EMI Ponders Selling DRM-free Music

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Date: Friday, February 9th, 2007, 09:12
Category: News

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An article on the Wall Street Journal‘s web site mentions that the EMI music label is currently gathering information from iTunes Store competitors such as eMusic.com, MTV Networks, MusicNet and RealNetworks to determine the possible bottom line from selling DRM-free music.
EMI stands as one of the five major record labels currently selling music online. The firm’s consideration is a departure from the current industry standard which considers copy protection code to be critical in protecting online music sales from piracy. The consideration falls in line with Apple CEO Steve Jobs’ recent open letter suggesting that DRM techniques have proven ineffective and inherently hamper the growth of online music sales.
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emilogo.jpg
An article on the Wall Street Journal‘s web site mentions that the EMI music label is currently gathering information from iTunes Store competitors such as eMusic.com, MTV Networks, MusicNet and RealNetworks to determine the possible bottom line from selling DRM-free music.
EMI stands as one of the five major record labels currently selling music online. The firm’s consideration is a departure from the current industry standard which considers copy protection code to be critical in protecting online music sales from piracy. The consideration falls in line with Apple CEO Steve Jobs’ recent open letter suggesting that DRM techniques have proven ineffective and inherently hamper the growth of online music sales.
According to Jobs, DRM-free music would allow for additional growth and would provide the same experience as that when a customer buys a physical CD from a brick and mortar retail outlet.
In recent years, record labels have fought to increase online music sales to overcome declining physical CD sales. Additional growth in this market, despite the potential of continued music piracy, might be enough to offset the difference and place total music sales at a level the labels consider themselves to be comfortable with.
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