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RIAA now wants $5 a month from every broadband user

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RIAA now wants $5 a month from every broadband user

Old 03-14-08, 02:43 PM
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RIAA now wants $5 a month from every broadband user

http://www.wired.com/entertainment/m...urrentPage=all


Music Industry Proposes a Piracy Surcharge on ISPs
By Frank Rose 03.13.08 | 12:00 AM

Having failed to stop piracy by suing internet users, the music industry is for the first time seriously considering a file sharing surcharge that internet service providers would collect from users.

In recent months, some of the major labels have warmed to a pitch by Jim Griffin, one of the idea's chief proponents, to seek an extra fee on broadband connections and to use the money to compensate rights holders for music that's shared online. Griffin, who consults on digital strategy for three of the four majors, will argue his case at what promises to be a heated discussion Friday at South by Southwest.

"It's monetizing the anarchy," says Peter Jenner, head of the International Music Manager's Forum, who plans to join Griffin on the panel.

Griffin's idea is to collect a fee from internet service providers -- something like $5 per user per month -- and put it into a pool that would be used to compensate songwriters, performers, publishers and music labels. A collecting agency would divvy up the money according to artists' popularity on P2P sites, just as ASCAP and BMI pay songwriters for broadcasts and live performances of their work.

The idea is controversial but -- as Griffin and Jenner point out -- hardly without precedent. The concept of collecting a fee for unauthorized use of music was developed in France in 1851 as a way of reimbursing composers whose work was being performed without their permission in cafes and the like.

The practice spread to the United States in 1914 and currently applies to radio airplay and webcasts in addition to live performances. In a 2004 white paper, the Electronic Frontier Foundation called for it to be applied to file sharing, but the Recording Industry Association of America immediately dismissed the proposal.

Things are different now. "The labels are beginning to like the idea of an access-to-music charge," says Jenner, who once managed Pink Floyd and the Clash, "because they're increasingly aware that their current model is broken." U.S. music sales, which peaked in 1999 at nearly $15 billion, dropped to $11.5 billion in 2006. Last year's figures are still being tallied, but with CD sales cratering and online sales overwhelmingly dominated by singles, the only question is how far they'll fall.

Meanwhile, the industry's antipiracy efforts appear more and more futile. Digital rights management, long touted as a solution, has been all but abandoned. And though the RIAA is said to have threatened or taken action against some 20,000 suspected file sharers, the market-research firm NPD Group reports that nearly 20 percent of U.S. internet users downloaded music illegally last year. The score to date: 0.02 million alleged P2P users down, 40.98 million to go.

continued...

So even those that do not download music will have to pay the RIAA? I wish I could walk up to anyone on the street and demand money even if they do not want what I'm selling. What about the MPAA, the broadcasters etc..? Should they all get a $5 a month fee as well so that we can protect their profits? It must be nice to pad your bottom line with about $2.4 billion of pure profit.
Old 03-14-08, 02:46 PM
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Only if they can share whatever they are smoking.
Old 03-14-08, 02:46 PM
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So even those that do not download music will have to pay the RIAA?
I wont pay it. I have never downloaded a single song from the internet and based on the lack of audio quality I hear I never will.
Old 03-14-08, 02:49 PM
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I've posted a few photos online that people are supposed to pay me $1,000,000,000,000,000 for if they want them. I'm sure some people have downloaded them without paying me for them. I therefore propose a $50,000 a month charge on every broadband user to make up for all of those who didn't pay me what I think my crappy photos are worth. This idea is genius!
Old 03-14-08, 02:51 PM
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Let's be fair here. I'm not giving them a dime unless I'm also charged $10/month for all the movies I'm not downloading.
Old 03-14-08, 02:52 PM
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Only if they allow everyone to download anything they want. Otherwise, what are we supposedly paying the money for?
Old 03-14-08, 02:58 PM
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Originally Posted by kvrdave
Only if they allow everyone to download anything they want. Otherwise, what are we supposedly paying the money for?
Exactly. If I have to pay $5 a month to them, then I better be able to download as much as I want.

For the lawyers here - could they collect the $5 and still sue users?
Old 03-14-08, 02:58 PM
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Originally Posted by kvrdave
Only if they allow everyone to download anything they want. Otherwise, what are we supposedly paying the money for?
I disagree. Charging up front assumes they are offering something EVERYONE will "want". I don't agree everyone that has a broadband account wants to download music.
Old 03-14-08, 02:59 PM
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Originally Posted by achau9598
Exactly. If I have to pay $5 a month to them, then I better be able to download as much as I want.



For the lawyers here - could they collect the $5 and still sue users?
I'm sure that's what they have in mind.

If it was up to the RIAA we would have to pay everytime we listened to a song. That is their ultimate goal.
Old 03-14-08, 03:12 PM
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Let's look at it this way. They say 20% of users downloaded music illegally last year. Let's assume that number carries over to the 40-50 million broadband users out of the 260 million total users. 20% of 40 million is 8 million. So they want to charge 32 million people $60 a year, or $1.92 billion dollars for not even using their product. Seems fair.
Old 03-14-08, 03:14 PM
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Originally Posted by kvrdave
Only if they allow everyone to download anything they want. Otherwise, what are we supposedly paying the money for?

You know, my first instinct upon reading the thread title, was that the RIAA can go frak themselves with a pointy stick, but thinking on it a little, if they could provide an airtight contract where I would pay that $5 and they would never send their gestapo after me for downloading music, it doesn't seem like such a bad idea.

I do disagree with charging everyone, but if they could make it an opt-in, I might go for it.
Old 03-14-08, 03:16 PM
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whack. they failed. they should face the facts... they can't stop the internet.
Old 03-14-08, 03:17 PM
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Originally Posted by achau9598
For the lawyers here - could they collect the $5 and still sue users?
Yup. It's not a usage fee but a surcharge. That's what I'd argue anyway.
Old 03-14-08, 03:18 PM
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Originally Posted by milo bloom
I do disagree with charging everyone, but if they could make it an opt-in, I might go for it.

Problem with an opt-in/out policy is that it would be pretty hard to police. The ISPs would then have to spend considerable money and time to figure out who's in or out becuase the RIAA would issue subpoenas for every damn IP address and let the ISPs sort it out. I don't see how that could work.

On another note, maybe the reason their sales are down is because every "artist" they sign these days is either a drug dealing thug making the same song over and over about how many times they've been shot, or a group of agnst filled suburban teens crying like a little girl about their high school love life.

Last edited by Binger; 03-14-08 at 03:31 PM.
Old 03-14-08, 03:24 PM
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Make it $2.50 and you've got a deal.
Old 03-14-08, 03:41 PM
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I wonder how they would charge college campuses, the kids who live in dorms

This'll probably end up being some sort of a stupid "tax" tacked onto a monthly phone/cable bill, just like all the extra bullshit we're charged for each month BY the gov't that's collected by the phone companies.
Old 03-14-08, 03:46 PM
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Originally Posted by kvrdave
Only if they allow everyone to download anything they want. Otherwise, what are we supposedly paying the money for?

Works for me I don't d/l music now... can't really remember the last time I even bought a CD, but if I'm paying for it I should get full access. Otherwise this is complete BS and I don't expect it to go anywhere.
Old 03-14-08, 03:50 PM
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Let's see. The RIAA goes around threatening to sue people and demanding a few thousand dollars to go away and leave them alone. Didn't we use to call that a protection racket?
Old 03-14-08, 03:51 PM
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How did they arrive at $5 ? They have an image problem. People already think they're dishonest, greedy, and unreasonable. Then when proposing an alternative/compromise solution, they still go overboard (imo) with the numbers. That doesn't help the image problem.

If 20% of broadbanders download illegally, then 80% don't.
If the 80% who don't download are "subsidizing" the 20% who do,
then the effective monthly "cost" of downloading is $25 per downloader.
Someone needs to explain how they figure that EVERY downloader is consuming $25 worth of music EVERY month. Keep in mind, all of those
downloads are costing the producers $0.00 to produce. No servers, no hosting fees, no discs, no distribution, no manufacturing costs, no printing, no inserts, no cases, no warehousing, no delivery costs, nothing.
Old 03-14-08, 03:51 PM
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You know, I agree people should not illegally download, but I hate it when the honest people are basically called thieves.
Old 03-14-08, 03:55 PM
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This would be like your local grocery store charging you a $5 "shoplifter surcharge" every time you walked in the door.
Old 03-14-08, 03:59 PM
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These guys are doing everything they can do to protect their outdated business model, aren't they? No business should have the right to be protected by force of law from the changing market. Why are we letting them get away with this shit?
Old 03-14-08, 04:03 PM
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Originally Posted by nemein
Works for me I don't d/l music now... can't really remember the last time I even bought a CD, but if I'm paying for it I should get full access. Otherwise this is complete BS and I don't expect it to go anywhere.

I don't download more than 2 songs a year from itunes. It is basically when I have a song stuck in my head and need it right now. But charge me $5 and I'll download crap I don't even want.
Old 03-14-08, 04:03 PM
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Originally Posted by Tracer Bullet
These guys are doing everything they can do to protect their outdated business model, aren't they? No business should have the right to be protected by force of law from the changing market. Why are we letting them get away with this shit?

Who's going to stop them? As long as they put more direct cash in the politcians pockets than you do, they have free reign to step on your neck all they like.
Old 03-14-08, 04:09 PM
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Originally Posted by Binger
On another note, maybe the reason their sales are down is because every "artist" they sign these days is either a drug dealing thug making the same song over and over about how many times they've been shot, or a group of agnst filled suburban teens crying like a little girl about their high school love life.


The last few cds I bought were old AC/DC discs and The Departed soundtrack. New music is teh suck.

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