Amazon has announced that they will be launching their own downloadable music store. All downloads will be in MP3 format that can be freely copied to any computer, cellphone or music player, including the iPod. Amazon said its service would include music from one major label, EMI, and from 12,000 independent music companies that have chosen not to use DRM copy-restricting software (Digital Rights Management).
This move joins Steve Jobs announcement to make most of the tracks in the iTunes Store DRM-free. This could be another step toward the demise of the copy-protection for downloaded music. Apple controls more than 85 percent of the U.S. market for music downloads, will charge $1.29 for unprotected songs that will also have improved sound quality, versus 99 cents for a protected track. Apple plans to start selling those songs this month. No word on pricing from Amazon yet.
EMI has the smallest share of the U.S. market. Others like Sony BMG Music Entertainment and Warner Music Group, have not sounded like they are ready to drop DRM. However, Universal Music Group, the world’s largest label with about one-third of the U.S. market, may be getting ready to join the DRM-free fray. Universal has been offering unprotected files in Europe in the MP3 format.
The question is will selling unprotected music help offset the decline in CD sales? I still think not. Only selling music people really want will help falling sales in my opinion along with marketing the right artists for mass appeal. But what do I know? I was only a DJ for some twenty-plus years! There are few artists today that can fill stadiums the way the older artists have, and this has little to do with illegal downloads!
The push for subscription services sure has not helped much as it seems so far that Steve Jobs as right, "most people want to own their music." There is little evidence against this as Napster and other subscription stores have faltered as Apple's iTunes has grown.
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