AllOfMp3.com under probe (News)
Tuesday, February 22, 2005 20:14
Russian police are "investigating" Allofmp3.com. Looks like the Music Mafia might be on its way to shutting down yet another internet innovation. I guess this means it's time to hurry up and use my download credits while I still can. Since last summer, I've found a lot of great music through this site. (Some of it not even available for purchase on cd the U.S.) I will miss it if it goes.
Techdirt's writeup sums up the implications:
If the recording industry actually does shut down Allofmp3.com it will show, once again, how the industry misunderstands the market they're facing. Allofmp3.com has shown that people are quite willing to pay for music online, when it comes at a decent price and in a format with no restrictions.
I wouldn't even mind paying a little more for the knowledge that some money is going to the artist. But I don't see any of the major labels rushing in to meet this market. So much for "supply and demand".
by Linknoid (2005-02-23 05:50)
I strongly suspected there was something up with them when you first pointed out that site. They haven't been shut down yet, but just comparing the amount of money Apple had to pay per song for licencing, there should be no way allofmp3.com should be able to make any profit, they should be going in the hole. If it seems too good to be true...