One of the topics I am most passionate about is the importance of music sharing/pirating as a positive force of pressure on the recording industry.
For some time, a few music businesses have held monopoly power over the artists signed, music played, and prices charged. They forced us to buy $15 albums to get two songs we like. They forced us to buy those same albums in record, 8-track, cassette, and CD formats. And, worst of all, they forced to hear & see Britney Spears everywhere.
But now the rise of digital file sharing has made "free music" a viable competitive pressure on the industry.
Today I read that the recording industry of Canada has sponsored research that shows music pirating does not hurt record sales and may actually improve them. One important piece of data shows that the biggest pirates are also the biggest purchasers. Why? Because free music is a "sample" that opens their mind to new artists and eventually leads to new sales.
Meanwhile, the amount of innovation and improvement in the market is unmistakable. Albums now come packaged with concert DVDs. The amount and diversity of popular music is at an all time high. Unknown bands like the Arctic Monkeys are making it big from the underground. And people are falling in love with music again thanks to the iPod and iTunes.
Pressure, in the form of music downloading, is forcing all sides to abandon monopolistic practices and start innovating. The winners are the music listeners and the musicians and companies that offer better experiences.
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