EMI looking to cut RIAA funding

[newusername 10+ year member]

http://arstechnica.com/news.ars/post/20071128-report-emi-looking-to-slash-funding-for-riaa-ifpi.html

One of the Big Four labels is apparently unhappy with its return on investment when it comes to funding industry trade groups such as the IFPI and RIAA. British label EMI, which was recently purchased by a private equity fund, is reportedly considering a significant cut to the amount of money it provides the trade groups on an annual basis.
According to figures seen by Reuters, each of the Big Four contributes approximately $132.3 million to fund the operations of the IFPI, RIAA, and other national recording industry trade groups. That money is used in part to fund the industry's antipiracy efforts—including the close to 30,000 file-sharing lawsuits filed by the record labels in the US alone.

The IFPI confirmed to Reuters that it was working through its annual budget-setting process, and "as one would expect in this market, there is a focus on efficiencies and savings." The IFPI wouldn't provide any details beyond that to Reuters, and neither it nor the RIAA has responded to Ars Technica's requests for comment.

With music revenues dropping with no end in sight, despite the increased popularity of online sales, all of the Big Four labels are being faced with tough budget choices. The industry has been quick to lay the blame for its tough economic times squarely at the feet of pirates, but there are other factors at work too. The industry's glacial adaptation to changing consumer expectations around how and where they listen to music has done a lot to hurt the labels, and consumers are less willing to buy CDs now that they can cherry pick their favorite tracks from the iTunes Store. Even retailers are crying out for an end to DRM.

Giving the music industry credit where credit is due, the labels have made some progress in the past year, especially when it comes to realizing how much consumers detest DRM. But one of the chief activities of the RIAA is coordinating the Big Four labels' legal campaign, and those thousands of lawsuits have done nothing but generate ill will from record fans, while costing the labels millions of dollars and doing little (if anything) to actually reduce the amount of file-sharing going on.

In fact, the RIAA freely admits that the legal campaign is a real money pit, and EMI's new ownership may be very leery of continuing to pour money down that particular rat hole. Should the other labels follow suit—and there's no indication that they will—it would, at the very least, force the RIAA to reexamine its commitment to its legal strategy.

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[Flipx99 5,000+ posts]

At least I am not the only one who hates DRM

 

[snoopdan 5,000+ posts]

I wonder how many stolen mp3's are on the RIAA's computers //content.invisioncic.com/y282845/emoticons/confused.gif.e820e0216602db4765798ac39d28caa9.gif

 

[faulkton 5,000+ posts]

it only makes sense.

They have poured hundreds of millions of dollars into the RIAA and in return have seen a huge increase in the amount of illegal file sharing.

 

[snoopdan 5,000+ posts]

it only makes sense.
They have poured hundreds of millions of dollars into the RIAA and in return have seen a huge increase in the amount of illegal file sharing.

thats karma baby....music industry has been raping consumers for years.. I remember having to pay $18 a cd a few years back ..... Hell the Pink Floyd Box set my gf bought me was $150.... and I still ended up downloading a copy to have it on MP3 //content.invisioncic.com/y282845/emoticons/laugh.gif.48439b2acf2cfca21620f01e7f77d1e4.gif

 

[faulkton 5,000+ posts]

i have spent way too much money on CDs and continue to do so.

The RIAA should love me.

I have even started buying music online from amazon because its DRM free and whole albums are significantly cheaper than buying the physical CD.

I never bought an Ipod because i dont just buy single songs (i believe that songs should be heard within the context of the entire album) and Itunes price structure offers ZERO incentive to buy an entire album at .99 cents a song.

Amazon offers most albums for $8.99 and if the CD is more than 11.99 i usually just buy the download.

 

[faulkton 5,000+ posts]

or at least the last time i checked itunes offered no incentive to buy a whole CD, maybe they do now... they're too late i already own a zune.

 

[DBfan187 5,000+ posts]

you've able to buy the album from itunes for $9.99 for like, forever now.

 

[snoopdan 5,000+ posts]

ah but your forgetting about artists who only do one or two good songs, which in that case I think the single sales are logical. I mean, would YOU want to buy an entire Three Six Mafia album for its entire musical conent ? //content.invisioncic.com/y282845/emoticons/confused.gif.e820e0216602db4765798ac39d28caa9.gif//content.invisioncic.com/y282845/emoticons/laugh.gif.48439b2acf2cfca21620f01e7f77d1e4.gif

 

[faulkton 5,000+ posts]

ah but your forgetting about artists who only do one or two good songs, which in that case I think the single sales are logical. I mean, would YOU want to buy an entire Three Six Mafia album for its entire musical conent ? //content.invisioncic.com/y282845/emoticons/confused.gif.e820e0216602db4765798ac39d28caa9.gif//content.invisioncic.com/y282845/emoticons/laugh.gif.48439b2acf2cfca21620f01e7f77d1e4.gif

i don't listen to music like that.

Pretty much the stuff i buy i like the entire CD or dam close.

 

[faulkton 5,000+ posts]

the music that few people like, is usually better than the people who don't like it.

 

[tsenfw 10+ year member]

you don't need to get your music through itunes in order to put mp3's on your ipod.

I used to knock ipods too until i got one. They're awesome.

 

[faulkton 5,000+ posts]

i was aware you have to buy music from itunes to get it on your ipod.

nonetheless zune > ipod.

Costs less and is way better.

 

[DBfan187 5,000+ posts]

ipod2pc

 

[JimJ 5,000+ posts]

I mean, would YOU want to buy an entire Three Six Mafia album for its entire musical conent ?

No, but if I got the entire album in FLAC I wouldn't care about how much it costs //content.invisioncic.com/y282845/emoticons/tongue.gif.6130eb82179565f6db8d26d6001dcd24.gif I went down that road when I was a freshman...hated having a fractured music collection, I'd rather have complete albums with EAC logs/.cues and everything.

I'll buy records new, that's about it...and the prices for 200 gram vinyl are getting insane too //content.invisioncic.com/y282845/emoticons/frown.gif.a3531fa0534503350665a1e957861287.gif