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Allofmp3 Restarts Business

An anonymous reader writes "With a pretty short message on their blog, Allofmp3 announced that they will resume their music store soon. According to a Russian court, their music store did not violate any copyright law in Russia, so there was no reason for them to keep it closed."

226 comments

  1. Legal nuance by Sunburnt · · Score: 5, Funny

    According to a Russian court, their music store did not violate any copyright law in Russia,

    Ha! Silly Russians! In Capitalist America, copyright law violates YOU!

    --
    Tags != Comments, and -1 (Troll) != -1 (I Would Respond Angrily To This Poster So They Must Be Trolling)
    1. Re:Legal nuance by Anonymous Coward · · Score: 0

      duh..? Way to spoil the best joke I've seen on /. for a long time. May the RIAA take your computer and sacrifice it in their eight-track crushing department.

    2. Re:Legal nuance by WED+Fan · · Score: 3, Insightful

      SAFE PORT Part II is probably in the works.

      The new U.S. law will probably make it illegal to download music from and site hosted in a country that is not in alignment with U.S. IP laws.

      Note: I am very much in favor of IP. I think it is a goodness. However, I also believe that terrorist tactics used by the RIAA are immoral and artists, while upholding their IP rights, should disown and disavow the RIAA.

      --
      Politics is the art of looking for trouble, finding it everywhere, diagnosing it incorrectly and applying the wrong fix.
    3. Re:Legal nuance by hackstraw · · Score: 4, Insightful

      The new U.S. law will probably make it illegal to download music from and site hosted in a country that is not in alignment with U.S. IP laws.

      Why stop at music? Why not all "intellectual property"?

      That will in effect make much of the internet "illegal" which would probably be a good thing, because then we will have the choice as to which laws we want to follow. Funny, isn't that how multinational corps work?

    4. Re:Legal nuance by XSforMe · · Score: 2

      This and the resurrection of suprnova.org leave little doubt in my mind on who is winning this war.

      --
      My other OS is the MCP!
    5. Re:Legal nuance by johnsmith_12345 · · Score: 1

      Don't forget the French website that lets you listen to streaming music.
      It was on /. yesterday.

      Victory will be ours.

    6. Re:Legal nuance by eniac42 · · Score: 2

      Seriously though, *all* music? What happens to public domain works, or works released under GPL-type licences? How long before the same principle is applied to software? What it the US take the same approach for material the "infringes" software patents?

      The rights of *all* works should be protected - including those works release for free under public licenses.

      --
      "A nation that forgets its past is doomed to repeat it." - Churchill
    7. Re:Legal nuance by StikyPad · · Score: 3, Insightful

      No kidding. I, for one, am sick and tired of the RIAA blowing up innocent civilians. Er, wait.. I'm sick of them taking hostages and demanding passage to a foreign country. Oh wait.. I'm sick of them using aircraft as weapons.

      Can we stop using the word "terrorism," and its derivatives, to describe any unsavory act? The proper term in this case would be extortion, or perhaps coercive actions. That's not what terrorists do, it's what petty thugs do. When they start storming concert halls with small arms and tear gas, then by all means, let's start calling them terrorists. Until then, can we please keep things in context?

    8. Re:Legal nuance by Anonymous Coward · · Score: 0

      Please.. that website will shut down as soon as someone raises their voice.

      Visitor: "Holy Sh!t, you have pre-Experience Hend.."
      Website: "OK, we'll shut it down!"
      Visitor: "rix on he.. huh?"
      Website: "Oh, sorry.. we thought you were upset. Actually, we're going to shut down pre-emptively, just in case."

    9. Re:Legal nuance by Lawn+Jocke · · Score: 1

      >Can we stop using the word "terrorism," and its derivatives, to describe any unsavory act?

      Pushing forward their own (twisted) ideals and intimidating a large population by aggressively targeting a few, and often times the most vulnerable, sounds a lot like terrorist practices to me. Your point stands that the phrase "terrorism" is overused, but in this case it may be a valid comparison.

      --
      Maybe if this sig is witty or clever enough, someone will love me...
    10. Re:Legal nuance by StikyPad · · Score: 1

      Sorry, but there's a big difference between fear for one's life and limb with no knowledge of what actions or locations might put oneself at risk (as irrational as that fear may be), and fear of getting sued for file sharing. Namely, the latter is generally avoidable and, at worst, potentially rectifiable. Also the term "bloody court battle" almost never involves actual blood, which is amazing when you think about it, and makes you wonder where lawyers actually do their feeding.

    11. Re:Legal nuance by Lawn+Jocke · · Score: 1

      terrorism -noun 1. the use of violence and threats to intimidate or coerce, esp. for political purposes. 2. the state of fear and submission produced by terrorism or terrorization. 3. a terroristic method of governing or of resisting a government. No need to apologize. Comparing MAFIAA tactics to terrorism isn't too much of a stretch, strictly speaking. Mind you, this is a comparison only. Now, perhaps you're right, and "terrorism" isn't the right word, but I'm sure you can see some of the similarities. I'm going to step down from my soapbox now and agree that there are some key differences, but I think it's also important that you step down from yours and discuss with me the similarities. Sound reasonable?

      --
      Maybe if this sig is witty or clever enough, someone will love me...
    12. Re:Legal nuance by TemporalBeing · · Score: 1

      SAFE PORT Part II is probably in the works.

      The new U.S. law will probably make it illegal to download music from and site hosted in a country that is not in alignment with U.S. IP laws.
      So you're basically going to outlaw all internet sites that are not within the U.S. or Europe? That would basically put the US in an isolationist policy with regards to the Internet, and the only people we'd be hurting would be ourselves.

      In fact, I would be willing to bet (even though I don't bet) that should something like that pass and be enforced that the U.S. would then end up at the bottom of the technology stack - behind 3rd world countries - as the rest of the world realizes the mistakes of the U.S. and doesn't make them - meanwhile, the U.S. and its IP allies are forbidding themselves from partaking in those economies...essentially putting up a reverse version of China's Internet Firewall.

      Yeah, smart. And yeah - I could see Congress trying to do it - because they really are that dumb as a group; or at least there are enough of them that are paid off well enough by the likes of the RIAA, MPAA, Microsoft, Disney, and others that they may well just not care enough and do it regardless...

      Here's hoping I'm wrong. (At least, hoping for the U.S.)
      --
      Truth is like the sun. You can shut it out for a time, but it ain't goin' away. - Elvis Presley (source: imdb.com)
    13. Re:Legal nuance by StikyPad · · Score: 1

      1. the use of violence and threats to intimidate or coerce, esp. for political purposes.

      They don't specify, but I think we can assume that "threats [of violence]" is implied in point 1. I don't think threats to hold your breath would count as terrorism, for example. All the other definitions are self-referential.

      No need to apologize.

      Agreed.

    14. Re:Legal nuance by Wanon · · Score: 1

      Because the RIAA and MPAA are the only ones who pay the government enough to make a law like that?

  2. And lo the beginning of the IP Cold War... by Anonymous Coward · · Score: 4, Insightful

    Russia has been flexing it's muscles lately in many fields, to re-establish itself as a power in the world. I would not be surprised if this is part of that muscle-stretching exercise.

    Then again it could also just be a case of IP laws not synching up between Russia and elsewhere in the world.

    1. Re:And lo the beginning of the IP Cold War... by Sigismundo · · Score: 1

      I don't think that this is Russia "flexing its muscles," since Allofmp3 is a private company. Their lawyers just said, "you know, you can actually start doing business again," and they did.

      Even though Russia has lately been making efforts to re-assert their relevance, this is small change compared to other things like claiming rights to land at the north pole or missile silos in Eastern Europe.

    2. Re:And lo the beginning of the IP Cold War... by sentientbeing · · Score: 2, Funny

      Were talking about the RIAA here.

      If you think nuclear war or an invasion of the North Pole is more important than copyright, youre smoking crack.

      --

      ------
      beware he who would deny you access to information, for in his mind he dreams himself your master
    3. Re:And lo the beginning of the IP Cold War... by Magada · · Score: 1

      Silos? What silos?

      --
      Something bad is coming when people are suddenly anxious to tell the truth.
    4. Re:And lo the beginning of the IP Cold War... by Aleksej · · Score: 1

      Just wait for the part 4 of the Civil Code, coming here in 2008... It probably is going to kill that site. Not to mention locking 15 years of public domain up into copyright again.

    5. Re:And lo the beginning of the IP Cold War... by Jugalator · · Score: 1

      Allofmp3 has supported themselves with that they're treated as "broadcasting" music and therefore has to pay neglible fees compared to otherwise, so I think it's just about the IP laws not equalling the US laws. That's also in part why US is trying to block Russia from entering the WTO. They have to "fix" their copyright laws first.

      --
      Beware: In C++, your friends can see your privates!
    6. Re:And lo the beginning of the IP Cold War... by Dan541 · · Score: 1

      No they don't there is nothing wrong with the Russian laws the U.S should fix theirs! ~Dan

      --
      An SQL query goes to a bar, walks up to a table and asks, "Mind if I join you?"
    7. Re:And lo the beginning of the IP Cold War... by RealGrouchy · · Score: 1

      Russia has been flexing it's muscles lately in many fields, to re-establish itself as a power in the world. I would not be surprised if this is part of that muscle-stretching exercise. While they might be doing this to piss off the Americans, I doubt it, because they'd be more interested in corporate money than U.S. politics.

      However, even if they were, and if the U.S. politicians fell for it, it would just incite the U.S. politicians to oppose this even more diametrically, to prove to U.S. citizens that their way is the one true "democratic" way. The populace would suffer from it.

      - RG>
      --
      Hey pal, this isn't a pleasantforest, so don't waste my time with pleasantries!
    8. Re:And lo the beginning of the IP Cold War... by emilper · · Score: 1

      Then again it could also just be a case of IP laws not synching up between Russia and elsewhere in the world. The Russian law says anyone distributing "music" has to pay, to a central office, a certain amount of money per each piece sold and those money can be claimed by the copyright holders. I wonder if that fee is smaller than what they get from iTunes ...
  3. Global Economics by Anonymous Coward · · Score: 2, Funny

    I wonder if this is how foreign nations plan to break the U.S., by bootlegging our digital commodities and harming our most influential industry?

    1. Re:Global Economics by Sunburnt · · Score: 4, Funny

      I wonder if this is how foreign nations plan to break the U.S., by bootlegging our digital commodities and harming our most influential industry?

      What, exactly, does this have to do with the defense industry?

      --
      Tags != Comments, and -1 (Troll) != -1 (I Would Respond Angrily To This Poster So They Must Be Trolling)
    2. Re:Global Economics by Anonymous Coward · · Score: 0

      Since Russia is America's no.1 enemy. Haven't you seen Rocky IV ?

    3. Re:Global Economics by Hognoxious · · Score: 1

      Huh? Is it out already?

      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
    4. Re:Global Economics by brewer13210 · · Score: 1

      No, the plan is to undercut out labor costs and move most of the manufacturing in the US offshore...OH WAIT!

      Todd
    5. Re:Global Economics by eneville · · Score: 1

      Since Russia is America's no.1 enemy. Haven't you seen Rocky IV ? US women are eastern prostitutes. Haven't you seen The Mechanik?
    6. Re:Global Economics by Kjella · · Score: 1

      Well you could invade all those pirate countries... but I fail to see how that would break the "defense" industry.

      --
      Live today, because you never know what tomorrow brings
    7. Re:Global Economics by Anonymous Coward · · Score: 0

      I, for one, welcome our new bootlegging overlords.

    8. Re:Global Economics by RealGrouchy · · Score: 1

      I wonder if this is how foreign nations plan to break the U.S., by bootlegging our digital commodities and harming our most influential industry? What, exactly, does this have to do with the defense industry? Their latest album? Tanked.

      - RG>
      --
      Hey pal, this isn't a pleasantforest, so don't waste my time with pleasantries!
  4. Re:Ah well, there you go by xebecv · · Score: 1, Funny
  5. Obligitory.. by Jaysyn · · Score: 0, Offtopic



    HAHA!

    --
    There is a war going on for your mind.
    1. Re:Obligitory.. by Jaysyn · · Score: 1

      Slashdot broke my Nelson Muntz tags.

      --
      There is a war going on for your mind.
  6. If you can't beat em', join em' by Anonymous Coward · · Score: 5, Insightful

    Maybe finally the RIAA will realize that allofmp3's pricing scheme and business model works and proves that if you price it right and don't use DRM, people will readily pay for music even if it is available for free on P2P.

    allofmp3 provided/provides:
    A great rating/linking system - "People who bought this also bought...","Similar artists..." - Great way to get "the word" out on new music without any advertising costs whatsoever.
    Convenience - No DRM, no "special" download app that tied you to Windows (even if just for downloading). (Yes, there was allTunes, but you could always just download using a normal old browser)
    Selection - allofmp3's selection was better than any other online music store I've used, except possibly for iTMS, although due to the DRM I haven't touched iTMS since PyMusique/SharpMusique stopped working.

    They also happened to have great prices, but I'd happily pay double the prices of what allofmp3 charged.

    Rather than try and sue them out of business, the RIAA should instead drive them out of business the capitalist way - with some nice good competition. Offer the same selection, convenience, organization, and interface as allofmp3, and compromise prices between allofmp3's (admittedly too low) and the RIAA's (way too high for "impulse buys" of tracks/albums I'm not sure about.

    While the per-track/per-album price of allofmp3 is much lower, many people (myself included) spend MUCH more money in total there because at allofmp3's prices, there is little risk to buying a whole album as an "impulse buy" when you came for just a single track. RIAA pricing encourages single-track purchasing (odd, since the RIAA is so desperate to encourage full-album purchases.)

    1. Re:If you can't beat em', join em' by Durrok · · Score: 2, Funny

      Yeah, and maybe pigs will fly and shit magical rainbows out there ass.

      --
      I keep telling myself I'm not the desperate type.
    2. Re:If you can't beat em', join em' by YrWrstNtmr · · Score: 3, Insightful

      Maybe finally the RIAA will realize that allofmp3's pricing scheme and business model works and proves that if you price it right and don't use DRM

      You can price anything right if you choose not to pay your suppliers.

    3. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 1, Informative

      Yeah, and maybe pigs will fly and shit magical rainbows out there ass. If you insult someone, at least try to use proper grammar.

      It's "their". Actually, it's "... rainbows out of their asses".
    4. Re:If you can't beat em', join em' by Sique · · Score: 4, Insightful

      And according to the russian court, they were paying their suppliers (or at least the representatives of their suppliers) rightly.

      --
      .sig: Sique *sigh*
    5. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      Sadly, I think this is the more likely outcome. :(

      (author of the parent to your post)

    6. Re:If you can't beat em', join em' by Twisted+Willie · · Score: 1

      You can price anything right if you choose not to pay your suppliers Exactly. With Allofmp3 back in business, you now have 3 basic choices for your online music. 1. Download illegally and pay nothing 2. Download legally, and pay the copyrightholder 3. Download questionably, and pay some Russian bloke so he can drive a nice car Something like Allofmp3 would stand a much better chance of waking up the RIAA if they could manage to pull it off in a country that has comparable copyright laws to the US. I love the businessmodel, but don't kid yourself. By using them, you're essentially paying to silence your conscience.

    7. Re:If you can't beat em', join em' by FauxPasIII · · Score: 5, Insightful

      > You can price anything right if you choose not to pay your suppliers.

      ... but enough about the RIAA.

      --
      25% Funny, 25% Insightful, 25% Informative, 25% Troll
    8. Re:If you can't beat em', join em' by Andy+Dodd · · Score: 4, Insightful

      Have you seen the breakdown of who gets what from albums these days?

      Despite the high prices for the consumer, the supplier (artist) gets almost nothing.

      Current track prices are way too high ($1.30 for usable content with an incredibly limited selection), and while allofmp3's were too low (10-25 cents/track depending on length and compression), a compromise somewhere between the two (maybe 50 cents for no-DRM) would likely be quite successful.

      They could even reduce advertising budgets significantly and simply use the "similar artists" and "people also bought x" features that most good online stores have nowadays.

      --
      retrorocket.o not found, launch anyway?
    9. Re:If you can't beat em', join em' by Klaruz · · Score: 4, Informative

      Allofmp3 payed ROMS, but the RIAA's russian branch (IFPI) refused to take payment.

      http://blogs.allofmp3.ru/music_news/2007/08/27/ifp i-refused-to-recieve-royalties-in-russia/

    10. Re:If you can't beat em', join em' by eric76 · · Score: 1

      10 to 25 cents per track is about right.

    11. Re:If you can't beat em', join em' by YrWrstNtmr · · Score: 1

      Not fully decided yet, but even if that were the case...does any of that money trickle back to the actual copyright holder, be it the RIAA (gag,gag) or the artist? Apparently, no.

      Don't get me wrong...the RIAA is evil and needs to die a horrible death. But paying some guy is Russia is even less beneficial to the artist than the RIAA is.

    12. Re:If you can't beat em', join em' by kryptkpr · · Score: 3, Informative
      They have offered to pay royalties, but were turned down:

      Major record labels once again refused to accept royalty payments from Russian on-line music stores.

      IFPI refused to receive money from the Russian royalty collecting entity ROMS (Russian Organization on Collective Management of Rights of Authors and Other Rightholders in Multimedia, Digital Networks & Visual Arts). Although ROMS operates within the law, IFPI insists that the only entity which could act on behalf of the labels and other rightholders and collect royalties is the Russian branch of IFPI (RPA - Russian Phonographic Association) and refuses to accept anything from ROMS.


      What would you like them to do, start mailing cheques directly to the artists?

      Sources: allofmp3 blog, which links to russian papers.
      --
      DJ kRYPT's Free MP3s!
    13. Re:If you can't beat em', join em' by YrWrstNtmr · · Score: 1

      Why did the IFPI refuse royalties from ROMS? Could be many reasons. Maybe the terms were not to IFPI's liking, and ROMS would not budge. Maybe the leadership of the IFPI is getting personal kickbacks from ROMS/AllOfMP3 (above are purely fictional reasons). We don't know.

      But my initial assertion still stands. If you don't have to (for whatever reason) pay the ultimate supplier, you can price anyone else out of business.
      The trail of money from 'you' - AllOfMP3.com - ROMS...stops at ROMS.

      What would you like them to do, start mailing cheques directly to the artists?

      Sure. Why not? That exact scenario is promoted loudly in here.

    14. Re:If you can't beat em', join em' by timeOday · · Score: 1

      You can price anything right if you choose not to pay your suppliers.
      It's no different than WalMart going to China for cheaper goods... pennies on the dollar vs. what US suppliers charge. Hint: manufacturing is cheaper in China because US law does not apply!
    15. Re:If you can't beat em', join em' by Kjella · · Score: 1

      Selection - allofmp3's selection was better than any other online music store I've used

      Well doh. When you're hiding behind a statutory license and can sell whatever you want whether the copyright holder likes it or not, of course you got perfect selection.

      You've also killed the ability to control where your goods are sold. The bad analogy aside, would you like it if Wal-Mart had a statutory license to sell goods, whether the producer liked it or not? Oh yeah and at a fixed, extremely low cost to Wal-Mart too.

      Beyond the "Cool, I get cheap music" this is the kind of totalitarian socialism where the state expropriates goods, then sells it at plan economy prices. The russian government could drop the license fees to 10% or 1% tomorrow and there's nothing those who produced it can do. You can't compete against an arbitrary price set by someone with no expenses.

      --
      Live today, because you never know what tomorrow brings
    16. Re:If you can't beat em', join em' by monxrtr · · Score: 0

      You can make music and price it right too if arbitrary violent restrictions aren't used to prevent you from copying others. But if you don't COPY you can't make music, or communicate in languages either.

      --
      "From DNA to P2P, we are all Copycats now. Go Go Copycat Power! Copycat Powers activate! Form of, a Copycat." --monxrtr
    17. Re:If you can't beat em', join em' by richie2000 · · Score: 1

      When you're hiding behind a statutory license and can sell whatever you want whether the copyright holder likes it or not, of course you got perfect selection. You mean just like radio works in the US?
      --
      Money for nothing, pix for free
    18. Re:If you can't beat em', join em' by kir · · Score: 1

      Yes. Because it's always good when U.S. law doesn't apply.

      http://www.msnbc.msn.com/id/19638526/site/newsweek /

      --
      3cx.org - A truly bad website.
    19. Re:If you can't beat em', join em' by monxrtr · · Score: 1, Funny

      You can't compete against an arbitrary price set by someone with no expenses. And that's why people stopped TALKING once the internet started up, since they couldn't collect royalties for their words anymore. So people just remained SILENT for over a decade now. All artistic and scientific advancement involving words ceased. Oh wait ...
      --
      "From DNA to P2P, we are all Copycats now. Go Go Copycat Power! Copycat Powers activate! Form of, a Copycat." --monxrtr
    20. Re:If you can't beat em', join em' by Maximum+Prophet · · Score: 1

      What would you like them to do, start mailing cheques directly to the artists?
      Absolutely. Nothing would stick it to the RIAA more than direct checks written to the artists. Especially artists with issues with their record companies.

      They should also escrow all the money destined for artists that they can't verify or contact.
      --
      All ideas^H^H^H^H^Hprocesses in this post are Patent Pending. (as well as the process of patenting all postings)
    21. Re:If you can't beat em', join em' by jb.hl.com · · Score: 1

      Wow... similar artist selection... no DRM... massive selection. How innovative. Sounds exactly like... buying CDs from Amazon.com.

      Altho I suppose allofmp3 is good if you just want to be cheap.

      --
      By summer it was all gone...now shesmovedon. --
    22. Re:If you can't beat em', join em' by Flipao · · Score: 0

      Oh, please. There's no overhead cost on MP3s, not cd pressing, labelling, etc... regardless of whether allofmp3's pricing scheme is legal or not, it works, and with a revenue sharing scheme it would be far better for artists than the current one.

      The reason?, with sites like Itunes, people choose to download tracks illegally rather than pay their stupid prices, with allofmp3 people are willing to pay for the music. Me, I'd rather see record labels die a slow and painful death, and change their business model to some form of music marketing, they're not needed.

    23. Re:If you can't beat em', join em' by Fallen+Kell · · Score: 5, Insightful

      Again, included in their current price is the costs that they have to legally hold aside and give to ROMS when they sell a track/album. The money is already in ROMS hands, they have already collected it. And in ACCORDANCE with LAW! Just because the RIAA and IFPI (which is the new extension) do not like the law doesn't mean that they can do anything about it in the way they are trying (i.e. get the World Trade Unit, and the European Union, and the USA to force Russia to shut down a perfectly legal business by mandating that Russia will not be allowed to join the European Union until it shuts these places down, because they already tried to lobby for the laws to change and failed (it appears that the Russians are not a susceptible to "contributions" as their American and European counterparts)).

      They are abiding by their laws as written. ROMS is the legal entity to send copyright payments to under Russian law. ROMS is setup to pay the appropriate copyright royalties to the proper owner(s) when officially notified by the proper owner(s). The check then goes in the mail (and future payments go in the mail as they arrive). They simply have a system in place to make sure the proper owner of the copyright is compensated, and not someone with the false claim to the copyright, and this is in accordance to LAW. Stop complaining that you don't like it. I don't like the fact that women in Saudi Arabia need to keep their heads covered, but that is the law in that country. Same thing with no being able to chew bubble gum in Singapore...

      --
      We were all warned a long time ago that MS products sucked, remember the Magic 8 Ball said, "Outlook not so good"
    24. Re:If you can't beat em', join em' by certain+death · · Score: 0

      What would be really unique is if said pigs shit out of their MOUTHS!

      --
      "My immediate reaction is "WTF? What kind of moron doesn't make things 64-bit safe to begin with?" Linus
    25. Re:If you can't beat em', join em' by Aladrin · · Score: 1

      Actually, they -did- pay the money to the Russian government agency that was responsible for paying the RIAA/etc. That agency was the one unable to finish the payment. The money didn't end up in AllofMP3's hands.

      So while they may not have had to pay the 'ultimate supplier', they still had to pay.

      On the other hand, I believe the amounts they were paying were less than if they'd been in the US. So in that sense you are correct... They had lower costs and competition would be ineffective. (I believe this was also the reason the payments were refused.)

      --
      "If you make people think they're thinking, they'll love you; But if you really make them think, they'll hate you." - DM
    26. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      just like the piratebay. they make 9 mill a year on advertsiing, whilst giving other peoples work away for free.

    27. Re:If you can't beat em', join em' by Paradise+Pete · · Score: 1
      But my initial assertion still stands. If you don't have to (for whatever reason) pay the ultimate supplier, you can price anyone else out of business.

      But the real point is that there is a viable market for unencumbered downloads at a reasonable price. And It almost certainly doesn't have to be the price these guys are charging, but the industry wants to cling to its old-world model of making money.

    28. Re:If you can't beat em', join em' by shark72 · · Score: 1

      "Maybe finally the RIAA will realize that allofmp3's pricing scheme and business model works and proves that if you price it right and don't use DRM, people will readily pay for music even if it is available for free on P2P."

      Laws would have to change here first. Although the record companies have ways to get around it, statutory royalties are $0.08 per track each for the songwriter and lyricist. This wouldn't go over well with the "the artists don't get enough money" crowd, as adopting Russian-style pricing would require that the artists get screwed even more.

      "Rather than try and sue them out of business, the RIAA should instead drive them out of business the capitalist way - with some nice good competition. Offer the same selection, convenience, organization, and interface as allofmp3, and compromise prices between allofmp3's (admittedly too low) and the RIAA's (way too high for "impulse buys" of tracks/albums I'm not sure about."

      The iTunes Store is still experiencing accelerating growth. A buck a track is below the impulse buy point for many, many people.

      Remember, Warner posted a loss last quarter because people are buying too many digital tracks, and they're just not enjoying the profit margins they made on CDs. Let's all repeat this like we have been doing for ten years: "Record companies make high margins on digital tracks. The cost of distribution is zero and thus amortized cost of production is zero." Now, let's check. Is it true? No. Did repeating it magically make it true? No. Let's keep chanting it for another ten years, then, and wonder why the record companies haven't caught on to the brilliant idea of selling tracks for a dime apiece.

      In the meantime, I'm still waiting for somebody here in the US to take AC's sage advice and figure out how to pay the artists, pay for the costs of production, and sell tracks for a dime each (the Russians are able do it because they need only fork over a percentage of the sale price, and are not responsible for the costs production). Not a week goes by when some Slashdotter doesn't point out how brutally obvious this business model is. Yet nobody steps up.

      --
      Sitting in my day care, the art is decopainted.
    29. Re:If you can't beat em', join em' by flink · · Score: 4, Insightful

      Current track prices are way too high ($1.30 for usable content with an incredibly limited selection), and while allofmp3's were too low (10-25 cents/track depending on length and compression), a compromise somewhere between the two (maybe 50 cents for no-DRM) would likely be quite successful.
      I wouldn't say that allofmp3 prices were too low. At $0.03/MB, a 3:30 FLAC song weighs in at 22.5MB/$0.67 and a ~62 minute album is 417MB/$12.51. I can walk into Newbury Comics and get most albums on CD for $10 to $14. Buying music online should be cheaper for the consumer, not just more profitable for the distributer, who doesn't pay any of the costs associated with physical media. $1.30 per track on iTunes is outrageous.

      (Part of this post was recycled from this one)
    30. Re:If you can't beat em', join em' by andreyw · · Score: 1

      Not quite. Not sure in case of "western music" (you're probably right), but AllOfMp3 was my best way to *legally* obtain Russian (read: non-RIAA mandated, in the first place) music.

    31. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      You can price anything right if you choose not to pay your suppliers.

      Like textile companies using overseas labor that costs pennies a day, is that what you mean? Big business *loves* globalization when it saves them money, but it's "teh evil" when they don't get to participate in the profits themselves.

    32. Re:If you can't beat em', join em' by networkBoy · · Score: 1

      By using them, you're essentially paying to silence your conscience Deal!

      Though in all honesty, I buy from them, not to silence my conscience, but rather because it is safer (legally and malware wise) than P2P and vastly more usable than iTunes (seeing as all but one of my music players are !iPods).

      What's more, I've bought nearly my entire library from them because it was cheaper for me to trade money than time. I have >500 CDs and I estimate that ripping and cataloging the library would have taken me about 100 hours of my time. In 100 hours I make more money after tax than it costs to buy from AllOfMP3.
      -nB
      --
      whois gawk date unzip strip find touch finger mount join nice man top fsck grep eject more yes exit umount sleep dump
    33. Re:If you can't beat em', join em' by YrWrstNtmr · · Score: 1

      Yes, I do understand that it is legal within their laws to do what they are doing. However, my take on it is this:
      One guy tells another guy "Give me a dollar, and I'll give you permission to sell some other persons stuff. He did not tell me directly that this was OK, but that's too bad for him. This is within 'our' laws, so don't worry."

      And to the artists/RIAA/whoever:
      "We're going to distribute your works. Here is the deal we'll give you. If you don't like this particular amount, tough. We'll distribute it anyway."

      If someone made a profit from your work, without your agreement, or any compensation to you except as under their terms...you wouldn't like it either.

      standard disclaimer - The RIAA is a bunch of theives and needs to die a horrible death.

    34. Re:If you can't beat em', join em' by ErikZ · · Score: 1


      Really? They've only been losing money from that? Not from their heavy handed tactics driving people away from buying CDs?

      I haven't bought a CD in years because of the RIAA. It's *entertainment*. It's not air. I won't die without it. I actually enjoy driving with the radio off now.

      --
      Democrats or Republicans. They are both taking us to the same place and they are not afraid of us anymore.
    35. Re:If you can't beat em', join em' by dm0527 · · Score: 1

      While the grammar made me cringe a bit, the intent was hilarious. Why its mod is set as "Insightful" is beyond me, but that's no fault of the original author.

      --
      - dm - The two most common elements in the universe are Hydrogen and stupidity.
    36. Re:If you can't beat em', join em' by arodland · · Score: 3, Interesting

      Except, of course, that the "one guy" is a sovereign nation enforcing its laws (specifically, as regards compulsory licensing). And in truth the situation isn't all that different from what pertains in the US. ROMS is essentially equivalent to an organization called SoundExchange, which collects those compulsory-license royalties you've heard about on webcasts, and is a division... you guessed it... of the RIAA. Russians just happen to enjoy a slightly broader license grant under their system than do Americans under theirs. So this is a case of "your laws are different from ours... OMG IP terrists!"

    37. Re:If you can't beat em', join em' by Pxtl · · Score: 1

      Well, logically they would have better prices and don't care about DRM, since they don't have to pay the artists or promotion costs of the music. Shocker.

      I can understand buying music from a store - you get the real kosher copy, and you support the artist.

      I can understand getting your music for free, through a P2P setup. It's free. Duh.

      I can't understand paying for someone to pirate stuff for you. It seems like the worst of both worlds - you lose money AND you don't get that clean feeling from paying legitimately.

      I don't get it.

    38. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      Isn't that what the music industry has done to most artists for decades?

      Of course it is easier to make money by lobbying the government to extend copyrights further and further out.

    39. Re:If you can't beat em', join em' by reanjr · · Score: 1

      As far as I understand it, ROMS can only provide rights to IP that was released in Russia. The RIAA chose to enter the Russian market and abide by their laws, so they already agreed to deal with ROMS and take the compensation ROMS offers. It's the RIAA's fault if they are not happy with the deal.

    40. Re:If you can't beat em', join em' by alienw · · Score: 1

      Guess what, douchebag, that's exactly the same system as in the US. Unless you are a SoundExchange member, you won't receive any part of the money they collect on your behalf. And guess what: most small and/or foreign artists do not belong to major labels. Even the ones that do typically receive hardly any money: most of it is retained by the label.

    41. Re:If you can't beat em', join em' by gn0min0mic0n · · Score: 1

      I like the fact that AllofMP3 allows you to customize your music, with several formats and bit rates available. If only all online music stores gave us such flexibility (and lower prices), I'd be more likely to start using something like iTunes or Napster (I do use Rhapsody, and am thinking about giving Yahoo Music a try, as well).

      --
      What is understood, need not be discussed.
    42. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      So it's like you coming into my store and getting to the checkout and me refusing payment and calling the cops on you for stealing. Brilliant!

    43. Re:If you can't beat em', join em' by shark72 · · Score: 1

      "Really? They've only been losing money from that? Not from their heavy handed tactics driving people away from buying CDs?"

      If you read Slashdot long enough I can see how you'd make that assumption, so I understand where your question is coming from. But it's not correct. There are certainly fringe folks who are boycotting the music industry, but as a whole, consumers are buying as much music as ever. For instance, iTunes' growth is still accelerating. Around here folks like to state that the business model is dead, and that piracy is the holy sword of justice that has delivered the killing blow, but I disagree.

      Is piracy hurting record sales? To some extent, yeah, but I won't hazard a guess at how much. The important thing is that Warner's sales have been flat for a while (Warner might like to tell you that they'd be seeing growth if it weren't for you and your lousy pirating friends), and the really important thing is that their net margin is down -- in the red, in fact. And it's because people (like me) are replacing CD purchases with online purchases. Warner hasn't yet figured out how to make as much money on digital sales as CD purchases (and here again is where the "amortized cost of sale for digital delivery is zero" crowd gets utterly boggled), and they'll be bleeding red for a while until they figure this out.

      --
      Sitting in my day care, the art is decopainted.
    44. Re:If you can't beat em', join em' by Door+in+Cart · · Score: 1

      Maybe finally the RIAA will realize that allofmp3's pricing scheme and business model works and proves that if you price it right and don't use DRM, people will readily pay for music even if it is available for free on P2P.

      What's the efficient market price of a commodity with zero scarcity? The willingness to pay for freely copyable files (free as in beer) is an artifact of a bygone era. It is slowly disappearing at approximately the same rate as are brick-and-mortar record stores.

    45. Re:If you can't beat em', join em' by seanadams.com · · Score: 1

      So it's like you coming into my store and getting to the checkout and me refusing payment and calling the cops on you for stealing. Brilliant!

      Don't be daft. It's more like you come into my store and offer me $0.01 for a case of beer, and I refuse, and you walk out of the store with the beer anyway.

      You can't just name your own terms/price, and only if the seller accepts payment is a sale consummated. Conversely, the RIAA would have a rather hard time going after allofMP3 for copyright infringement if they were accepting payments from them, as that would legitimize their activity.

    46. Re:If you can't beat em', join em' by RAMMS+EIN · · Score: 1

      ``Maybe finally the RIAA will realize that allofmp3's pricing scheme and business model works and proves that if you price it right and don't use DRM, people will readily pay for music even if it is available for free on P2P.''

      But why sell your music for $0.10 per track without DRM if you can sell it for $0.99 per track with DRM? Last I checked, iTunes Music Store was still going strong, and they're doing exactly the latter.

      As a side note, the whole music downloading circus nicely illustrates the machinations of monopolies. Rather than competing on price, quality and service, as happens in free markets, the copyright holders are using the legal system to battle their competitors. And having a hard time, apparently, because even with the powerful US government on their side, they don't seem to be winning.

      Of course, the same arguments that apply to pirating commercial software also apply to pirating commercial music (though perhaps to a different extent). For many levels of piracy, the rights holders still win; they might even win more. This is because piracy leads to increased poliferation, which strengthens the network effects that make your product more desirable, and thus more valuable.

      --
      Please correct me if I got my facts wrong.
    47. Re:If you can't beat em', join em' by monxrtr · · Score: 0

      If someone made a profit from your work, without your agreement, or any compensation to you except as under their terms...you wouldn't like it either. Exactly. But yet those musicians have the gall to continue to make music anyways. And they've been doing so for many centuries too, roaming, playing at festivals. And let's just not just limit it remunerative monetary compensation. How many women have been wooed?! Those romances rightfully belong to those who created the fundamentals of music! Any musician who garnered romance from playing music is literally pirating the booty!
      --
      "From DNA to P2P, we are all Copycats now. Go Go Copycat Power! Copycat Powers activate! Form of, a Copycat." --monxrtr
    48. Re:If you can't beat em', join em' by bi_boy · · Score: 1

      Rather than try and sue them out of business, the RIAA should instead drive them out of business the capitalist way

      That is the capitalist way. In America at least.

      --
      Chicken fried butter sticks? Do ... do you use a fork? - Black Mage, 8-Bit Theater
    49. Re:If you can't beat em', join em' by mrchaotica · · Score: 1

      Why did the IFPI refuse royalties from ROMS? Could be many reasons. Maybe the terms were not to IFPI's liking, and ROMS would not budge.

      ROMS is backed by the sovereignty of the Russian Government. The only influence IFPI could have to get royalties is the influence the Russian Government, as a sovereign nation, allows it to have. Therefore, it's not in IFPI's power to decide what royalties it wants; it either takes what ROMS offers or it can go pound sand.

      IFPI should be happy; Russia would be perfectly within its rights to declare everything produced by the publishers IFPI represents as Public Domain. In many places, copyright isn't considered to be a natural right, you know. For example, in the United States it's a construct of government that exists only for the specific purpose of "promoting the progress of science and the useful arts." In Russia, it might be the same; I don't know. But in any case, aside from international treaties -- which Russia, as a sovereign nation, can obey or disobey as it sees fit -- the IFPI is entirely at the mercy of Russian copyright law.

      If the IFPI wants a better deal, the only thing it can do is try to convince Russian citizens to change the law. And that's exactly how it should be!

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

    50. Re:If you can't beat em', join em' by Alsee · · Score: 1

      >What would you like them to do, start mailing cheques directly to the artists?
      Sure. Why not?


      Yeah that would be great. But yeah, there's a "why not".
      The RIAA contracts prohibit artists from accepting the money directly. Those contracts also assign ownership of the copyright to the RIAA companies, making it almost impossible for Russian law to properly and cleanly permit the money to be directly assigned to the artists, especially considering that the "artist" of any given work often consists of a group of individuals.

      The RIAA refuses to accept the money on behalf of the artists, and the RIAA prohibits member artists from collecting it themselves.

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    51. Re:If you can't beat em', join em' by mrchaotica · · Score: 4, Informative

      Don't be daft. It's more like you come into my store and offer me $0.01 for a case of beer, and I refuse, and you walk out of the store with the beer anyway.

      No, it's more like he walks into your store and offers you $0.01 for a case of beer, you refuse, a passing police officer reminds you that the $0.01/case price is fixed by law and declared to be fair , and he walks out of the store with the beer.

      You can't just name your own terms/price

      AllOfMP3 didn't! The Russian government named its price, and AllOfMP3 complied.

      Conversely, the RIAA would have a rather hard time going after allofMP3 for copyright infringement...

      ...and that's exactly the way it should be, since AllOfMP3 wasn't committing it, according to Russian law -- which, incidentally, is the only law that matters in this discussion, whether you like it or not!

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

    52. Re:If you can't beat em', join em' by PCM2 · · Score: 1

      it appears that the Russians are not a susceptible to "contributions" as their American and European counterparts

      Really? That's how it appears to you? I mean, we can interpret these current events in various different ways, but given the historic track record of Russian government workers, yours is one interpretation that never even crossed my mind.

      --
      Breakfast served all day!
    53. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      What would you like them to do, start mailing cheques directly to the artists?

      Actually, quarterly checks to the artists would be pretty cool... especially if as an indipendant artist I could go into agreement with them.

    54. Re:If you can't beat em', join em' by Pearson · · Score: 1

      Wow, great post! For some reason I'd always assumed allofmp3 was too cheap, while at the same time feeling that digital distribution should absolutely be cheaper than buying the CD from a brick and mortar. Thanks for laying it out so plainly.

      Now, off to allofmp3 to pick up some hard to find stuff I've been wanting.

      --
      I...I'm attacking the darkness!
    55. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      How do you compete with someone who gets your product to sell for free when you need to pay for it? Man you are stupid.

    56. Re:If you can't beat em', join em' by Alsee · · Score: 5, Informative

      You equate the Russian law to illegitimate legalized theft, however the Russian law involved is largely identical to US law in principle and operation.

      Both US law and Russian law grant a statutory license for any company to send absolutely any music over the internet, both US law and Russian law say that music may be sent in any format (including MP3), both US law and Russian law grant permission to do so without the permission of the copyright holder - or even to do so against the express dis-permission to do so from a copyright holder, both US law and Russian law designate a national collective body to receive the payments and to distribute those payments to the copyright holders, both US law and Russian law dictate what those royalty rates will be.

      For example Pandora.com is a US company operating under that largely identical law and sending MP3s to people perfectly legally.

      So what *is* the difference between US law and Russian law? Well there are basically two significant differences. US law has a couple of restrictions trying to prevent it from looking like a "store". If someone requests a specific song, you must wait at least an hour before sending it. You can't announce what music you are going to send. You can't send more than three songs from the same artist or two songs from the same album within any given hour. Probably one or two other quirky rules. But largely it boils down to that first rule - if someone wants to in effect "buy" a specific song download you have to wait at least an hour before initiating the transfer. Oh, and US law says the company can't *TELL* you that they sent you a download. Yeah, the good old "lets close our eyes real hard and pretend the facts of reality don't exist and maybe they will go away". Pandora.com "looks" like a "streaming" radio, and they don't *tell* you they sent you a 128kbps MP3 file download. But they did. If you take a look in your system temp folder, all the MP3 files are sitting there. They are named "Access-1" and "Access-2" etc, and they have no file extension. You just rename the file and tack on the .MP3 extension and there you go. Of course if we all close our eyes real hard we can pretend that there actually is any technical difference between a stream and a download, and we can pretend that MP3 file isn't sitting there on your harddrive, and if we squeeze our eyes shut REALLY REALLY HARD AND NO ONE PEEKS, then in a week or so the operating system will automagically delete all of the downloaded MP3 files sitting in your temp folder and *poof* the download never actually happened! Closing our eyes worked!

      Oh wait.... I almost forgot. I said there were basically TWO differences between US law and Russian law! It wouldn't be very fair at all for me write that rather long paragraph on the first difference and then quietly exit without telling what that second significant difference is, now would it?

      Well the other difference is the different royalty rates. Yeah, I guess I have to admit that is a pretty important difference. Not just an important difference, but a LARGE difference. In fact it works out to about twenty times difference in royalty rate. Yeah, a twenty time difference in money for the artists isn't even even in the same ballpark. Russian law and US law don't set anywhere near the same payments for artists.

      Oh wait... I think I might have been a bit unclear there on the difference between US law and Russian law, and particularly about those royalty rates. It's Russian that sets a twenty times higher payment rate for artists, and it is US law that sets twenty times lower payment rate for artists. Sorry if maybe you got the impression it was the other way around :) Those damn evil Russians allowing sending of MP3 files over the internet without the copyright holder's permission on the exact same statutory license legal basis as US law allows sending of MP3 files over the internet without the copyright holder's permission, and then Russia having the audacity to

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    57. Re:If you can't beat em', join em' by seanadams.com · · Score: 1

      The Russian government named its price, and AllOfMP3 complied.

      OK OK, I stand corrected!

    58. Re:If you can't beat em', join em' by el+americano · · Score: 1

      I can't understand paying for someone to pirate stuff for you.

      How about:
      1) Being shielded from a potential RIAA lawsuit.
      2) Still screwing over said RIAA.
      3) The convenience of not having to troll P2P networks.
      4) Higher quality and selection among what is easy for you to find on P2P.

      Number 4 is the most likely reason I would consider paying a small fee, but I'm just guessing on that one, since I don't know first hand if the provide quality and selection. I'd bet the iTunes crowd makes a lot of their purchases based on number 3, not necessarily on a desire to feel clean. I suppose that's why the have to price it at a level that seems like spare change.

      --
      Those are my principles. If you don't like them I have others. -Groucho Marx
    59. Re:If you can't beat em', join em' by kryptkpr · · Score: 1

      A fantastic post, kudos to you.. you've earned yourself a Fan. If I wasn't the GP, I'd mod you up :)

      Could you give some sources for the 20x difference in royalty rates between the USA (SoundExchange?) and Russia (ROMS)? It would make excellent cannon fodder for future arguments on this subject, but a quick search turned up nothing.

      As an interesting side, and more relevant to this article, what are the royalty rates of Europe (IFPI)?

      This information seems fairly hard to come by, as searching for any of the above organizations with the added term 'royalty' gives little information except royalty rates for webcasters and not online stores. Or are the two considered the same under law (since technically a store can be considered as streaming the song to the purchaser)?

      --
      DJ kRYPT's Free MP3s!
    60. Re:If you can't beat em', join em' by Alsee · · Score: 1

      I could be mistaken here, but I think your "douchebag" flame might have been premature (certainly been guilty of premature flamage myself). The main conflict here seems to be merely that YrWrstNtmr was unaware of RIAA-refusal-to-accept-$$$ and the SoundExchange/ROMS equivalence and the effectively identical basis of US and Russian law, etc. He has been defaulting to the anti-Russia side each step of the way, but that's not an unreasonable presumption considering that RIAA artists haven't been getting paid at all. However he does appear to be making reasonable logical progress each step of the way with the various new information posted to him. I'm curious to see his reply after the latest round... at which time maybe I should flame him, or maybe you should apologize for an itchy flamer finger. Grin.

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    61. Re:If you can't beat em', join em' by thealsir · · Score: 1

      This is interesting. One one hand, allofmp3.com has no obligation to abide to US laws in Russia; that's the whole point of Russian sovereignty. On the other hand, they can't live under constant threat of being shut down. They know this, and have made offers. Personally, I think it is the RIAA, combined with the modestly hegemonic US government that is creating this fiasco. Allofmp3 knows that paying insufficient royalties is unsustainable and will eventually backfire - it pisses too many people off, regardless of legality in Russia. But what can they do when various agents in the US basically say "fuck you" to offer after offer instead of agreeing to negotiate and compromise? It just makes the US government look like gangsters aligned with a corporate strong-arm mafia.

      In the end, this is only diluting the effectiveness of US copyright law abroad. You can't expect sovereign nations to agree with you on everything - and this is what certain people in the US power structure do not understand.

      The dumbasses in power just don't realize that they're hurting themselves in the long run. Maybe that's what they deserve...

      --
      Do not downmod posts "overrated" simply because you disagree with them.
    62. Re:If you can't beat em', join em' by detect · · Score: 1

      Great post.

      --
      // The fastest Alt-Tab in the West
    63. Re:If you can't beat em', join em' by Alsee · · Score: 1

      I agree that $12.51 for a FLAC album download may be a bit brokenish on the high side, but to be fair I think a few pennies for a small MP3 song a bit brokenish on the low side. I think it's the flat per-meg scheme that may be the problem.

      If I were King Of The World, my first guesstimate at low price while getting good money to artists would be 15 cents per file plus 1.5-2 cents per meg, hopefully getting halfish to the artist? That puts a basic MP3 at a quarterish and your FLAC album at $8-$10ish. And I think those prices on a nice shiny massmarketed no-legal-issues store would put a pretty good dent into P2P.

      If the price point AND getting that high a percentage to the artist seems optimistic, it's probably because I'm figuring that opening the mass market and magicking away all the legal conflict would lower the overhead of running an AllOfMP3.com type operation. If things went well I think it might be possible to trim it a bit more. Or maybe the back of my envelope has a big fat hole in it :)

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    64. Re:If you can't beat em', join em' by Abreu · · Score: 1

      Remember, Warner posted a loss last quarter because people are buying too many digital tracks

      Untrue, the record companies are posting losses because their products can be copied verbatim ad infinitum and sold in a flea markets all over the world for one tenth the price.

      --
      No sig for the moment.
    65. Re:If you can't beat em', join em' by elronxenu · · Score: 1
      Great post; please provide some citations for the assertions.

      Thanks.

    66. Re:If you can't beat em', join em' by Alsee · · Score: 2, Informative

      Might I remind you that statutory licensing is absolutely legitimate, and that the US also has fundamentally equivalent statutory licensing law, and that in fact the Russian law states that AllOfMP3.com has to pay a royalty rate TWENTY TIMES HIGHER than the royalty that US law states that Pandora.com has to pay for sending the exact same MP3 file.

      Actually I'd gladly support increasing the Russian royalty rate and massively increasing the US royalty rate to match, if we also eliminated a few defect-by-design nonsense tacked onto the US law (such as the arbitrary prohibition against sending more than three songs from the same artist or more than two songs on the same album in a single hour).

      If you think statutory licensing is illegitimate, you are just plain wrong. It is a vital component of the copyright law of probably every country on earth. In fact even the RIAA itself touts statutory licensing as a good thing on their website! (Oops, revision.... the current RIAA text on Statutory Licenses is rather more drab than the text I recall finding a year or more ago, but it still makes the point that the RIAA absolutely admits the legitimacy of statutory licensing as a component of copyright law.) The RIAA is just extremely very self serving on the subject. Any statutory licensing that is helpful and profitable to the RIAA is a Good Thing, and any Statutory Licensing that threatens to PAY and HELP artists while lessening the RIAA's stranglehold gatekeeper position is evil theft. The RIAA very lifeblood is that fact that any new artist pretty much *has* to sign away his soul to an RIAA label to have any chance of making money at all. Any technology or change or law that enables indie artists to be successful without signing into an RIAA contract is a death threat to the RIAA. If new artists don't have to join the RIAA, the RIAA shrivels and dies with no function and no new business.

      The Russia situation is a part of that life or death struggle for the RIAA. They don't care about the short term dollars. They are fighting to hold their long term job as the gatekeeper between artists and customers. The way Russian law is set up there is far more freedom for any and all stores or other online music activites to carry any and all artists, RIAA-signed or not, and more opportunity for non-mainstream artists to get exposure, and for royalty payments to go to indie artists without passing through an RIAA middleman. The LAST thing on earth the RIAA wants is for those royalty rates to go up and for artists to get paid good money without the RIAA leeching a slice of the pie. If this were directly about money, the RIAA would GRAB any and all the money they were already legally entitled to as any proper company world, and they would simply be fighting for an increased royalty rate.

      Indie stores and indie radio and indie artists and indie popularity equals death to the RIAA. The RIAA doesn't even break even on until an album sells around a quarter million copies. They can only make a profit if they sell a limited number of different mass market albums in a limited number of different genres. But the markets are fracturing... larger numbers of smaller artists in larger numbers of genres and subgenres. Artists who may sell a few tens of thousands of copies to narrower more specialized audiences. An indie might be quite happy with the profits selling 50,000 units, but an RIAA Label would lose their shirts. And collectively these 50,000 unit indie pests are eating into the market for million unit mass market Titteny Spears clones. Anything that threatens the RIAA control... anything that opens the market place... anything that aid the rise of 50,000 unit indie pests... it chokes off the RIAA's air supply. Statutory licensing on the internet... no matter what the royalty rate artists get and no matter how much the RIAA profits off of they royalties on their catalog of old and current artists.... it stores and radio and o

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    67. Re:If you can't beat em', join em' by blackest_k · · Score: 1

      before you increase allofmp3's prices remember allofmp3's pricing isn't specifically set up for the American consumer.

      There is a vast difference between what is a reasonable price for a typical American and what is a reasonable price for a typical Russian.

      when you buy at allofmp3 your buying in a russian market place.

      Normally Governments restrains international trade by applying import duties, perhaps that will happen eventually, sooner if this becomes a significant trade. Looking at the situation with the usa and off shore gambling, and the WTO not accepting it as being morally objectionable, I wouldn't be surprised if this option is being investigated right now.

      Would the American voter stand for this or would it be political suicide?

    68. Re:If you can't beat em', join em' by anton_kg · · Score: 1

      That's long and very useful explanation spiced with some humour. Thank you.

    69. Re:If you can't beat em', join em' by ErikZ · · Score: 1

      They've had decades to dominate the market and learn how to extract as much money as possible from the process.

      There's no way they'll be able to make the same kind of money as they're used to. It's a new market and a new process.

      --
      Democrats or Republicans. They are both taking us to the same place and they are not afraid of us anymore.
    70. Re:If you can't beat em', join em' by adah · · Score: 1

      No, it's more like he walks into your store and offers you $0.01 for a case of beer, you refuse, a passing police officer reminds you that the $0.01/case price is fixed by law and declared to be fair , and he walks out of the store with the beer.

      ...and that's exactly the way it should be, since AllOfMP3 wasn't committing it, according to Russian law -- which, incidentally, is the only law that matters in this discussion, whether you like it or not!

      The problem here is: AllOfMP3 is selling songs not only to Russians, but also to Americans. So the Russian law affected the pricing in the U.S. Is it fair? I can't say it is, though I hate RIAA.

    71. Re:If you can't beat em', join em' by adolf · · Score: 1

      Of course it's fair.

      Look:

      $ traceroute www.allofmp3.com
      traceroute to allofmp3.com (87.242.93.250), 30 hops max, 38 byte packets
        1 ip-208-113-223-1 (208.113.223.1) 12.314 ms 4.906 ms 3.685 ms
        2 core01 (66.33.192.2) 1.004 ms 0.986 ms 0.865 ms
        3 146.82.32.57 (146.82.32.57) 1.009 ms ge-0-1-0.410.ar1.LAX3.gblx.net (64.215.183.49) 1.953 ms ge-0-1-0.405.ar1.LAX3.gblx.net (67.17.162.161) 0.952 ms
        4 64.209.106.54 (64.209.106.54) 143.700 ms 143.797 ms 143.828 ms
        5 ttc.ge2-8.br01.ams01.pccwbtn.net (63.218.65.22) 190.994 ms 191.044 ms 191.179 ms
        6 ruscomnet-gw.transtelecom.net (217.150.56.85) 191.647 ms 191.339 ms 190.912 ms
        7 undef.ruscomnet.ru (80.249.128.2) 188.116 ms 188.058 ms 188.206 ms
        8 87.242.93.244 (87.242.93.244) 188.109 ms 188.166 ms 188.323 ms
        9 * * *

      All the way from LA to allofmp3's firewall in 188 milliseconds, without showing a passport. I don't see any major hinderance to either economy or transportation here.

      But then, I suck at history. So, tell me: Why might it be unfair to engage in commerce with our overseas friends under their laws, and them to engage in commerce with us under our laws?

    72. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      Let's assume you take a vacation in Russia. While there, you drink a lot of some cheap Vodka, made of the cheap corn imported from USA. The question is: when you return to USA, do you still have to pay the alcohol tax by the American tariffs for the amount consumed abroad?

    73. Re:If you can't beat em', join em' by adah · · Score: 1

      Why might it be unfair to engage in commerce with our overseas friends under their laws, and them to engage in commerce with us under our laws?

      I would say it is fair if one buys Russian songs from AllOfMP3 according to Russian laws. Now people are buying American songs (mostly I suppose) with a price tag dictated by a foreign government. Is it fair?—Assume a poor country where the price for a song is only one cent (fair there if people only get a few hundred bucks a year), and somebody set up a business to sell songs from that country to USA.

      For your info, I am not American (let alone associated with RIAA). I am in China indeed.

    74. Re:If you can't beat em', join em' by CmdrGravy · · Score: 1

      Well, logically they would have better prices and don't care about DRM, since they don't have to pay the artists or promotion costs of the music. Shocker. But they do have to pay, they pay a statutary licence fee which the RIAA is supposed to collect and pass on to the artist. This fee was originally negotiated with the RIAA but now they have decided they're simply not going to accept the money and complain about "piracy" instead.

      The reason I've used AllOfMp3 is because they have pretty exhaustive catalouge of music which I can download in the format of my choice, unencumbered by DRM, for a reasonable price. For a full CD quality album I think it's around 7GBP. The 5GBP difference between that and the price I'd pay in the shop seems perfectly reasonable now there is no longer any cost of producing the actual CD and all it's attendant packaging and delivery costs. AllOfMp3 is in fact a brillant service.
    75. Re:If you can't beat em', join em' by NulDevice · · Score: 1

      For the record, not every label or artist is represented by IFPI or RIAA. Most indie labels - the ones, I might point out, from whom allofmp3 built much of their early collection - have no connection with either organization.

      Of course, most indies don't have any connection with ROMS, either, which is why none of the indie artists I know who were listed ever saw a dime either.

      What was never clear to me was whether allofmp3 was actually paying ROMS directly or just "offering to pay" if the artist/label/copyright holder/etc came calling.

      --

      ----
      "I used to listen to Null Device before they sold out."

    76. Re:If you can't beat em', join em' by NulDevice · · Score: 1

      ...but then there's nothing stopping non-RIAA artists from collecting directly. The RIAA represents a monetarily significant fraction of the recording industry, yes, but numerically, not so much.

      Of course, if allofmp3 was only selling independent artists and not the latest WarnerSonyVersal mega-artists, they probably wouldn't be as (in)famous.

      --

      ----
      "I used to listen to Null Device before they sold out."

    77. Re:If you can't beat em', join em' by NulDevice · · Score: 1

      Except on #2 - you're not always screwing over the RIAA. Sometimes you're jsut screwing over some guy who runs a label out of his garage.

      From a statistical standpoint, most of the time, yes, you're screwing over the RIAA (because the most-commonly-purchased tracks are from big-label artists) and I sort of support that (since the artist is getting screwed either way anyway). But every once in a while you'll get an artist or a label who is not an RIAA or IFPI member (the vast majority of smaller labels) and they get just as boned as the RIAA but have a much smaller resource base to start out with.

      This is the whole problem with the industry now. The RIAA's tactics - and what it's driving many consumers to - are killing music, but not *their* music. Indie lables are too often caught in the corssfire - they lose a more significant percentage of revenue for every pirated/downlaoded album, and they lose a marketing channel every time the RIAA goes after an unsanctioned website or source.

      I would wholeheartedly endorse allofmp3 IF they would make it easier/possible for the small artists they list to get their hands on the meagre royalties that they're owed - if you're not a label or artist that can handle russian law (not to mention the russian language) right now it's likely you'll never see one ruble of what you may be owed. If I could sell my stuff there for bargain-basement prices and know I was going to get at least a cut, I would be up front flying their banner. But right now, their security-through-cyrillic-legal-obscurity methods pretty much ensure that this won't happen.

      --

      ----
      "I used to listen to Null Device before they sold out."

    78. Re:If you can't beat em', join em' by goombah99 · · Score: 1

      Nice post but could you please elaborate on the Royalty rates. Downloading a song on Allofmp3 is about 10 cents. So that would mean if the artist got all of that (ha ha) in Russia, the us rate would be 0.5 cents. I assume the real russian and US rates are lower. But what are they?

      --
      Some drink at the fountain of knowledge. Others just gargle.
    79. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      The post is great, but please give a source for your figure on the royalty rates for artists.

      Unfortunately, a quick search found me this: http://business.timesonline.co.uk/tol/business/ind ustry_sectors/media/article573960.ece

      which says that artists get 4.5p for every 79p track sold on itunes, which is about 6%. Multiply that by twenty and you get 120% which I don't think is too likely.
      I also found this site, which details US royalties:

      http://www.musicbizacademy.com/articles/dl_newmedi a.htm

      which apart from suffering from some verizon style math problems($0.095cents is how much exactly???), says that artist royalty is 12% (after some deductions)... which would leave the Russian artists with an excellent royalty rate of 240%

      It's a shame that your post contains these errors, because it was a very enjoyable read, but the lack of credibility detracts from your points.

    80. Re:If you can't beat em', join em' by adolf · · Score: 1

      If I can import an American-made Chevrolet from China cheaper than I can buy one from the local dealer, then I'd be a fool to do anything else as long as I'm going to be buying such a vehicle. (And, given the state of things, this might be possible soon.)

      Likewise, with music. If I can buy licensed and legit American music cheaper by importing it from Russia than I can buy it from the local retailer (ala iTunes, eMusic), then I'd be foolish for doing anything else.

      That the record industry or General Motors doesn't agree with my actions is really not any concern of mine.

    81. Re:If you can't beat em', join em' by Alsee · · Score: 1

      Could you give some sources for the 20x difference in royalty rates between the USA (SoundExchange?)... a quick search turned up nothing.

      Ahhh.... the Googlefu is weak with this one. Come young grasshopper and observe.

      The US system is called "CARP", and of course we want the royalty. As fish and nobility don't often mingle, a simple search?q=CARP+royalty instantly turns up the 0.07 cent figure.

      ROMS is rather obscure and ROMS+royalty heavily clashes with CD-ROMs and other hardware, so we need only add "Russian" to the mix. I will also cheat a little and add "percent" just because I recall that ROMS was a percent rather than a fixed rate like the US. search?q=ROMS+royalty+percent+russian turns up this link which says:
      As stipulated in our licensing agreement with the Russian Multimedia and Internet Society (ROMS), the company [AllOfMP3.com] pays 15 percent of its gross revenue. The company also pays 25 percent of gross revenue to the Collective Management of Copyright with Respect to the Use of Musical Works in Interactive Regime (FAIR).

      That is actually news to me.... I did my original calculation a very long time ago and I think I only used the 15% figure. According to that information the total royalty is 40%! Maybe that 25% FAIR charge is new, part if the law Russia passed under US pressure to "fix" the AllOfMP3.com "problem"? I dunno. Or maybe I just missed it when I did the math before. Anywayyyyy....

      You can't directly compare a flat rate against a percentage... so I glanced in my MP3 folder and guessed an average filesize of maybe 5 meg. At the time AllOfMP3.com was charging 2 cent per meg meaning 10 cents. 15% of that is 1.5 cents, and 1.5 cents divided by .07 gives a royalty ratio of 21.4. However that is the OLD and clearly now OBSOLETE math.

      The new math is 3 cents per meg meaning 15 cents for our theoretical average MP3, and a 40% royalty on that is 6 cents. The US royalty is still 0.07 of a cent, and 6 / 0.07 = 85.7.

      So the Russian royalty rate is now more than EIGHTY TIMES higher than the US rate. Actually I have no doubt that people taking some files at higher than 128k bitrate... not to mention downloading FLACs... pushes the average filesize well over 5.8 meg which then pushes the difference between US royalty and Russian royalty over 100x. I think AllOfMP3.com also has some minor discount programs, so lets call it a wash and say the difference in royalty is over 80 times.

      what are the royalty rates of Europe (IFPI)?

      IFPI is merely an international lobbying association of associations. It manages no royalties itself.

      If you want to find European royalty rates you are probably best off first Googling to identify specific national law name or royalty bodies... *NOT* the music industry cartel name... for example BPI (British Phonographic Industry) is not what you want that is the equivalent of RIAA and is probably useless here... you want the equivalent of ROMS or CARP or SoundExchange... and then Google off of that for royalty rate.

      Actually looking up rates for typical European countries is left as an exercise for the reader. In other words I'm lazy and the information will probably be far more obscure to locate than the US info :) With luck the EU has "harmonized" their laws of this, but I have no idea.... and even if they have your best bet is probably still to search in reference to a single country as outlined above.

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    82. Re:If you can't beat em', join em' by Alsee · · Score: 1

      Great post; please provide some citations for the assertions.

      Someone else wanted the math of the twenty times higher royalty rate for his own used, and I worked it out with references in this reply. Be sure to catch the followup reply where I filled in an important link that failed to appear in the main post.

      It turns out my math was out of date, and the Russian royalty is now more than eighty times higher than the US royalty.

      As for any other assertions you're asking about, be more specific and I'd be happy to help.

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    83. Re:If you can't beat em', join em' by Alsee · · Score: 1

      See this post, and be sure to catch my follow up post where I filled in a link that filed to appear in the original. The "20 time higher" figure is SERIOUSLY obsolete :D

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    84. Re:If you can't beat em', join em' by Upphew · · Score: 0

      Apples and oranges. In Russia there is one rate to all, be it radio or internet stream or download service. GP was referring that price and money artist gets from U.S. _radio_, not downloads or other services. Or at least so I understand.

    85. Re:If you can't beat em', join em' by Anonymous Coward · · Score: 0

      If you reread the post you'll see I specifically discussed the US statutory licensing rate that applies when Pandora downloads a MP3 file to your harddrive, the conditions surrounding that, and compared it with the equivalent Russian statutory licensing law.

      which apart from suffering from some verizon style math problems

      Amusingly I know exactly what you mean, and no, I do not believe my post contained any Verizon Math(TM). I detail my math in this post, and yes 0.07 cents really is 0.0007 dollars.

      Note: This is an Anonymous Coward reply to an Anonymous Coward post. I am deliberately dropping this reply to Score 0. I WILL NOT SEE ANY REPLY TO THIS POST. If you want to talk to me, reply to one of my other posts where Slashdot will log the reply to my account.

        -- Alsee

    86. Re:If you can't beat em', join em' by Upphew · · Score: 0

      Actually I'd gladly support increasing the Russian royalty rate and massively increasing the US royalty rate to match, if we also eliminated a few defect-by-design nonsense tacked onto the US law (such as the arbitrary prohibition against sending more than three songs from the same artist or more than two songs on the same album in a single hour).

      You seem to know what you are talking about, so quick question: If radio sends a full concert and said concert includes just one band and all songs are from one album, is that illegal?
    87. Re:If you can't beat em', join em' by Alsee · · Score: 1

      GP was referring that price and money artist gets from U.S. _radio_, not downloads or other services. Or at least so I understand.

      Half right. I was indeed referring to the US statutory rate that applies to Pandora.com... which as you say is a "radio" rate... however you are wrong when you say "not downloads". As I think I explained in that post, Pandora.com does indeed download the MP3 file to your harddrive. They just don't TELL you that they do it, and they don't put the .MP3 extension on the file, explaining why most people don't realize that Pandora is indeed a download service. I think I mentioned something about an certain people who think that if they close their eyes real hard and ignore facts they don't like... ignore them really really hard... that maybe the world will go away and magically become what they want it to be :) As a programmer I can tell you for a fact that there is no physical difference between "transmitting a stream" and "transmitting a download". The only difference is whether the receiver bothers to save the data. Pandora doesn't much bother attempting to keep up the fiction there's a difference. The MP3 files are sitting right there in your system temporary folder.

      It's not apples and oranges. It's apples and apples that certain people want to pretend are oranges.

      Both Russian and US statutory grant companies permission to transmit the music to people. Under both Russian and US law that music is getting dropped onto the harddrive as a downloaded file. US law is just hoping you won't notice the file there, and is assuming by default that you have your operating system set to delete those files. And even if Pandora set their free client software to keep the MP3 file in RAM, as I said the law licenses the internet company to transmit the file... it is then beyond the internet company's control whether you deliberately save the data or not. It is physically impossible to "send a stream", you can only send data and the receiver can always direct their computer to save it in a file. I think internet radio is great, but when legislation conflicts with physics, physics wins. Transmitting internet radio is physically identical to transmitting downloads. And Pandora does drop the file onto the harddrive. No rational reason to deny or hide that reality.

      The facts of physics must reign supreme, and then you write law to match. I say crank up the royalty rate and have the law admit that it covers "downloads". Admit AllOfMP3.com "stores" with that increased royalty rate. Internet "radio" would then have to adapt to that reality... and that reality has upsides and downsides. "Listeners" would be receiving a library of downloads... with the increased value and increased royalty overhead that involves... but there would also be no need to repeatedly retransmit previous songs and repeatedly pay the low so-called "stream" royalty... the internet "radio station" would just send the name of a song and it would be played from the local file. Huge bandwidth savings there to boot.

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    88. Re:If you can't beat em', join em' by Alsee · · Score: 1

      If radio sends a full concert and said concert includes just one band and all songs are from one album, is that illegal?

      Interesting question! Both internet radio and terrestrial radio have the same issue.

      As far as I can see, yeah, it would not be permissible under the statutory license. But actually it turns out to be a moot point. They would have to get permission to capture (to record or mic straight to broadcast) the concert in the first place, and obviously that specific broadcast permission would be resolved at the same time. You can go above and beyond the statutory license if you have specific additional rights to specific content. Statutory licensing is kinda like a wildcard granting minimum rules to play anything and everything without hunting down a thousand copyright holders one by one.

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    89. Re:If you can't beat em', join em' by adah · · Score: 1

      If I can buy licensed and legit American music cheaper by importing it from Russia than I can buy it from the local retailer (ala iTunes, eMusic), then I'd be foolish for doing anything else.

      How can you say it is “legit”, when the “owner” does not authorize the Russian vendor to do so? Take your car analogy, can you legally import a car that claims to be a Chevrolet, while the brand owner does not authorize the factory to do so, even if the factory can replicate the car exactly like the real one?

    90. Re:If you can't beat em', join em' by definate · · Score: 1

      Wait wait wait... lets get this right!

      It's more like he walks into your store and offers you $0.01 to make a similar copy of a case of beer, you refuse, a passing police officer reminds you that the $0.01 per "similar copy of the case of beer" price is fixed by law and declared to be fair, and he walks out of the store with a similar copy the beer.

      There... FIXED!

      Since, by selling the music, they didn't physically remove anything. Where as, with the original beer analogy, someone else wouldn't have been able to purchase that exact case of beer. In this one, they can!

      --
      This is my footer. There are many like it, but this one is mine.
    91. Re:If you can't beat em', join em' by mrchaotica · · Score: 1

      Yeah, I know; I was just trying to keep the modifications to his analogy to a minimum. At any rate, thanks.

      --

      "[Regarding the 'cloud,'] ownership was what made America different than Russia." -- Woz

  7. Dead or Alive, You Spin Me Right Round by Anonymous Coward · · Score: 0

    Foreign oil companies are being given a hard time in Russia because the government feels aggrieved that Yeltsin sold them off for a song. What with the American missile system encrouching on Russia and Russian strategic bombers resuming routine patrols, I can't see this as anything other than a continuation of the Cold War. Without the software and entertainment industry America would be in deep shit and this is one easy way to pile on the pressure. It's understandable.

    From the perspective of my decadent wired-in European basement headquarters you guys need to grow up. You've both got upsides and downsides but if you're going to change how things go you have to change yourself. And that's hard. Really, really, really hard. If I acted like some spoilt bully boy or street level gangster I'd get my ass slung in a can. Strutting around with black budget military systems and silk suited marketing spin doesn't make it better. Actually, that's even worse.

    Bush and Vlad,
    Sitting in a tree,
    KISSING!

    Yeah, well. Never said you had to like it.

  8. Never stopped doing business... by spookymonster · · Score: 4, Interesting

    ...just changed names for a bit (to MP3sparks.com). I had a balance on AllofMP3, heard that 'sparks was a front, so I logged on using my 'MP3 ID and, sure enough, they'd "transferred" my balance. And guess what? Alltunes (their download tool) never stopped working either, and without me having to change a single setting.

    --
    - Despite popular opinion, I am not perfect.
    1. Re:Never stopped doing business... by welcher · · Score: 1

      Every time an Allofmp3 story comes up someone trots out these lines. The point is that, despite all the name changing, it was impossible to pay allofmp3/alltunes/mp3sparks so they were effectively out of business (except as a non-moneymaking service to those who already had a credit with them)

    2. Re:Never stopped doing business... by spookymonster · · Score: 1

      You sure about that? I was able to drop $25 onto my balance easily enough during the 'freeze'...

      --
      - Despite popular opinion, I am not perfect.
    3. Re:Never stopped doing business... by Anonymous Coward · · Score: 0

      Sparks died (domain name revoked) not long after allofmp3's domain was shut down.

    4. Re:Never stopped doing business... by welcher · · Score: 1

      I tried on several occasions and had no luck at all. From what I read, my experience was typical over the last few months.

    5. Re:Never stopped doing business... by spookymonster · · Score: 1

      That's odd... just checked my payment history on 'Sparks, and it shows 2 reloads in July, the first of which was 2 days after AllofMP3 was shut down (July 2).

      --
      - Despite popular opinion, I am not perfect.
    6. Re:Never stopped doing business... by Rekolitus · · Score: 1
    7. Re:Never stopped doing business... by partenon · · Score: 1

      Same here. My AllofMp3 account was "transferred" to mp3sparks (which is pretty the same site with other skin) and I did payments without problems. I just wonder when they'll launch the "yarmp3.com" (alias for yetanotherrussianmp3site.com)...

      --
      ilex paraguariensis for all
    8. Re:Never stopped doing business... by LionOfMacedon · · Score: 0

      ironic when a supposedly "illegal" site has more honesty in it's dealings than the so called "legal" sites.

  9. Domain blocked in Denmark by threaded · · Score: 4, Informative

    Bored one day I was using Google to find a ringtone for a friend and happened to drop on AllOfMP3, (just clicking through the list as one does,) and was presented by a page from my ISP saying it was blocked. I found it a little disconcerting that my ISP is deciding who I can communicate with.

    For a moment I thought it's no longer the net I grew up with.

    As I wasn't particularly interested in finding the ringtone or going to AllOfMP3 anyway thought I'd alleviate my boredom by investigating how they'd done this. Turns out they've only poisoned their DNS. So if you get the correct IP address from somewhere else and stick it in your hosts file you can work around it.

    So the net returned back to normal: identified censorship as an error and routed 'round it.

    Whew!

    1. Re:Domain blocked in Denmark by mwvdlee · · Score: 1

      Besides the fact that an ISP should not block any traffic, I wonder how difficult it is to combine DNS server software with the filters. I mean; the DNS server gets all these nice DNS records with IP numbers in them that can be used for the filter.

      --
      Slashdot social media options: AIM, ICQ, Yahoo, Jabber and Mobile Text. Why no MySpace?
    2. Re:Domain blocked in Denmark by dns_server · · Score: 2, Informative

      This is what http://www.opendns.com/ does.
      It provides a dns server that does some filtering such as blocking malicious websites and can spelling in urls. If this is a good thing is up to you.

    3. Re:Domain blocked in Denmark by Anonymous Coward · · Score: 0

      Your story would be believable if you stated your ISP so others can test it for themselves.

    4. Re:Domain blocked in Denmark by DMUTPeregrine · · Score: 1

      They provide 2 services: One blocks and corrects spelling. The other doesn't block, but provides a custom search engine, with some adds, when you go to a nonexistent page. The first also does this. It's a rather nice system, just as fast (if not faster) than my ISP's DNS, and I know their IPs so I always have a set of DNS servers I can use to test things (Most commonly, can I connect to the internet or is DNS just broken.)

      --
      Not a sentence!
  10. Re:NL -vs- RU by eneville · · Score: 1

    In Holland you can smoke pot on the streets,
    in Russia you can download everything legaly.

    Tough call. Yeah, really tough call. So, move to Holland and keep your shell in .ru.
  11. Not very many comments here yet... by ElNotto · · Score: 5, Funny

    Everybody must be busy downloading MP3s!

  12. Allofmp3 sells your email address to spammers by Anonymous Coward · · Score: 2, Interesting


    I give each company I deal with a different email address so I know when they have sold my address to spammers. Shortly after allofmp3.com was being shut down for the first time, I started getting spam to the email address that I had given to allofmp3.com. Remember, that address was never given to anyone except allofmp3.com.

    I guess they figured if they can't make money selling music that they don't have any rights to, then the would supplement their income by selling out their customers' email addresses to worthless spammers.

    Pretty sad actually.

    p.s. funny, but true coincidence... The capcha word for me to post this anonymously is "poacher"

    1. Re:Allofmp3 sells your email address to spammers by Anonymous Coward · · Score: 0

      I do this too and have yet to receive one spam to that email address.

    2. Re:Allofmp3 sells your email address to spammers by Kristoph · · Score: 2, Interesting

      I do the same thing ... my junk folder from this morning contains penis enlargement advertising sent courtesy united.com... (United Airlines) and a Viagra add sent courtesy mwave.com...

      Many big, 'reputable', American companies will sell your email address as well as your physical address to make money. This is not unique.

      ]{

    3. Re:Allofmp3 sells your email address to spammers by Overzeetop · · Score: 1

      Actually, you'd be surprised how may addresses fall into the wrong hands. I had unique address for a long time, and gave them up about 1 year ago in favor of spam blocking. You see, even the most "reputable" places I dealt with (including the state, one of my banking institutions, and a very-high end CAD software house) somehow managed to leak out those addresses. When contacted, they claimed either that they never shared such information, or shared that information only with preferred business partners. I've given up caring, and now just ratchet up spamassassin.

      --
      Is it just my observation, or are there way too many stupid people in the world?
    4. Re:Allofmp3 sells your email address to spammers by Shados · · Score: 1

      One thing i noticed though, is that certain spammers literally try all combinations, given a domain name. I have my own email server, but as soon as the domain name got in the wild (though I guess they could just fetch it from a lookup or a dns), -I- got junk mail on adresses I had never even used (not even sent a email to myself with em!).

    5. Re:Allofmp3 sells your email address to spammers by senatorpjt · · Score: 1

      Apparently, this is due to one of allofmp3's payment processors (not that it makes it any better, actually, I'd think it makes it worse that a payment processor is so willing to send data)

  13. Who are you talking about? by pscottdv · · Score: 1

    Are you talking about how allofmp3 doesn't pay RIAA members or how RIAA members don't pay their artists?

    --

    this signature has been removed due to a DMCA takedown notice

  14. It doesn't have to be politics by pscottdv · · Score: 1

    It could be that allofmp3 was, in fact, not violating any Russian laws.

    --

    this signature has been removed due to a DMCA takedown notice

  15. Sooo many "In Soviet Russia" Jokes... by strredwolf · · Score: 0

    ... oh my $DEITY there's just so many to ponder. In Soviet Russia... ...You don't play music, music plays you! ...You don't sell music, music sells you! ...You don't KABLAM

    Ahhh, better now.

    --

    --
    # Canmephians for a better Linux Kernel
    $Stalag99{"URL"}="http://stalag99.net";
  16. Re:shut them down by somersault · · Score: 0, Redundant

    Wait, you're talking about the RIAA, right?

    I actually do pay for my music (well okay, 98% of it, I download singles that I wouldn't otherwise buy the album to listen to, or will later get the album - no I don't do singles, waste of money..), but between these guys and RIA*/recording industry types, I know who I'd prefer to get rid of. They screw over artists, and these days it's very apparent that they're screwing over their customers too. They have no honour.

    --
    which is totally what she said
  17. Re:shut them down by monxrtr · · Score: 0

    And how about them artists that leech the notes, chords, progressions, theory, and instruments of music? How about those lyrics that leech language? Should they be shut down too?

    --
    "From DNA to P2P, we are all Copycats now. Go Go Copycat Power! Copycat Powers activate! Form of, a Copycat." --monxrtr
  18. Obligatory by Shikaku · · Score: 0

    In Soviet Russia, MP3s DRM you!

  19. Re:Typical by Anonymous Coward · · Score: 0

    It had to be said.

    I get sick of seeing American leaders line up behind their President and put on the act of grave authority or dish out flying jackets at Camp David when they want something. They're bullying and two-faced hypocrites when they want to be. It's all big sticks and smooth talk. Anything to win. Sure, there's worse idiots around but c'mon. People can do better than that.

  20. Re:NL -vs- RU by Stooshie · · Score: 1

    Technically it's frowned in if you smoke it in the streets. You are supposed to go to the Coffee Shops to smoke it.

    --
    America, Home of the Brave. ... .and the Squaw.
  21. corporations taste of it's own medicine? by mseidl · · Score: 4, Insightful

    So, it's ok for big corporations to off shore things like manufacturing + tech support to cheaper countries.

    But when another company takes advantages of its laws and it effects the company here. Oh noes!

    1. Re:corporations taste of it's own medicine? by spyrochaete · · Score: 1

      I like your analogy. This is a case of consumers outsourcing purchases instead of companies outsourcing employees.

  22. So, you're essentially paying a pirate money, haha by Anonymous Coward · · Score: 0

    So, you're essentially paying a pirate money, haha. You are fucking idiot!

  23. I wonder if the RIAA has to compensate them... by Joce640k · · Score: 1

    I wonder if the RIAA has to compensate them for the loss of business due to the time their web site has been down.

    --
    No sig today...
  24. WTO by WindBourne · · Score: 2, Insightful

    Considering that Russia is now part of WTO, it will be interesting to see what will happen. Russia obeyed their law and agreements that we had with them. But will USA now take this to WTO and object to this? My guess is that USA will lose this appeal, and that will cause numerous other countries to allow other companies in on similar companies. Of course, this comes on top of the WTC looking at allowing Antigua and other countries that were denied off shore betting from USA.

    In the end, this could pretty much negate all that W. tried to accomplish during his 8 years. That is the large American companies keep their copyrights under draconian conditions, and receive large royalties.

    --
    I prefer the "u" in honour as it seems to be missing these days.
    1. Re:WTO by Anonymous Coward · · Score: 0

      W? You're thinking of Bill Clinton, father of the DMCA and Copyright Term Extension Act.

    2. Re:WTO by gfxguy · · Score: 1

      Ugh. It's always got to turn political with some people. As if Clinton never signed any laws protecting copyrights.

      --
      Stupid sexy Flanders.
    3. Re:WTO by WindBourne · · Score: 1

      no, clinton deserves blame on this as well. He did foist the DMCA nightmare on us. But he is not the one who is currently pushing it and this IP nightmare. Hopefully, some future congress/president can (and will) roll it back.

      --
      I prefer the "u" in honour as it seems to be missing these days.
    4. Re:WTO by Grishnakh · · Score: 1

      Exactly. The current government/administration is to blame for anything that's wrong, and hasn't been addressed. It doesn't matter if a horrible law was passed in the past, under a different administration. The current Congress/administration (or better yet, the ones in 2001-2005 when Republicans controlled both houses of Congress) has the power to change it, so if they don't, that's showing that they fully support it.

      Yeah, Clinton wasn't so great either. But you can't put all the blame on him for the DMCA. Bush has had many years now to fix that problem, but obviously he isn't interested in doing so. Clinton only had the power to do bad things until January 2001; after that, Bush had the power to fix them.

    5. Re:WTO by WindBourne · · Score: 1

      Bush can not kill the DMCA. It would require congress and that is not likely to happen. I would rather blame W. for those things that he is directly responsible for, rather than items that he could have changed.

      --
      I prefer the "u" in honour as it seems to be missing these days.
    6. Re:WTO by celle · · Score: 1

      It's too late. We've already been raped and it will just continue to happen. Lady justice isn't just blind, the poor girl is in a coma. Of course, if she could see all this going on, her stroke from the massive abuse of law alone would have killed her. Other human agonies aside.

    7. Re:WTO by gfxguy · · Score: 1

      Neither of us put "all the blame" on Clinton, it's just not a partisan issue.

      --
      Stupid sexy Flanders.
    8. Re:WTO by Grishnakh · · Score: 1

      I'd rather blame him for both.

      And what does it matter if it requires Congress? Up until 2006, Congress was firmly in control by the Republicans; they had majorities in both houses. And they had a Republican in the White House. So they could do anything they wanted. During that time, the Republicans were all firmly in lock-step with Bush too; it's only recently that so many have been trying to distance themselves from him. If Bush had taken a stand and insisted on Congress passing a law to repeal Clinton's DMCA (or at least fix it), they would have happily done so.

      People deserve blame not just for things that they do, but for things that they don't do. We even have a word for it: "negligence". If you stand by and allow bad things to happen when it's in your power to stop them, you're just as responsible as those who do the bad things.

    9. Re:WTO by Grishnakh · · Score: 1

      You're right, it's not a partisan issue, because both parties support the DMCA.

      The problem is that every time someone complains about the DMCA, and Bush's name is mentioned, some neocon astroturfer springs up and says "Clinton signed that law, so it's Clinton's fault!". Sorry, no. It was only Clinton's fault until he left office. There's been plenty of time to fix the error since then, and no action whatsoever has occurred. This is obviously because the Bush administration has no interest in fixing the DMCA; therefore, he holds just as much blame as Clinton.

      If you want to blame someone for arguing this being a Clinton/Bush issue, blame all the Bush fans like "WindBourne" who keep trying to blame Clinton for everything, when Clinton has been out of office and out of sight for 7.5 years now. He's only to blame for things that can't be fixed (like starting wars; there's no "undo" function for those); bad laws can easily be fixed by repealing or amending them.

    10. Re:WTO by Grishnakh · · Score: 1

      Whoops, I just re-read this thread and I should apologize to "WindBourne", as he's not the one blaming Clinton. You are, "gfxguy", so you're the neocon I was referring to.

    11. Re:WTO by gfxguy · · Score: 1

      So now I'm a "neocon." Not by any definition I've ever heard or read, but just go ahead and keep calling anyone that disagrees with you one. Maybe you'll be right one of these times.

      I didn't "blame" Clinton, but you cannot hold him blameless. Nor did I excuse anything Bush or any republican has done. But, in standing in the middle, I see a lot more pot-shots coming from the left than I do the right, and this was one of them.

      --
      Stupid sexy Flanders.
    12. Re:WTO by kocsonya · · Score: 1

      > Considering that Russia is now part of WTO

      In what sense? They are *not* a WTO member (yet). They have an accession status, that has not changed much in the past few years. Take a look at http://www.wto.org/english/thewto_e/acc_e/a1_russi e_e.htm for details.

    13. Re:WTO by Grishnakh · · Score: 1

      You're the one who stood up to defend Bush and blame Clinton. That makes you a neocon in my book.

      As a libertarian, I blame both. But more of the blame goes to Bush, for failing to help the situation in any way, since it was during his reign that the reasons why the DMCA was so bad became so obvious. We didn't have stupid stuff like illegal source code, illegal research into encryption, or encryption-protected printer ink cartridges before he came into power. He and his cohorts (cronies?) in Congress had 7 years now to fix it. The Democrats have been powerless for a long time, until the latest election.

      If slavery were still legal, would you absolve Bush of all blame because he didn't pass the original law allowing it? Or would you blame him for not fixing the problem when he had the power?

    14. Re:WTO by WindBourne · · Score: 1

      We Americans were the ONLY block to Russia becoming a member. Last years, W. had US unblock that. I believe all that was left was the formal change. Is that not true?

      --
      I prefer the "u" in honour as it seems to be missing these days.
    15. Re:WTO by kocsonya · · Score: 1

      I don't know *why* they are not a member (yet), but according to the WTO's website (look for the list of members) Russia is not a member. Maybe they themselves do not want to rush it - Doha collapsed, they may not want the US IP regime, Putin is not too simpathetical to multinationals, he may want to keep trade barriers, I really don't know. But the fact remains as fact, as long as you can believe the WTO's own list of members.

    16. Re:WTO by gfxguy · · Score: 1

      I'm a libertarian (small "l"), and you give libertarians a bad name. I didn't defend Bush.

      --
      Stupid sexy Flanders.
  25. No shit sherlock. by Ayanami+Rei · · Score: 1

    I created a fake address just for dealing with them. I expected it to get spam the day I signed up. It's not really a legit operation, so would you expect them to give a shit about your contact info, I mean come on, like what are you going to do, call customer service and complain? Ha...

    --
    THIS THING CAN TURN ON A DIME, MACROSSZERO STYLE ALSO FUCK BETA, ~NYORON
  26. In Soviet Russia you own the RIAA.... by Joce640k · · Score: 0, Redundant

    In Soviet Russia you own the RIAA....KABLAM.

    --
    No sig today...
  27. Irrelevant! by z0M6 · · Score: 1

    As if that matters. They are violating the will of big corporations! Accordance with the law is for small people.

  28. Don't feed the trolls! by threaded · · Score: 2, Informative

    One irritating thing about Anonymous Cowards is that they are generally too lazy to just have a look for themselves, and post random gibberish that just bungs up the tubes.

    So suggest you try any of Cybercity, Tele2, Telia, and TDC and thereby determine the validity of the original post for yourself.

    There again, if I wasn't so bored I wouldn't have wasted the time doing the rounds of checking the various ISPs myself and replying.

    1. Re:Don't feed the trolls! by Alsee · · Score: 1

      and post random gibberish that just bungs up the tubes.

      You can't just dump random gibberish on a truck ya know.

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
  29. Is it me or... by Anonymous Coward · · Score: 0

    Haven't you noticed that the blog post date is August 31st?

    The last time I checked, in this part of the world (I live in the Argentinian Banana Republic) was Monday, August 27th.

    Funny, isn't it? I thought time travelling wasn't possible.

  30. Re:NL -vs- RU by johanw · · Score: 1

    In Holland you can download music and films legally too. Only uploading is illegal.

  31. Violating Russian copyright law is very difficult by Patrick+Cosmos · · Score: 2, Funny

    If you want to violate Russian copyright law, you pretty much have to walk up to the artist and punch them directly in the mouth, and even then it's a pretty close legal call.

  32. Re:shut them down by Anonymous Coward · · Score: 0

    spoken like a person who's never created something. at least something worthwhile.

  33. My sweet lord... by tepples · · Score: 1

    And how about them artists that leech the notes, chords, progressions, theory, and instruments of music? Actually, a music publisher tried this and won: Bright Tunes Music v. Harrisongs Music. Use Google if you're not familiar with this case.
  34. Re:NL -vs- RU by YttriumOxide · · Score: 1

    Ah yes... many years ago (about 10) I lived there. I was in a coffee-shop, enjoying a smoke, and then my phone rang and I had to go. I walked out on to the street, planning on finishing it quickly (there was only about 25% of it left anyway), when all of a sudden a cop walks up to me. Naturally, not being from Holland originally, I was a little concerned... That was, until he said, "You know, you're not supposed to smoke that in the street - when you finish that one, don't light another". Suffice to say, that is when I realised that Holland is truly the land of the blessed.

    --
    My book about LSD and Self-Discovery
    Also on facebook as: DroppingAcidDaleBewan
  35. Good point, but... by Anonymous Coward · · Score: 0

    I still blame any artist who makes the choice to make themselves dependent on the marketing machine rather than cutting out the middleman and producing and selling themselves. The trouble is that no matter how you go about it these days, the pirates are still going to eat you alive in the long run, which leads to the conclusion that many bands are beginning to arrive at: the only way to make a consistent paycheck anymore is to go on tour. It appears to be a throwback to the tradition of wandering minstels, but at least now people are no longer brainwashed into thinking music has substantial material value. It's deepest value has always been exclusively non-material and this is why great artists are attracted to it in the first place.

  36. Re:So, you're essentially paying a pirate money, h by Kristoph · · Score: 4, Informative

    You know, actually, allofmp3 does pay royalties in Russia to ROMS (an agency setup under Russian law by the Russian government). The issue is that western companies do not recognize ROMS and instead 'demand' that Russian media companies deal with the equivalent of the Russian RIAA.

    So what he is doing here is supporting an organization which is battling the influence exerted by the RIAA while legally distributing DRM free music.

    Admittedly, there is a question of whether the amounts involved adequately compensate artists but, honestly, is not virtually any system better than what the RIAA promotes.

    ]{

  37. You know, the true irony here... by Abcd1234 · · Score: 1

    Is that Allofmp3.com is able to operate because they take advantage of a compulsory licensing scheme. Using this scheme, they pay a fee for each song they "broadcast" to a central Russian copyright entity, and this entity is then responsible for dispensing those fees to the artists.

    Meanwhile, the CRB and SoundExchange form an *identical* arrangement, yet people on Slashdot bitch and complain about how unjust this system is. Funny, that...

    (BTW, that's not to say the new rates the CRB is proposing are anything but ridiculous. But to say the system itself is unjust, and then applaud allofmp3, is, to say the least, incredibly hypocritical).

    1. Re:You know, the true irony here... by Random832 · · Score: 1

      The difference is that the CRB/SoundExchange thing has some minor details that are different that make it impossible to "take advantage of" it for anything other than streaming radio. In fact, the rates are quite a bit LESS than Allofmp3 pays, but since streaming radio can't have a viable existence requiring each listener to pay a certain amount for each track, which is what it would take (and what allofmp3 does) to make a profit this way, it seems (scratch that, it _is_) unjust.

      --
      We've secretly replaced Slashdot with new Folgers Crystals - let's see if it notices.
  38. This is futuristic Science Fiction by rcharbon · · Score: 1

    ..at least as of today. The note on the allofmp3 site is dated August 31.

  39. Mod this up please! by dm0527 · · Score: 1

    No kidding! What a great analogy - this deserves to be modded as Insightful!

    --
    - dm - The two most common elements in the universe are Hydrogen and stupidity.
  40. Re:So, you're essentially paying a pirate money, h by Dzimas · · Score: 1

    The big problem is that the amount paid to ROMS is incredibly small and has not been negotiated with the rights holders or artists. The standard US mechanical copyright rate paid to an *artist* (not the record label) is 9.1 cents per song, or 1.75 cents per minute (whichever is more). Allofmp3.com is able to sell content for less because they're ripping their content from commercial CDs (if you're lucky) and not paying the guys and girls who worked their butts off to make it.

    The "we pay royalties to ROMS" claim is a smokescreen to hide the fact that allofmp3.com is not paying enough money to the creators to actually sustain their work. It's easy to dismiss the rights holders as "a bunch of rich musicians" who aren't earning a few extra million, but the cold reality is that most moderately successful recording artists find it incredibly hard to earn a decent living in a fickle and competitive industry.

  41. Every cloud has a silver lining by DSmith1974 · · Score: 1

    Much as I don't like nuclear equipped Tupolev bombers returning to UK airspace, or being bent over a barrel with gas supply/pricing policies. I do kinda like the return of AllOfMP3 - like it a lot. Go go Putin, the bare chested, fly fishing, knife wielding, fighter jet co-pilot savior of digital music as the good lord always intended.

    --
    It is not immoral to create the human species - with or without ceremony, Samuel Clemens.
  42. Re:Violating Russian copyright law is very difficu by Catbeller · · Score: 1

    What artists? Artists get two revenue streams from the record labels: Jack, and Shit. If we're talking profit sharing from downloaded music, they now pay a New Technology Fee or whatever steaming pile the label types into the profit sheet, and get even less than Jack and Shit.

    No one is punching any artist in the mouth. We are punching the labels in the mouth.

    Artists make money on performances, live performances, as that is the last bastion of revenue that the labels can't steal via their accountants.

    Let a million punches smash into the faces of the labels. Forever.

  43. Re:Ah well, there you go by PunkOfLinux · · Score: 1

    This is good news. KSU wants us to use something called Ruckus to download music... Only thing is, the files don't work on 98% of audio players. Doesn't work on billy's iPod? Well, then, that's pretty damned worthless...

  44. PWNED by Anonymous Coward · · Score: 0

    BOOYAH!

  45. Re:So, you're essentially paying a pirate money, h by partenon · · Score: 1

    Let me complement it:

    "... but the cold reality is that most moderately successful recording artists find it incredibly hard to earn a decent living in a fickle and competitive industry..." >> even for selling legal CD's in music stores.

    At least here in Brazil, artists used to say they only earn real money by doing shows and tours across the country/world.

    --
    ilex paraguariensis for all
  46. /.ers are the kings of truthimess by Anonymous Coward · · Score: 0

    /. are the kings of truthiness. allofmp3 violates copyright law. They sell songs without the permission of the copyright holders. It doesn't matter that they offered to pay anything, or that they are following Russian law. What they are doing is still unethical because the have not come to an agreement with the copyright holders. If they rewrote gpl arbitrarily and started selling closed software based on OSS, the response here would be a lot different.

    1. Re:/.ers are the kings of truthimess by SoulRider · · Score: 1

      You dont seem to actually get it. Yes they are legally selling the songs on their site (in Russia), they paid the licensing fees to the music companies already. Just because allofmp3 is exploiting a loophole in the contract they signed with the American music industry (the music industry would do the same damn thing if the tables were turned), does not make it illegal, possibly immoral, but they are legally distributing the music in Russia. The whole issue is that allofmp3.com has a license to broadcast the music they offer, by Russian law people have the right to record broadcast music. AllofMP3.com just cuts out the middle man and allows people to do the time and place shifting on the music they are technically broadcasting right from their site (download the mp3 of the song), which is perfectly legal in Russia. The music industry is just pissed because allofmp3.com is doing to them what they did to so many artists in the past, using loopholes to make a buck off of someone elses music. Like I said, morally they are not doing the right thing (though it is a kind of perverse justice on the music industry), but they are operating legally within the boundries of the Russian legal system.

    2. Re:/.ers are the kings of truthimess by demon+driver · · Score: 1

      What they are doing is still unethical because the have not come to an agreement with the copyright holders So, radio is "unethical" as well? Radio has no agreement with the copyright holders either, instead radio settles with the representing organizations. Russian law simply puts distribution on the net under similar regulations as broadcasting by radio. What makes that "unethical"? Just the fact that the profits for the music industry are by far lower under such circumstances?
  47. Payment options by Anonymous Coward · · Score: 0

    I too am happy to see that they prevailed. All that remains now is to see what payment options will be made available to customers. The site is of no use to anybody if you cannot refill you balance to buy more music. Logic would say that if they have been cleared of any wrongdoing, then the CC companies (and even PayPal/Google Checkout) no longer have a leg to stand on to deny servicing the site's customers. I am not holding my breath though.........

  48. Source of AllOfMP3's music? by yters · · Score: 1

    How can they get so much free music, in Russia?...

  49. And don't forget... by Anonymous Coward · · Score: 0

    ...the fluoridation of water. (see Dr Strangelove)

  50. Re:So, you're essentially paying a pirate money, h by Alsee · · Score: 3, Interesting

    The big problem is that the amount paid to ROMS is incredibly small and has not been negotiated with the rights holders or artists.

    Well that's an amusing argument, considering that the US *ALSO* has a statutory licensing law and that rate has also not been been negotiated with the rights holders or artists.

    Oh wait, I forgot to echo back to you the the part about the amount paid being incredibly small. Oops, my bad. Well lets see, the royalty rate under US law for a company sending the identical MP3 file to someone, compared to the Russian rate is... accrding to my calculator.... hmmm lets see line up the decimal point there....

    Ah there we go! It's a multiplier of about TWENTY difference in royalty rate!

    WOW! That's a frigin huge difference in royalty rate!

    Under Russian law AllOfMP3.com has to pay TWENTY TIMES MORE in royalty rate than Pandora.com had to pay in royalty rate under US law when they sent me the exact same MP3 file. Yep, that's right, the Russian royalty rate is vastly higher than the US royalty rate.

    You are absolutely welcome to say that Russian royalty rates should be higher, but you cannot argue that there is anything wrong or illegitimate about the principle or general operation of that law. In legal principle and in fundamental aspects the Russian law is effectively identical to US law. There are differences in some details, but absolutely not in anything altering the basic legitamacy of that law.
    Russian law is absolutely legitimate

    The "we pay royalties to ROMS" claim is a smokescreen to hide the fact that allofmp3.com is not paying enough money to the creators to actually sustain their work.

    Two points. First of all the RIAA refusing to accept the money and refusing to pass that money on to their artists... and prohibiting their artists from directly collecting their money themselves is a public relations and political ploy. It is a small price to pay for the wonderful chant that RIAA artists are not getting paid at all, and to back up their bogus claim that the law itself is illegitimate.

    Secondly, I would fully welcome increasing the royalty rate in Russian law. It is fundamentally a legitamate and GOOD law, and yes it should direct more money to the artists. And the US law royalty should also be massivly increased to match the Russian rate... provided that some defective-by-design arbitrary clauses in US law were removed to match Russian law... for example the US law prohibits sending more than three songs from a single artist or more than two songs from a single album within a single hour. Crank up the royalty rates to pay artists more and get rid of the (US) arbitrary restrictions on the timing of sending songs.

    Of course that is the LAST thing the RIAA wants. They don't care squat about how well their artists get paid. And in fact they aren't particularly thinking about what rate they are getting paid on it either. What they are in a frenzy over is that fact that the broader market effect would be to more open opportunities to INDIE musicians. The RIAA's very existence is founded upon artists *NEEDING* to sign their soul away in an RIAA Label contract. If new artists find a broader marketplace more conducive to indie survival, the RIAA's influx of new lifeblood starts drying up. It doesn't matter what royalty rate the RIAA picks up in the short term if they lose control and indie artists are no longer forced to sign up with the RIAA middleman.

    A good statutory license means that the RIAA (and their artists) get paid their due, but that the RIAA lose their VETO power to shut down any music enterprise at will, lose the power to extort other companies into compliance.

    It's easy to dismiss the rights holders as "a bunch of rich musicians" who aren't earning a few extra million

    Actually I'm thinking more in terms of "lots of the poor musicians should be making more tens of thousands each... a living wage.

    An indie artist could be reasonably pleas

    --
    - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
  51. At least my MP3s still work by AmiMoJo · · Score: 1

    Unlike the DRM laden crap I got that committed suicide the moment the shop closed.

    --
    const int one = 65536; (Silvermoon, Texture.cs)
    SJW, n: "Someone I don't like, and by the way I'm a fuckwit" - AC
  52. Goddamn useless bloody subjects by trawg · · Score: 1

    Is it that hard to make the subject reflect the actual state of affairs? They haven't restarted allofmp3.com yet. All they've said is "The service will be resumed in the foreseeable future."

  53. Re:NL -vs- RU by Stooshie · · Score: 1

    Yes, the Dutch police.

    "Hallo dere! It's me Captain Stefan Van Der Haast Graacht of the Amsterdam Police again. Viz my partner - and also, I'm very happy to say, my lover ..."
    Source: Harry Enfield .

    :-)

    --
    America, Home of the Brave. ... .and the Squaw.
  54. Globalization by CaptainZapp · · Score: 1

    The problem here is: AllOfMP3 is selling songs not only to Russians, but also to Americans.

    You know, that's precisely what bugs me about globalization:

    When a hightech company ships 20'000 jobs to Heyderabad, or a huge consultancy moves it's headquarters to the Bahamas in order to shave taxes, then that's considered a smart move and a savvy business decision.

    When I, under the same logic, buy a tune from a foreign web site that's supposed to be a criminal act and fraudulent.

    Mind you, I'm not complaining about outsourcing jobs, or making smart tax decisions (overall, the cake is probably growing for all due to globalisation), but this is one of the most blatantly hypocritical attitudes by big business and they should hang their head in shame for that.

    (Actually tarring and feathering a few of those corporate bozos would be even more fun then lambasting them; but I digress).

    --
    ich bin der musikant

    mit taschenrechner in der hand

    kraftwerk

    1. Re:Globalization by adah · · Score: 1

      When I, under the same logic, buy a tune from a foreign web site that's supposed to be a criminal act and fraudulent.

      It is not per se. When you buy things manufactured in China, for example, it is legal if it is: 1) China branded, or 2) non-China-branded but properly licensed by the brand holder. Similar analogy here: It is OK to buy songs from Russia if: 1) it is Russian songs; 2) it is properly licensed non-Russian songs.

      I am not a big fan of either globalization or intellectual property. I do think AllOfMP3 is conducting unfair business. Rights holders should not have unlimited rights over their productions, but letting a foreign government dictate the price is not the solution.

  55. Pandora by Dzimas · · Score: 1

    Isn't Pandora an internet radio station? If so, I'm not sure why you're comparing their royalty rates to purchase rates. The primary issue with Allofmp3.com is that they haven't actually licensed the product they're selling. They're bootlegging CDs and selling digital copies internationally. It would be much like photocopying the latest Harry Potter book, selling it for a couple of dollars and making a token payment to some "licensing authority" in an attempt to legitimize what you're doing.

    1. Re:Pandora by Alsee · · Score: 1

      Isn't Pandora an internet radio station? If so, I'm not sure why you're comparing their royalty rates to purchase rates.

      As I said, AllOfMP3.com has to pay twenty times higher royalty rate for the exact same MP3 file download as I received from Pandora.

      Yes, Pandora downloads MP3 files onto your harddrive. They just don't TELL you that they are downloading the file onto your harddrive. Oooo.... they even leave the ".MP3" extension off of the file they downloaded to your harddrive... which might explain why you didn't realize that Pandora sent you that file download. But yeah, all you have to do is rename the downloaded file and drag it over you your music collection folder.

      Same exact file, same exact download.... just different filenames.... and that Russian law sets a twenty times higher royalty for it than US law does.

      The primary issue with Allofmp3.com is that they haven't actually licensed the product they're selling.

      AllOfMP3.com uses exactly the same sort of statutory licensing that Pandora does under US law.

      So YES AllOfMP3.com IS licensed, either that or you reject the notion of statutory licensing entirely - and reject the statutory licensing which exists in the law of virtually every nation on earth - in which case Pandora.com and countless other US companies "haven't actually licensed the product" either. Oh, and by the way, that would also mean that the RIAA members would be HUGE violators who "haven't actually licensed the product", as the RIAA members are some of the largest users of statutory licenses on the planet. I dunno, they might easily be *the* biggest users of statutory licenses on the planet.

      It would be much like photocopying the latest Harry Potter book, selling it for a couple of dollars and making a token payment to some "licensing authority" in an attempt to legitimize what you're doing.

      An even better analogy would be if you copied the lyrics from the latest hot new pop song, got together with your band and recorded those lyrics, ran a basement operation with 50 highspeed CD burners running off ten thousand CDs with those copied lyrics, went out on a New York city street corner hawking the disks for a buck each, and "making a token payment to some 'licensing authority' in an attempt to legitimize what you're doing".

      Which by the way is 100% legal under US law. Your example tried to prove it was obviously wrong and illegal, but US law says that sort of thing.... not your specific example but yes that sort of thing... is indeed 100% legal and legitimate. Statutory licenses are 100% legal and legitimate, both in the US and in Russia, and in pretty much every country on earth.

      The fact that US RIAA artists aren't getting a single cent from AllOfMP3.com sales is a very powerful argument that there is something wrong with Russian law.

      However the fact is that it is the RIAA which is prohibiting the artists from getting paid, and that it is doing so for the specific reason of manufacturing that powerful - and bogus - implication that AllOfMP3.com is doing something illegal or that there is something fundamentally broken about Russian law.

      It is just Not True. Russian law is operating here on exactly the same legal principles as US law. If someone wants to tweak the statutory royalty rate... sure whatever... but as for there being something fundamentally wrong with the law itself... no that is nothing but RIAA misrepresentation and disinformation.

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      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
  56. OOPS, failed link by Alsee · · Score: 1

    One of the links in my post above failed to show up:

    search?q=ROMS+royalty+percent+russian turns up this link which says:
    As stipulated in our licensing agreement with the Russian Multimedia and Internet Society (ROMS), the company [AllOfMP3.com] pays 15 percent of its gross revenue. The company also pays 25 percent of gross revenue to the Collective Management of Copyright with Respect to the Use of Musical Works in Interactive Regime (FAIR).

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    - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
  57. Allofmp3 - Bankrolling spam, botnets and phishing by Dilaudid · · Score: 1
    If you want to know where the money you are paying allofmp3 goes, look in your inbox. The spam you receive is largely sent by Russian botnet operators. If you know anyone who's been hurt by a phishing attack, bear in mind that by using allofmp3 you're helping that happen. Of course the thieves who run allofmp3 may not be the same thieves that phish, spam and run botnets, but they bankroll the same corrupt Russian politicians that make this happen.

    Of course the music labels don't want to accept their money, any more than you would want to accept the money of someone that had an affair with your spouse - offering money for a stolen "service" doesn't make it right.

  58. But how would you transfer money to them? by alexo · · Score: 1

    But how would you fund an AllOfMP3 account now that using Visa etc. does not work?