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San Jose Mercury News Columnist Chris O'Brien believes that music labels are still off base in terms of digital rights management. In his May 28th column, he explains how music labels keep pushing for things such as compliation clauses that would give penalties to individuals or companies who pirate songs. The penatly would be received for each song, not just ONE cd, as the current law states.

Consumer advocacy groups have worked against this clause, however on May 8, the House passed "The Prioritizing Resources & Organization for Intellectual Property Act," or HR 4279, which is a watered-down version of the original clause. "I think the worst fears have been resolved satisfactorily," said Andrew Jay Schwartzman, who has run the Media Access Project for almost 30 years. "We can live with this."

Ultimately, the original provision called for higher penalties instead of separating the types that can be presented. Many industry professionals believe that the industry needs to adapt to its customers and listeners. Punishing them will only increase their search for finding places to get music like NAPSTER. Record labels argue that digital music revenues do not offset the number of cds that are being sold, however perhaps changing one's business model to be more WEB oriented will generate increased revenues for the long term.

All of these attempts to punish listeners are generated a greater disconnect between their buyers and those that are providing the music.
Brien says in this column:

The continued pursuit of legal remedies has created an adversarial relationship between the industry and its audience. And this has alienated a significant group that should be helping the music industry, rather than battling it.

The transition to digital music represents a huge opportunity for the music industry. There are more people listening to more music than ever in history thanks to the explosion of digital music services.

And to give some credit, the music industry has been experimenting with various business models like subscriptions, selling music with other products (buy one can of shaving cream, get the new Rolling Stones album!), and embracing social networking.

"It's sparked the most explosive period of innovation and experimentation that the music industry has lived through," Jim Donio, president of the National Association of Recording Merchandisers, told me during a recent stop in San Francisco.

This topic is important to not only industry professionals, but music lovers worldwide. Finding a way to compromise on the topic will generate greater success in one's acceptance to having to purchase music online, and being successful in making money while providing that service.