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	<title>Digital Daily &#187; International Federation of the Phonographic Industry</title>
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	<description>by John Paczkowski</description>
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		<title>Sprint's Boardroom Bloodbath</title>
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		<pubDate>Thu, 24 Jan 2008 19:00:05 +0000</pubDate>
		<dc:creator>John Paczkowski</dc:creator>
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		<title>Digital Music Sales Are Up. In Other News, Recording Industry's Whining Trend Line Remains Steady</title>
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		<pubDate>Thu, 24 Jan 2008 08:05:49 +0000</pubDate>
		<dc:creator>John Paczkowski</dc:creator>
				<category><![CDATA[Digital Daily]]></category>
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		<description><![CDATA[Digital music sales are soaring, but that hasn&#8217;t stopped the recording industry from continuing to spin its long-running woe-is-me tale of piracy and declining revenues.
According to the International Federation of the Phonographic Industry&#8217;s 2008 Digital Music Report (PDF), global digital music sales rose to $2.9 billion in 2007, up from $2.1 billion in 2006.
Now that [...]]]></description>
			<content:encoded><![CDATA[<p><img src='http://digitaldaily.allthingsd.com/files/2008/01/cryingbaby.jpg' class='centered' style="border: 1px solid #000;" alt='cryingbaby.jpg' /><br />
<a href="http://www.paidcontent.org/entry/419-music-biz-pushes-piracy-blame-to-isps-digital-sales-up-40-percent/">Digital music sales are soaring</a>, but that hasn&#8217;t stopped the recording industry from continuing to spin its long-running woe-is-me tale of piracy and declining revenues.</p>
<p>According to the International Federation of the Phonographic Industry&#8217;s 2008 Digital Music Report (<a href="http://www.ifpi.org/content/library/DMR2008.pdf">PDF</a>), global digital music sales <a href="http://www.ifpi.org/content/section_resources/dmr2008.html">rose to $2.9 billion in 2007, up from $2.1 billion in 2006</a>.</p>
<p>Now that 40% increase isn&#8217;t nearly the doubling of digital sales we saw in 2006, but it&#8217;s not insubstantial, either. Especially when one considers that digital sales grew to account for 15% of the world&#8217;s music market, up from 10% in 2006. That means that almost a sixth of music sales already come through digital channels. This despite five or so years of the recording industry&#8217;s Keystone Kops approach to the digital music revolution.</p>
<p>All things considered, things aren&#8217;t going too poorly&#8211;even if the growth of digital music sales <a href="http://www.alleyinsider.com/2008/01/yet-more-bad-music-news-digital-growth-slowing.html"> hasn&#8217;t yet offset declines in physical music</a>. That being the case, it&#8217;s difficult not to look askance at the IFPI&#8217;s calls for governments and Internet service providers to take a hard line against file-sharing.</p>
<p>&#8220;Copyright  theft has been allowed to run rampant on [ISP] networks under the guise of technological advancement,&#8221;  IFPI Chairman and CEO John Kennedy wrote in the report. &#8220;Some estimates say no less than 80% of all Internet traffic comprises copyright-infringing files on peer-to-peer networks.&#8221;&#8211;<em>80%? Does the IFPI suffer from <a href="http://digitaldaily.allthingsd.com/20080123/bogus-mpaa-study/">the same math disability as the MPAA</a>?</em>&#8211;&#8221;ISPs have largely stood by, allowing a massive devaluation of copyrighted music. This in turn&#8211;and despite all the positives about our digital growth&#8211;has prompted a crisis in recorded music that has wide implications for the whole digital marketplace and all those businesses to whom music is an important ingredient. &#8230; Today, however, a sea-change is happening. The whole music sector, governments and even some ISPs themselves, are beginning to accept that the carriers of digital content must play a responsible role in curbing the systemic piracy that is threatening the future of all digital commerce. After years of discussing and debating, I am convinced it is no longer a question of whether the ISPs act&#8211;the question is when and how.&#8221;</p>
<p>And the answer? Five bucks and a copy of the latest Britney Spears album says it&#8217;s <a href="http://digitaldaily.allthingsd.com/20070613/att-network-level-filtering/">network-level filtering</a>.  </p>
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