Internet Financial News
Newsletter SampleFREE IFN Newsletter



WMG Backs ISP Music Tax With Griffin Hire

By: Bruce Houghton
2008-03-28

Industry Veteran Jim Griffin Will Spearhead Campaign. The idea of a $5 of so fee tacked onto ISP bills to pay for unlimited downloads is...

...gathering momentum worldwide. Now Warner Music Group has hired former Geffen digital head and sometimes industry critic Jim Griffin explore the creation of a new pool of money from ISP user fees and figure out how to distributed it to artists and copyright holders, according Portfolio Magazine.

It's clear that lawsuits against fans arent working and have led to bad PR for the industry. The RIAA sent out 5,400 letters last year settling 2,300 cases and suing the 2,465 who didnt respond. But music as a service, an idea that the Electronic Frontier Foundation began floating back in 2004 is gaining traction.

"We're still clinging to the vine of music as a product," Griffin says and accuses the music industry of practicing Tarzan economics. "We need to get ready to let go and grab the next vine, which is a pool of money and a fair way to split it up, rather than controlling the quantity and destiny of sound recordings."

The blogosphere exploded with comments:

• Technorati: "Music Industry's New Extortion Scheme"
Mark Evans: "This approach is stupid, outdated and provides more evidence the music industry just dont get it."
PaidContent: "Griffins proposal may sound euphonious to music industry execs, but hes going to have a difficult time making anyone else listen."
Mathew Ingram: "what if such a fee is instituted " what about the movie companies, and other media companies? What about photographers who claim their work is being stolen?"

It's clear that an ISP tax has flaws. A big concern is how the money will be divided, similar to those that would be caused by "all you can eat" plans from Apple, Nokia and others. (read Hypebot's commentary here) But you have to give Bronfman and WMG credit for backing this plan with manpower and not just rhetoric. An optional ISP tax alongside other revenue models could perhaps be part of the solution.

WHAT DO YOU THINK?

Comments

Tag: ,

Add to Del.icio.us | Digg | Reddit | Furl


About the Author:
Bruce Houghton is a 25 year music industry veteran who owns booking agency Skyline Music and the tour marketing company Skyline Innovations.

http://www.hypebot.com


Titan Quest Forum Nintendo Wii Graphics Forum
Halo 3 Forum Mac Software

Latest News