Since the late 90s, recording business profits have dropped significantly. This is mostly due to a decline in CD sales. Conversely, there has been a huge upswing in sales of portable media devices (such as iPods), computers and broadband services. As Paul McGuinness said "Kids don't pay US$25 a month for broadband just to share their photos, do their homework and email their pals." Or course, he's right. People use broadband to download music, films and TV shows (as well as sending the odd email.) So it's reasonable to say that people's consumption of content has not abated (it's actually increased). However, they're bypassing the traditional channels of distribution.

So next we need to figure out why this is. I think it's the lazy option to say "because it's free." I think that only part of the reason. Yes, illegal download services are "free" (I place that in quotes as people still pay broadband charges as Mr. McGuinness has pointed out). We can blame pirates until the cows come home, but it's not the full story. We must also remember that the music industry resisted the Internet for so long, they drove customers into the arms of Napster and the like. There was a good 4 years, where there was no usable legal download service. Since its inception, Apple's iTunes has grown to become the US leading music retailer. However, this is a case of shutting the door after the horse has bolted. Millions of users had already become used to downloading from illegal services. The fact that iTunes has grown so popular proves one thing: All people are not thieves. Present them with an easy to use and affordable system and it will be used.

A quick word on court cases: suing your customers and more often than not, causing huge PR disasters is a gombeen's way of doing business. We'll say no more - I don't want to kick the record industry when they're down, but seriously - cop on!

So why isn't everyone using iTunes and other legal download services? Well, I see two main causes. The first is price. 99c for a song may not sound like much, but paying €10 for a digital album which has minimal distribution costs, zero manufacturing costs and provides the user with no tangible product may seem costly to some. Also, all tracks are the same price. I don't understand how "old" recordings are charged at the same price as the latest releases. I'm not saying new music is better (in fact, generally it isn't!) but surely Miles Davis' costs have been recouped at this stage. Why not have a sliding price scale and allow different tracks/albums to be charged at different rates? The second cause for lack of adoption of iTunes and other legal download services is the dreaded acronym DRM.

Digital Rights Management (DRM) is simply a load of arse. DRM is a mechanism so that music you buy can only be used by you and not freely shared amongst your friends and family. Ever hear of this - Home Taping is Killing Music? Let me absolutely clear - NONE of the DRM systems in place work. All they do is provide a set of unusable (and unusual) restrictions on paying customers. Recently Microsoft announced it was discontinuing support for it flagship PlaysForSure DRM system, which means that people who forked over their hard earned cash for music which incorporated this system are now left out in the cold. No wonder people are rushing into the arms of ThePirateBay and BitTorrent - at least you can be sure a DRM-free MP3 will play!!! I know iTunes now has iTunes Plus that's DRM free and Amazon.com have launched a DRM free music service too. However, it's nearly 10 years since Napster. How far away is that horse now?

So what's the solution? It would be arrogant of me suggest that I had the answer, but I do have a number of suggestions. The record industry needs to:

1. Realise their business model is antiquated and no amount of joshing can fit a square peg in a round hole


2. Stop suing people. It doesn't endear you well to the public.


3. Agree on some standards for digital delivery


4. Wash your hands of DRM


5. Price content sensibly. €10 for a digital album is NOT good value for money

It's not all the record industry's fault. The public have their own part to play:

1. Music costs money to produce. It's only fair artists and the industry are recompensed for their efforts.

That's it. Nice and simple for the public. If only the powers that be actually made it so ....

Rant over.