In the first decade of the 21st century, the rise of digital media on the internet and computers as a central and primary means to record, distribute, store, and play music caused widespread economic changes in the music industry. The rise of digital media with high-speed internet access fundamentally changed the relationships between artists, record companies, promoters, retail music stores, the technology industry, and consumers. The rise of digital music consumption options contributed to several fundamental changes in consumption. One significant change in the music industry was the remarkable decline of conventional album sales on CD and vinyl. With the à la carte sales models increasing in popularity, consumers no longer downloaded entire albums but rather chose single songs.
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After years of suing thousands of people for allegedly stealing music via the Internet, the recording industry dropped its legal assault as it searches for more effective ways to combat online music piracy. The decision represented an abrupt shift of strategy for the industry, which had opened legal proceedings against about 35,000 people since 2003. Critics say the legal offensive ultimately did little to stem the tide of illegally downloaded music. And it created a public-relations disaster for the industry, whose lawsuits targeted, among others, several single mothers, a dead person and a 13-year-old girl. Instead, the Recording Industry Association of America said it plans to try an approach that relies on the cooperation of Internet-service providers.
Shawn Fanning created and launched a file sharing service called Napster that allowed users to download and share music without compensating the recognized rights holders. Napster was fairly quickly sued by the music industry establishment and was eventually forced to shut down the service. However, a string of other, increasingly sophisticated services immediately followed suit. Even though the traditional music industry used very aggressive methods, both legal and technical, to stop the explosion of online-piracy services such as Napster, Kazaa, Limewire, Grokster, DC++, and The Pirate Bay, it was to no avail. As soon as one file sharing service was brought to justice and required to cease its operations, new services emerged and took its place. By the end of 2013, the sales of physically distributed recorded music (e.g., cassettes, CD, vinyl) measured in unit sales, were back at the same relatively low levels of the early 1970s.
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Some are urging the RIAA to capitalize on the current open market. Lohmann suggests a system by which universities would pay a per-student fee directly to the recording industry, which would in turn allow users to download freely using any program without legal repercussions. 2ff7e9595c
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