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Warner Music Proposes ISP Music Fee

Warner Music has hired music industry consultant, Jim Griffin, to formulate a business model that could see an additional $5 added to your monthly ISP bill. The idea is to collect money from Internet users who would pay a fee to download copyrighted music. The money collected would then be distributed to copyright holders and artists to compensate for lost revenue (illegal file sharing etc.). This idea has been heavily criticized by some as being nothing but a 'music tax' that would also impact on users who don't download music from the Internet.

One of the problems facing the music industry at the moment with regards to its relationship with consumers is its integrity. With the RIAA suing college students, mothers, and even grannies, it's going to be difficult for them to build up trust and convince consumers that paying the extra fee will make them immune to prosecution.

The wider issue is that of access. This proposal only applies to the Warner Music catalog - how about the other record labels, or even the movie industry? It could get very expensive using the Internet in the future.

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Sunday March 30, 2008 | comments (0)

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