Thursday, November 26, 2009

Show Me the Money! (2nd Entry)

One of the messages repeatedly bombarded by anti-piracy advocates is that piracy deprives artists of income and would eventually kill the industry (like music). What if this is not true and that artists are actually earning more now. Here is an interesting study conducted in the United Kingdom and Canada which actually shows that P2P file sharing actually increases music purchases (http://www.zeropaid.com/news/87267/study-artists-earn-more-in-ap2p-world/).

The link points out (as far as the UK is concern) is that artists are actually earning more through the rise in concert revenue and music download sales. Also, it also cites a study conducted by the Canadian government which shows that people who download music illegally actually spend more money on music than those that don’t. The ones who are actually losing their share of the money are the music labels who stick to their traditional business model.

It still has to be examined however how this would impact new artists since it seems that majority of the concert revenues go towards the established artists. Furthermore, I have my doubts if a similar scenario exists in the Philippines given the infancy of the music online purchasing industry and generally low income of consumers. Nevertheless, it is interesting that one of the "evil" of piracy can turn out to be a myth.

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