Lots of layers to the Steve Jobs / RIAA / DRM conversation..
Jobs, of course, recently
called for an end to DRM. It's been speculated that this is less a genuine dislike of DRM (which has given Apple a lock on music distribution and allowed them to dictate low wholesale prices for downloads as a loss leader for iPod sales) and more of a response to the
EU desire to open "FairPlay" (quotes intentional) DRM to other providers.
Blame shift to record labels - they make us use
DRM.
The RIAA, in turn, has
responded with a call (mirroring the EU) to open "FairPlay" DRM. This is likely less about a genuine desire to improve competition for consumers and more about bitterness at Apple's dominance and price-setting - coupled with a genuine desire to ensure that downloads are a horrible consumer experience.
Blame shift to Apple - they have a monopoly.
Blame shift to consumers - they're all thieves. (enter
swat team raids and
lawsuits against 13 year olds, despite an
independent study showing that sharing has
zero impact on record sales).
With
90% of the music industry's revenue coming from DRM-free CDs (the profitable atom-bit model of yesteryear), the consumer experience with a CD is mostly better than downloads. You can rip, mix, burn, move songs freely between devices in uncrippled form, etc.
And with 90% of tracks on iPods being DRM free and 'pirated' according to
Microsoft's Ballmer,
(Real's Glaser puts it at 50%, and the
music industry would like to think it's all pirated), the recording industry would like nothing more than to have the Internet go away, downloads to disappear, and CDs to remain the dominant form of delivery. And entire CDs, to boot. None of this 'single track' stuff -- since there are maybe a few commercial hits at best on any given CD. It's more profitable and doesn't require any change of business model.
Ensuring that downloads are crippled with DRM keeps the old model a better experience (if more expensive).
Meanwhile, it all sucks for consumers. Who would like to be able to get the tracks they want at a reasonable price and use them in a fair manner on any device they want - without threat of expiration.
The bottom line is that the corporate slap fight in the media really doesn't matter - no one has the consumer's interest on the agenda. (and where are the
aritsts in all this?)
If the two choices are either overpriced CDs with a few songs you want, or crippled downloads laden with restrictive DRM schemes, piracy remains the best overall consumer experience and will continue to flourish.
Now that AACS is
utterly busted in multiple directions, the MPAA should bear this all in mind as they crawl in bed with Micro$oft.
And consumers should bear this in mind as choose vendors, services and as they vote.
Labels: APPLE, doomed, DRM, freedom, Micro$oft, moneygrab, RIAA