The Pros and Cons of Digital Rights Management
The aim of the following text is to state the positive effects of digital rights management (DRM) only in combination with the DRM-restricted strategy. The examples used will be piracy and legal cases when users broke the law by downloading unlicensed material from the Internet. It is essential to understand that without control over the use of digital content, it would be impossible to create an adequate market for legal purchases. Therefore, a balance should be maintained between the two approaches so as not to harm the music distribution industry.
2. What is DRM and its main goal?
DRM is a set of access control technologies for restricting the use of proprietary hardware and copyrighted works. DRM systems include copy protection, watermarking, serial numbers, and broadcast flags (Kovacs, 2006). The main goal of DRM is to prevent unauthorized duplication and use of copyrighted works, such as music, movies, and software programs.
3. What was the main mistake of DRM?
The main mistake of DRM was that it did not take into account the interests of legitimate users. For example, many users complained about the fact that they could not play their music on certain devices because of DRM restrictions. In addition, DRM made it more difficult for users to make backups of their purchased content. As a result, many users turned to piracy in order to get around these restrictions.
Piracy is a big problem for the music industry. According to a report by the International Federation of the Phonographic Industry (IFPI), global music piracy cost the industry $12.5 billion in 2010 (IFPI, 2011). This is a huge loss for an industry that is already struggling to make ends meet. Piracy has a negative impact on both artists and record labels. Artists lose royalties from sales that are lost to piracy. Record labels lose revenue from album sales that are lost to piracy. In addition, piracy results in job losses in the industry as well as decreased investment in new artists and products (IFPI, 2011).
5. Large and other not so talked-up music industry tycoons and companies which distribute films, music albums, eBooks, use DRM and make efforts to change the situation
The music industry has been fighting piracy for many years. In recent years, however, there has been a shift in emphasis from combating piracy to promoting legal alternatives. This shift is due in part to the fact that traditional methods of combating piracy, such as lawsuits and crackdowns on illegal file-sharing sites, have not been effective in reducing piracy levels (Ramachandran, 2009). Instead, they have only served to alienate potential customers and drive them towards pirated content (Ramachandran, 2009).
The industry has also been experimenting with new business models that offer more flexible pricing and licensing options for digital content. For example, some companies now offer subscriptions that allow users to download an unlimited number of songs for a monthly fee (Ramachandran, 2009). Others have introduced pay-per-track or pay-per-album models that allow users to purchase only the tracks or albums they want (Ramachandran, 2009). These new business models are more user-friendly and offer a better value proposition than traditional methods of buying music such as CDs or MP3s (Ramachandran, 2009).
In addition, the industry is making a concerted effort to promote legal alternatives to piracy. For example, many record labels now offer free or discounted music downloads to users who purchase CDs or other physical products (Ramachandran, 2009). In addition, the industry has launched educational campaigns to raise awareness of the negative effects of piracy (Ramachandran, 2009).
6. First wave of DRM-free environment
The first wave of the DRM-free environment happened around 2006 when a number of companies, including Apple, introduced DRM-free music tracks and albums. At that time, the industry was still in the early stages of the digital music transition and most consumers were unfamiliar with digital music formats and how to purchase and download music tracks (Ramachandran, 2009). As a result, the introduction of DRM-free music was not accompanied by a significant increase in sales (Ramachandran, 2009).
7. Microsoft Corporation and its Zune did not eliminate DMR, still, it reduced consumers’ restrictions a bit
Despite the fact that Microsoft Corporation and its Zune did not eliminate DMR, it did reduce consumers’ restrictions a bit. In 2007, Microsoft introduced the Zune Music Pass, which allowed users to download an unlimited number of tracks for a monthly fee (Ramachandran, 2009). This was a significant departure from the traditional pay-per-track model and it gave users more flexibility in how they purchased and consumed music. In addition, Microsoft began offering discounts on Zune hardware and accessories to customers who purchased Zune Music Passes (Ramachandran, 2009). This helped to encourage more users to sign up for the service and made it more affordable for those who did.
8. possible ways to increase purchase requirement in the sphere of music
There are several possible ways to increase purchase requirement in the sphere of music. For example, the industry could offer bundled packages that include access to exclusive content, such as live concerts or interviews with artists (Ramachandran, 2009). In addition, the industry could offer loyalty programs that give discounts to customers who purchase multiple items or make regular purchases (Ramachandran, 2009). Finally, the industry could offer free or discounted trials of new digital music services in order to encourage more people to try them out (Ramachandran, 2009).
It is essential to maintain a balance between DRM-free and DRM-restricted content in order to create an adequate market for legal purchases. If too much content is available without any restrictions, then there will be little incentive for users to purchase it legally. On the other hand, if all content is subject to strict DRM restrictions, then users will be less likely to purchase it legally due to the inconvenience and lack of flexibility. Therefore, it is important to find a balance that strikes the right balance between these two approaches.