Question:
Is DRM-free music the correct business model for digital music sales, to help the recording industry improve digital revenue streams?
Brief History of DRM
• Watermark Technology
• Fair Use Vs. Creator Rights
• RIAA Piracy Litigation
- Individual Action
Current State of Affairs:
Size of Recording Industry (in millions)
1999 - $14,584.5
2002 - $12,614.2
2007 - $10,322.7
CD (Album) Sales
2004 - 90.3%
2005 - 87.0%
2006 - 85.6%
2007 - 82.6%
Digital Download Providers
2005 - 6.0%
2006 - 6.8%
2007 - 12.0%
Net Change in
Singles Downloads
2005-2006 ~ +59.8%
2006-2007 ~ +38.1%
Future of Digital Music
• RIAA Focus on ISP’s
- Improve perceived customer value
• Variable Pricing Model
- Varied pricing for varied levels of use
• Ad-supported/Free-streaming websites
- Will replace subscription based sites
• Surcharge addition to Broadband bills
- Monetization of peer-to-peer networks
Subscribe to:
Posts (Atom)
