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Music industry scores victory as piracy swells

Forty songs are being downloaded illegally for every legal music download, according to estimates produced on Thursday as the record industry scored one of its biggest victories against online piracy.

Some 20bn songs were downloaded illegally last year, compared with a legal digital market of about 500m tracks, the IFPI, the international music industry lobby group, said.

The estimate was disclosed as the IFPI and its US counterpart, the RIAA, confirmed a settlement with Sharman Networks, which distributes the Kazaa peer-to-peer software applications that are thought to account for up to 15 per cent of music file-sharing.

Under the terms of the deal, Sharman will pay Universal Music, Sony BMG, EMI and Warner Music more than $100m (€79m, £54m), the biggest settlement fine by far in any music piracy lawsuit. The music companies will also receive 20 per cent of future income from Kazaa after it agreed to adapt to a legal model.

“Kazaa was an international engine of copyright theft which damaged the whole music sector,” said John Kennedy, the chairman and chief executive of IFPI. “This brings the biggest piracy brand in the world into a legal model.”

http://msnbc.msn.com/id/14062997/

         
         
         
         
         
   

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