As we have discussed in this blog DRM refers to any combination of software encryption and hardware, designed to make digital copying impossible without permission (Robert Burgelman and Philip Meza). This was not popular among music fans and as a result DRM is continually being abandoned by the major record labels and as a result consumers have fewer restrictions when shopping for music. In this way customers have much more freedom and more avenues to get music
When DRM was introduced critics contended that the technology, and the framework of the laws that would support it, could erode consumer rights enjoyed under concepts such as fair use and the doctrine of first sale (Robert Burgelman and Philip Meza). It appears that they were right and now we are seeing a shift in the opposite direction. DRM supported the establishment of proprietary software for its distribution such as the many varied DRM technology standards. DRM had the ability to limit the use of digital media on computers, and portable players. In order to keep pace with competition from DRM-free stores and independent music outlets that do not carry DRM tracks, the four major record labels realized that removing restrictions from their catalogs would expose their artists to a larger group of consumers. An as the story goes, DRM is being kicked out the door.
But the battle is far from over. DRM will remain with in the music industry as long as there are subscription-based online music stores (since the technology is built into this business model) and the RIAA is on its side. David Kravets reports that more than 80 percent of the digital music market remains encoded with DRM, despite the announcements from the big labels. This is because of the highly popular iTunes Store, Apple's iPod, and iPhone. Those devices, with more than 100 million units sold, only play music protected by Apple's proprietary FairPlay DRM technology, or music that isn't protected at all. Apple, since 2003, has sold more than 3 billion music downloads, capturing more than 80 percent of the market (David Kravets).
To summarize, DRM was hot, now it’s cold.
References:
Burgelman, Robert A. Meza, Philip. (2004).Finding the Balance: Intellectual Property in the Digital Age. Strategic Management of Technology and Innovation, 4th ed. Ed. Burgelman, Robert, Clayton Christensen and Steven Wheelwright. New York: McGraw-Hill Irwin.
Kravets, David. (2008). Despite Move to MP3s, DRM Will Haunt Record Labels. Wiired Magazine. Retrieved July 1st from http://www.wired.com/entertainment/music/news/2008/01/sony_drm
When DRM was introduced critics contended that the technology, and the framework of the laws that would support it, could erode consumer rights enjoyed under concepts such as fair use and the doctrine of first sale (Robert Burgelman and Philip Meza). It appears that they were right and now we are seeing a shift in the opposite direction. DRM supported the establishment of proprietary software for its distribution such as the many varied DRM technology standards. DRM had the ability to limit the use of digital media on computers, and portable players. In order to keep pace with competition from DRM-free stores and independent music outlets that do not carry DRM tracks, the four major record labels realized that removing restrictions from their catalogs would expose their artists to a larger group of consumers. An as the story goes, DRM is being kicked out the door.
But the battle is far from over. DRM will remain with in the music industry as long as there are subscription-based online music stores (since the technology is built into this business model) and the RIAA is on its side. David Kravets reports that more than 80 percent of the digital music market remains encoded with DRM, despite the announcements from the big labels. This is because of the highly popular iTunes Store, Apple's iPod, and iPhone. Those devices, with more than 100 million units sold, only play music protected by Apple's proprietary FairPlay DRM technology, or music that isn't protected at all. Apple, since 2003, has sold more than 3 billion music downloads, capturing more than 80 percent of the market (David Kravets).
To summarize, DRM was hot, now it’s cold.
References:
Burgelman, Robert A. Meza, Philip. (2004).Finding the Balance: Intellectual Property in the Digital Age. Strategic Management of Technology and Innovation, 4th ed. Ed. Burgelman, Robert, Clayton Christensen and Steven Wheelwright. New York: McGraw-Hill Irwin.
Kravets, David. (2008). Despite Move to MP3s, DRM Will Haunt Record Labels. Wiired Magazine. Retrieved July 1st from http://www.wired.com/entertainment/music/news/2008/01/sony_drm
Sandoval, Greg. (2008). RIAA: DRM not dead and likely will make comeback. CNET News.Com. Retrieved June 30th from http://news.cnet.com/8301-10784_3-9939189-7.html?tag=blog.1
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