, among those who consider the giant recording conglomerates the bane of free-wheeling musical access and innovation.
    Maybe it's a nitpick, but they seem to be painting the situation as if we have two monolithic, unified forces here -- the RIAA and Evil Internet Pirates (tm) (or Righteous Anti-RIAA Guerilla Freedom Fighters (tm)). The use of the term "apostasy" implies that there is some kind of central body or authority to the P2P movement, which isn't true. I'm pointing this out because it's indicative of the mindset the "mainstream" is in -- they don't really know what the situation is, even those who are paid to write about it.

    It certainly could just be poor word choice, and the writer actually does know the difference, but since it's the New York Times, I'm inclined to think it's ignorance rather than poor editing.

    --
    "Destroy science and religion. Science would re-emerge exactly the same; but not religion." - Penn Jillette, paraphrased
  15. Dvorak has a better article here by Dethboy · · Score: 5, Interesting

    One Buck Forty or Die

    I thought this was one of the best things I've read on this well worn subject in awhile.

  16. RIAA would just love everybody to believe them by LinuxWoman · · Score: 5, Insightful

    They're actively trying to twist the statistics to support their whiny anti-download position. I'm part of several polling groups and in the last few weeks I've done at least THREE polls (all from different polling groups) that tried to force you to answer "I don't buy cd's because I download everything I want for free".

    Fact of the matter is I, like many people I know, download music off services like kazaa because who wants to pay $20 for a cd to get one song just to find out the entire rest of the CD sucks... And most of us will never sign up for pay download services because if you actually use the service much it easily approaches the cost of buying cd's.

  17. Sticking it to the inherently evil big guy? by Coniglio · · Score: 4, Interesting

    I just wanted to point out what should be a little bit obvious. The record companies own the music. As frustrating as that is sometimes, they make the terms because they own it. I am a software developer and am a bit concerned about the "freedoms" people expect from things that are software. Because something is a bunch of bits does not mean that it is free. Because you didn't have to buy something of substance like a microchip or a slurpee doesn't mean that it did not cost money to produce to pay people like you and I.

    It seems at times that some people have some "high moral ground" as they demonize companies - granted some companies are pretty easy to demonize - but are only really after something for nothing, a free lunch.

    Is it really illegal or is it "sticking it to the inherently evil big guy" or is it a moral stand or is it that "I just want free music because, well, then I don't have to pay for it, duh."

    If it is legal and okay and whatever, fine. If it isn't, how much is your integrity worth to you?

  18. Contradictions by SheepHead · · Score: 5, Insightful
    How can they quote someone in the opening paragraph, and then say something completely different later on?
    Ian Rogers: "The selection has finally reached a threshold I'm happy with, and the interface is good now. With other services before, there was a bad selection of songs, they were of bad quality, and they were hard to get to."
    And yet, the quality of the service has nothing to do with it, right? Because right after that, the author claims the "success" of these new sites is:
    largely because of tough actions by the record companies to combat free music sites through the courts, legislation and even through techno-guerrilla tactics, there is a noticeable change of sentiment in a small segment of the downloading cognoscenti.
    So, the fact that the first services sucked, had poor selection and were hard to use, means nothing - it's really "largely because of" legislation that EMusic and Rhapsody are succeeding?

    I find a lot of the rest of the article wrong as well. "Just six months ago, this sort of talk [about actually paying for music] would have been unthinkable, downright apostasy." No... actually, a lot of reasonable people were complaining that music was simply too expensive. You know, we've all been buying music for YEARS. We didn't all just forget about paying for things, we just realized that the music cartel has an unhealthy amount of control.

    "A downloaded file titled as an Eminem song, for example, could be a virus."
    I have no sympathy for you if you get a virus from an MP3. You should have noticed the extension was .exe, or .scr, or whatever. Really, do people get viruses from things they think are songs? Sigh..
    "But now there are other options: EMusic..."
    EMusic has been around for a long time... possibly that's how they got their 60,000 registered users. They cater to a niche market, because their unrestricted downloads scare most major labels, "even Universal, whose corporate parent owns it."
    If, however, EMusic had a better catalog, and Rhapsody offered actual downloads, users say it would be easy to see these subscription services succeeding.
    So, this online music thing could really work! Just don't put restrictions on the files, but attract major label acts which are afraid of unrestricted files. Rhapsody, you should stop being a radio station and be more like EMusic, but be sure to keep the major bands.

    Really, they're advocating some kind of huge website where you can find lots of varied bands in some kind of unrestricted format that you can download to your computer. Boy, this is starting to sound a whole lot like the service we've all been asking for! And it's sounding more and more like what Napster used to be, and what Kazaa is now. Strange how that works.

    sheephead

    --
    7d9e63e9501751ff4bf9307989d5623d *SheepHead
  19. Re:What are these services like? - emusic by KelsoLundeen · · Score: 5, Funny

    I was in the studio a couple years ago when Noam Chomsky was recording his latest album. He and Cornell West had a little "talking" rap going on.

    Me, I sat off to one side just digging the shit out of it -- these two aged hippies just bopping and rapping like there was no tomorrow.

    I stayed late -- long after the session had ended. Noam and West were talking about what it means to be a "radical Christian." West (you'll remember) always refers to himself as a radical Christian. He derives his basic spiritual vibe from Chekhov, Hegel, and Miles Davis.

    But Chomsky was tired. He didn't feel much like sparring. He sorta stayed in the corner of the room, his feet up on a ratty sofa, and wondered whether or not there was any Chivas in the little bottle the soundman kept underneath the console.

    "No Chivas, Noam," said the soundman.

    West laughed at that. "Chivas? You're shitting me."

    "Not me, Cornell," said Noam.

    "Damn. If you want some badass Hegelian synthesis, I advise Jack, man. Jack D. all the way."

    Noam said he hadn't had a shot of Jack Daniels since the march on the Pentagon. Then he laughed and remembered how he and Norman Mailer and Allen Ginsburg sat out on the Washington Mall, burning incense, and screaming "Howl" at the top of their lungs.

    Man oh man. I'll never forget that recording session with Noam and Cornell.

    Damn.

  20. Music wants to be free, just like food. . . by Fritz+Benwalla · · Score: 5, Insightful
    Sorry, but as a musician allow me to respond to one point in this write-up (without, of course, disagreeing with the anti-cabalist pitchfork waving).

    You want people to download your music for free, I can only assume, because you have either what is called a "TRUST FUND" or a "DAY JOB." Once you have had some success, and rely (even in small part) on record sales to pay for supplies, like say, food, then you become not against free music, but a little more conservative on the subject.

    I and most of the musicians I know really do want people to be able to download tracks, spread the gospel, etc., but start getting nervous when a paid cd can actually seem *more* inconvenient than Kazaa Lite.

    What do I want in a label? I want them to get their heads out of their asses and be creative about finding new and better ways to market my music -- finding a good blend between locking up people who would rip us off, letting people share music they love, but most of all making the *purchase* of music the most convenient and satisfying way of obtaining it.

    The general perception among the working stiff musicians I know is that the one area that free P2P services has killed us is in "buy the hit" sales. It used to be that if someone heard your tune on the radio and liked it enough to want it, a certain proportion would tape it off the radio, netting you nothing. Another proportion would buy the single, and then another proportion would buy the entire cd for that tune and to hear what else was on it. My current possesion of an entire Kittie CD proves that I can fall into that category. The concern now is that Kazaa is the new radio-taping, but the ranks of people who fall into the net-you-nothing category have swollen exponentially. Keep in mind that for smaller-time musicians (lets take a lot of jazz musician as an example) solid airplay doesn't really net you much until it *translates* into something - better gigs, tours, or record sales.

    You can quote statistics all you want about the growth of the industry, but there's a very large contingent of musicians who are not super famous, but are known and making a living, for whom the sale of 100 cd's is meaningful in making the rent. If even a few download a single radio song off Kazaa and are satisfied enough to not bother with the cd, then that performer may have just lost someone who could have become a lifelong cd-buying fan if they'd committed to the whole thing.

    Soooo. . .I am not pretending to write a treatise on industry economics here, just trying to sum up some of the concerns (biases, myths, whatever) that I've heard from real people trying to make a living in music. People not beholden to record companies, but even more nervous about seeing 30 tracks and entire albums of their music show up on a service where they are free for the taking.

    Let the anti-cabalist orange-pelting resume. . .

    --

    Believe me, I'm as surprised by my comment as you are.
  21. Re:More like "early suckers" by Wdomburg · · Score: 4, Insightful

    >actually, I think their prefferred title is "the
    >idle rich"
    >
    >If I had lots o cash to waste, SURE, I'd buy from
    >e-music.
    >
    >Instead I took my 100 free songs and bolted.

    Ummm... since when did $9.99/mo become something only "the idle rich" could afford? That's one bargain bin CD or DVD. Or about the cost of a dial-up account. Or lunch for two at a fast food joint.

    I don't pretend that e-music is to everyone's taste, since they don't carry a lot of "mainstream" music. For those of us with more eclectic tastes, though, it's a godsend.

    I download at least 20 or 30 albums a month. I don't have to worry about whether the person on the other end is going to disconnect. I don't have to worry about crappy encoding. I don't have to worry that the song I'm downloading isn't a 5 minute loop of someone taking a shit.

    And I regularly pull down *entire albums* in less than three minutes. Yeah, I really feel like a sucker.

    Matt

  22. Re:More like "early suckers" by DragonMagic · · Score: 4, Insightful

    Yeah, I feel like a complete sucker for getting nearly all of George Carlin's CDs at less than the cost of one of his CDs I bought before emusic.com started out.

    Really, the $10/mo. for unlimited downloads *IS* simply that. You download all you want for $10/mo. Period. End of story. If that's too much for you, perhaps you should listen to the Clear Channel controlled radio systems?

    --

    Human nature is the same everywhere; the modes only are different. -- Earl of Chesterfield
  23. Dvorak's Right: Fuss is About Money, Not Copyright by reallocate · · Score: 5, Insightful
    Agree. Dvorak correctly points to the greed of the recording industry, identifies this as a distribution issue and avoids the trap of considering the fuss as some millennial struggle about copyright doctrine.

    Frankly, those who insist that this is a fuss about copyright, rather than money, by simply asserting their right to copy and distribute commercial recordings when and where they choose, copyright be damned, are playing into the hands of the recording industry. The recording industry wants this to be seen as a a life-or-death battle for the survival of copyright itself. It isn't. It's a fuss about getting the U.S. legal system to adjust the language and interpretation of copyright law in order to come to terms with new technological capabilities. Eventually, this will happen. But, if the recording industry is able to portray the other side as opponents of copyright and proponents of "stealing" digital media, then the adjustment will likely be expensive and draconian, affecting everyone's ability to use the net freely and openly.

    --
    -- Slashdot: When Public Access TV Says "No"