Record Labels May Have to Pay Double Royalties
douglips writes "News.com.com.com brings us this article explaining how record labels may be bitten by CD copy protection. At issue is the mechanism that places duplicate WMA tracks on the CD. The labels are thus selling two copies of each song, and may be required to pay twice as much to music publishers. So not only is the DRM ineffective, it also could be a huge legal liability for labels."
I wonder if this means the lyrics writers and all the other "little people" behind the scenes will get paid twice - finally the value of what they are worth...
Ha-Ha!
(or maybe second)
That wow, that sucks eh? Having to pay more to ship your product? Poor little labels.... spending money to infringe on customers fair use rights didn't work out for you? *light punch in arm* Aw com'on slugger, it'll be okay.
Only if the people involved are idiots...oh...nevermind.
"Draco dormiens nunquam titillandus."
So far in Canada, artists have not been paid a cent from the CD-R royalties we all pay.
Where does it all go? Well, at least we know where it doesn't go.
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If the payments are made, then of course the labels profits will fall. So, what will they say next quarter to make their shareholders happy? "It's all because of those damn internet pirates. We need more legislation against them, or our profits will continue to fall."
--- It's not my fault this post looks redundant. I just type too slow.
If the labels pay 2x, does that mean the costs of CDs will be going back up?
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The record industry will just price-fix in the added costs, problem solved.
And I suppose if they included .ogg, .rm, .wma, .mp3, .mp4 files, each would be a copy and therefore to be charged for?
Whether or not the record companies deserve this, it's basically an asinine proposition that everyone possible be reimbursed every particular format included on a CD. Very, very last century. But, what do you expect from artists like Metallica?
They can just pass the cost on to the consumer. Problem solved!
They've made their bed, and now they're finding they don't want to sleep in it?
Why, thats just awful...
Good security is based upon reality and common sense. Common sense is a function of having common knowledge.
Might this be the lame excuse for the shift to Digital Restriction only CDs? Because it serves the customer because it doesn't have to be twice as expansive?
-virgo cluster
Why do they have to put copies of the tracks in both formats on the disk? Why can't the labels create a small software application that hides the raw data tracks from PCs and "allows" the CD owner to create DRMed files? This would bypass the "pay royalties twice for distributing two copies of each track" problem.
Two wrongs don't make a right, but three lefts do.
They already charge twice as much as a CD is worth.
Hammer of Truth
Even though this is comming from "Music publishers and songwriters, who are entitled to payments of a few cents for every copy of a song sold," this is so rediculous I don't even know where to begin.
the whole recording industry is so out of touch, not just the RIAA stormtroopers.
REAP WHAT YOU SOW... INSTANT KHARMA... CHICKENS COME HOME TO ROOST...
OK enough already. I guess I just want to say, that this is the kind of news that puts a BIG ol' grin on my face. Don't get me wrong - I don't believe in stealing copyrighted material and screwing the artist (besides, as most of us know, the record companies already do a fine job in this respect).
It's just nice to see occasionally, that bullshit legislation can blow-up in the face of the almighty lobbylists and greed mongers.
Let's pray that this is the final straw that boots the record inductry off the cliff, and maybe even takes along the RIAA!!
the labels will just double the price of CDs and blame it on file swapping.
You didn't think the consumer would get out of getting screwed did you?
make an mp6?
But two limes can make a margarita. How 'bout we all just chill out and have a drink?
If you take one cent, and double it, you get two cents.
Rank Presidents by th
Make the product cheap, and people will buy it. Simple.
It's either on the beat or off the beat, it's that easy.
I moderate therefore I rule!
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Yes, the record companies will have to pay more ( which will become a higher consumer cost, mind you ), but what's really cool is if they don't play ball with the publishers, the publishers have the right to sue for "damages", which could be substanially more than the actual missing royalies.
Mod me down with all of your hatred and your journey towards the dark side will be complete!
That any CD I can play, I can rip. It's AUDIO rofl. At very worst I can just play it back and record it to another device, unprotected. Big deal.... DRM for audio is such a joke.. This isn't intended to be flamebait, it just seems so ludicrous to me.
"where words meet intent, lies rhetoric's lament"
Easy, automatic testing for Perl.
For the billionth time, AAC is a standard
Most digital music players won't touch the things. Sure it is a "standard". But if you stretch the standard like that, the Commodore 64 graphic Koalapad format is a "standard" as well.
And you use it exactly as you would any other format, including MP3.
Except that it will hardly play anywhere compared to MP3, and the files are hard to use due to noxious DRM.
How can the labels stay in business if they have to pay double royalties to the greedy artists. The artists are already getting a fat $0.50 for every $17.00 CD sold. First the record companies lost billions in sales to the evil pirates and now DRM is going to cost them more profits. Will the RIAA be able to afford their paratroopers now? What will this do to their lawsuits. This is a travesty of justice! Why oh why won't someone think of the children? - p.s. - HaHA! - nelson -
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I have a couple of issues with the logic that 2 copies of the song are being sold.
First up, is it not really a single user license to play the song that is being sold?
And, only one copy of the music can be played at any one time.
So how is the copyright holder disadvantaged by this?
If you're buying two copies, but only using one, doesn't that mean you have one to give away via an file sharing network? I mean, I rip all my CDs and use only one mp3 copy. So I've got a spare copy that I can give away, right?
This space for rent, inquire within.
I'd personally use Ogg Vorbis. 99% of my collection is mp3, but Vorbis can give the same quality in smaller files. Plus there's no patent issues, and it's an open standard.
Record Labels : No way... just because you bought the CD does not give you the right to all the contents to do with as you wish. However, just to be nice, we will give you a low-quality, non-transferable rip of the song.
Artists : Wait... aren't you making another copy of the song? Since are selling two different copies of the song for every CD you sell, we're going to charge you twice the royalty.
Record Labels : No, we purchased the song from you for a particular customer, not for an individual copy of the song. As long as a single customer uses the song, we can do whatever we want with it.
Customer : Wait... isn't that what I just said?
Your reality is lies and balderdash and I'm delighted to say that I have no grasp of it whatsoever. - Baron Munchausen
Not likely... you usually don't put a backup on the *same piece of media* as the original copy, because then if the original fails (through scratches to the disk, etc.) so does the "backup". It just goes against the definition of backups - I don't think even the RIAA's army of undead lawyers could twist it enough to get that through.
--- Bwah?
Consider this: on almost every album since Sgt. Pepper, the record labels have included printed lyrics along with the album itself. Lyrics are, of course, copyrighted. So the copyrighted lyrics are provided twice, in two different formats: once printed and once sung. Does this mean that lyricists have been cheated for 35 years?
If they shouldn't have to pay for royalties, then why do I have to rebuy my music when they come out with a new format.
I should get free CD's of all my old cassette's, LP's and 8 tracks.
To quote Tommy Lee Jones,
"this means I have to buy the White Album again"
Heh they charge a LOT more than 40 cents, my friend. ;)
- shazow
Look at the whole "audio+data" CD phenomenon (from the consumers perspective) in the first place.
- Yesterday you sold me a CD which was (more often than not, to all intents and purposes) full to capacity with standard CD audio format music
- Today you sell me a CD which is now only partially filled with aforementioned "standard
... music" - (because some of the space previously used for standard cd audio format music is now being used for DATA (in this case, a second copy of the music)
Don't look now, but you the consumer just paid the same amount for less music.Just to be clear here, they sold you TWO copies of the music, in the same amount of space ====> so you received LESS MUSIC than you "normally/previously" would, for NO LESS MONEY.
Given this trend in the music industry, in the near future they'll be selling us Holographic Storage DISCs with a terabyte of data-space, with only one (3 minute, CD-Quality) song on it (the rest of the space is 'computer format' of the same song, plus anti-piracy technologies). It'll still cost $25-$35 in most cases, and will ONLY play on a custom media player that is specific to that music-label. Due to the intricacies of the technology, swapping HS-DISCs takes approximately 5 minutes, and the "music subscription" on HS-DISCs expires in 24 hours.
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The music industry has been saying over and over again that piracy hurts the artists . Their crackdown on p2p filesharing, their use of DRM schemes (such as the copy-protected CD's in question), and their public relations FUD are all supposedly motivated by their uncompromising zeal to protect the livelihood of artists.
Really? No foolin'? Well, this is a golden opportunity to show us all that you really meant it. If all of these efforts are about protecting artists, then you would never think to violate a publishing contract over it. Right?
[Silence... A leaf blows by...]
Oh. Well, that's what we all suspected, I guess.
The labels want you to pay for every version of a song you use. You pay for the ability to use it in a CD player, again to use it on an iPod, again to use it in some other form. Using the same thinking, they should pay the artists for each time you buy a song in one of these forms. They just didn't think about it when they released the twofers and now it's a problem.
If only there was a way for the computer to read the audio data on the cd. Then they wouldn't have to include both the audio data and the wmas for computer users.
Then if the user wanted WMAs, he could somehow "rip" this audio data into any format he wanted.
Too bad this technology eludes us.
We'll all be paying more for CDs. Since the big players own the market, they can do whatever they want, and they'll just sue everyone else. The little guys don't have the big name artists so nobody cares about them anyway. They'll continue to make non-DRMed-up-the-ass CDs and no one will buy them, but if you want the new Outkast CD, welcome back $21.99! But hey, they're doing this for the artists, remember?
And no, the big guys will NOT pay the artists more, they'll slip one by or change their contracts or whatever. Money Power.
Wer mit Ungeheuern kämpft, mag zusehn, dass er nicht dabei zum Ungeheuer wird. --Nietzsche
He's got his stats mixed up... one more example of why I hate it when people quote statistics and don't give sources.
Ipod is the #1 selling HDD based MP3 player,
Apple has a 31% share of the portable MP3 player market in terms of units sold
"As a result, the focus on digital licensing has switched to scattered music publishers and songwriters, which typically receive between 7 and 8 cents for each physical copy of a song sold."
Is it a license, or a copy to enjoy?
They cannot have it both ways. If they intend to sell us a license, don't we need to see the terms and enter into some sort of contract? (God forbid the EULA for music CD's.)
If they sell us a license, does that not mean we have paid for a given piece of music. If we lose the media, we still have the license right?
If they sell us a copy to enjoy, then we can do what we want with our copy so long as we don't sell it for money. As long as I can give a CD for a christmas gift, I say we are buying copies, not licenses.
Which is it? Want your cake and eat it too?
Blogging because I can...
$10 to replace the media for a $300 piece of software: reasonable.
$10 to replace a the media for a $20 DVD: unreasonable.
Besides, at $10, they're just cutting out the wholesaler, the distributor, and the retailer. At least for books (and presumably similarly for other media), the publisher gets maybe 35% of the final price after everybody gets their cut. Even if that DVD costs $30 on the shelf, they would make about $10, and would give up a piece of DVD media, a case, booklet, etc. Instead, they give up 37 cents postage (I'm sure they just mail the media in a cardboard media mailer) and a DVD with no case and no printing. Their net profit comes out better on the replacement than it did on the original DVD, but you get a lot less.
It's pretty clear cut, IMHO. They're selling you the media. Anyone who says differently is kidding him/herself.
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$10 to replace the media for a $300 piece of software: reasonable.
.79 cents (shop4tech.com).
$10 to replace a the media for a $20 DVD: unreasonable.
Agreed. Too pricy, considering that I can make my own copy on my dvd burner for
It's pretty clear cut, IMHO. They're selling you the media. Anyone who says differently is kidding him/herself.
Also agreed. The thing that bothers me is that the RIAA/MPAA try to get the luxury of selling it as though they were selling licenses, but with the drawbacks associated with purchasing media.
If they saw it as buying the media, as you and I do, then it should come in a format I can duplicate for my backups, no exceptions. I should be able to back it up and make copies. I should have ALL fair use protections.
Else I want what comes with licensing the movie/music. When the new Higher quality formats come out, I should be able to get everything I own in those formats for a nominal fee. I want to be able to access my licensed data anywhere I see fit.
Can I get an eye poke?
Dog House Forum
http://audiocoding.com/download.php
no, no, no.
There *is* more than a snowball's chance in hell here. If you read the topic, it says label would pay the PUBLISHER, not the artist. I'm not sure exactly how that all works, or even if that's right, but if you look on a cd, you'll see something along the lines of "All songs published by SomethingSomething/BMI." Where BMI is one of a few publishing houses.
--- What