"Ripping" Vs. "Sharing"

The debate about strict copyright laws, digital downloading, and the illegal "sharing" of music has gone on for some time. You shouldn't be able to make a back-up copy of a CD, say some, because that's copyright infringement. You shouldn't be able to download music from a legal Website and then burn it to more than one disc because, again, that's copyright infringement. Apparently digital downloading has caused this horror in the music industry. Yet today, I witnessed something that had me scratching my head. After lunch with a couple of colleagues, they wanted to pop into HMV to grab some "new" music for their iPods. Sick of the same old, same old, they decided to swap: you buy a few CDs you like, I'll buy some I like, and then we'll trade. Hmm...makes sense, right?

To the pro-copyright camp, they just violated the very sanctity of music. How dare you buy CDs and trade music like that? Essentially, that means you got every CD half-price, right? But from the pro-digital, evolution of music standpoint, what they've done is just opened each other's eyes to new music they may never have bothered to buy, in physical format or otherwise. Now not only is there a greater appreciation for different types of music, but there's also the increased chance that they'll like what they hear, and add a new artist to their radar for future purchases. What a concept!

On that note, I was pleasantly surprised to see that there were new CDs available for as little as $12.99, and even $10! The last time I recall, new releases were, at best, $13.99 or $15.99. There were even some pretty good CDs selling "two for $12" or $25. Not bad. Still, I hesitated to buy anything, thinking that I'd just download the specific tunes I want and make a "mixed" CD (only one, of course. God forbid I make one for a friend as well). But at the prices they're at, it's almost worth it to buy the media (especially for the potentially better quality) and save myself the time.

I can't believe I'm saying it, but maybe CDs will return to profitability as people decide that they can't be bothered, or don't have the time, to compile a list of tunes, download them, and burn them to a CD as normal practice. If it isn't a hobby, it can certainly get time-consuming. And iPod owners know how expensive it can also get buying tune after tune, not realizing how much they add up until you get the dreaded credit card bill!

I could be way off base here, but it's food for thought, nonetheless.

On another note, Happy Thanksgiving to all of our readers in the U.S. We wish you all the best on this wonderful holiday. Eat, play, and be merry!

Battle Heats Up Among Artists, Labels, & Digital Downloading

Musical artists have banded together to create the Featured Artists’ Coalition in order to demand greater control and ownership over music that’s distributed online and, more importantly, for a larger cut of the revenue pie. While it's easier to determine who gets what when a physical CD is sold through a retailer, things become stickier when you’re looking at individual tune downloads sold through various Websites. It’s like déjà vu with the Hollywood Writer’s Strike, which just took place late last year, and which centred around, among other issues, video content distribution online.

The organization is asking, among other things, that artists always retain ownership of their work, that all agreements are conducted in a “fair manner” (you mean this isn’t the case now?), and that artists must always be informed on how their work will be exploited. Recently, for example, artist Jack White wrote a song for the new James Bond flick, which was then reportedly unbeknownst to him released first in a Coca Cola commercial.

Artists are also asking that copyright be by license, not by assignment, and be limited to 35 years. When it comes to performers that don’t write their own work, these guys are asking that they receive the same rights as the authors themselves.

The artists involved in the Coalition already numbers more than 60, and include some really big name musical artists like Radiohead, The Verve, Craig David, Robbie Williams, and the Kaiser Chiefs.

It was only a matter of time. While we have seen a battle ensue within the music industry ever since digital music downloading has taken over, artists have never really taken a major, unified stand. Music labels have fought it out to create favourable deals with digital downloading companies, and have even taken legal action against illegal, peer-to-peer file sharing sites. But have any of these deals really worked in favour of the artists?

It seems that while everyone involved has slowly begun to warm to the reality that is digital music downloading rather than trying to stop it, another issue has been brewing: payment. A song sells for $0.99 on iTunes versus a full, $20 CD in the store. Who gets what out of this deal? Can we really divide profits from a buck 50 ways in a manner that looks out for the interests of all involved versus a full CD?

It sounds like whatever the current situation is, artists aren’t happy. And while the record labels or digital download sites could easily turn up their noses to the artists and say “too bad”, the reality is that these are the guys actually making the music. Back in the day, artists may have been at the mercy of the guys who could get their music sold, and get their name exposed to the public. It wasn’t so easy to record, create, and sell your own CD: what struggling artist had the means to do that? But today, it’s pretty easy to set up your own digital download Website, or to get your music out to millions with just one click (MySpace, anyone?) So it’ll be interesting to see how this drama unfolds.

Dell Makes DVD Burning Drive for Digitally-Downloaded Content

Dell has plans to make what could be stringent copyright lobbyists' worst nightmare: a PC drive that would let customers take movies downloaded from CinemaNow and burn them to DVDs that can be played in most standard DVD players. While it sounds like a logical function (and let's face it: it is), those who feel strict copyright laws should be enforced will frown upon this device, claiming that it, along with other like devices, "infringes on copyrights".

The drives, which are based on Sonic Solutions' Qflix technology, work in tandem with the Roxio Venue application and specific Qflix CinemaNow titles (there are reportedly about 100 set to be available thus far), to create Qflix DVDs. The drive is already available in the U.S. as an option for most Inspiron, Studio, and XPS notebook PCs, and sells for US$120.

While some movie downloads from the CinemaNow Website are available in Canada, I doubt that this product and service will be. It's just another to add to the list that potential Canadian copyright law changes could deem illegal. This is despite the fact that it makes perfect sense to 1) enjoy content that you've legally purchased anywhere you want; and 2) be able to make back-ups of downloaded movies in case your PC crashes. Not to mention that DVDs created from this program are indeed copy-protected, just like regular store-bought DVDs.

"People are accessing and managing more and more digital content with their PCs," explains Michelle Pearcy, Director of Global Software Marketing at Dell, "but often they're limited by where and when they can view their content. With Qflix, movie fans can now burn their movies and TV shows to DVDs..."

Sonic Solutions' Executive Vice President of Strategy Mark Ely makes a bold statement in claiming that the Qflix technology is "bringing the $35 billion DVD sell-through market into the age of electronic distribution."

While I do see the other side of the coin where content can be mass-produced and sold in an illegal fashion (a la bootlegged content), stopping the development and integration of technology really isn't the answer. With that said, hopefully this product and the Qflix technology will cross over to the Canadian market in the near future.

Record Labels Struggle While Artists Thrive

A new report from IBISWorld paints an interesting picture about the future of the music industry. It points out that, while record labels are struggling in light of the increase in digital downloading and Internet consumption, artists are actually thriving. And why wouldn't they be? They now have a clear line of communication between them and essentially an entire world of music lovers.

"Having initially fought downloading, rather than looking at ways of legally exploiting and profiting from it, record labels are now finding themselves playing catch up," said George Van Horn, Senior Analyst at IBISWorld.

Indeed, what's happening is that new and emerging artists are harnessing the power of the Web to promote their music, and in turn, profiting directly from their own music distribution, since they own the rights to it.

"Digital technology makes it easier to artists to dispense with record labels and publishers," Van Horn frankly stated.

While this may be true, artists will still need someone with good business sense that can steer them toward the right avenues of distribution, whether it be via ad-supported Websites, pay download online stores, or yes, even the creation and distribution of physical CDs. Eventually, the mass craziness that is music all over the 'net will require some proper management. Whether it's a record company, an independent label, or just simply an agent, remains to be seen.

Related to this, IBIS has an interesting perspective on how digital downloading can actually help the music industry, rather than harm it. "Overall demand for music may actually increase as more fans access music by artists they were previously unaware of, creating opportunities and possibly increasing the value of assets held by the industry."

I never understood how record companies could frown upon mass exposure of an artist via the 'net. Isn't that what you're attempting to accomplish in the first place? To get this artist's name "out there"?

Another interesting tidbit of information: reportedly mobile phone ringtone licensing has the potential to become one of the biggest money-making ventures for the music industry. Who knew that the invention of the polyphonic ring tone could pay the rent on that mansion that the latest pop sensation just paid millions for?

The reality is that the entire music landscape is changing, and the sooner all involved realize this, the sooner everyone can profit from the changes instead of trying to prevent them.