Digital Music Sales Skyrocket in 2005

Luke PiWalker writes "The market for digital music hit $1.1 billion in 2005, more than triple 2004 sales. But the industry, wanting to wring the maximum profit out of the consumer, remains fixated on piracy." From the article: "The IFPI also called on ISPs to join the fight against music piracy, which it claims severely erodes the profits of its 1,450 member record companies across the globe. The IFPI added that the legitimate music business was gradually gaining ground on digital piracy. It said research showed that in Europe's two biggest digital markets -- Britain and Germany -- more music fans are now legally downloading music than illegally file-swapping."

Comments

My plumber explained it to me

[ianscot]

Had a plumber in a while ago who was a real talker and a bit of a flake. While he was under the kitchen sink fixing my bad work, he saw that the iMac on the low counter there was showing iTunes where the kids had left it.

The plumber's take on the RIAA and those horrible pirates was:

People discovered that they could do all these cool things with song files -- remix, carry them in their mp3 players, rip, burn -- and there was an enormous demand to do those things. The pressure of that demand caused all sorts of leaks in the RIAA's old pipe full of money.

The RIAA, naturally, started running around in a panic trying to plug the leaks. For every one they plugged, they got more; the demand created that much pressure, and it's not going to be possible to sue every pirate or plug every spot in an entire pipe. It stops being a pipe at that point and turns into something else.

What they needed to do was add a release valve that they could control, but they didn't want to do that. It took third parties like Jobs with iTunes to show them how the pressure could go in a place they directed it. Now that they've let a bit of the pressure out, they're still trying to plug holes though. They don't see that they should concentrate on a workable new system that gets people the water they need rather than setting up a bunch of jury-rigged patches for problems with the old one.

He also included a choice word or two about the "plumber's crack" in the RIAA's thinking, but I won't repeat that here. ;-)