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Illegal downloads costing the economy tens of billions of pounds - I disagree

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Illegal downloading is bad, it's stealing plain and simple.  But statements like this:
Around seven million people in the UK are involved in illegal downloads, costing the economy tens of billions of pounds, government advisors say.


taken from this BBC article http://news.bbc.co.uk/2/hi/technology/8073068.stm are surely wrong?  The money is still going into the economy, it's not like all these illegal downloaders are great savers and sitting on huge wads of cash, they're still spending the money, but maybe not on music.  I still believe that if the music industry and movie industry got their pricing model and delivery mechanism right they would see a huge reduction in piracy, but they keep taking the approach of making it harder for legal paying customers to get the stuff and make the whole experience less satisfying.

Comments

Gravatar Image1 - By that arguement, if you refused to sell me your car for 10 pounds then I would be justified in stealing your car and giving you nothing.

Or the "Robbin Hood" arguement, if a bank robber buys a house with the proceeds of the bank robbery, are you arguing that the economy as a whole does not suffer from this loss?

Theft is theft, regardless of the motivation.

Now if you are inferring that the music industry is ripping of consumers by charging for the media cost of music, when they don't actually bare this media cost or they are charging excessive profit margins, then this is a different story.

In the end, the real victims of these illegal downloads (of music) are the authors, singers and muso's. They get paid a percentage of sales, if there are no sales then they don't get paid.

Gravatar Image2 - @1 Read what I said again Ian, I believe you misunderstood. My argument is not that downloading is justified, I very clearly say it is stealing.

I am saying the statement that the stealing takes the money out of the economy is false. The money still goes into the economy, just through another channel.

Gravatar Image3 - Also, we're disregarding the fact that people download stuff (and not pay for it) that they wouldn't have bought ANYWAY if it wasn't available on the net.

Gravatar Image4 - The point I take from Carl's opinion was this one - "if the music industry and movie industry got their pricing model and delivery mechanism right they would see a huge reduction in piracy". To which, I am in complete agreement. I've been having an ongoing thread with a few people as of late regarding Netflix. As a DSL user, my bandwidth is not quite sufficient for their streaming service. However, if they had a "store and playback" option, I'd be a Netflix customer this instant. This is just one example to Carl's point.

Gravatar Image5 - I agree, Carl, and I can offer a perfect example. Prior to the internet days, I rarely bought albums. When filesharing started, I became a "free-downloader", just because it was possible. I started downloading legitimately from Amazon when Pepsi offered promo codes for free music downloads, and I found the Amazon music was DRM free and didn't require special software to download, monthly subscription, or anything binding like that. (DRM free is important to me, as I have a couple computers, a Palm Treo, and two kids with music players that will all want to play the song.) The promo codes are gone, but I happily pay about 99cents per song to Amazon. The price is decent and I can take copies of my song anywhere.

Gravatar Image6 - "Or the "Robbin Hood" arguement, if a bank robber buys a house with the proceeds of the bank robbery, are you arguing that the economy as a whole does not suffer from this loss?

Theft is theft, regardless of the motivation."

Digital media is not physicaly tangible.


Gravatar Image7 - @6 Are you arguing that it does?

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