Music Industry Structure and Interaction Assignment- Music Piracy

Topics: File sharing, Copyright infringement, Peer-to-peer Pages: 5 (1520 words) Published: April 18, 2015
Music Industry -Structure and Interaction
Illegal digital Downloading
Introduction: Illegal digital downloading is sometimes called piracy. It is the downloading of content from the internet, without permission from the copywriter/s, in addition to not paying for it. Undertaking this activity is what we call a copyright infringement. In the past decade, the music industry has had to adapt to the new digital era. Throughout its progression, we have seen the birth and rise of piracy, which has been the foundation of many financial losses totalling to billions not just in the Music industry, but also the Filming, Gaming and software industry’s. The industry as a whole, over the years has tried to devise a solution to the conundrum, but endured allot more failure than success; despite their emphasis on legalisations in regard to organised piracy companies, and their users. In this report, I will be analysing how illegal digital downloading/piracy, affects the UK &US Music Industry, and Global Economy. When and how did it start? The info graphic below exhibits the diminution of CD sales, transpiring from the year of 2000. This quandary was due to organised Illegal digital downloading companies, capitalising off illegal downloading, via P2P file sharing. Napster- a P2P file sharing network was one of the main culprit s during 1999-2001, causing the music industry a mass loss of revenue.

P2P (Peer-to-Peer) file sharing, enables you to search, locate and download file/s to your computer or device, from others users of the same network; as long as they are connected to the network, and have the file you are looking for on there computers system. P2P file sharing doesn’t’ rely on a central index server to host the demanded file; as the users of the network, together are the provider and consumer, hence the expression ‘’ file sharing”. How has Illegal digital downloading, affected the music industry & Global Economy? Since 1999, it has been exceedingly complicated for the music industry to be able to control illegal digital downloading, as the numbers of consumers supporting the illegal organisations were rapid expanding. Thought p2p file sharing is not as prominent today as previous; there are still other means for consumers accessing and downloading illegally. The IFPI (International Federation of the Phonographic Industry) is an organisation that represents the music industry world wide. They endorse the value of recorded music, and protect the rights, of produced/recorded music. A Digital Music Report is composed annually. The IFPI’S Digital Music Reports confirms:

1,000% increase in digital income between 2004-2010
31% decline in the value of the Global recorded music industry Estimated loss of £203bn between 2008 and 2015, due to piracy 40bn music file were illegally downloaded in 2008
Estimated 95% of music downloads are illegal
Growth of 6% in growth in digital music income
(IFPI publishes Digital Music Report 2011, 2011,

The RIAA (Recording Industry Association of America) is a trade organisation which looks after the major music organisations in the US. Theses organisations produce, assemble and/or dispense just about 85% of all legal recorded music created and sold in the US. The RIAA’s statistics show:

In the last 10 years, U.S music sales have dropped by 47%, from $14.6 billion to $7.7billion. During 2004-2009, 30 billion songs were illegally downloaded on file-sharing networks In 2009, only 37 % of music in the U.S was paid for

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