Wednesday, December 5, 2007

Music Industry Debates Copy Controls

One of the major issues facing the global music industry is the debate over locking MP3 music files with DRM, or digital rights management.
On Sep. 25, Amazon, the U.S. online retail giant, announced the launch of a digital music store selling DRM-free tracks -- meaning customers can play their downloaded music on any device.
Amazon's move is seen as a direct challenge to Apple, whose iTunes stores is the leading digital music retailer. All of Amazon's tracks are DRM-free, while Apple's are not.
DRM is a code that restricts how files can be played and shared. Tracks with DRM can typically only be played on the device that they were first downloaded to.
Latecomers to the online music world like Wal-Mart and Universal Music sought a new strategy by selling DRM-free tracks. With Amazon's new store, the industry is firmly divided into two groups -- pro-DRM and anti-DRM.
Korea's music labels and copyright holders support DRM. Currently, users who download tracks through SK Telecom's Melon service can only play those files on select phones. Other major online music retailers such as Muz and Dosirak also sell DRM tracks.
Korean retailers have had little success with DRM-free tracks. Bugsmusic is a prime example. The online store tried selling DRM-free tracks, but changed its policy in May after strong opposition from copyright holders.
Online file swapping site Soribada offers DRM-free tracks through a monthly subscription service, but its sales have been falling. Why are Korean music listeners uninterested in DRM-free music? Simple: they don't pay to download music.
According to the music industry, 70 percent of Korean consumers download pirated music for free. "Selling DRM-free music files didn't attract new consumers," a Bugsmusic official said. "Instead, offering DRM-free tracks through a subscription system ended up pushing existing subscribers to other providers."
(englishnews@chosun.com )

2 comments:

kdpark said...

The approapriate boundary between DRM and DRM-free is very difficult issue. It is like the controvercial issue between patent and standard. Originally patent seeks to inventor's sole right, but standard seeks to everyone's benifit. How to compromise or compensate them is long-lived riddle. DRM case in music goes the same story. I think there is some good solutions. For example, music service can be divided in several level, and then charge customers per service level. If you want to listen luxurious music with addedservices like video and words, you should pay much. Otherwise you can listen to the music at much lower price. Of course, high price music is delivered with DRM encryption.

kdpark said...

Is copy always bad?
How long and how much should we protect the intellectual right?
In the regards of music, how long should it sustain?
I think intellctual righr including patent has very subtle issues in international trade.
Everybody's benifit and creator's right has always trade-off relation.
We cannot pay too much expense for security. So it is a problem of compromise among all the stakeholders and follows the process of standardization. Every participants can raise any opinion and explain proper causes when he deny on some decisions. When agreement is not made, voting will be executed at last.
It is a long and hardworking story like another form of war.