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Active Inducement In the Post-Grokster World

By Richard Raysman and Peter Brown

Even as worldwide sales of compact discs have declined 30% during the last six years, legal music downloading continues to grow. For example, digital music retailer eMusic (www.emusic.com) has sold more than 300 million downloads and this year, Apple's iTunes Store sold its 10 billionth song download since the service began.

Yet, the International Federation of the Phonographic Industry (www.ifpi.org) estimates that illegal transfers still account for approximately 95% of all music downloaded, resulting in no payments for musical artists or recording companies.

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