RIAA chief says illegal song-sharing 'contained' - [crime-law] 02:59 PM EDT - Jun,14 2006 - post a comment Nearly
a year after the Supreme Court issued a landmark ruling against online music
file-sharing services, the CEO of the Recording Industry Association of America
says unauthorized song swapping has been "contained." The problem has not
been eliminated," says association CEO Mitch Bainwol. "But we believe digital
downloads have emerged into a growing, thriving business, and file-trading is
flat."
After the Supreme Court ruled that the services could be liable for piracy by
their users, the RIAA sent cease-and-desist letters to several firms. Most -
including BearShare, WinMX and Grokster - shut down. EDonkey and others said
they would switch to a licensed, paid model.
The RIAA has sued just over 18,000 individuals for sharing songs online, with
4,500 settling for about $4,000 per case. Album sales are still down -
about 3% this year. But Bainwol says digital sales - up 77% - make up for the
shortfall.
Well, if the RIAA said it then it must be true ;) |