Online File Sharing & Pirates Blamed for Dip in Music Sales

From Newsbytes…

\”Internet file-sharing and commercial CD-pirating operations share the blame for a 5 percent drop in the value of recorded music sales last year, according an international record- company trade group. The International Federation of the Phonographic Industry (IFPI) said today that the slide in global revenue to $33.7 billion represented a 6.5 percent drop in unit sales of all recorded music formats, including full-length CDs, CD singles and cassette tapes. Behind those numbers, said Jay Berman, the IFPI\’s chief executive, was \”a perfect storm (that) combined effects of mass copying and piracy, competition from other products and economic downturn.\”
\”The industry\’s problems reflect no fall in the popularity of recorded music,\” Berman said, \”Rather, they reflect the fact that the commercial value of music is being widely devalued by mass copying and piracy.\” The IFPI said that surveys in the U.S. and Germany, for example, \”show that mass copying and Internet piracy is directly replacing sales of CDs.\” More