Music Pirates Buy More Songs

The music industry has been blaming piracy on decreasing sales forever, but it just might be that they were more off-base than anyone thought. A new study from Columbia University called Copy Culture In The US And Germany has determined that frequent users of P2P "piracy" networks in the US actually legitimately buy 30 percent more music than their non-stealing counterparts.

Of course this hasn't been the first study that points this out, but each one is immediately shot down by the RIAA as flawed. The problem is that we all know somebody that's such a music freak that they have to either have the latest release or something that no one else is hip to yet, even if that means they have to download it illegally. Of course, kids with no money tend to steal music, but they wouldn't have bought it in the first place anyway.

Some other points from the study include:

• Nearly half the population in the US and Germany (46% US; 45% DE) has copied, shared, or “downloaded for free” music, movies, and TV shows. 

• Much of this activity is casual and small scale. In both countries only 14% of adults have acquired most or all of a digital music or video collection this way. Only 2%–3% got most or all of a large collection this way (>1000 songs or >100 movies / TV shows).

• Copy culture tracks strongly with youth. Among adults under 30 in both countries, around 70% copy, share, or download media for free (70% US; 71% DE). In the US 27% in this age group acquired most or all of their digital music/video collections this way, and 10% acquired most or all of a large collection this way. In Germany the corresponding numbers are 33% and 7%.

• In both countries offline “private copying”—copying for personal use or sharing with family and friends—is comparable in scale to online file sharing. In the US, private copying and online file sharing contribute roughly equal shares to the average digital music collection: 22%–23% among those under 30. In Germany, online file sharing contributes more to average collection size (34%, versus 18% for private copying among those under 30) but less when controlling for collection size (17% for downloading; 25% for private copying). Put differently, most Germans copy more than they download.

• Copying and online file sharing are mostly complementary to legal acquisition, not strong substitutes for it. There is no significant difference in buying habits between those who copy or file share and those who do not. 

• P2P file sharers, in particular, are heavy legal media consumers. They buy as many legal DVDs, CDs, and subscription media services as their non-file-sharing, Internet-using counterparts.  In the US, they buy roughly 30% more  digital music. They also display marginally higher willingness to pay.

• In Germany much of this copying is legal under the “private copy” provisions of copyright law, which carve out a space for noncommercial personal uses, including passing copies to family and friends. This exemption does not extend to downloading or to copies made from “evidently unlawful public sources.”

• In the US little to none of this private copying is presumed legal, and much of it is now subject—in law if rarely in practice—to high criminal penalties.

Here's one last piece from the study that may be the most important; pirating and copying is declining as streaming music use climbs. Why steal it when it's always at your fingertips?

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