NEW DEVELOPMENTS IN mp3 AND DIGITAL AUDIO TECHNOLOGY AND RAMIFICATIONS FOR
WRITERS & ARTISTS
[June 20, 1999]
05/29/1999 - NASHVILLE TN (McClure & Trowbridge Publishing)
Major players are now entering the encoded mp3 Digital sound arena. The
idea is to encode downloaded music so it can only be played back with a
decode key which is sold to the user. The Digital Player is supplied
free. Currently, mp3.com; matchmusic.com; and others; provide free
Players with no encoding.
AT&T/Bell Labs, the originators of the powerful UNIX Operating System and
C/C++ Programming Languages (thirty years ago), are making their play to
enter the mp3/Digital Audio Internet marketplace. Other major players are
offering their encode/decode technologies as well.
AT&T will sell indie and major mp3 Digital products for a $250.00 setup
fee and 50% of all sale proceeds, and encode all sound so that downloads
can only be played with a decode key, which they sell to the download
customers. The mp3 Digital Player is given away free. (McClure &
Trowbridge Publishing did not partake of their offer.)
The new encode/decode technology will go through the familiar settle out
lifecycle (like all software and hardware) over the next few years. We
feel a major encode/decode technology will become dominant within a
relatively short period of time, and it will be a simple matter to go with
that paradigm when it becomes dominant. We recommend not registering or
purchasing any particular technology at this point. The vast majority
(99.9% or better) of mp3 and Digital Audio now online is not encoded, and
it is too early to accurately guage where things will end up.
Also here now are portable mp3 Players for your car and your hand (like
the WalkMan.) Empeg makes a car mp3 player (expensive) and Nomad sells a
portable with FM tuner and voice recorder built in. The RI0 PMP300 was an
early entrant to the race. Rolling Stone [05.27.1999] says the PMP300 is
limited to about 30 minutes of music storage, and the sound quality is
less than CD quality. Prices range from $150 to $250 for storage up to
32MB. (In general, mp3 requires about 3MB/minute of music.) There
actually is an MP-MAN on the market, $179 by Saehan. Samsung introduced
its YEPP, and Creative Nomad has a new 64MB model for $250. [Rolling
Stone, 05/27/1999]
Before the whole Inet [Internet] music, royalties, mechanicals, and rights
issues settle out, we anticipate discussions (at the Congressional level)
on the feasibility of collecting royalties payments from the
manufacturers; and discussions on collecting Inet "airplay" royalties for
download activities. Of course there is Inet Radio as well, and we expect
BMI, ASCAP, SOCAN, &c. to collect for these playlists similar to how they
collect for AM and FM radio now.
Do you remember when cassette recorders and tape blanks became readily
available? Musicians, writers, producers, and artists fought long and
hard battles to try to protect themselves from common piracy - everyone
trading albums and cassette copies of recorded music. How did it settle
out? The collections companies and collectives and lawmakers decided
there is absolutely no way to police people in illegal duplication (on
cassette) of protected music, so now cassette tape manufacturers pay the
royalties to the collection agencies, who then distribute to the
artists/writers/producers. It's easily conceivable that similar measures
be taken for mp3 Digital formats.
McClure & Trowbridge Publishing has signed Inet mechanical licensing
agreements with The Harry Fox Agency thus far. Inet "airplay" and Inet
Radio royalties are next!
[c.1999 McClure & Trowbridge Publishing]
Respectfully,
McClure & Trowbridge Publishing
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