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Sat, Nov 21, 2009 - 07:48 AM EST  —  AAPL: 199.92 (-0.59, -0.29%)  |  NASDAQ: 2146.04 (-10.78, -0.5%)

Some music labels’ execs still think they can stop the inexorable DRM-free tide
Friday, May 04, 2007 - 09:47 AM EST

Apple Store"Last month, EMI Group and Apple announced that they would begin selling online music without usage restrictions that major labels had previously insisted on. But if you're waiting for EMI and Apple's competitors to follow suit, don't hold your breath," Louis Hau reports for Forbes.

"Other online music retailers say they're worried that following Apple's lead will confuse customers who may already be baffled by a crazy quilt of restrictions that envelop the industry. And on Wednesday, executives from major music companies speaking at an industry event said that getting rid of 'digital rights management'--mediaspeak for rules that limit how many times users can copy music they've bought--isn't high on their agendas," Hau reports.

Hau reports, "Just because the music industry has already been hit harder by digital piracy than other entertainment businesses doesn’t mean it should give up the fight to protect its content, said Michael Nash, Warner’s senior vice president of digital strategy and business development, speaking at the National Association of Recording Merchandisers annual convention."

Hau reports, "'No intellectual property business is going to cross the digital divide without figuring out how to protect its content and to ensure that transactions are associated with the acquisition of content,' Nash said. 'The music industry simply has to solve the content security problem or risk the obsolescence of its business model.' Thomas Hesse, president of global digital business and U.S. sales for Sony-BMG, quipped that, 'We don’t want the whole world to be a college dorm. Because that’s what a no-DRM world looks like--it’s a world in which all product can just be cloned without limitation.'"

Full article here.

[Thanks to MacDailyNews Reader "Twilightmoon" for the heads up.]

MacDailyNews Take: There are always some morons standing around trying to buck the sweeping tide of change. Like these two suits from Warner and Sony-BMG. It's over, guys... hello, wake up before you drown!

Newsflash: the whole world already is "a college dorm." Do we have to fire up Transmission to prove it to you? The horse left the barn decades ago when the music industry opened the doors wide and began selling billions of Compact Discs without DRM. Hence, most of the music sold today is already without DRM and, we can get any new release for free - just like being in a college dorm - on the day of release via P2P. Don't steal music.

Lastly, it doesn't matter what the music labels' agendas are, the only agenda that really matters is Steve Jobs' - and his seems focused like a laser on DRM-free music sales.

DRM-free music is already here via CDs and P2P. There is no logical reason to try to restrict legal online downloads with DRM - all you are doing is turning people towards pirating music and/or turning them off from using legal online stores like Apple's iTunes Store.

It never fails to amazes us how some people in the music industry don't understand the absolute basics of their business model.

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May 04, 07 - 08:53 am Comment from: Thorin

If you want to be regarded as a jerk in your industry, follow the lead of Thomas Hesse. The world as a college dorm? MMMM, beer.

May 04, 07 - 08:53 am Comment from: eMax

Just give up already.....

May 04, 07 - 08:53 am Comment from: MacBill

Music execs are greedy, have always been greedy, and will always be greedy. It's in their blood. That's why they became music execs in the first place.

May 04, 07 - 08:54 am Comment from: gow

Good Take MDN. You can't go back. Besides, people that steal, will steal, why punish the majority that doesn't steal music!

May 04, 07 - 09:05 am Comment from: Big Al

80% of our music sales are DRM free.

We cannot enter the digital age with DRM free music.

Yes, we are extremely stupid.

May 04, 07 - 09:09 am Comment from: Stefano Jobso

Is it any surprise to find yet again that Thomas "rootkit" Hesse of Sony has no respect for his own customers and no interest in listening to them and selling them what they want?

Sony is so boneheadedly stupid it's just not true. At one time they *owned* the market for portable players with the Walkman. They threw it away when the shift to digital audio players came along, because their DRM was so aggressive and unpleasant that no one wanted to know.

Sony seems incapable of learning from experience.

May 04, 07 - 09:11 am Comment from: Stefano Jobso

BTW, can someone tell these dorks that the music on CDs *is* digital? CDs are *not* an analogue format.

May 04, 07 - 09:22 am Comment from: maczealot

Would that be the ebb tide or flow tide?

It would be a rip tide!

May 04, 07 - 09:22 am Comment from: Holy Mackerel

Warner and Sony-BMG are starting to sound like the cigarette company executives - they can't see what the rest of the world can see, since they need to believe the lie to get/keep their jobs.

Magic Word: 'keep' as in jobs

May 04, 07 - 09:25 am Comment from: Winston

Newsflash: the whole world already is "a college dorm." Do we have to fire up Transmission to prove it to you?

When I read this, what popped in my head was the song "Transmission" from Joy Division, which also would make for a good take on record industry morons who can't accept reality:

Listen to the silence, let it ring on.
Eyes, dark grey lenses, frightened of the sun.
We would have a fine time living in the night,
Left to blind destruction, waiting for our sight.
And we would go on as though nothing was wrong.
And hide from these days, we remained all alone.

May 04, 07 - 09:47 am Comment from: DRM sucks

"Because that’s what a no-DRM world looks like--it’s a world in which all product can just be cloned without limitation.'"

To avoid such a scenario, Industry execs are contemplating a new form of vinyl that disintegrates as it is played...

May 04, 07 - 10:00 am Comment from: SisterOfEvil

"Other online music retailers say they're worried that following Apple's lead will confuse customers who may already be baffled by a crazy quilt of restrictions that envelop the industry."

So keeping hundreds of different DRM schemes is confusing but having no more restrictions on your music will make it more confusing.
It's going to be like "Let's see, can I burn it on CD? Yes. How often.... No restrictions. OH NO I don't have that many CD's, what am I gonna do? Maybe I should delete this song or I will get confused that no error messages are popping up. Yay, just get rid of stuff that does not try to keep me from enjoying my music!!!"

May 04, 07 - 10:02 am Comment from: E of E

Hey, has anyone heard of a set date when the DRM-Free EMI music will be available? The only thing I've heard so far is "some time in May"... being May I would like to know when. smile

May 04, 07 - 10:23 am Comment from: RePlay

"obsolescence of its business model"

- duh. That has been the objective all along.

May 04, 07 - 10:31 am Comment from: MacMan

The music labels don't want to confuse consumers with what, no restrictions? Take the comparison: you may only burn disks of a playlist seven times (depending on the label), share on up to five computers, can't play on all devices, you owe the labels your firstborn, and sit in a corner eating your Christmas pie -- all for one low price of $14.99/month for a 'Plays for Sure' subscription through Naps..er...eMus..er, um, whatever...

No restrictions is definitely easier to understand.

May 04, 07 - 11:10 am Comment from: Twisted Mac Freak

Wise words from Edgar Winter:
"The mountain is high, the valley is low,
And you're confused 'bout which to go,
So I flew in to give you a hand,
And lead you into, the promised land.

Come on and take a (DRM) free ride,
(DRM) free ride,
Come on and take it by my side,
Come on and take a (DRM) free ride!

All over the country, I'm seeing the same,
Nobody's winning, at this type of game,
We gotta do better, it's time to begin,
You know all the answers
Must come from within.

MW: free - HAH!

May 04, 07 - 12:25 pm Comment from: kida

umm.... wait??? are the labels going to offer me a way to put some drm on the cd's i just purchased and imported into my itunes??? hopefully... i'm soooo confused as what to do because there isn't any drm on those tracks!!! HELP ME!!! I NEED DRM!!!

f that! i look forward to the day i'm not limited to burning a cd from itunes x amount of times because burned cds just don't last in my car.

maybe it's time just to skip the cd all together and go straight from my ipod to my car stereo.

May 04, 07 - 12:27 pm Comment from: MacGuy

DRM free music is stupid!

May 04, 07 - 12:48 pm Comment from: Wrestling with the comment field

"The music industry simply has to solve the content security problem or risk the obsolescence of its business model."

Okay, to anyone with half a brain this sounds like, "If we can't create a perpetual motion machine, our goose is cooked!"

I think I would be more willing to follow the guy who is saying, "We can't create perpetual motion machine but we can make money without one."

P.S. So I can't copy and paste from a comment box in the new site design, nor can I use the arrow keys, and the only editing key that works is the 'delete' key? You gotta be kidding me, this really sucks. If it happens to be some buggy state my browser has gotten me into then I apologise, but if not then you guys need to change this RFN.

May 04, 07 - 12:49 pm Comment from: oh my

@ TMF

Love it ... keep rock n roll alive !!

May 04, 07 - 02:59 pm Comment from: ken1w

Steve Jobs is brilliant. He has set up a win-either-way situation for Apple.

If this bid with EMI to make music DRM-free is NOT successful, no problem. He maintains the status quo, but Apple stops (or deflects) all the stupid criticism about DRM (particularly from government officials in Europe). Apple can say, "See. We want to get rid of DRM and that will solve all your 'inter-operability' concerns. But the record labels are blocking it. So go annoy them instead of us."

If it IS successful, Apple gains new clout in the music industry. The DRM criticism becomes irrelevant. And the iTunes Store has increased revenue and profit from selling songs for 30% more.

iPod sales will remain the same either way. Whether music is bought on CD or downloaded from iTunes (or stolen over P2P), people still need a place to carry the files and play them. You can pirate music pretty easily, but you can't "pirate" an iPod.

May 04, 07 - 03:35 pm Comment from: TowerTone

Yes, TMF
They are not making albino hippie Texan musicians like they used to.
Unless you count Johnny.
And then you are through.

(Roy Orbison wasn't a hippie, I don't think. Pale, though. And Michael Jackson's visit here doesn't count....)

May 05, 07 - 01:15 am Comment from: Masa

Music industrys real problem ain't lack of DRM. It's lack of good music.

Give me new Jimi Hendrix, Hanoi Rocks or Guns n' Roses...

All I see is Idols crap.

"Boy bands are trash - I listen to Johnny Cash and GrandMaster Flash" -Kid Rock

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