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What The RIAA Gets Out Of File Sharing

ChrisPaget writes "Wired have a fascinating article about a company called BigChampagne which sells regional P2P download statistics to most of the major record labels. When the labels know what people are downloading, they know what to put on the radio, and sales in the area increase. The record industry's lawsuits against file- sharing companies hang on their assertion that the programs have no use other than to help infringe copyrights. If the labels acknowledge a legitimate use for P2P programs, it would undercut their case as well as their zero-tolerance stance."

27 of 555 comments (clear)

  1. They won't be undercut by XshadowstarX · · Score: 5, Insightful

    The RIAA is making the single mother of a 12 year old pay thousands to settle. Does anyone really think that they are just going to allow their plot to be undercut? Clearchannel and the RIAA run a tight squeeze on music and it won't change without some serious consumer action and hopefully federal litigation.

    --
    -ad105
  2. Legitamate by mopslik · · Score: 5, Insightful

    If the labels acknowledge a legitimate use for P2P programs, it would undercut their case as well as their zero-tolerance stance.

    I'm sure the RIAA will simply put a new spin on it, in a "we're not monitoring demand, we're monitoring privacy" kind of way. A legit use, but one that doesn't support file-sharing.

    1. Re:Legitamate by cloak42 · · Score: 3, Insightful

      Yes, but even if they are monitoring "piracy" as they would inevitably claim, they are profiting from that. So, in a sense, they are profiting from piracy, which they have always denied in the first place. Because they can use the statistics of piracy to help sell more albums (which, ironically, goes against what they say about how piracy prevents sales in the first place--what was that? You sell more albums when you put the more popular stuff on sale? Look at that!), they'll have a difficult time trying to tell the courts that there is no legitimate use for file-swapping.

  3. Not true... by BlabberMouth · · Score: 5, Insightful

    having a legitimate use doesn't really have any legal effect. File sharing programs already have many possible legitimate uses. They have already quit trying to outlaw the file sharing software. Guns have legitimate uses, however if I use it to kill somebody that doesn't limit my culpability.

  4. This is news? by tarnin · · Score: 4, Insightful

    We kinda already knew this. Many people go out and buy music based about what they download from p2p networks. I myself have done that.

    Again though, this isnt in the main stream media so it will make little impact against this constant onslaught of press the RIAA is getting. We need more stories like this to come up on 60mins and the local news to debunk the crap that the RIAA is spewing forth.

    I have written to my local news stations around my area about the other sides to many of the RIAA and DMCA related stories and havent even gotten back a form letter reply. I have done this via e-mail and snail mail. Looks like they really don't care to be objective (I know, I know, Thank you Captain Obvious!).

  5. I wouldn't leap to conclusions. by Meat+Blaster · · Score: 4, Insightful
    I used to visit isonews (before it was shut down, of course) because a lot of their forum users would download and play warezed games and knew what was worth spending your time on and what wasn't. It didn't mean that I supported piracy, but it did mean that I was able to take advantage of a resource created by people who did in order to choose what to spend my money on and which games to skip entirely.

    My guess is that they'd be fine with losing this resource if it meant people would stop downloading music that didn't belong to them, but as long as the latter keeps occurring they might as well take advantage of the statistics they can generate from it. Lemons, lemonade.

    1. Re:I wouldn't leap to conclusions. by dolo666 · · Score: 5, Insightful

      Ah, but the RIAA don't want informed shoppers, because that would mean that Indies would actually become a new, global competitor with the power of the people behind it, instead of just cash.

  6. Re:Right... by akadruid · · Score: 5, Insightful

    This is a legitimate use for the network (maybe).

    That doesn't make illegal uses (Copyright Infringement) legal, but it helps the case that the network itself has legal uses.

    The RIAA would like to see the network removed, therefore may be shooting itself in the foot. This does not affect the moral, ethecial or legal status of Copyright Infringement.

    For example, CDs are legal. if the RIAA attempted to outlaw them, then got caught using them, there would red faces.

    ok?

    --
    "Those who cast the votes decide nothing; those who count the votes decide everything." (attrib. Joseph Stalin)
  7. Re:Right... by FatalTourist · · Score: 5, Insightful

    The RIAA has the same problem as you. They think of downloading songs as the equivalent of stealing cars. Apples and oranges. File sharing can be made to work for the record industry. There is no way to make auto theft profitable for the auto industry. If the record industry is willing to make some heavy changes to their business model they will survive.

    --


    Escape Pod Films: Sketch Comedy and Web Series
  8. Re:What they lose by ArmenTanzarian · · Score: 3, Insightful

    My personal belief on this is that when I was a college student (the vast bulk of my music downloading), I was too poor to buy CD's anyway. It didn't stop me from buying CD's, because I wasn't going to in the first place, it just helped me learn more about music. Now that I have money, I would gladly pay a reasonable price to support the artists I like, but the RIAA had to be jerks about it and come out to prosecute people who're in the same boat I was. Or even worse boat for that matter, freakin' 12 year old girls in the projects who need $2000 a lot more than Justin F'in Timberlake!

  9. Re:I, for one... by cloak42 · · Score: 4, Insightful

    I don't know about you, but to me, YRO posts are the most important out of all tech stories. Privacy and speech are going to be the next huge battles fought in government, and it's going to be a big war, one that we'll all have to fight. I would hardly call any of the YRO posts "minor."

  10. Re:Right... by aflat362 · · Score: 5, Insightful
    This would be more akin to using data about which cars are stolen most as marketing data about which cars are most desirable.

    Or an even better analogy would be about which cars are copied in peer to peer sharing networks and then marketing data to the radio stations so they know what cars people want to hear.

    --

    Conserve Oil, Recycle, Boycott Walmart

  11. Doesn't undercut by amcguinn · · Score: 4, Insightful

    The record labels' "case" is that copying their products is against the law. The possiblity that they might extract some incidental compensation from it doesn't undercut their case in the least.

    Similarly, if everyone who downloaded a song voluntarily sent 2 cents to the record company, that wouldn't make any difference either.

    The record companies are a nasty lot. They illegally fix prices. They corrupt lawmakers. They try to ban useful technologies just because those technologies can be used in ways that are illegal and harmful to their business. They have gained legal powers of search which are an invasion of privacy and ought to be repealed.

    But they've called their opponents' bluff and gone after illegal file-sharers, and I've noticed that on slashdot at least, I'm seeing a really poor hand. People don't care about defending freedom or privacy, they just want to copy albums.

    It's not the selfishness I object to, it's the stupidity. Even if you do only care about copying albums, can't you see that you'd look better if you pretended to be like me and care about freedom?

  12. Re:By what logic? by MImeKillEr · · Score: 4, Insightful

    You're missing the point. Your analogy doesn't really fit.

    In your scenario, the insurance companies would be going to the car thieves themselves to get information on which cars are most likely to be stolen and then increasing the number of billboards or commercials for said vehicles, in an attempt to get car thieves to go legit.

    What the RIAA is doing is scraping the lists to see whose stuff is getting "pirated" the most so they can increase marketing and airplay for that "artist" - thus making the case that there is actually a legitimate use for P2P -- something they've been campaigning against all along. So, if there's a legit use for it, this lessens the chance of P2P being outlawed completely.

    --
    Cruising the internet on my TI-99/4A @ a whopping 300 baud!
  13. Re:Bullshit by Exatron · · Score: 3, Insightful

    No, sharing files is not illegal. What's illegal is sharing somebody else's files without permission. The RIAA wants people to believe that the act of filesharing itself is illegal in order to protect its outdated business model, just like how they want people to equate copyright violations with theft.

    --
    "I think so, Brain, but 'instant karma' always gets so lumpy." - Pinky
    "Decepticons FOREVER!!!" - Ravage
  14. IP Tracking by Cpt_Kirks · · Score: 4, Insightful

    By matching partial IP addresses to zip codes

    This sucks. When is a P2P app with good speed going to come out with good anonymity?

    With all the lawsuits and shit, good ideas and code should be flowing.

  15. Re:Right... by Publicus · · Score: 5, Insightful

    I don't know why people always try to liken music sharing to property theft. It's just not the same thing. When you download a song, you're making a COPY. That's different from taking the property of another person. In the case of theft, the victim sacrifices the thing that you took.

    The one argument that you could make is that the label loses the opportunity to sell you a CD when you download their music, but that isn't true either. I would say half of my music downloads (and I don't download very much) lead to CD purchases.

    --

    My Karma was at 49, then they switched to words. All that work for nothing!

  16. Re:Right... by akadruid · · Score: 4, Insightful

    B-e-a-u-tiful!
    Someone who understands about analogies.
    One day, in a imaginary utopian world, less than 50% of replies will start "Ah, but that analogy is not exactly microscopically the same thing!!!".

    Hmm. No. Dumbass. That's why it's an _analogy_. That's why I said "That's like..." not "That's exactly the same as..."

    Anyway, pardon my rant. I'll wander back vaguely in the direction of the topic for my next post.

    --
    "Those who cast the votes decide nothing; those who count the votes decide everything." (attrib. Joseph Stalin)
  17. Re:By what logic? by grendel's+mom · · Score: 3, Insightful
    You missed the point. You are confusing the data with the method of aquiring the data. The RIAA has said that there is "no use" for p2p networks except copyright infringment (and porn). If they are using the networks to obtain marketing data, it's knid of hard for them to continue with this argument (which is kind of irrevelant anyways).

    Not that anyone really cares if they are using p2p networks. As far as I'm concerned, maybe it will help them weed out the no-talent-ass-clowns that are making all of the crap records today.

  18. Re:What I get out of file sharing by Anonymous Coward · · Score: 5, Insightful

    Here's the kicker. Of course there is the classic, "What if I take a cd and make a copy for a friend?" argument. Well, that doesn't necessarily apply to file sharing. Think of it this way. What if I take and spend my own money and gave out 10,000 copies to people standing on the street? Do you know what that is called? It's called MARKETING and it didn't even happen at the expense of the artist or the recording label.

    The RIAA should recognize file sharing as a medium for marketing. People who normally wouldn't listen to an album, may download it, like and then buy it. Even if that person doesn't buy it, chances are that they will tell someone about it and that person might buy it. It has a cascading effect.

    I think file sharing has more positives than negatives. Rather than combating it, the RIAA should see it as a way of life and take advantage of it. The RIAA should use file sharing's own strengths for it's own advantages.

  19. Re:What they lose by Jucius+Maximus · · Score: 3, Insightful
    "Now if only us PC users could use it. [the iTunes music store] (I know, I know, coming soon to a PC near you, but why the hell didn't Apple just make it web-based to begin with?)"

    Apple cares a lot about user experience. If they made it web based, you know that someone out there will try to access it using netscape 4 and complain about javascript problems or whatever. You'd get all these applications hijacking the browser helper associations and all that. And people would never know where they downloaded their files.

    Using iTunes to access the iTMS gives a very consistent way of finding, searching for, downloading and playing the music. It avoids all browser problems, user-incompetence-in-file-management problems, etc. This is one of the reasons why Apple 'got it right.'

    And sadly, even though I do have a mac, I can't buy anything at the iTMS because I don't have a billing address in the USA. I hope they expand it to Canada. And soon.

  20. Re:Right... by driverEight · · Score: 3, Insightful
    There is no business case for making cars harder to steal for the auto industry.

    Other than customer demand for cars which won't be stolen...

    --

    It's not the size of your .sig that matters, it's how you use it.

  21. This will help CC and the RIAA by FullCircle · · Score: 5, Insightful

    If you listen to a Clear Channel station (how can you NOT listen to one) you notice they play the same 20 songs all day and all night.

    I don't know about you, but if I hear the same songs every time I turn on the radio, I have NO need to by the CD. I get burned out on it for free.

    If they start using this info and get more artists on the air it can only help. This could increase their ratio of "listeners due to lack of choice" to "willing listeners" and help their advertisement revenue.

    It will also help RIAA and non-RIAA affiliated labels sell more records by getting more airplay for lesser known artists. Less total air time for the current top artists would help them not to give away the need to buy while also not making people think of them as annoying.

    IMHO, quite a bit of the RIAA's low sales can be traced back to the Clear Channel monopoly.

    How can using these P2P statisics be a bad thing?

    --
    If tyranny and oppression come to this land, it will be in the guise of fighting a foreign enemy. - James Madison
  22. Re:What I get out of file sharing by CrudPuppy · · Score: 5, Insightful

    without advocating piracy, I'd like to point out a few facts about downloading music: (these points do NOT apply to assholes that sell pirated music in bulk)

    -not unlike the whole "if a tree falls in the middle of the forest, does it make a sound?" argument, it is impossible to *harm* an artist or label by downloading and listening to a song you would never consider buying in the first place. however, you are most definitely harming the artist/label by downloading the new album put out by your favorite band that you would buy if it were not for your ability to download said album.

    -The labels, while carrying on about harm to artists, demostrate very little care towards the artists. if the label cared more, they would certainly be paying artists a more appropriate royalty per cd. from everything I know, *normal* artists make anywhere from $0.01 to $0.10 per cd. this obviously doesnt apply to self-published artists and superstar artists who have long since passed their first contract.

    -The artists have historically been unable to fill an entire album with decent material. There isnt a single person out there that hasnt bought a cd after hearing a song or two and found the rest to be crap. this really lends itself to people wanting to hear more than the current radio single before forking out $20 for a cd.

    -there are people who dont feel obligated to pay for another copy of a cd that was stolen from them, or for that cassette they purchased 10 years ago. if you paid the price for an album once, why in the world should you pay it again? we know it's not media costs!!

    just things to think about...

    --
    A year spent in artificial intelligence is enough to make one believe in God.
  23. Re:you know by dillon_rinker · · Score: 4, Insightful

    They say they use IMs to sound cool. They actually just say that someone requested a song when that song was what they were going to play anyway.

    Why do they do this? Because they are owned by Clear Channel. The people you hear were recorded yesterday between 8 and 5 somewhere in New Hampshire. Or maybe Kentucky. They are voice actors who have probably never been to your broadcast area. And the people who call in? Same thing.

    Get a grip people - radio is produced and managed as pre-recorded entertainment.

  24. Open Door (Policy?) by stinky1117 · · Score: 3, Insightful

    If a person leaves there car unlocked, they are not breaking a law if someone steals the stuff inside. Just because you provided access for someone to commit a crime does not make you a criminal yourself.

    The fact that you have mp3s or divx movies or anything of the sort on your computer in a folder that is accessible does not make you a criminal.

    The NY Times just sued (Read Article) Adrian Lamo for entering a basically insecure network. He did nothing but look to see what was there. Hmm, sound like RIAA?

    I don't know about anybody else, but what the RIAA is doing seems very similar. I own many cds, many of which I convert to various formats on my computer to create playlists. Apparently, I can be sued if that file is accessible to people who might want to take them from me.

    The question is, if I have a broadband connection without a firewall, am I liable to the RIAA because some hacker might want a couple of songs? They are in fact accessible to some people.

    Music should be free, or at least a heck of a lot cheaper than $17 for a cd.

  25. Do you admire spammers, too? by alizard · · Score: 3, Insightful
    The RIAA has the same problem as you. They think of downloading songs as the equivalent of stealing cars. Apples and oranges. File sharing can be made to work for the record industry. There is no way to make auto theft profitable for the auto industry. If the record industry is willing to make some heavy changes to their business model they will survive.

    Well let me then suggest that you have the same problem as a lot of /. readers, which is Boolean thinking.

    From the content of your post, I believe you have trouble with the concept of thinking, Boolean or otherwise.

    So what if they could survive if they make heavy changes to their business model. Do you think bare survival is all they care about?

    To make a business run, you market where the customers are and sell products the customer wants, including packaging in whatever form the customers want. An increasing number of people are getting their new music off the Internet the record companies can't control instead of FM radio that the record companies do control. The RIAA response is to try to make it impossible to use the Internet to distribute content by attacking the companies that promote new technology and individual users using their 0wn3d politicians. If the RIAA labels insist on losing money by not adapting to the present, why should taxpayer money go into shoring up their old business model? If the buggy whip manufacturers had organized RIAA-style lobbying in the 1900s, would there be an auto industry today?

    You don't have to go to the Stanford School of Business to know that if you have a business and you want it to do better than survive, you change with the times and adapt to what your markets are doing. An industry that refuses to do this doesn't deserve to survive

    You say that file sharing can be made to work for the record industry. Fine. That's your opinion (and a pretty common opinion around here).

    The most prominent example I know of with respect to file sharing working for the record industry is the prerelease via P2P of Eminem's latest record a month before the official release date. It went straight to #1 as soon as it hit the stores. While other artists are doing quite well with P2P promotion, they generally are not part of the record industry.

    However, I can't think of any good reason to care about the record industry. I care about good music. I care about the people who make it. I don't care about a bunch of suits whose contribution to music is parasitic and who subsidize an organization that attacks new technology and its users. If you support the enemies of new technology, what the hell are you doing here?.

    But keep in mind that 5 years ago there were a lot of business cases that were pretty commonly espoused on /. that all turned to shit.

    Perhaps you can get IBM to listen to your case as to why Open Source is a failure. Other than that, the worst business models of the 90s by and large were NOT promoted here. Is there anyone on slashdot who did anything but laugh about the $300M put into boo.com , a high-end cosmetics retail sales site? How about the $50M put into Dr. Koop's medical portal? Slashdot =! the vulture capital community. By and large, the dot.com failures can be traced to VCs buying into their own hype. I'm a bit surprised that anyone can confuse the two, but I guess an RIAA apologist is going to have funny ideas about how high tech works.

    Why should the RIAA listen to you.

    What makes you think I want them to? I believe that the artists and the public are best served if every major label goes from deep shit where they are now into bankruptcy and their assets are sold at fire sale prices to investors who have new business models in mind that don't depend on platinum records to support them and can profit from artists selling 10K albums a year.

    In the last couple of years, there is a quote that I see in a lot of people's sigs: