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How Compulsory License For Internet Might Help Music Industry Woes
Sales of recorded music in the United States and throughout the world have declined for three consecutive years. Three of the five major record companies are now reportedly for sale. Lay-offs are decimating record industry professionals.
The International Federation of the Phonographic Industry blames the situation on CD burning and unauthorized Internet file sharing. The problem can be traced in large part to the Digital Millennium Copyright Act of 1998. In negotiations for drafting the law, the record labels agreed to make Internet Service Providers (ISPs) immune from copyright infringement liability for the acts of those subscribing to their services. This was part of the quid pro quo for giving owners of musical recordings the exclusive right to digitally transmit masters on the Internet. Because they could not attack the ISPs for allowing such services as Napster to exist, the record labels began attacking the file-sharing services.
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