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Amazon Apologizes For Its 'Big Brother' Move on Kindle

When Amazon.com went into Kindle devices across the country to delete unauthorized copies of 'Animal Farm' and '1984' by George Orwell, the irony was certainly not lost on users. A Big Brother move, no doubt, especially because no one was informed of the invasion of privacy -- and customers thought the reclaimed content had been legally purchased. Amazon did issue refunds, but the blogosphere earlier this month took the story up en masse. Customers, feeling betrayed, came out of the woodwork to express their frustration. Charles Slater, an exec with a Philadelphia sheet-music company, told the New York Times, "I never imagined that Amazon actually had the right, the authority or even the ability to delete something that I had already purchased."

Although Amazon released a lackluster apology on July 17th (its explanation was that a distributor uploaded the material without permission), the online mega-retailer did little to stop the bleeding. The anti-digital rights management (DRM) crowd protested the remote deletion and claimed this type of infraction was the core problem with rights-controlled media.

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Audio/Video, Web

'Casual' Pirates Courted by Legal Music Streaming Sites

The Internet made pirating music as simple as clicking a few buttons in a program, much to the dismay of record companies around the world. Those same companies tried to control the music through the use of Digital Rights Management (DRM), but failed miserably. Only now are the record companies realizing that a large majority of people only pirate music because it's simply the easiest and most accessible way to find and listen to music. These "dinner party pirates" are not out to prove themselves to anyone, or stick it to the man -- they just want to listen to music. Give them a good solution, and, in theory, piracy will drop while revenue increases.

According to the New York Times, that's exactly what's happening in Britain with young music-streaming start-ups like Spotify and We7, which stream music for free and make revenue through site advertising. These sites have found immense growth in a fairly short amount of time (Spotify's revenues have doubled every month since launching this past February), while studies conducted by research firms Music Ally and Leading Question show that piracy among British teens has dropped almost in half since December 2007. While in no way a full solution to music piracy, the results so far are promising.

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Computers

Amazon Suspends Kindle Account After Too Many Product Returns


The Kindle should be a pretty straight forward proposition, but this just goes to show you how sometimes folks can stir up controversy even with something as innocuous as an e-book reader. First there was the hassle with the Writers Guild over text-to-speech, and then Amazon threatened MobileRead with legal action for merely linking to software they didn't take kindly too. And now we're hearing alarming tales of Kindle owners who have had their accounts turned off when inadvertently running afoul of company policy. Case in point, a user on the MobileRead forums reports being locked out of his account for what was termed an "extraordinary" rate of returns (that is, he returned electronics that arrived damaged or defective). Because of this, our man was unable to purchase new books for his device, or even check out magazine / newspaper / blog subscriptions he had already paid for. Luckily, this gentleman was able to plead his case and get his account reactivated -- but other users haven't been quite so fortunate. We'll be keeping an eye on you, Amazon -- so let's try and play nice for now on.

[Via Channel Web]

Audio/Video

iTunes Store Now Infected with Variable Pricing, Amazon Still $0.99


As promised, variable pricing has now been implemented at the iTunes music store. Already, we're seeing most of top 10 singles and 33 of the top 100 hitting the top price-point of $1.29 (encoded as DRM-free 256kbps AAC). Interesting as Amazon's uncomfortably similar top 10 list has all these tracks priced at $0.99 (encoded as DRM-free 256kbps VBR MP3). A handful of tracks (nine in the top 100) do hit the higher $1.29 price further down Amazon's list. Now, if you believe Steve (someone who originally postured against this price structure), then it appears that the music labels are charging Apple more for the rights to sell its music than Amazon based on this quote attributed to Jobs in the Apple press release from January:
in April, based on what the music labels charge Apple, songs on iTunes will be available at one of three price points-69 cents, 99 cents and $1.29-with many more songs priced at 69 cents than $1.29.
Regardless, we know where we'll be purchasing our Miley Cyrus from now on.

[Thanks, Jesse]

Read -- January "Changes Coming to the iTunes Store" press release
Read -- iTunes top songs [Warning: iTunes App link]
Read -- Amazon top songs

Audio/Video, Computers

91% of Americans Want the Ability to Copy DVDs Onto Their PCs, Study Finds


This morning, the National Consumers League released a statement claiming that 90-percent of PC-owning, U.S. consumers want the ability to save DVDs, as they would CDs, on their computers. The study was conducted by the Opinion Research Corporation, and drawn from a survey of 1,000 consumers of varying ages.

This should come as no surprise to those who have witnessed the gradual digitalization (moving away from physical products and towards computer files) of music, songs and albums. Just as many music fans now use their computers as their primary sound systems, 69-percent of those surveyed attested to watching DVDs on their computers. Is it any surprise, then, that they'd want the ability to save the disc on their video player of choice? It shouldn't be, particularly when you consider that nearly 40-percent of the respondents claimed to have, at some point, repurchased a DVD due to loss or damage.

For the most part, folks in the "biz" aren't too fond of this trend, since importing media onto a computer renders computer files that are more easily pirated than are physical discs. That being said, with the economy in such dire straits, and folks' once disposable income becoming increasingly indispensable, DVD sales have suffered (55-percent are purchasing fewer DVDs than they were last year). That being said, 40-percent of the respondents said that the ability to import DVDs onto their computers would stimulate their purchasing of the discs.

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Audio/Video

Bob Barr Takes a Stand on DVD-Copying

Back in September, we said it was only a matter of time before the Motion Picture Association of America (MPAA) went after RealDVD, the software that lets you copy entire DVDs onto your computer for personal use. Studios are currently involved in a heated lawsuit with RealNetworks in Federal court that aims to ban the sale of the product.

The MPAA claims that the software violates the Digital Millennium Copyright Act by encouraging DVD piracy. Conversely, RealNetworks says that the software merely allows DVD owners to save their discs to their own personal hard drives, a practice fully in line with DMCA stipulations. Currently, the court has issued an injunction against the sale of RealDVD. Meanwhile, the MPAA is accusing the company of destroying evidence that would show the software is "based in part on the work of ... hackers."

The case has attracted the attention of 2008 Libertarian presidential candidate Bob Barr, who, in a San Francisco Chronicle editorial, called the suit "knee-jerk, anti-technology litigation" that should concern those who hope for "fair play and innovation to remain valued commodities in 21st-century America." He believes the product would actually benefit the MPAA by encouraging the legal use of DVDs, saying that RealNetworks has "the law, the facts and common sense on its side." We have to agree, although it would seem like an easy way to copy your Netflix rentals. Either way, we'll certainly keep an eye on the case. [From: SFGate and Wired]

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Audio/Video, Computers, Celebrities

Neil Young Not Happy With YouTube


Yesterday, Neil Young fired a shot at YouTube, claiming that the Google-owned purveyor of online video has unfairly treated artists signed to the Warner Music Group.

According to Young's blog (cleverly titled 'NY Times'), YouTube has underpaid Warner artists, whose peers on other record labels have been getting larger licensing checks. Young points out that, because Warner Reprise was one of the first labels to cooperate with YouTube, its contract did not wind up being as attractive as those signed later on by more cautious labels.

Looking for something in the way of a solution, Young wrote, "If all artists were compensated equally, and the people decided who had the hits and misses by virtue of number of downloads and plays, there would be no grounds for disagreement that would cause the facilitator of the art to break the conduit between an artist and an audience."

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Computers, iPod, iPhone

Apple Rumored To Be Turning iTunes Into a DRM-Free Music Store

We can't count the number of times we've heard from one random source or another that Apple was about to pull the trigger on a subscription-based / 100-percent DRM-free music service, and given how those have worked out in the past, we'd highly recommend taking this one with a huge dose of salt.

French site ElectronLibre has it that Apple will finally offer up all of its music in DRM-free form starting as early as today, specifically calling out Sony, Universal and Warner as outfits who would join the protection-free cause. Should this happen, it would obviously be a dream come true for ole Steve, but we're still left to wonder what would happen to bitrates, prices and (potentially most important) all other iTMS content. Something tells us Hollywood isn't quite as ready to release its death grip. [Via AppleInsider]

Audio/Video

Wal-Mart-Purchased Music Will Cease to Play on October 9


Walmart began selling DRM-free tracks in its music store in August of last year. 13 months later, the mega-corp has decided to follow the footsteps of so many others and hit the kill switch on its DRM management servers.

As noted in an e-mail to customers, Wally World will be making the final transition into a fully DRM-free MP3 store on October 9th, and in order to keep those DRM-laden files playable on anything, it's recommended that you burn protected files on a CD on the double.

If you choose to ignore this message, you'll be unable to "transfer your songs to other computers or access your songs after changing or reinstalling your operating system or in the event of a system crash." Heed the warning, kids.

Audio/Video, Computers

RealDVD Lets You Legally Copy DVDs


RealNetworks, the company you love to hate, is back with a new product sure to capture the attention of Hollywood and its MPAA thugs. For $30, RealDVD plans to do what DVD Jon enabled years ago -- namely, making digital copies of your DVDs. Unlike Jon's illegal DRM stripping software, RealNetworks' approach lays on additional DRM allowing you to make a single copy, only, playable on the machine doing the rip -- up to five additional Windows PCs can be authorized at a cost of $20 per.

Real thinks that the use of the additional DRM coupled with Kaleidescape's legal victory -- a ruling that seemingly authorizes users to copy DVDs for their own personal use -- will help it escape the wrath of the MPAA. Not that RealNetworks has ever been afraid of a fight as demonstrated by its 2004 scuffle with Apple when it began offering software that allowed iPods to play Real's DRM'd content. Good thing too because we're pretty sure that shutting down the planned start of RealDVD's sales at the end of this month is the number one topic around the bunny-juice dispensers at the MPAA offices this morning.

[From: NYTimes via cnet]

Audio/Video, Computers

Yahoo! Offers Refunds to Music Store Customers

Yahoo MusicIf you woke up this morning worried about what Yahoo! is planning to do for its Music Store customers who are about to be left in the lurch with its DRM server shut-down, have no fear. Yahoo! has announced that it will offer customers coupons or refunds for those songs you bought. Basically, you'll get a coupon that you can use at RealNetworks Inc.'s Rhapsody download service. Their songs, of course, are DRM-free. For those of you who have "serious problems with this arrangement" (their words, not ours), refunds will be available. The servers go down on September 30, so start combing your collections, kids.

Audio/Video, iPod, Summer Fun

Rhapsody, Verizon Finally Selling DRM-Free MP3s



In the past, Rhapsody has put all of its efforts behind an all-you-can-eat, subscription-based music service, which is great for the insatiable music enthusiast who never leaves his or her desktop, but bad for the always on-the-go iPod addict. Now, Rhapsody is preparing to launch a downloadable MP3 store so it can directly compete with iTunes and hopefully attract more customers with its new iPod friendly format. These MP3s will be without DRM, which means they are free of the digital rights management (DRM) layer that prevents music files from being played on different types of players (like iPods).

Rhapsody's catalog of four million songs will also be available through partners like Yahoo! Music and Verizon Wireless' VCAST Music service, which will be selling DRM-free MP3s for $1.99 over-the-air (or 99 cents on your PC). This will certainly be a boon to Verizon VCAST Music customers, who heretofore were stuck with heavily-DRM-laden WMA files that were hard to move from one player or computer to another.

While the move from competing with Apple to embracing MP3s and the iPod may sound good on paper, the Web is scattered with the remains of those who tried to take on Apple's store and its iconic media player. Wal-Mart, Amazon, Napster, E-Music, and now Rhapsody, are all stuck fighting for the table scraps left over from iTunes' more than 70 percent market share. [Source: Reuters]

Computers

10 Laws You're Probably Breaking With Your Computer


You may think you're a fine upstanding citizen, but chances are if you own a computer, you're a law breaker. If you've ever burned a CD for a friend, downloaded music from a Peer-2-Peer service such as LimeWire, or used a Wi-Fi network other than your own, then it's possible you've engaged in criminal activity -- even placing a friendly wager online with a friend violates various state, local, and federal laws.

Check out the list of laws you're probably breaking right now at TechRepublic. And don't worry too much -- the chances of you going to jail for breaking any of them are pretty slim. [Source: TechRepublic]

Audio/Video, iPod

Re-Re-Launched Napster Offers 6M Songs Free of Copyright Protection

Re-Re-Launched Napter Brings Six Million Songs to MarketFor many, the name Napster still evokes memories of the carefree early days of music downloading, when songs were free and illegal, but nobody seemed to mind. Those days, of course, didn't last long, with the service being effectively shut down by pressure from the Recording Industry Association of America (RIAA). It was later re-launched as a legal download service, but never quite regained the sort of attention it had in its previous life.

Now, the site is being re-launched yet again as an MP3 download store designed to directly take on the competition from Amazon and Apple.

Apple's iTunes is, of course, the reigning leader in the music download space. Lately, though, online music buyers have been rebelling against the restrictive copy protection that Apple still forces on many of its tracks, and the proprietary format that only really works on Apple's iPods isn't helping, either. Apple last year launched a DRM-free store last year -- DRM- or copyright-free means that the tracks can be played on any MP3 player -- but the majority of the iTunes offerings still have copy restrictions. Similarly, Amazon launched its amazonmp3 service last year, featuring songs in the industry-standard MP3 format and no copy protection.

Now, Napter is also offering MP3 downloads free of copy protection, with most tracks priced at $.99, or $9.95 per album, which is slightly higher than Amazon's offerings. Even so, Amazon can't compare to Napster's six million copyright-free tracks available for download right away, which makes it the world's largest MP3 store. The two services will surely keep competing, which is good news for consumers, and it remains to be seen what iTunes will do to keep up. [Source: AOL News]

Audio/Video

Amazon Gaining On iTunes' Lead In Online Music Sales



Amazon recently moved into the number two online music retailer spot without much fanfare. Amazon's online MP3 store opened merely six months ago, and it appears to be gaining on the number one retailer -- Apple's iTunes Store, which commands 80% of online digital music sales.

The trends towards moving away from music burdened with digital rights management (DRM) software created new opportunities for Amazon. Why has DRM-free music -- which lets people play purchased tunes on any digital player or computer -- become such an important area of growth in the online music business? As Amazon's director of digital music, Pete Baltaxe, explained to USA Today: "Songs sold without DRM, at high quality, with album art, that's the best way to get people to buy music instead of stealing it," whereas DRM is a way to punish people who are buying...."

While Apple worked with record label EMI to sell DRM-free music in early 2007, the iTunes giant didn't have much luck getting other major labels immediately signed on. Instead of working with Apple -- currently offering 2 million DRM-free songs -- Warner, Sony/BMG and Universal decided to offer parts of their catalogs DRM-free on Amazon. Amazon's DRM-free library totals around 4.5 million, and is well-positioned to compete with iTunes.

Hopefully, the competition between the two retailers will result in better pricing and accessibility to music for consumers.

From USA Today

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