I <3 Steve McConnell*
Coding Horror
programming and human factors
by Jeff Atwood

May 6, 2008

Supporting DRM-Free Music

You've probably read this classic boner of an iPod quote at some point:

No wireless. Less space than a nomad. Lame.

It's from the Slashdot article on the introduction of the original Apple iPod back in 2001. I had always assumed this particular quote was written by a random Slashdot user in the comments. But in fact, that quote is part of the body of the news entry, and it came directly from Rob Malda, the founder of Slashdot.

Rob's pithy dismissal of the iPod at its introduction has become virtually synonymous with how out of touch the Slashdot crowd is with the rest of the world. It's ripe for parody, as Andy Baio explains:

This is nothing new. It's as old as communication itself. I'm sure that the moment man discovered fire, there was some guy nearby saying, "Too smoky. Can burn you. Lame."

The success of the iPod was anything but a foregone conclusion back in 2001. A quick peek at the first iPod ad provides a little context to how rough that first generation really was compared to the competely polished product we enjoy on store shelves today. But the iPod, and the companion iTunes Store, have been hugely successful:

  • The iTunes Store is the number one music retailer in the US
  • Over 50 million customers
  • Over 4 billion songs sold
  • Music catalog of over 6 million songs

Clearly Apple is doing something right. Except there's one small problem. Music purchased from the Apple store comes encumbered with Apple's flavor of Digital Rights Management, known as FairPlay:

  1. Users can make a maximum of seven CD copies of any particular playlist containing songs purchased from the iTunes Store.
  2. Users can access their purchased songs on a maximum of five computers.
  3. Songs can only be played on a computer with iTunes or an iPod; other mp3 devices do not support FairPlay encoded tracks.

(EMI and independent artists are also offered in "iTunes Plus" DRM-free format -- at last count, around 2 million songs. These songs were originally sold at a 30 cent premium, but later reduced to the standard 99 cents.)

Now, I'm a pragmatist. I'm no fan of DRM, but I do accept that sometimes it is a necessary evil. FairPlay was indeed an acceptable tradeoff when Apple's iTunes Store was one of the few easy and legal ways to get digital music of any kind.

But that's no longer true today. You can generally get the same music for the same price, or less, at Amazon's MP3 store -- completely free of any form of DRM! Reg Braithwaite provides an example:

For example, Bach: Goldberg Variations, BWV 988 on 256-bit DRM-free MP3 is just $9.99 from Amazon. The same album is also $9.99 from Apple, but you get DRM. And there are tons of tracks on Amazon that are actually less expensive than on iTMS, so you get better music for less money without the DRM hassle.

Better quality. Less money. And no evil, consumer hostile DRM! It's almost unbelievable. Needless to say, I've been buying as much music as I can from Amazon to vote with my wallet and demonstrate to the music labels that yes, giving the customer what they want does pay. And you should too. Every purchase of DRM-ed music, in the face of Amazon's excellent alternative, is an implicit vote for more useless, aggravating DRM on your music.

If it seems a little odd to you that Amazon is somehow able to offer all this music up DRM-free, while the majority of Apple's iTunes Store catalog is still stuck in the old testament world of DRM customer punishment, you're not alone.

The reason you can find more music on Amazon at a lower price is that the Record Labels want it that way. Do you think they charge Apple and Amazon the same price for each track and Apple simply charges you more and pockets the difference as a higher markup? The labels would like you to think that, but they actually charge Amazon less for each track, and that's how Amazon can charge you less.

Do you think Apple insists on the DRM but Amazon has the vision to see that the future of music is DRM-free? Do you think Jeff Bezos is a better negotiator and he was able to get a better price per track than Steve Jobs? Without putting up with DRM?

The major labels want nothing more than to break Apple's dominance of the digital music business. They spin it as a good thing. More retailers means more competition, which is good for consumers.

The record labels now view the massive iTunes juggernaut as a threat. Thus, the offer of DRM-free music exclusively to Amazon, and at lower prices than Apple can offer, is a direct attack by the record labels on the increasing power of Apple's iTunes. The irony of the record labels attacking a Frankenstein monster of their very own creation is almost overwhelming -- who do you think demanded that all the music on iTunes have DRM in the first place?

But here's where Reg Braithwaite and I differ: he argues that poor Apple is getting a raw deal.

And if the whole world can sell DRM-free music, then Amazon and the like would have to compete with iTMS by building a better music store. Except, of course, they don't have to compete with iTMS because the labels are colluding to place Apple at a disadvantage.

I'll certainly agree that the stunning success of the iTunes Store is what led us to this competitive situation in the first place, and that's entirely to Apple's credit. Correct me if I'm wrong, but I believe they've made quite the handsome profit along the way, too.

But to argue that the competition is "unfair" smacks of the absolute worst kind of Apple advocacy. Unfair? Unfair to whom? The customers who are getting DRM-free music officially blessed by the major record labels?

Yeah, that's terrible. Just awful.

Hold on for a minute while I wipe this tear out of my eye. Try to imagine me playing my DRM-free MP3 of REM's "Everybody Hurts" while I'm doing it, for maximum effect.

As soon as they can break this pesky iPod-iTMS-iPhone nonsense, the labels want to get back to dictating what you pay and how often you pay.

You'll get no argument from me that the RIAA and the major record labels are as close as you can get to pure evil while not actively killing small children, puppies, and kittens. Well, not in public, anyway. I'm sure they'd be charging us a trillion dollars per song -- no, per byte of the song -- if they could get away with it.

But clearly, they can't. There are certain market realities at work here. There's absolutely no historical evidence that a type of media, once it is officially sold DRM free, can somehow revert back to the DRM model. I am somehow reminded of software developers who desperately try to "revoke" the GPL after they've adopted it.

So if the labels want to disrupt the power of the iTunes machine by doing the right thing for customers and irrevocably breaking the back of DRM on music, that is the beauty of pure competition working for us, the users. This is a level of progress on the DRM front that I thought we would never see.

If it takes "the labels break[ing] Apple", as Reg says, to get us this far, then so be it. That kind of invective may be difficult to read if you're emotionally involved with Apple. But let me tell you, I've been emotionally involved with companies before, and it rarely ends well. I find that corporations never reciprocate your love in quite the same way.

Personally, I'd much rather be an advocate for my fellow users than an advocate of any one particular company. For now, that means supporting Amazon's DRM-free MP3 store. I'm pretty sure the good folks at 1 Infinite Loop will survive, one way or another.

Posted by Jeff Atwood    View blog reactions
« Understanding Model-View-Controller
XML: The Angle Bracket Tax »
Comments

Oh, oh, first!

Paolo Bergantino on May 7, 2008 8:49 PM

Don't forget iTMS also sells (some) DRM-free, high-bit-rate music.

Also, I didn't read the Braithwaite post, but Firefox tells me the first appearance of the word "unfair" is one you wrote. In the pull-quote above that, you quote Braithwaite used the words "colluding" and "disadvantage", but that doesn't amount to the same thing.

pete on May 7, 2008 9:10 PM

Jeff,
Congrats on crossing the 100K readers mark.
Great!!!

Niyaz PK on May 7, 2008 9:15 PM

I also think the DRM-free stores are great, but until there is licensing available outside of the U.S. or Canada then iTunes will be where I shop. I don't have any friends in the states willing to share their credit card details, and Australia isn't yet 'hip' enough to have dangerous goods like music digitally shipped to.

Matt on May 7, 2008 9:19 PM

"Old Testament"? Why not Koran, Talmud, Mein Kampf, Homeland Securities Act, .... WTF?

Steve on May 7, 2008 9:34 PM

And if iTunes goes away, how long will amazon keep selling its DRM-free music for? Or will the record companies let the amazon contract lapse and it's back to DRM-ville, but on amazon this time?

Colen on May 7, 2008 9:34 PM

There's also the recent unbelievably consumer-hostile death of PlaysForSure DRM. See the Dive into Mark post: http://diveintomark.org/archives/2008/05/06/the-day-the-music-died

Most non techie customers have a happy go lucky worldview where they buy DRMed music and it just works. It just takes ONE technical failure that costs them a stupid dollar and they will instantly know everything they need to know about DRM. They'll vote with their wallet and they'll tell others to stay away from DRM.

DRM was doomed from a cryptology perspective, but it was also doomed from a business perspective because it subtracts value from products. No customer ever asked for more DRM.

Nathan Bowers on May 7, 2008 9:41 PM

The polish on modern iPods is just icing on the cake. An evolutionary improvement to the radical change the original iPod represented.

Before the iPod, portable music meant CD players, which meant you could have a convenient and portable player, or a wide variety of music to listen to, but not both. Then, suddenly, there was this magic THING that was the size of a deck of cards and could store most people's entire music library. No swapping CDs, no scratched media -- instead, something that was easy to carry with an intuitive interface that integrated cleanly with the best music library manager (this was all Mac-only back then).

I mowed lawns all summer long to earn enough money to get a 5 gig iPod for my brother. I ended up liking the iPod so much that I kept it for myself... But there is a happy ending -- I helped my brother get a 10 gig a few months later.

Ben Karel on May 7, 2008 9:41 PM

I think Colen is on the mark and Jeff has missed the point.

The labels colluding with Amazon to produce an artificial competitive advantage and stopping Amazon and Apple competing on their merits is always going to be bad for consumers. Who cares about Apple.

gassit on May 7, 2008 9:45 PM

I think the "unfair" bit refers to the fact that Apple presumably has to pay more per track and is, for all intents and purposes, forced to sell "inferior goods" (never mind whether they actually would choose to use DRM and enforce a vendor lock-in if given the choice).

I don't know whether it's legal or not, but I suspect it is. Just a case of one company negotiating a better deal than the other, technically. No ulterior motives at work there... ;)

Ultimately, I agree with you. Fair or not, it's an unusual case where the market is actually working in the best interests of the consumer. Plus, I have no love for the ITMS, and wish nothing more than to never have to touch it again. It sucked when I got one of the new iPods back when they came out and, due to new encryption, had to use iTunes to manage it. Thankfully, now MediaMonkey, WinAmp, et. al. are able to manage it, meaning iTunes need never sully my hard disk again.

Asmor on May 7, 2008 9:45 PM

Jeff,
Thanks so much for pointing this store out! I wasn't even aware of the store's existence. I'm tired of burning my tunes to disc then ripping them to mp3; I'll definitely be shopping with Amazon from now on. Or with the likes of radiohead and nin. Check out nin's brand-spanking new, free, and unencumbered album "The Slip". (http://www.nin.com/)

Matt S on May 7, 2008 9:47 PM

DRM is the reason I've never purchased anything on iTunes. Until the Amazon mp3 store opened about 6 months ago, I was still buying CDs and ripping them to add to my collection. I know use the Amazon mp3 store on a regular basis.

Another good place to buy DRM-free mp3s is www.cdbaby.com. CD Baby is almost entirely indie stuff and has stuff you can't find anywhere else. I think the artist sees more of the $$ from CD Baby, too--they give 91% of the digital sale directly to the artist. It's a great way to support the artist directly.

Myron on May 7, 2008 9:48 PM

I didn't realize Amazon sold DRM free music. That could save me the headaches of taking the DRM off myself, however the free music from Ruckus is worth the headache I suppose. When I stop using Ruckus and if Amazon is still DRM I'll convert. Personally I hate iTunes it is a resource hog and all round a pain to use.

Chris S on May 7, 2008 10:09 PM

iTMS sells music with DRM (though not all of it with DRM, sure, and Jobs vowed to remove the DRM as soon as the labels let him, which is something already).

Amazon MP3 is nothing short of amazing, but unlike iTMS *it only works in the US*. And like the rest of Amazon's services other than the bookshop part, it shows no signs of going international anytime soon.

Sigh.

millenomi on May 7, 2008 10:11 PM

One thing I'll say in Apple's defense in this: I can buy a track from the iTunes store and *legally* share it with a couple of my friends. With plain vanilla MP3s, I can't legally share it at all. My co-workers and I love to share our music collections with each other, but we want to do it legally. A bit of DRM seems to be the only way to do that at the moment. The license agreement for Amazon's store, and for Apple's DRM-free iTunes Plus, says no sharing. Period. I'm certainly no DRM advocate, but in this case, it is giving me something I can't otherwise get.

Brad Rhine on May 7, 2008 10:11 PM

Can you buy individual songs from Amazon?

Bobby on May 7, 2008 10:11 PM

> But to argue that the competition is "unfair" smacks of the absolute worst kind of Apple advocacy. Unfair? Unfair to whom?

It's unfair to customers who demand a *market* in DRM-free music. A market where potential competitors in this market not be excluded for arbitary reasons.

If any *other* company was being excluded from the DRM-free music market - would you also be OK with this?

Alastair on May 7, 2008 10:12 PM

Much maligned as Malda's comment is, it doesn't reveal how out of touch he is, it simply reveals which market segment he belongs too. Previous mp3 players with superior specs were branded for and marketed towards typical early adopting electronics consumers, ie geeks with a bit of disposable cash. They weren't huge successes because that was a bad branding decision; those people are not huge music consumers and represent a small part of the market. Malda's reaction to the product was almost inevitable, because the ipod wasn't targeted at him, while a lot of other products were. Apple enjoyed huge commercial success because it made much better decisions than its competitors.

For everybody waiting to dismiss a product that may go on to see commercial success, there is somebody waiting to dismiss that person's honest and accurate assessment...

Jonathan on May 7, 2008 10:14 PM

i long for the day when amazon will sell mp3s outside the US. Until then there's very few options (besides piracy) for non-ipod users outside the US.

ben on May 7, 2008 10:28 PM

My fear is that if the Amazon MP3 store continues to grow in popularity it may begin to marginalize the iTunes store, once the word really gets out that it offers songs at better quality for the same or cheaper price and with no DRM.

Why does that scare me? Not because I think DRM will come back; I don't think that will happen. But because I fear that the labels will have the power to raise prices at their will, which gets us right back to where we were with physical CDs (which have no DRM, remember?): the record labels have complete control of the price. Steve Jobs is a great negotiator, and I wonder if some clause about price control isn't already written into the Amazon contract.

if that happens of course that means we'll go back to trading MP3s again, which - let's face it - is a reality we'd resort to if pushed, but not one we'd like to have to embrace again. I don't think the labels have learned anything and are just in the midst of trying to get control.

The only way to compete with iTunes is on price and quality; the labels can't stop the iPod from being the best music player and thus iTunes being the most convenient. But if iTunes becomes sufficiently marginalized, they can tear up those contracts completely without losing much and then get to work on recovering all the "lost profits" from selling all those songs to Amazon at such a "steep discount".

josh on May 7, 2008 10:33 PM

I have been voting with my wallet also. I've already purchased more music from Amazon than I did from Apple.

Die DRM Die!

Gareth on May 7, 2008 10:34 PM

Hmm, well sure, except for your factual errors. You don't mention (although commenters do) that Apple sells DRM free music on the iTMS. You don't mention that Apple provides a mechanism to remove the DRM on FairPlay tracks (albeit via a fairly invloved and time consuming process of burning them back to CD Audio format). So basically, just another opportunity to bash Apple based on... what? I'm sorry Jeff, your argument would fail if you mentioned these facts. You are either unaware (in which case why write an article without researching it fully?) or deliberately misleading your readers.
I'm not arguing that Amazon isn't a better source of DRM free music, It may well be. I don't know, I live outside the US. But it is incumbent upon you to get your facts straight. If you had taken these facts into account, how different would this post have to be? I enjoy reading your articles, but it looks to me like your bias against Apple is actually affecting your judgement. Whenever you write about them, you look uninformed.

Alex Clarke on May 7, 2008 10:40 PM

A sound engineer I met in Vancouver, B.C. in 2005 gave me his version of the lowdown on Apple's relationship with the major recording labels. It was sheer venom on the part of the labels he said, because Apple was essentially setting their famous 99 cent price, and then telling the labels how much of that 99 cents they'd get! The labels were powerless to set their own prices in the face of iTune's success. He cited this as the reason that movie downloads were not going to end up available on Apple's site in the same manner as the music, as the studios were not looking forward to handing pricing controls over to a vendor in the same way that the music labels had.

If that's in any way true (and it sound about right), it wouldn't be surprising that in 2008 that the recording industry would be happily handing Apple the shortest end of the stick that they could afford to.

Chris Moorhouse on May 7, 2008 10:48 PM

I'm another one who would love to welcome his new Amazon music store overlords... if they had any plans to serve customers outside the USA. That makes me collateral damage for the stupid anti-competitive games being played by the record labels.

Charles Miller on May 7, 2008 11:14 PM

Jeff, your post tries really, really, really hard to seem like you're being even-handed about Apple and about Braithwaite's post, but there seems to be a good deal of hostility toward Apple lurking beneath the reasonable surface. Ironically, your post seems to be emotionally involved with Apple (albeit negatively) despite your protestations to the contrary.

Also, I think you misrepresent the Braithwaite post as somehow presenting an emotional position about Apple. I read all of Braithwaite's post, and didn't think at all that it was whining that Apple is being treated "unfairly" (your word, btw, which doesn't exist anywhere in the post). It's a given that Apple leads the market and are making some pretty good profit from the current, mostly-DRM'ed iTunes store. But as a highly user-centric organization, Apple would much rather not have to dump the encumbrances of DRM on their users. It's the labels that have insisted on the DRM lock-down from day 1 of iTunes' existence, and now the labels are trying to leverage this against Apple. Which they are legally allowed to do (all's fair... etc.). But I have no doubts that if Apple were allowed dump DRM, they would do so in a flash. Steve Jobs has already publicly stated as much. And if this happened, then their competitors would have to compete based on UX, usability, AND price rather than just on price and lack of DRM. That seems to be the point of Braithwaite's post, and not that poor, poor Apple is being mistreated and shouldn't we pity them, etc etc.

KingBee on May 7, 2008 11:17 PM

> Correct me if I'm wrong, but I believe they've made quite the handsome profit along the way, too.

As far as iTunes is concerned, Apple makes little profit. They consider it a loss-leader for selling iPods, which is where the handsome profit is.

Apple is selling some movies on iTunes for less than the studios charge them, simply to maintain their consistent pricing policy.

Steve McLeod on May 7, 2008 11:20 PM

Have to disagree with you Jeff....

Enjoy the return of DRM if iTunes goes down due labels not offering Apple the same opportunity to compete :)

Seriously, I'm surprised you can't see this is a classic bait and switch by the labels, if you don't think so, you're naive and a little misguided in your enthusiasm.

nexusprime on May 7, 2008 11:24 PM

The problem with ITMS' DRM is that it's not aimed at protecting authors (and labels) but rather aimed at helping Apple sell more iPods!

As long as I can't listen to the music I buy on my USB-aware car radio, iTMS is a no-no.

Serge Wautier on May 7, 2008 11:28 PM

There is one good thing about iTunes (and the iPod): It does not require the iTunes Store or DRM at all. I am playing my music with iTunes at home and on my iPod outside, and yet I don't have to deal with DRM, because I bought the music elsewhere. Personally, I prefer physical media, as they act as a sort of external backup device. I rip the CDs into iTunes and play the music there. It works without any hassle, without any DRM etc. I have never bought a single piece on the iTunes Store. ;)

Mephane on May 7, 2008 11:36 PM

I'd be buying music from Amazon if I could, but unfortunately it's limited to the US which is really annoying for me as an Irishman. We seem to get access to things like the iTMS far later than other countries (which is why I have a US iTunes account), due to licensing agreements etc. Pain in the ASS.

At the moment, I buy from eMusic if I can, then from iTunes if that option isn't available. Then from Amazon for the really annoying stuff you can only get on CD :(

David Barrett on May 7, 2008 11:37 PM

I'm gonna miss the cds.
The thrill of tearing off the plastic of a newly bought cd and popping it in for a sonic bliss. The artwork.
Too bad not many of these online retailers offer flac(lossless audio).
I'm gonna miss the cds.

Samrat Patil on May 7, 2008 11:43 PM

You see, the only problem with Amazon (compared to iTMS) for me is that it isnt available in Australia (i think) and it isnt integrated nicely with iTunes.

I understand the last one isnt really a valid point, but that is really were i dont like it. I like the iTMS pretty much because i only need to hit 'purchase' and the song is bought, added to my iTunes library and synced to my iPod next time i plug it in.

joshhunt on May 7, 2008 11:45 PM

Maybe some polish readers will find this info useful:
I buy my music for *1 grosz* (= 1 cent) up to *99 grosz* (= 99 cents) per mp3 of Polish startup bands at megatotal.pl. No DRM, no politics - just music.

You can also freely browse and listen to all the music there, no 30s limitations.

Thanks!

Dentharg on May 7, 2008 11:49 PM

My dad successfully bought some DRM'd music from the Tiscali music store (operated by OD2) a while back and it wouldn't play in Windows Media Player! A message came up in WMP saying that he had to install some new patch from MS, but it didn't say what that was. He chalked it up to experience and bought CDs from then on.

I prefer to buy CDs because my car's player is so old it doesn't play burned discs properly. I then have the artwork and a handy case for the CD. And I don't have to worry so much about backing up my music collection because I already have a physical copy.

I have bought some music from the iTS, but only about 5 tracks and they've all been plus, on principle.

John Ferguson on May 7, 2008 11:54 PM

> if iTunes goes away
> if iTunes goes down due

Do you honestly believe this is, in any possible universe, a realistic outcome? It's absurd.

> As far as iTunes is concerned, Apple makes little profit.

"By Billboard's calculations, iTunes turned a profit in 2007 with $1.9 billion in revenue and a 30 percent profit margin"
http://blog.wired.com/music/2008/03/apple-apparentl.html

> I have no doubts that if Apple were allowed dump DRM, they would do so in a flash

Really? Odd, then, how OS X requires specific hardware to run. That's one bit of DRM they seem quite willing to carry forward.

> competitors would have to compete based on UX, usability, AND price rather than just on price and lack of DRM

What "usability" and "UX" do I need from Amazon? It's a website that lets me download MP3s. As Serge said, above, the DRM ends up protecting the iPod lock-in more than the artists or labels.

Jeff Atwood on May 7, 2008 11:55 PM

Too bad the friendly record labels haven't yet opened Amazon mp3 store outside US. And usually when they do, the ten dollar prices automatically change to ten euro prices which sort of pisses me off.
(1 Euro = 1.53900 U.S. dollars)

Jarno on May 8, 2008 12:01 AM

> I can buy a track from the iTunes store and *legally* share it with a couple of my friends

True, as long as each of your friends is on the same local network and all running iTunes:
http://en.wikipedia.org/wiki/ITunes#Library_sharing

> You don't mention (although commenters do) that Apple sells DRM free music on the iTMS

I did sort of mention this in the sentence containing "the majority of Apple's iTunes Store catalog", but I was glossing over it because I didn't realize Plus was a significant portion of the music catalog -- 2 million out of "more than 6 million" tracks, so a little less than 1/3. My error. I updated the post.

Jeff Atwood on May 8, 2008 12:21 AM

Can I buy songs from Amazon in MY country? No! Since when does music care about borders? Don't be too happy, we have a long way to go still, until we just buy our songs from the artists themselves we are not done.

Mike on May 8, 2008 12:22 AM

Jeff, you really don't understand the point Rob Malda was trying to make, AT ALL.

Let me give you an example:
- I have a sony MP3 player.
- I use WinAmp for playing mp3's
- in my home, I use either my mp3 player hooked up to my stereo or my ps3 to play mp3s.
- I really like scandinavian metal music.

Now, let's go back to your article. You're basicly saying that if I say DRM and Apple's business practises suck bigtime, I'm stupid, because I should just follow along and buy an iPod, use iTunes on my pc (why would I use such a horrible program to play a random audio file?) and buy a mac mini to play the mp3s in my home? Oh, and because Apple until recently didn't share my taste in music, I couldn't purchase the music I wanted to purchase in their store.

DRM sucks. As simple as that. With my MP3 player I received a free cd in downloads from Sony. However, the mp3's are only playable by the horrific mp3 player software of sony or the mp3 player, not winamp. If I am on my ubuntu partition, I also want to listen to the music, why can't I do that? Didn't I receive a LEGITIMATE LICENSE to play the music?

I simply can't believe how shortsighted the article is you posted, Jeff. Open your eyes.

Frans Bouma on May 8, 2008 12:49 AM

correction on my previous post: I didn't read the whole post, just the upper half. Ok, you correct yourself in the second half. I'm glad you came to your senses :) (yes, next time I'll RTFA in full ;))

Frans Bouma on May 8, 2008 12:51 AM

In the whole mess made by various RIAAs I always keep going back to the model established on www.magnatune.com and the like (no affiliation, just a happy customer here). The base of the model? Treat your customers like customers, not thieves.

Never once have they made a problem out of me not being out of a certain region of the world (and I got that a lot in my life). DRM was an unknown, but the format preferences were always abundant (from mp3, through OGG and all the way up to a full waw).

And they kept on pilling up the extras - pay what you can afford, give up to X copies of every purchase to friends, podcast friendly, guarantee that 50% of what I pay goes to the artist...

And my first experience with iTunes and the like? Sorry, your country is not supported.

Wonder why I have never seen a DRM file?

Ranko on May 8, 2008 12:52 AM

Huh, after buying about 50ish tracks from itunes in the past.. after reading your blog entry I'm going to start buying from Amazon instead.

-- Lee

Lee on May 8, 2008 1:01 AM

"There's absolutely no historical evidence that a type of media, once it is officially sold DRM free, can somehow revert back to the DRM model."


Did the first CDs have DRM? Did more recent CDs have DRM?

Loz on May 8, 2008 1:03 AM

> - I really like scandinavian metal music.

Well, there's your problem, right there.. :)

Jeff Atwood on May 8, 2008 1:07 AM

I like this - and I have never bought from iTunes because it's cheaper to buy the bargain basement CD (80's or 90's) by far, and the compression ratios suck. IPods sound fine through headphones but when you amplify them you need to put the bass and mid back in.

I do have a problem with Amazon, they've recently shafted small publishers that use publish on demand and tried to force them to use their (at least it used to be) 2nd rate POD service. Of course, when stuff arrives with upside down pages and missing pages it's the publisher that gets the blame, not the crap POD.

http://www.techcrunch.com/2008/03/27/amazon-muscles-print-on-demand-services/

I haven't been following this, but I won't buy from Amazon at the moment until they stop behaving like pigopolists.

Francis Fish on May 8, 2008 1:19 AM

Jeff,

You have a slightly blinkered view on things here. You have to remember that the Amazon music store is _only_ available to people living in the US. (Is it available in canada yet??)

I live in the UK and I've tried buying songs from it and it just won't let me. So I stay with iTunes Music Store. I don't have a particular problem with iTunes or the DRM associated with it, I play my music on my pc and listen to it on my iPod.

The DRM for me, doesn't get in the way, it is quite transparent, unlike the horrendous problems I used to have with the DRM used by Audible. That was an absolute nightmare.

MartinD on May 8, 2008 1:26 AM

Jeff,

>Really? Odd, then, how OS X requires specific hardware to run. That's one bit of DRM they
> seem quite willing to carry forward.

There's no DRM controlling what you can run OS X on. Apple only provide drivers for a limited pool of Intel kit. If you're sufficiently religious about not buying hardware from
Apple you can always build a 'frankenmac' that will run OS X:

http://www.macworld.com/article/133028/2008/04/building_mac_clone.html

Chris Snazell on May 8, 2008 1:31 AM

Don't you love the wonderful:

> Please note that Amazon MP3 is currently only available to US customers.

For a lot of us, iTunes is the only decent option of getting *any* downloadable music at all. And given the fact that we had to wait a whole extra year before iTunes became available here, that means I'll be out of luck for another couple of months with Amazon. If they'll *ever* remove that line.

But this isn't a problem with Amazon and music only. The internet is global, but shopping is still largely local. Quite a frustrating experience for non-US customers, at times.

Inferis on May 8, 2008 1:35 AM

"Well, there's your problem, right there.. :)"
hehe :) Yeah, but the thing is... that's the one thing that's pretty much unchangeable. I tried, I really did, but britney really doesn't come close to evergrey ;P

Frans Bouma on May 8, 2008 1:38 AM

> Unfair? Unfair to whom? The customers who are getting DRM-free music officially blessed by the major record labels?

Unfair to both the customer, who can't benefit from competing music stores -- as there is no competition -- and unfair to Apple who is not allowed to fairly compete with Amazon (and the rest of the world is hosed anyway, as the Amazon Music Store is only available in the US, so the only un-drm'd music stores for us europeans or oceanians are iTunes plus, good ol' CD and our PirateBay friends).

Reg's view that it's unfair, like it or not, is objective. It's not in any way, shape or form "Apple advocacy" (had that post come from DF it may have been, but Reg, is that a joke?).

> Before the iPod, portable music meant CD players

It didn't. Before the iPod, portable music meant unusable interface and ugly brick, but there were HDD and even flash music players long before the iPod.

> Really? Odd, then, how OS X requires specific hardware to run. That's one bit of DRM they seem quite willing to carry forward.

It's also a completely different one (and it's wrong anyway, OS X doesn't require specific hardware to run): in the computer market, Apple is a systems vendor, their software is here to sell their hardware, and the other way around. That's *not* the case in the music market, and Apple repeatedly stated they'd switch everything to un-DRM'd if they could. It's just that the labels won't let them have Amazon's deal.

Hell, Reg explained it perfectly well, you're more than a bit lacking in objectivity here jeff.

Masklinn on May 8, 2008 1:46 AM

Just to agree with some of the commenters above, I read Reg's article first and I didn't get the impression that he was supporting Apple so much as objectively describing the current situation.

baxter on May 8, 2008 1:53 AM

argh US only. Why the hell are distribution contracts so messed up? My current options are either iTunes or BitTorrent. Which is something that NBC should have considered when they pulled out of iTunes and set up yet another US-only portal. Customers will go down the path of least resistance. (sorry I realize this is slightly OT, but I had my hopes up for a second there before I read the fine print)

spongefile on May 8, 2008 2:10 AM

I don't see how the record companies letting Amazon sell DRM-free music at the same time as requiring that Apple keep DRM on the music that they sell, as anything /but/ unfair on Apple and ultimately on the consumer. While the recording industry tries to control Apple, we lose out. Jobs has already stated on record (heh, sorry) that he would remove all DRM from the iTunes store if the labels would agree to it.


And as no-one else has mentioned it yet - the 5-computers limit on the Apple iTunes purchases is 5 simultaneous computers, not 5 for all-time. Just thought I'd mention this as I've seen it in a few places and many people do seem to think that once you've authorised 5 computers it's game over. You can de-authorise computers; I'm on my 4th Mac, I have 2 machines in current use and have 3 authorisations available to me at the moment. All of my Macs were authorised when I was using them. When it's time to move the machine along, I just deauthorise that computer from my Apple account.

Rob Uttley on May 8, 2008 2:16 AM

smucks.

http://www.demonbaby.com/blog/2007/10/when-pigs-fly-death-of-oink-birth-of.html

which.cd did I hear ?

George on May 8, 2008 2:41 AM

> Record companies letting Amazon sell DRM-free music at the same time as requiring that Apple keep DRM on the music that they sell, as anything /but/ unfair on Apple

As a consumer, why would I care about anything other than competition resulting in lower prices -- and *less DRM* -- for me? Why would I care how "unfairly" a company with a 160 billion dollar market cap (as of this writing) is being treated?

It's competition. It's business. Business is war, and as long as the consumer benefits, the system is working as designed. AAPL is a big company. They don't need my or your moral support to succeed. They have plenty of great products. I'm sure there are millions of consumers who could care less if there is DRM on their music as long as it works on their iPods.

> It's not in any way, shape or form "Apple advocacy"

It is when you explicitly put the concerns of a 160 billion dollar company ahead of the typical music consumer.

> Unfair to both the customer, who can't benefit from competing music stores -- as there is no competition

Was there viable competition for digital music downloads before Amazon? No, there wasn't. So in effect this has created the only real competition there ever would be. Without Amazon DRM-free, iTunes was well on its way to becoming utterly dominant and entrenched, the de-facto standard for the forseeable future.

Would Apple have reduced iTunes Plus fees from $1.29 to $0.99 if Amazon didn't offer DRM free music for less? Out of the goodness of their heart? Because they love, in Reg's words, "delighting customers"?

It's actually much simpler than this: the record labels realized that the DRM they asked for from Apple wasn't protecting them or the artists at all, but in fact, protecting the Apple iPod lock-in model. The labels had no choice but to permanently destroy DRM to regain distribution control of their own music. A pyrrhic victory, to be sure, and it couldn't have happened to a nicer bunch of folks.

The enemy of my enemy (DRM) is my friend.

Jeff Atwood on May 8, 2008 2:53 AM

For those in the UK (you need a UK billing address), Play.com offer a MP3 download service now: http://www.play.com/Music/MP3-Download/6-/DigitalHome.html

Not really sure how the prices compare though.

Jevon on May 8, 2008 2:58 AM

I've been beating the anti-DRM drum for years now. Many of my friends blindly go on buying from iTS in spite of my repeated rants to the contrary. Ugh. Lemmings.

I continue to purchase CDs then rip them to MP3 format. It's a control thing. And it's a backup thing! Hard drives may be more reliable than ever before, but they still die and very few computer owners ever do comprehensive backups. So, if your hard drive goes belly up and you've lost all of that music you've paid to download, what then?

Rob O. on May 8, 2008 2:59 AM

I completely agree with you Jeff; I don't buy anything from itunes since I got for mistake DRM-ed songs (it was the first time for me on that site and there was no clear evidence that those songs were DRM-ed, call it lack of transparency...). Unluckyly here in Italy we don't have the luck of having amazon's service so at the moment we can't do like you.
I hope the future will be better, best we can do for now is to avoid buying from itunes-store.

Riccardo on May 8, 2008 3:11 AM

Quote:
As a consumer, why would I care about anything other than competition resulting in lower prices -- and *less DRM* -- for me? Why would I care how "unfairly" a company with a 160 billion dollar market cap (as of this writing) is being treated?

Because there is no competition involved, and the labels are manipulating the market at will. Exercise: as a consumer, why should you care about companies selling products at below production costs (hint: it has something to do with sustaining the competition in the future)?

Quote:
The labels realized they had to permanently destroy DRM to regain distribution control of their own music.

Nobody destroyed DRM. The labels can stop giving non-DRMed music to Amazon any moment that they feel secure in having more than 1 highly successful middleman for DRMed music. And if Apple is discriminated against heavily enough, there will be competitors in that market sector before long.

Tepsifles on May 8, 2008 3:28 AM

From Ars Technica:

http://arstechnica.com/news.ars/post/20080110-amazon-rounds-out-drm-free-music-offering-with-sony-bmg.html

Amazon rounds out DRM-free music offering with Sony BMG

Probably fuming at the news is Steve Jobs, who has been hammering the labels to let iTunes be the first to offer their music DRM-free.

But the labels have apparently been playing hardball with Apple, and have all (but one) decided to take their unprotected music elsewhere. It's not an accident that EMI and a handful of independent labels are the only ones selling DRM-free music through iTunes right now—the labels are actively trying to lessen Apple's influence in digital music.

akuzi on May 8, 2008 3:38 AM

I thnk you're a bit naive on this one Jeff - Apple would love to offer DRM-free music from all labels (see http://www.apple.com/hotnews/thoughtsonmusic/), it's the labels that are preventing it.

akuzi on May 8, 2008 3:42 AM

Whereas I am of the opinion that I am better off just buying from iTunes (when I am not buying physical that is) because:

1) I am unwilling to support the music industry juggernaut's boycott
2) I believe a larger part of the revenue goes to the actual artist
3) Amazon completely sucks in comparison to the iTunes store (even tho I admit I don't hate it at all)
4) I'm only playing it on iPods and Macs anyway

The big labels need to stfu and stop trying to enslave artists, companies and consumers.

kris on May 8, 2008 3:52 AM

Jeff writes:

> As a consumer, why would I care about anything other than competition
> resulting in lower prices -- and *less DRM* -- for me? Why would I
> care how "unfairly" a company with a 160 billion dollar market cap (as of this writing) is being treated?

One thing to care about is the buying experience. Personally i'd rather buy music through the iTunes store because it's integrated with the most popular music player.

You are not being an advocate for the consumer, you're being an advocate for the music labels.

akuzi on May 8, 2008 4:05 AM

I'll buy music online once Amazon's mp3 sales are available in New Zealand. Until then (and probably after), CDs will do fine.

Bernard on May 8, 2008 4:15 AM

"One thing to care about is the buying experience. Personally i'd rather buy music through the iTunes store because it's integrated with the most popular music player."

Okay, that's fine...

"You are not being an advocate for the consumer, you're being an advocate for the music labels."

Wha? I mean, huh? Amazon's interface is worse (in your opinion) than Apple's, and to use the worse (in your opinion) interface... helps... the labe-

I'm sorry, I cannot make any logical connection between those two statements. Did you forget a paragraph?

Bernard on May 8, 2008 4:18 AM

Don't forget DRM-free will help on your batteries too!

Taking this to the logical extreme, buying drm free music means you are saving the planet.

Chris on May 8, 2008 4:24 AM

"I have no doubts that if Apple were allowed dump DRM, they would do so in a flash"

Funny. I remember some tracks on emusic that were available as unprotected MP3s at the same time that they were DRM'd on iTMS.

Incidentally, Jeff, it's worth checking out emusic, and sometimes getting a subscription for a month or two. There's not a huge range of mainstream music, but they've got people like the White Stripes and Belle and Sebastian, and its much cheaper.

Tim Almond on May 8, 2008 4:31 AM

I agree, mostly, with the points you are making, but my usual solution is to buy CDs rather than MP3s. No compression, no DRM, open standard, permanent physical backup. If a particular song I want is on a CD that's bizarrely overpriced, I'll splurge the $.99 on iTMS.

MattF on May 8, 2008 4:44 AM

Amazon mp3 store is very good and has a lot of titles, I use it often. Don't forget places like eMusic either. They also have DRM free MP3s, but they offer a subsciption model. At the high levels you get songs for around 20 cents each. I subscribe at a 2 year subscription, 75 songs per month for 15$ a month. Some of the major artist are not there, but many are and it has really given me a change to find a lot of great music by lesser know artist. So now I use eMusic in conjunction with Amazon to get music I like.

Alan Schrank on May 8, 2008 4:49 AM

"Do you honestly believe this is, in any possible universe, a realistic outcome? It's absurd." -- Jeff Atwood, on the possibilities of the iTunes store disappearing, circa 2008.

I hope when someone find this quip when and if the iTunes store goes belly-up because of some colossal failure on Apple's part, they'll be as kind to you as you were to Rob Malda.

It's easy to look back on history and throw barbs at someone for being "out-of-touch" with how things turned out, but it happens, and it happens to all of us. Based on technical features alone, the iPod wasn't competitive with the Nomad. Creative had the superior product if you looked purely at a specification sheet. It was only because of iTunes and the iTunes Music Store that the iPod took off. iTunes made it easy to get music from the Internet onto your iPod; an idea at the time that was not only unheard of, but frowned upon by the music industry.

I think you owe Rob and Slashdot an apology.

Craig Maloney on May 8, 2008 4:56 AM

Jeff,

>Would Apple have reduced iTunes Plus fees from $1.29 to $0.99 if Amazon didn't offer DRM free music for less? Out of the goodness of their heart? Because they love, in Reg's words, "delighting customers"?

I covered this on my blog back in October 07:
http://www.innerexception.com/2007/10/most-likely-reason-apple-lowered-itunes.html

The even shorter version than my post, iTunes Plus tracks at $1.29 were an inducement to the record labels to move their catalog to DRM free. When the major studios didn't take it and instead started supplying Amazon, Apple removed the promise of higher eventual revenue to the labels.

> Record companies letting Amazon sell DRM-free music at the same time as requiring that Apple keep DRM on the music that they sell, as anything /but/ unfair on Apple

I covered that on my blog in Jan 08:
http://www.innerexception.com/2008/01/bought-my-first-mp3-album-from-amazon.html

Doesn't matter if the dominant current music store, or really digital media store, is by Apple, Microsoft, or Amazon. Being unhappy about the current situation is not Apple advocacy run amok, its a desire for a truly competitive market for all forms of digital media. The current situation is not "pure competition" as you say, it's obvious the major labels are giving Amazon much better terms than Apple. I don't want, nor do I think anyone who's sane, wants iTunes as the only place to buy legal digital downloads from. I want Amazon, Zune Marketplace, anyone else that wants to have a go. As I say in my post, I may sacrifice buying DRM-free from Amazon, not because I need to prop up Apple the company, but because what I really want is DRM-free for all tracks on both iTunes, Amazon, and anyone else that comes along. Once that happens, and I am still hopeful, I would then most likely buy from iTunes for music exclusively because I think DRM-free AAC (MP4) is a better product (smaller sizes, better device battery life) than MP3s at the same bit rate. You may disagree with me on that, since MP3 is portable to every device, and MP4 is portable to most devices, you may think that is more important than what I think important. That is a truly competitive market.

But I think it is crazy to suggest that Amazon's MP3 store is pro-consumer in the long run. The music and movie studios have always tried to add more DRM, even after its out of the bottle. DVD DRM was broken years ago, you can strip the DRM and reencode pretty freely now with Handbrake, but they went at it again with even more DRM for HD DVD and Blu-ray. Didn't stop them then, won't stop them with digital downloads if the labels (colluded before to price fix CDs, doing it now for DRM-free MP3s from Amazon) believe it's in the best interest.

Dave Murdock on May 8, 2008 5:01 AM

So did the whole issue where Apple refused to budge an inch on variable pricing suddenly go away? Not so long ago all of the hubbub was about Jobs battling with the records execs because he wanted every track on the store to stay the same price. Clearly that issue doesn't bother Amazon, so that could definitely be a factor in why Amazon is getting a better deal.

Jonathon on May 8, 2008 5:01 AM

my experience with amazon is that their download software(needed to buy complete cd's) supports multiple platforms windows, linux and mac. I do not need any software if I am purchasing just one song. Corporate sympathy or loyalty never, only concern I have is how much money does it save me and is it drm free.

steve on May 8, 2008 5:03 AM

Curious what other people have done about this as I wrestled with the idea for a while:

Have you taken up Apple's offer to upgrade your old FairPlayed downloads to "iTunes Plus" files?

On the plus side you get higher quality files without DRM, on the minus side you have to hand over even more cash.

It was Microsoft's closure of their MSN Music Store that made me upgrade all my tracks. That action made it abundantly clear that a big name doesn't guarantee longevity.

Finally, price and encoding bit-rate are not the only areas that can be fought over. I recently bought an album on iTunes rather than Play.com (we don't get Amazon MP3 in the UK) even though it had DRM because they were offering extra tracks that I couldn't get elsewhere. Apple's size allows them to negotiate these types of exclusive deal.

Stephen Darlington on May 8, 2008 5:06 AM

For Germans: http://www.musicload.de/
For most places: http//www.magnatune.com/ (was mentioned already)
For most places: http://www.audiolunchbox.com/
For UK at least: http://play.com (also mentioned)

It's simply not true that there's no competition - most people are just too caught up with being sheep that they don't look for alternatives.

Regards
Fake

Fake51 on May 8, 2008 5:11 AM

Since we're slamming Slashdot here, what's the alternative? I've learned long ago in the business world that you can't complain about something unless you have an alternative or you don't mind getting saddled with the onerous task of finding an alternative (which by the way is why corporate America sucks, since you only spotlight a problem if you want to be part of the solution; otherwise keep your mouth shut).

So, what's the better techie/nerd site?

(and yes, I look on Amazon first, but iTunes has the more obscure music, in my experience)

Leon on May 8, 2008 5:19 AM

I've never had a problem with iTunes DRM, only with the availability of music from the store. I think it's a lot worse that you can only buy music that is available in your region. Don't tell me what I can listen to, thank you.

You can always burn and re-rip music if you want to remove the DRM. I don't know why everyone complains about DRM when you can always do this! If you wanted perfect, buy the CD.

Akira on May 8, 2008 5:24 AM

A lot of this discussion is around the RIAA and its relationship to digital music. But there is a huge amount of non-RIAA music available on Amazon MP3, often for less than 99 cents a track or $9.99 an album. While independant label sales are still dwarfed by RIAA sales, sources like music blogs and commercial placements are spreading the word. All the music I buy these days are from independant labels; its not even a concious choice, its just the music I like. I would go so far as to advocate a boycott on all music from RIAA sources; one can use this site to see if an album is from an RIAA-affiliated label: http://www.riaaradar.com/

monsur on May 8, 2008 5:36 AM

"...while the majority of Apple's iTunes Store catalog is still stuck in the old testament world of DRM customer punishment..."

Owie! Paraphrasing Terry Jones from my son's graduation ceremony last week: always try to offend the most people possible.

About the only thing you could do to make that line even better would be to throw in an insult at the Linux crowd.

David A. Lessnau on May 8, 2008 5:37 AM

I live in Belgium, so no Amazon MP3 for me.

Why is it not available ? Well I guess Apple could make a justice case here that the music labels are giving an unfair advantage (no DRM/higher bitrates) to Amazon compared to Apple.

Why are the rules different ?

The music company should have a fixed price independent on what music retailer is selling it. The retailer can calculate some profit margin to pay for the distribution costs and make some money. But in the end, the RULES should be the same.

Even if the rules would be the same, the prices can still be different. People would chose based on ease of use and speed of download.

If Apple decides on the price that they want to pay to the music labels, I can understand that the music industry is not happy with it. It should be the other way around. But that happens when the music industry was trying 100 types of different DRM sites that offered horible end user experience - not taking into account that in the end its the buyers who decides if they charge the right price or not. If they insist on DRM then the price should be extremely low since we are severely limited in how we can use it.

I used to have my favourite music shops to buy vinyl or CD's, my choice was based on proximity, price and availability of Scandinavian Heavy Metal. Now I'm left with no choice at all since I'm living in the wrong country (although, for other things but music it is quite OK to live here).

Cheers!

David on May 8, 2008 5:38 AM

If your dumb enough to buy music from iTunes then I doubt you care or will even notice the DRM.

Joe Beam on May 8, 2008 5:39 AM

Re: Ben Karel

Some of us are old enough to remember the joy of having a http://en.wikipedia.org/wiki/Rio_PMP300 when everyone was fumbling with portable CD players. I know, capacity sucked you say. But then, life is about trade-offs.

Sinan

Sinan Unur on May 8, 2008 6:01 AM

"So, what's the better techie/nerd site?"

Ars Technica?

or better yet...

Google reader? Since basically all Slashdot does is aggregate news and add in god-awful comments.

Jonathon on May 8, 2008 6:30 AM

You're not 'buying' an mp3 from Amazon, you're getting a non-transferable license for 'digital content' which means that the doctrine of first sale doesn't hold ( see here for details: http://en.wikipedia.org/wiki/First-sale_doctrine).

Relevant part of the Amazon agreement is below:

2.1 License. Upon your payment of our fees for Digital Content, we grant you a non-exclusive, non-transferable license to use the Digital Content for your personal, non-commercial, entertainment use, subject to and in accordance with the terms of this Agreement. You may copy, store, transfer and burn the Digital Content only for your personal, non-commercial, entertainment use.

2.2 Restrictions. You represent, warrant and agree that you will use the Service only for your personal, non-commercial, entertainment use and not for any redistribution of the Digital Content or other use restricted in this Section 2.2. You agree not to infringe the rights of the Digital Content's copyright owners and to comply with all applicable laws in your use of the Digital Content. Except as set forth in Section 2.1 above, you agree that you will not redistribute, transmit, assign, sell, broadcast, rent, share, lend, modify, adapt, edit, sub-license or otherwise transfer or use the Digital Content. You are not granted any synchronization, public performance, promotional use, commercial sale, resale, reproduction or distribution rights for the Digital Content. You acknowledge that the Digital Content embodies the intellectual property of a third party and is protected by law.

Colossal Squid on May 8, 2008 6:32 AM

Jeff:

AFAICT, we agree on the most important things:

"It’s delightful that for the moment, we have a choice of where to buy DRM-free music. It’s wonderful that today, we can legally purchase the right to listen to a lot of major label music on DRM-free MP3s...

Buy what you like, where you like."

Although you don't address the issue, don't you agree that it is in *our* best interests for iTMS to be able to offer *all* of its catalog in DRM-free format and to offer said catalog at the same price as Amazon or anyone else?

Reg Braithwaite on May 8, 2008 6:54 AM

Why does everyone think the iPod was the first major MP3 player? I had a Creative Labs Zen Jukebox 20 GB player at least three years before the iPod came out.

The iPod was not the first! What was so revolutionary about the iPod?!?

Carl on May 8, 2008 6:57 AM

I personally still prefer buying the old-school cds and ripping mp3s to my computer. I still have some cd players around that don't play mp3 (like my car), and I like listening to music in my car :)

The space/content value of cds is really low these days, but I don't often have DRM issues with those.

Jeff Davis on May 8, 2008 7:00 AM

I'm also in the eMusic + Amazon mp3 camp. I like eMusic because it's inexpensive and lets me explore a wide variety of new music. And while eMusic is a subscription service, I don't lose my music if I unsubscribe. I try to clear the stuff I get from Amazon with the RIAA Radar because I just can not in good conscience give my money to the blood thirsty RIAA. With eMusic, I generally don't worry about it, as their focus is on independent labels.

If I can't find what I want on either of those sites, I might go to my local record shop and pick it up. Otherwise I just won't buy it. I did get a couple of free iTunes songs with some concert tickets I bought the other day, so in that case I'll use the iTMS, but otherwise not.

With respect to the price fixing argument:

"But clearly, they can't. There are certain market realities at work here. There's absolutely no historical evidence that a type of media, once it is officially sold DRM free, can somehow revert back to the DRM model."

I really don't think the labels need to go back to DRM to fix the prices. Look at what they did with CDs in the 1990s (http://www.oag.state.ny.us/press/2000/aug/aug08a_00.html). That was well before Sony was putting rootkits on their CDs. The battle between the labels and Apple's iTMS is more between content and access to consumers. When the labels have options on how they can sell (or resell) their content to consumers, they pretty much name their price. The extensions of terms of copyright and other laws that the labels buy from our government let them ignore their customers completely. If they own the the copyright, they control the supply. You can't easily substitute a copy of The Beatles White Album with a Backstreet Boys record. You could buy a used copy of it (on CD), but that's about your only option other than paying what the labels demand. Digital music provides an even better opportunity for price fixing.

1. You can not buy used digital music.
2. Big retailers who can afford to sell music at a loss ($10 CD at Best Buy) will not be bringing you into a store where they can sell you other things at a higher price to make up for it.

Once the labels solve the "access to consumers" problem, they will charge whatever they want. Consumers will have the choice to:

1. Pay the label's demand.
2. Steal it.
3. Go without.

Then the labels just need to figure out how to get us all to rebuy our music collections every couple of decades (or more frequently - subscriptions!!).

Scott on May 8, 2008 7:20 AM

By the way, folks in the UK may chuckle at your use of the word 'boner'.....don't forget internationalisation issues affect slang too!

Mags on May 8, 2008 7:25 AM

This is no longer blog about programming, but an advertising campaign for Amazon. The battery charger, GPS, programming books, music...what is coming next? Buy buy buy, each post like a new episode of a shopping channel...

tag=codinghorror-20 on May 8, 2008 7:34 AM

> It's actually much simpler than this:
> the record labels realized that the DRM
> they asked for from Apple wasn't protecting
> them or the artists at all, but in fact,
> protecting the Apple iPod lock-in model.
> The labels had no choice but to permanently
> destroy DRM to regain distribution control
> of their own music.

Sure, the customers benefit in the short term. But don't count on it for long. The record labels have lost control of their own content and know it. They *badly* need competition for ITMS to gain leverage in negotiations with Apple. Badly enough that they are willing to take a hit in the short term to reestablish that control.

Certainly iPod lock-in was part of the motivation for going DRM-free with Amazon. But only so far as establishing the largest possible customer base for the competing store. After all, lower prices alone wasn't going to get another store up to ITMS size anytime soon.

I fully expect that once the Amazon store has taken root, the record labels will back in the drivers seat. At that point Amazon will be dependent on the revenue, Jobs will be in a weaker negotiating position, and the terms of the deals from the labels will change.

And then the customers will suffer, again.

highlycaffeinated on May 8, 2008 7:34 AM

I think this is the part of your blog that Reginald should be printing and pinning to his cubicle wall:

"But let me tell you, I've been emotionally involved with companies before, and it rarely ends well. I find that corporations never reciprocate your love in quite the same way."

gunther on May 8, 2008 7:44 AM

@Joe Beam...

There is no reason to call someone dumb for buying music from iTunes. iTunes works well with the iPod (not a coincidence). Apple has a great marketing department and some awesome designers that sold a product to a wide market. I seriously doubt they care much about what a handful of software programmers think.

I, for one, like the simplicity of just clicking to buy a song, syncing it to my iPod and enjoying the music. I'd say I've probably spent a few grand on music in the past 4 years. But, I am also a working bassist that plays session gigs, so I try to support the industry by purchasing music. I realize most of the royalties go to the label for a long time, but dollar votes for the artist keep me working.

Besides, I deal with craptastic processes at work, I just want something that works, and for my needs, iPod and iTunes is the solution.

just my $0.02

Wayne on May 8, 2008 7:47 AM

Gunther:

Hey thanks, I can always use a little help detaching myself from the situation. For example, here's something I wrote when I was all worked up into a frothing, ranting lather:

http://weblog.raganwald.com/2004/11/sharecropping-in-orchard.html

Reg Braithwaite on May 8, 2008 7:47 AM

Jeff- why is it that every one of your postings come across as some kind of commercialized pitched for the product of the week? Do you get paid to punt this junk? Furthermore, what does any of this have to do with software development?

ep10 on May 8, 2008 7:56 AM

Jeff,

I'm interested in knowing what you think about NBC Universal deciding to go with Microsoft since Apple won't prevent people from playing "illegally" obtained media on the ipod.

Mel on May 8, 2008 7:57 AM

Why should you care that the recording industry is "treating Apple unfairly"? Because once the recording industry breaks the power of the iTunes Music Store, they're going right back to selling only DRM crippled music and trying to make you pay $3.99 for the latest hit song. Or, insist that you can only get a particular song by buying the whole album for $19.95.

Look at the agreement that NBC signed with Microsoft for the Zune Music Service: Microsoft will now add a feature to the Zune that will actually search the media on your Zune for pirated content.

As far as the entertainment industry is concerned, we are a bunch of thieving varmints who refuse to pay "reasonable" prices for their wares. What's a reasonable price for the entertainment industry? Look at the cost of ring tones: Three bucks for a 20 second snippet of song which expires after three or four months.

David W. on May 8, 2008 7:58 AM

Aw pity poor Jeff who gets a bare fraction of slashdot's readership, and they don't even have advertising links masquerading as content ;)

Anyway... what you forgot to mention in bringing up Malda's comment is that the original iPod really was lame. After all, you then go on to agree with him:

"A quick peek at the first iPod ad provides a little context to how rough that first generation really was"


Now you can say that later versions were better and that they made the iPod something to desire, but the initial one... wasn't as good as it could have been, especially when compared to its peers. The first version of a lot of things are simply precursors to later, more successful versions: Windows v1 (and 2); NT v3.51, .NET 1.0, the list can go on for ever.

AndyB on May 8, 2008 7:58 AM

LLBLGen Rulez!!

Tony L on May 8, 2008 8:17 AM

Jeff,

What is incredibly ironic is that Amazon is creating the same type of DRM lock-in with the Kindle and kindle books. The Kindle DRM format is an offshoot of the MobiPocket DRM (Amazon recently bought Mobipocket.) I can not buy Kindle ebooks for my Sony reader.

I also recently read from an Astek representative that they are working on a book reader and Mobipocket will only license there DRM reader if that is the only reader that ships on the device. Astek also wants to support the eReader format.

If Jeff Bezos really wants ebooks to become ubiquitious they would just have Kindle use the normal Mobipocket DRMed files. They would also license the Mobipocket DRM to reader vendors without an exclusivity requirement.

The bottom line is Amazon isn't about DRM free, and fair use for their customers... they are about making money. Selling DRM free music is the best way to do that, because it is an alternative to iTunes MS. But, obviously creating a closed DRM system in the Kindle and also Unbox is the best way to make money there.

The bottom line is, as a consumer of digital media I just want to be able to use the music, movies and ebooks that I buy, without encumbrances and on any device I own now, or may own in the future. I also want to have the right to transfer ownership (sell) that digital media the same way I can sell my used books, my used CDs, and my used DVDs. If I don't have the freedom to use and sell stuff then they price should be radically lower!!!

BOb

Bob Archer on May 8, 2008 8:18 AM

Apple is sort of half way between an electronics/computing company and a fashion company. I don't think any other brand name in the industry gains the same kind of brand loyalty... but to get to the point you pay for the Apple name, despite that fact that you can get a smaller MP3 player, with higher capacity, better audio quality and higher reliability for less... well I don't know that for sure, I'll be honest, but its very much the impression I get. I can buy a PDA and addons for less than an iPod or iPhone which does /more/ than the iPhone.

Because I am a geek, and I know this from experience and actually care about what my technology does, I have a dimmer view of Apple than the next guy. Who, in reality, probably has more reasonable criteria on what his technology should do for him, like "not being the cheap ass version". :)

--DRM anyway. I'm certainly not a fan.

Jheriko on May 8, 2008 8:27 AM

Further DRM is futile. If you can watch/listen to the media you can steal it and pirate it by inference, regardless as to the protection used. Microphones, camcorders, home electronics kits... the possibilities are endless.

The possibilities for protection on the other hand are exactly zero.

Making it hard is good enough for 90% of people at least...

Jheriko on May 8, 2008 8:31 AM

It seems to me that if one company can sell DRM music for a set prices, other companies should get to sell it for the same price.

We can all agree that the record industry is evil right? So then their plan to align themselves with Amazon must also be inherinetly evil, even if we don't see it at first blush.

Kris on May 8, 2008 8:33 AM

Jeff,
This is crazy talk... Are you high? Look around you man, the sky is not falling because of DRM.

Chance Houston on May 8, 2008 8:38 AM

All we need is a few major pop artists moving to Magnatune, to start an avalanche, and the labels will be calling their time with DRM and Apple the good old days.

Keith Macdonald on May 8, 2008 8:44 AM

I couldn't care less about whether my music has DRM or not. I get it via iTunes and can play it at home just fine. I can put it on my iPod and listen to it while I'm out and about (walking around, in my car, whatever). If I needed to burn it to a CD, I could, but other than for backup purposes, I don't see a need in my own life. If it is a quality issue, well that can be solved via a better quality audio file, but the quality has been fine for my old ears. I guess my point is that DRM, at least for me, hasn't presented itself as a problem. Of course, I don't tend to "share" my music with the world, so I don't see the need to burn multiple copies of my music. Perhaps I'm just in the minority of folks that are satisfied with the product/service that Apple is producing. Just my thoughts.

Hefty

Hefty Smurf on May 8, 2008 8:47 AM

Malda's comments were appropriate to the genneration 1 ipod as technically inferior and I don't think you can say apple was doing something 'right' as in correct tech, but maybe 'right' as in effective marketing.

But more importantly, isn't the DRM issue itself another slashdotty one? Is that average ipod user (the one who bought the so called 'lame' product) concerned about drm vs non drm? Do they even know the difference before purchace or do they buy the easy integrated Itunes tune in the same way they choose the inferior genneration 1 ipod over the nomad.

dannygutters on May 8, 2008 8:50 AM

Funny thing is that Microsoft would get roasted for providing a proprietary solution that was incompatible with the rest of the market.

Seems convenient that by selecting a format that uses DRM that you also end up locking the content to your own player.

Yes I know it’s possible to convert the songs but most folks won’t bother with that.

Microsoft gets accused of behaving like the Borg but Apple gets hailed as an innovator for behaving the same way…

David E. on May 8, 2008 8:57 AM

This entire conversation is academic to me because I have never bought music in the form of single songs online. I borrow a CD from my local library, rip it and listen to my music. Why are so many people willing to shell out $1.00 for a single song? Yes, there are usually a few klingers on any CD, but I still conceive of the CD as a complete work of art. After all, who would want to listen to 'Back in the USSR' without having it followed by 'Dear Prudence?'

JeffK on May 8, 2008 9:19 AM

Jeff,
it's not only DRM. Even non-DRM protected songs bought on iTMS are useless on other players because they are AAC encoded: and guess what, Apple won't license AAC to other vendors nor will ever support unprotected WMA directly on their *Pods (iTunes converting from WMA to AAC is silly because of quality degradation and the fact that is moving from a "locked" format to a different "locked" one).
UnDRM'd MP3 is the way to go, even though the usual radical suspects (OS fanatics) are strongly campaigning against in favor of "open formats" (see playogg.org, another outstanding achievement of sillyness). Support Amazon, free music (as in free speech) :D

Paperino on May 8, 2008 9:28 AM

Apple is not the largest retailer of music. They don't sell music. They sell licenses. If they sold music, then the doctrine of first sale would apply, and they wouldn't be able to restrict you from doing things like reselling it, donating it to a library, etc.

Personally, I don't care for the iPod interface. I have a hell of a time trying to select items. Whenever I move my thumb from the wheel to the select button, the selection moves up or down one item. It also bothers the heck out of me that I can't turn it off. At least give me a true stop button in addition to pause.

I'm still with CDs. No Sony ones though. Mostly indies purchased from CD Baby. If I want lossy compression, I'll do it myself. But I like liner notes and artwork. I like to be able to hold the things I own in my hand.

Adrian on May 8, 2008 9:31 AM

Here's another take on issues that should be considered in this whole back and forth on content licensing and DRM:

"Contracting Away Fair Use Rights: Amazon's MP3 Store, Lucasfilms and Blanket Licensing"
http://iplitigator.huschblackwell.com/2007/10/articles/fair-use/contracting-away-fair-use-rights-amazons-mp3-store-lucasfilms-and-blanket-licensing/

mikeb on May 8, 2008 9:33 AM

"...it's not only DRM. Even non-DRM protected songs bought on iTMS are useless on other players because they are AAC encoded: and guess what, Apple won't license AAC to other vendors.."

Nope. FUD. http://www.vialicensing.com/licensing/MPEG4_fees.cfm?product=MPEG-4AAC

> I have no doubts that if Apple were allowed dump DRM, they would do so in a flash

Really? Odd, then, how OS X requires specific hardware to run. That's one bit of DRM they seem quite willing to carry forward.

That's apples and oranges. There's a difference between looking at operating systems/software and data. Does Apple put DRM on .txt files? Or .jpegs saved on your Mac's hard drive? It would be hard to argue that the fact that Apple doesn't make iTunes able to put music on competing music players as some sort of embrace of DRM. If that makes sense.


Citizen Z on May 8, 2008 9:59 AM

Regarding AAC:

"Advanced Audio Coding (AAC) is a standardized, lossy compression and encoding scheme for digital audio. Designed to be the successor of the MP3 format, AAC generally achieves better sound quality than MP3 at many bit-rates.

"AAC's best known use is as the default audio format of Apple's iPhone, iPod, iTunes, and the format used for all iTunes Store audio (with extensions for proprietary digital rights management).

"AAC is also the standard audio format for Sony’s PlayStation 3, Nintendo's Wii (with the Photo Channel 1.1 update installed for Wii consoles purchased before late 2007) and the MPEG-4 video standard. HE-AAC is part of digital radio standards like DAB+ and Digital Radio Mondiale.

"It is specified both as Part 7 of the MPEG-2 standard, and Part 3 of the MPEG-4 standard. As such, it can be referred to as MPEG-2 Part 7 and MPEG-4 Part 3 depending on its implementation, however it is most often referred to as MPEG-4 AAC, or AAC for short...

"No licenses or payments are required to be able to stream or distribute content in AAC format. [8] This reason alone makes AAC a much more attractive format to distribute content than MP3, particularly for streaming content (such as Internet radio).

"However, a patent license is required for all manufacturers or developers of AAC codecs, that require encoding or decoding.[9] It is for this reason FOSS implementations such as FAAC and FAAD are distributed in source form only, in order to avoid patent infringement.

"AAC uses proprietary technology, and thus requires a patent license. Contrary to popular belief, it is not the property of a single company, having been developed in a standards-making organization."

http://en.wikipedia.org/wiki/Advanced_Audio_Coding

Reg Braithwaite on May 8, 2008 10:02 AM

Don't forget, bloggers like Jeff now rely on important income from traffic. The world of 'columnists' and bloggers changed for me the day I read that Dvorak admits he purposely draws controversy by posting outrageous and flame-baiting-like comments to drive traffic.

Today, with the likes of Digg, all you need is to post a few outrageous statements and voila, car payment taken care of.

While everyone has their opinion, I wouldn't have thought that Jeff would have taken a swipe at Slashdot. Personally, I think it is one of the best sites on the Internet. I totally agree that there are a lot of 'out of touch' people on Slashdot, but to assume because of one post way back (hell, I would have written Apple off years ago too), that everyone on Slashdot is out-of-touch.

I find the article comments on Slashdot (while noisy) to be some of the most informative posts out there. You get an amazing field of reference (along with the Microsoft==evil ones I weed out).

It's not anything like Digg where 25% of the content is interesting, the rest falls into "Man Swallows Whole Watermelon" articles. But again, Digg is for the masses.

Anonymous on May 8, 2008 10:08 AM

Just because you mentioned that you were an audiophile, I thought I'd throw out http://HDTracks.com (disclosure, I've done some consulting for them). Their catalog is independent labels only, but lots of Jazz & stuff that appeals to audiophiles. They do lossless FLAC, AIFF, and 320kbps MP3, all DRM free. Plus they are getting ready to release downloadable 96-khz/24-bit FLAC soon.

Corey on May 8, 2008 10:09 AM

That the big music distro companies can sue Napster into submission, can build up iTMS when it makes business sense only to tear it down by building up a competitor that makes better business sense underscores the excessive power of the distro companies (not to mention the killing of kittehs and puppehs ;) ).

It would not surprise me at all if Apple, innovative as they are, begins to develop (or help develop) and promote a music distribution system or culture that elimiates the distro companies entirely. IMO, the music distro companies don't promote musical artisanship in general, only musical artisans that are commercially viable. Nor do they add value, but instead add gloss to otherwise crappy music.

Craig Boland on May 8, 2008 10:21 AM

Just a quick item about your initial point: techies rarely 'call' the markets correctly because they like to apply order and logic to a chaotic mass of irrational behavior. People don't buy the best thing, they buy the one their friend's want. It's always a mistake to assume that has rhyme or reason.

Also, if someone did manage to rationally sort out what the markets want, then their process of doing that will be used by many others, up and until the point where there are so many people influencing the market, that the market would be chaotic and irrational. Or in short: anything that works, insures that eventually it won't.

Paul.
http://theprogrammersparadox.blogspot.com

Paul W. Homer on May 8, 2008 10:28 AM

Then there are the super rich artists who occasionally offer things up for free outside of iTunes and Amazon:

http://dl.nin.com/theslip/signup

Dave on May 8, 2008 10:29 AM

w/e.. I'm still going to buy my vinyl and rip it myself @320 bit. You can keep your DRM or non-DRM non-media and I'll have my original artwork.

M on May 8, 2008 10:56 AM

I agree with the main thrust of your argument. Regarding the CmdrTaco quote, though: he was right IN THE CONTEXT of the slashdot audience. Not only that, he's STILL right in that context. I'm part of the core /. constituency - a consummate geek. And while I can understand the design and marketing brilliance that went into the iPod; while I would probably instantly recommend the iPod to any nontechnical friends or family who asked; to this day I'm uninterested in buying one. Because I'm a member of the tiny percentage of the population that actually cares about things like built-in Ogg support (yes, I have some music in ogg format). And as a gadget wizz used to dealing with funky hardware, I'm not as concerned about having the most user-friendly UI; I'm more interested in the storage-to-price ratio. It's the same reason I'm still using the resoundingly awful Treo despite the availability of the iPhone - I want that iPhone interface soooo bad; but there are still things I'm accustomed to my Treo doing that the iPhone simply can't do yet.

If you interpret the quote as an absolute value judgment then it's laughable. But interpreted in the light of the /. audience - the iPod is *still* lame. Just lame in a ways that average consumers are unconcerned with.

Avdi on May 8, 2008 11:23 AM

@wayne

sorry didn't mean to call u dumb. I'll change my statement to this...

If your going to buy music from iTunes then I doubt you care or will even notice the DRM.

Joe Beam on May 8, 2008 11:40 AM

I've heard that the Zune Marketplace also has DRM-free MP3s if you buy them individually.

Can anyone confirm that?

N on May 8, 2008 11:42 AM

Yes, a subset of the Zune Marketplace catalog has MP3 versions available for purchase. If MP3 is available, it does not offer the WMA version for purchase (though it may still have a WMA version for use with subscription).

Nicole DesRosiers on May 8, 2008 11:57 AM

How about the Russian mp3 sites (e.g., www.mp3fiesta.com) - no DRM and about a tenth the price of iTunes.

Catweazle on May 8, 2008 12:08 PM

You nailed it, Jeff. Apple's DRM, despite its warm fuzzy name, is still DRM, and it's still stung me. I recently migrated over to linux, something I've tried doing about a half dozen times in the past but just couldn't make the leap as I found the various environments unusable (from a UX perspective). It drove me nuts. Then Ubuntu 7.10 came along and randomly hugged me and lightly stroked the back of my neck and then got me drunk and we made out and we've been lovers ever since.

However, in the process, I failed to realise (until I loaded up Rhythmbox for the first time) that the 150$ worth of apple DRM'ed music was suddenly 600MB of unusable digital files that are just taking up space. I've no recourse, I can't transfer ownership of the files to somebody else (like my wife), and I can't "return it". I'm stuck. All because I simply wanted to change my operating system. Why should my choice of an (ironically free) operating system have to cost me 150$ in literally lost product? Brutal.

www.insound.com now offers several digital downloads, DRM free, but they don't have the expansive catalog of Amazon. I can't wait for the day when Amazon's music store hits Canada.

cranley on May 8, 2008 12:31 PM

Jeff: I'm not sure the "typical music customer" gives a damn about DRM - notice ITMS' popularity. Most people just aren't as scared of DRM as the internet mavens are.

Serge said: "The problem with ITMS' DRM is that it's not aimed at protecting authors (and labels) but rather aimed at helping Apple sell more iPods!"

Do you have any evidence to back that up at all? How do you explain Jobs adding DRM-free music to ITMS <I>the very moment the label in question let him</i>? If the "aim" was to lock users in to iPods, why would he ever, ever do that? (Answer: He would not. Ever.)

The iPod succeeds by being superior in interface and aesthetics, and competitive enough on price and features - not by some insidious lock-in... especially since there exists third-party software to convert, using iTunes, DRM'd AAC to non-DRM AAC, which Apple could probably stop for a good long time with some aggressive programming tactics, but hasn't bothered to.

Catweazle: Since the Russian sites don't have proper licenses to give you, that's basically "paying someone to steal the music"; I'd rather just steal it directly, if I was going to that.

Sigivald on May 8, 2008 12:40 PM

Jeff,

There is one difference between iTunes/Ipod combo and rest of the Online music world like Amazon MP3:

* iTunes and the iTunes Store are tightly integrated with your Ipod *

Sure I can go to AmazonMP3, download albums, and drag all the MP3 files to my iTunes library. But why bother when I can click on "Buy"? Sure you can install amazon's MP3 installer, setup one-click, etc. But iTunes offers a better buying-streamlined experience.

Kashif Shaikh on May 8, 2008 12:50 PM

> Before the iPod, portable music meant CD players

Um, I guess Ben never heard of the Diamond (now iRiver) RIO back in the day. Or the creative Nomad, which was a 6-8gig HD device that look akin to a CD player but held MP3's.

It honestly wasn't until the iPod got USB instead of Firewire, and supported XP instead of being Mac exclusive that the scene really took off. I vote with my wallet by buying CD's - I have the right to convert them to MP3 (there is no DRM on CD's), I get the liner notes and I have it in the format that I want it to be, and pay on average $1 to $2 more than the MP3 alternative. For a product they have to press, package, ship, store, and shelve for me to buy. Where is the best for the consumer.

Also, on the iTunes front - Steve Jobs & Co keep approximately 50% of all profits on each AAC track they sell. If Amazon made a deal where the RIAA gets more than 50 cents for each download, and took that out of their profit margin, then that's just good business. And it wasn't until the Amazon store opened up that Apple lowered the price on their DRM-free product.

Brian on May 8, 2008 12:58 PM

Jeff,

What if Microsoft said to HP: "The only version of Windows that allowed to sell with your PCs is this version without IE and Windows Explorer and Media Player. We're going to let Dell (and maybe some of your other competitors) sell the full versions, with no problems, just not you." How quickly do you think the trustbusters/Justice Department/lawyers would have Microsoft in court? How would you feel if it happened to you?

If the labels are discriminating against Apple so blatantly then that's Just Plain Wrong - anti-competitive behaviour, possibly even collusion and certainly bad for competition.

Apple's DRM may be slightly restrictive, but it's *vastly* better than anything the RIAA and the record labels have come up with, and it managed to do DRM while still users some measure of freedom. Why should we punish Apple because it figured out how to balance the desires of consumers with the restrictions the record companies wanted? If Apple could offer the same DRM-free tracks as Amazon, wouldn't the users ultimately be the winners?

Apple gave us DRM we can live with. And a pretty good iTunes experience. And good music players too. And stuck it to the record labels. Don't they deserve a bit of credit?

Andrew on May 8, 2008 1:30 PM

> Also, on the iTunes front - Steve Jobs & Co keep approximately 50% of all profits on each AAC track they sell.

I wouldn't be so sure about that -- the numbers I've heard tossed about are much lower. If you have a source on the 50% number, please share.

Dennis on May 8, 2008 1:42 PM

After getting burned by MSN Music's DRM music files not playing on my computer after a processor upgrade and not being allowed to Authorize/Deauthorize any new PCs, I have sworn off DRMed music. Amazon MP3 DRM free downloads are my format of choice. fairly high bit rate without the DRM leaves me asking if I will ever purchase an actual CD again. I'm not an audiophile (I'm a convenience-phile) so digitally re-coded music isn't an issue with me.

Seems like the people who played by the rules and bought DRM music (I could have easily downloaded those same songs on Kazaa) are the ones who got screwed by it. The people who ripped a friend's CD to their MP3 player don't have any of the problems I had.

Louis on May 8, 2008 2:10 PM

I've been holding off commenting on this because I wanted to make sure I had my thoughts in order first -- first a bit of background. I have been using iTunes since v1.0 came out in early 2001. I have bought a number of iPods and iPhones over the years, starting with a iPod mini when they came out. I've been using OS X since the Public Beta days, and I also use Linux and Windows regularly. I first downloaded MP3s back in late 1996/early 1997 and have been listening to all of my music through the "MP3 filter*" for about 7 years now.

I think there is a number of misconceptions that have been tossed out over the years about iTunes and Apple:

1 - Apple is pro DRM/anti consumer
2 - iTunes locks users into the iPod
3 - Apple uses proprietary formats to lock users into iTunes

It seems as every time these are tossed out, it's always from someone who hasn't used Apple products before. Or if they have, it was when they were in school, many years ago, on an Apple II+.

Anyway, I think what would be helpful is that people separate a few concepts here. One is that just because Apple is dominating the portable music market right now doesn't mean they are being anti-competitive like other companies (Microsoft, RIAA). If people would take an objective look at Apple's products, they would see the reason they are dominating the market is because in general, they are putting out the better product. Hands down. And by product, I don't just mean the hardware, I mean the software on both the iPod and iTunes as well.

Also, another thing to separate is that the behavior of Apple in regards to DRM is not necessarily due to Apple deciding that DRM is a good thing. Remember, they have to license the music from the RIAA to offer it on the iTMS. Saying that Apple wants DRM because it locks customers into iPods has no basis in reality -- the truth is Apple offers music with DRM because if they hadn't, they wouldn't have had much of a store in the first place.

An aside -- with the ease that Apple's DRM scheme can be broken, I would argue that it's not even likely to be a factor in locking someone into an iPod. To the above poster who switched to Linux -- why didn't you burn the music to CDs first and re-rip them? Or maybe even do some digging around on the net to find other ways to defeat FairPlay?

If people want to accuse Apple of locking consumers in, then what they are really saying is that when a company listens to their customers and offers a product that meets their needs, they must be doing something wrong because it locks customers in. If Apple stopped using iTunes, or changed for the worse the way you interact with the iPod, or made their DRM so tough that I couldn't use it, I would start shopping around for alternatives. But Apple keeps innovating and resisting pressure from the RIAA and others to add more DRM to their products. I really wish I could point to another company that has my needs in mind when it comes to music.

dennis

* Meaning that everything I listen to has been first compressed to MP3 or AAC before burned to a CD, loaded onto an iPod, played through iTunes or the stereo.

Dennis on May 8, 2008 2:15 PM

Hey, i just gave you a decent chunk of change for that mp3 link :). I NEVER knew amazon had an MP3 store.

Jeff, again, you are amazing!

Jeremy on May 8, 2008 2:37 PM

Wow, so many readers who feel "dis-enfranchised" by the direction of Jeff's blog...

Could it be that the same criticism he leveled at his (now) new partner, Joel, http://www.codinghorror.com/blog/archives/000679.html , can now be applied to him?

I just couldn't resist: http://www.burch-swm.com/misc.html

I'm not hatin' Jeff, but you do open yourself up to some of this :-)

Steve on May 8, 2008 2:58 PM

Buy a CD: higher quality, no DRM.

Ramiro Polla on May 8, 2008 3:06 PM

> Buy a CD: higher quality, no DRM.

Not that the music companies haven't tried - several times. If they didn't get so much bad press, I'm sure the DRM'ed CDs would still be on the market (and I am sure that they will try again if they think they can get away with it).

http://en.wikipedia.org/wiki/2005_Sony_BMG_CD_copy_protection_scandal

RJ on May 8, 2008 4:04 PM

I find itunes mostly great, but the main problem I have had is that I can't easily share itunes library between different computers. That becomes a problem because I'm not going to buy 2 copies of each song (one for me and one for my wife).

What I have to do is strip the DRM from itunes songs, and convert to mp3s. It would be easier to just pirate the songs! stupid stupid stupid.

deadcat on May 8, 2008 4:34 PM

I don't know why EVERYONE doesn't use the "burn and rip" method. It would allow the entire public to use iTunes, while being free of DRM. Soon enough, apple would do away with DRM... Just like the government has no "No J-Walking" signs... They'd be useless!

And, deadcat, you're able to authorize up to 5 computers to use DRM songs.

Jason P-R (stalepretzel) on May 8, 2008 4:46 PM

Other sources of DRM-free music:

All sorts of independent music, including jazz and classical:

http://www.magnatune.com

And for classical music lovers, a fantastic resource, all MP3, no DRM:

http://www.classicsonline.com

David on May 8, 2008 5:02 PM

+1 about buying mp3 outside US, but also I' don't envy that too much, I prefer buying the CD and burn it to FLAC

Juan Zamudio on May 8, 2008 5:03 PM

It's one thing to claim Apple has an addiction to hardware. People have been saying that for years as a way to apologize for the fact that Apple doesn't license the OS to other manufacturers. I don't think it's a particularly compelling argument, but it is one which can at least be discussed.

However, when you say Macintosh computers are DRM for Mac OS, that flies in the face of decades, at this point, of history. Apple has been shipping mostly off-the-shelf hardware now for a few years, but for decades that was not the case. They tried to claim it was superior hardware, and in some ways and for some short periods of time, that was actually true, so you have to give them credit for honestly trying to be better than the herd, even if with the next breath you point out they failed.

You can reasonably claim the Apple of today is merely addicted to hardware, but when you talk about their hardware as DRM, you just sound like a conspiracy theorist who isn't old enough to remember 1984.

pete on May 8, 2008 5:07 PM

>> I find itunes mostly great, but the main problem I have had is that I can't easily share itunes library between different computers. That becomes a problem because I'm not going to buy 2 copies of each song (one for me and one for my wife).

You can authorize up to 5 computers for each iTunes account. You do need to copy the songs to each computer yourself (you can't download them from Apple without buying them again), but that's not very hard if they're all on the same network (or both have an internet connection).

RJ on May 8, 2008 6:05 PM

> > I have no doubts that if Apple were allowed dump DRM, they would do so in a flash

> Really? Odd, then, how OS X requires specific hardware to run. That's one bit of DRM they seem quite willing to carry forward.

Sorry Jeff, but between this misrepresented article and this corker of a non sequitur, you've just lost my respect.

Simon Wright on May 8, 2008 7:09 PM

> It's competition.

No Jeff, the problem is that it's *not* competition.

> It is ["Apple advocacy"] when you explicitly put the concerns of a 160 billion dollar company ahead of the typical music consumer.

You're putting your latent distaste for a 160 billion dollar company ahead of the typical music consumer. Is that any better?

Simon Wright on May 8, 2008 7:18 PM

> the DRM they asked for from Apple wasn't protecting them or the artists at all, but in fact, protecting the Apple iPod lock-in model

What percentage of iPods do you think are purchased by people as a result of DRM?

The whole premise of your article is based on the assumption that Apple doesn't really want the DRM gone, yet you'd deny them the opportunity to remove DRM. Really?

I think Jeff Atwood has jumped the shark.

Simon Wright on May 8, 2008 7:23 PM

Simon, I think you have jumped the gun here. Jeff's article is right on target. Last time I checked, I was a consumer. I have stayed away from mp3s for some time now due to DRM. iPod has turned the tide against the DMA and RIAA. DMA and RIAA sought to punish those of us sharing what we PAID for in the first place. Now that iPod does this kind of business, it cuts into theirs. They don't want money now near as much as they want control. If THEY have control, they can have the money....without sharing with Steve Jobs. Without competition, only on entity is control. Someone recently retired (and became a philanthropist) who operated an entire market for years doing the same thing...staying in control. Jeff didn't jump the shark.

Ergo on May 8, 2008 7:41 PM

Ergo, everything you said is correct, but it's not the point Jeff was trying to make in the article and his comments.

Simon Wright on May 8, 2008 8:18 PM

Man, does anyone else find it amusing to see Apple fan-children (for the politically sensitive among us) frothing at the mouth about how unfair this issue is to Apple and then trying to claim impartiality?

We can argue about whether or not Apple wanted to sell the music DRM-free and whether or not the labels have it in for Apple, but as a consumer, I think that competition in the marketplace is always good.

Apple is still a massive corporation whose sole purpose is the making of profits, as it is with any other. Don't let the EULA quotes forbidding you from creating WMDs with your copy of iTunes fool you.

Lachlan on May 8, 2008 8:31 PM

Jeff,

Are you really naive enough to believe that the record companies are the enemies of DRM, and, therefore, are your friends? Really?

This whole Amazon thing is temporary benevolence designed to break Apple because Jobs will not play ball with respect to pricing models. If Apple agreed tomorrow to allow tiered pricing structures and album-only sales, do you actually believe that the Amazon DRM-free stunt would last any longer than the length of the current contract? In fact, I would not be surprised to find that there was a clause in the agreement allowing the record companies to require the implementation of DRM immediately at any time. The Amazon iTMS-killer would disappear in a flash.

I have no particular level of love for Apple on this issue. They’re a one-hundred billion dollar-plus company and I’m just a guy who likes music who’s struggling to get by. But I am astute enough to see the Amazon store for what it is.

Steven on May 8, 2008 9:25 PM

Jeff,

Are you really naive enough to believe that the record companies are the enemies of DRM, and, therefore, are your friends? Really?

This whole Amazon thing is temporary benevolence designed to break Apple because Jobs will not play ball with respect to pricing models. If Apple agreed tomorrow to allow tiered pricing structures and album-only sales, do you actually believe that the Amazon DRM-free stunt would last any longer than the length of the current contract? In fact, I would not be surprised to find that there was a clause in the agreement allowing the record companies to require the implementation of DRM immediately at any time. The Amazon iTMS-killer would disappear in a flash.

I have no particular level of love for Apple on this issue. They’re a one-hundred billion dollar-plus company and I’m just a guy who likes music who’s struggling to get by. But I am astute enough to see the Amazon store for what it is.

Steven on May 8, 2008 9:28 PM

Sorry for the double post. Please delete one.

Steven on May 8, 2008 9:31 PM

Jeff, I think there is clearly one example of reverting from DRM-free to DRM. That would be the selling of music online verses CDs. Because consumers don't care that they can get a higher quality unencumbered format. When the 89/99c equivalent is twice as easy to get an carry around.

Once they have us in the position they want us it's going to be like the current Blu-ray problem. Toshiba brought competition to keep the prices. But once they walked away from HD-DVD, how much is a blu-ray player costing now verses 9 months ago.

Joe on May 8, 2008 11:21 PM

Apple iPod was (as iPhone is now) a mediocre product targeting technologically challenged people. Its success was based not on any inherent quality of the player per se, but on the integration of the whole process from 'damn, i like this song' to 'here it is' into several clicks in iTunes.
At the time of its launch geeks were ripping, compressing & burning their music for a long time and I see nothing shortsighted in Malda's comment - it is a case of a geek dismissing an overpriced, dumbed down, locked product that does nothing revolutionary. There were better options (in terms of bang per buck) on the market then, as there are now.
It might look laughable from a businessman point of view (i.e. a silly geek not recognizing what would become a cash cow) , but then, we don't talk or care about that aspect here, do we?

Sasa on May 8, 2008 11:58 PM

Geez, Jeff, I don't know...
Since you quit your job I haven't read a single original thought from you here.
You're playing the same game as most other bloggers out there now, reurgitating opinions voiced by others, adding lots of irrelevant links, with half of your text consisting of quotes, many of them from your own, older posts.
I know this is your rimary source of income now, but please, THIS post today, couldn't you make it a little more honest? Like "I like amazon despite what others say, please buy their DRM-free songs via my affiliate Link?"

If I want to know what others think I can read digg.
I've been here for your ideas but my time is just to precious to read low-nutrition content like this . Sorry, but I just unsubscribed from your feed. I hope you'll someday give me a reason so subscribe again.

Jan on May 9, 2008 12:22 AM

One issue with iTunes Store was that the quality of the downloaded tracks was ear-achingly the poorest quality possible. That, and when I first tried it, the sound quality of my entire system suddenly degraded to MP3 quality (is this a bug, or a DRM 'feature'?). Reimaged to recover, locked out the iTunes store, and decided to continue ripping CDs as normal and never buy from an online music store again.

Now that dopisp is on the market I have given up on iTunes altogether and feed my iPod from Windows Media Player. This has several advantages...

The first is that my mouse works properly. No matter which OS or machine I work on, once iTunes is installed, the mouse often behaves erratically, like it has a clogged mouse ball, except that it is a USB laser mouse.

Windows Media Player has improved dramatically under Vista: no more choppiness while working. The sound quality is up as well, because Windows Media Player/Vista appears to be recognising that I have a 24-bit 96 Khz sound card and, to my ear (I am assuming), sounds as if it is upsampling to the highest quality chipset available. Even though CDs are 16-bit, they do sound far better because they are being played more accurately. Regardless of what is really happening under the hood, iTunes has nowhere near the sound quality of Windows Media Player under Vista at this time.

Windows Media Player, as with Windows Photo Gallery considers the file to be the authoritative reference, iTunes does not. This means that music can be stored as lossless WMA, yet downconverted to MP3 on the fly when syncing the iPod. All tags, lyrics and artwork stay with the file and are not locked in a proprietary file format and database. Everything is accessible from other programs.

It says a lot that when I switched to Windows Media Player I could not rescue my existing music collection from iTunes: the one converter I could find could not rescue tags, art and lyrics, and could not convert tracks ripped from Japanese CDs (no Unicode support).

Not all is rosy with Windows Media Player, however. For some reason, it refuses to play DVDs at all, citing an unspecified problem with securing my hardware: odd, when Windows Media Centre lets you pirate anything off TV to your hearts desire. Easily solved by buying a third party program, but why should one have to?

Paul Coddington on May 9, 2008 12:26 AM

As so few people are mentioning it, I would add...

I am voting with my wallet for hi-fi sound. I am buying CDs because they are still the highest fidelity format commonly available. The problem with the MP3 revolution, is that music is being stripped of its musicality: blurred, harsh, sibilant, with high frequency 'ringing' is now accepted as the 'norm'.

As time goes on, more and more people will have never heard music as it really sounds.

This is important, because everything people love about music is there all the more abundantly when it is reproduced with more fidelity. It just comes to life and has more character and 'foot-tappability'. For those of us with moderately good systems and high-end earplugs for our iPods, MP3 is a horrible, horrible compromise.

Sadly, so many people these days have driven themselves deaf with MP3-player abuse, rock concerts, etc, it is hard to demonstrate the difference.

Paul Coddington on May 9, 2008 12:54 AM

> As a consumer, why would I care about anything other than competition resulting in lower prices -- and *less DRM* -- for me? Why would I care how "unfairly" a company with a 160 billion dollar market cap (as of this writing) is being treated?

Because, and that's the point, **there is no competition**. Amazon can sell DRM-free tracks while apple is forbidden by most of the labels to do so. That's not competition, that's never been competition. At least try to be honest about it jeff: the current state of affairs between itms and Amazon Music Store is *not* level-field competition. Even in the US since out of the US it doesn't exist *at all*.

> It's competition.

No it's not. Competition would be Apple and Amazon being able to sell the same products and competing on the inherent qualities of their respective stores.

> AAPL is a big company. They don't need my or your moral support to succeed.

And once again it's not about "moral support", it's simply about unfair advantage to (anyone but AAPL).

> It is when you explicitly put the concerns of a 160 billion dollar company ahead of the typical music consumer.

God dammit do you even *read* what people write? How would AAPL be allowed to provide all of its tracks 256kbps DRM-less harm the music consumer? Answer: it wouldn't. Stop being stupid.

> Was there viable competition for digital music downloads before Amazon? No, there wasn't.

Have you wondered for a second why there wasn't? The answer is: because all music stores bar iTMS *sucked donkey balls*. And you know it. There wasn't any competition because the potential competitors weren't even trying.

> Would Apple have reduced iTunes Plus fees from $1.29 to $0.99 if Amazon didn't offer DRM free music for less?

The only goal of the $1.29 iTunes Plus fee was to bring over the labels by telling them "hey, look, if you allow us to sell your tracks DRM-free you'll get more money! So how about you stop being stupid and agree already?"

> Out of the goodness of their heart? Because they love, in Reg's words, "delighting customers"?

No, because DRM fundamentally isn't interesting in any way, shape or form for Apple. The only reason why it was implemented is to please the labels, it doesn't make AAPL's software simpler (the opposite), it doesn't make their hardware simpler (the opposite), and it doesn't make their architecture simpler (the opposite). DRM is a *pain* for Apple, not to mention Jobs loathes it.

And yes, also because the only thing DRMs do is lower the consumer experience, and Apple bases all of its products and marketing on consumer experience. Apple has no reason to like DRMs and they don't.

> It's actually much simpler than this: the record labels realized that the DRM they asked for from Apple wasn't protecting them or the artists at all, but in fact, protecting the Apple iPod lock-in model.
> The labels had no choice but to permanently destroy DRM to regain distribution control of their own music. A pyrrhic victory, to be sure, and it couldn't have happened to a nicer bunch of folks.

You know what? You sound like a 9/11 truther.

Masklinn on May 9, 2008 1:28 AM

"DRM is a *pain* for Apple, not to mention Jobs loathes it."

Is that why the iPhone store applications are signed using Fairplay DRM? Developers don't have a choice - if they produce applications for an iPhone, they have to sell it through Apple's store and have to use Fairplay DRM.

Tim Almond on May 9, 2008 5:52 AM

I once thought a corporation loved me, and then it did something terrible to me. That wasn't love. Love shouldn't hurt!

Shmork on May 9, 2008 6:15 AM

Confused on why you think a potential oligopoly isn't unfair. Reg wasn't arguing that Apple should be saved from the RIAA -- he was arguing that this is ultimately anticompetitive behavior, and in the long run bad for the consumer.

I'm also confused why you don't think DRM would be strengthened the moment iTMS died (if it died, of course) ... that is what's been happening with movies, where Blu-Ray DRM is much more anti-consumer than DVD.

Steve on May 9, 2008 6:20 AM

Heh, all this talk about corporations loving -- last I checked, corporations couldn't love or hate. All you can do is look at their track record and make a decision as to if what they have been doing matches up to your expectations of what kind of company you want to deal with.

Jeff -- if you want to boycott Apple in favor of Amazon, feel free to do so. But at least do it knowingly that the RIAA is using you as a pawn in their battle to keep control of the music market. A better way to boycott DRM would be to boycott the RIAA's products, no matter who they come from. If you really want to stop DRM in it's tracks, anything less than an RIAA boycott is just grandstanding.

Dennis on May 9, 2008 6:30 AM

> Rob's pithy dismissal of the iPod at its introduction has become
> virtually synonymous with how out of touch the Slashdot crowd is
> with the rest of the world.

I suppose this is fair, but don't get too cocky. Slashdot readers are out of touch in exactly the same way Coding Horror readers are out of touch; we are expert computer users, and don't really have any way to get in the head of those who aren't.

I remember the first time I saw a fax machine, I thought it was the stupidest idea ever. Why on earth would a sane person print out a document, redigitize it with a scanner (with loss in clarity), then send the humoungous result over the phone line to someone else where it will get printed, when they could just have their modem talk to the other guy's modem in the first place? A modem can send the original file digitially much quicker and with no loss of data whatsoever. Plus they'd have a malliable digitial copy rather than a static (and fuzzy) hardcopy. I was certian these stupid fax machines would never catch on. Do I have a gift for prohpecy or what? :-)

The thing I didn't count on is that using computer modems is scary unknown for the average office worker. I find faxes to be a total PITA to use. However, phones and copiers are a PITA that most office users already had to deal with, so the operating paradigm for a fax machine is something they are used to.

T.E.D. on May 9, 2008 6:36 AM

I would have to partially agree with the last comment, except for a different reason, as I can always write a CD of the music I've purchased. My biggest grip with online music, after DRM, is the lossy compression. I would buy more music online if they would start using lossless formats, such as the recent releases of "Ghosts I-IV" and "The Slip" from Nine Inch Nails on nin.com. Then, if I choose to write a CD, I know I'm getting it at the same quality I would if I had bought the CD. I give huge kudos to NIN for not only supporting the lossless but including open formats such as FLAC. Actually, "The Slip" is available in 94khz 24bit (better than CD quality) wave files, so I can't complain there. But as long as stores such as iTunes, Amazon, and the like keep using compressed/lossy formats, I will only use them for single here/there songs and not whole albums...

Jason Mock on May 9, 2008 6:55 AM

I'm no fan of DRM, but iPod/iTunes has one very important thing working for it that I haven't seen mentioned yet - It Just Works.

My wife has gone through several mp3 players, and the software that comes installed with it ranges from useless to actively system-breaking - she inevitably ends up manually copying tracks and podcasts to/from the player.

This year I recieved an 80GB iPod as a gift. I installed iTunes. It found all the music on my computer. I plugged in the iPod, and all that music copies automatically. Almost zero thinking required. I want podcasts? It tracks what I've finished listening to and removes them. Want to buy a song? Click a button, it downloads, adds to library, and autosyncs. I get up in the morning, plug it in, eat my breakfast, and it's done. No dialogs, no additional steps. It Just Works.

Yes, I'm proficient enough with computers that I could do it the long way. But why would I *want* to? There's better ways to spend my time than moving files back and forth between hard drives. And it's appalling that other mp3 players haven't figured this out yet. (And anyone who builds an "mp3 player", and then gives software that converts them to their unique format to upload to the pod (killing conversion time) deserves to be lost in oblivion.)

My solution is to buy my wife an iPod - she'll plug it in, it will Just Work, and we're done. Ta da. The old mp3 player will find new life as a flash drive (a task it's far more suited for).

As a side note, are we really locked in to DRM when we can simply burn/reimport? I'd prefer if my iTunes were DRM-free (and I buy that way when possible), but considering that I can break the protection essentially *at will*, I don't feel terribly constrained.

Allen on May 9, 2008 7:44 AM

> Is that why the iPhone store applications are signed using Fairplay DRM? Developers don't have a choice - if they produce applications for an iPhone, they have to sell it through Apple's store and have to use Fairplay DRM.

Don't conflate music DRM and application DRM. While they're very debatable, Apple has actual reasons to try to have a say in which applications can and can't be run on regular iphones (and it's not like you can't trivially bypass that by jailbreaking the phones).

> Actually, "The Slip" is available in 94khz 24bit (better than CD quality) wave files

So is Ghosts I-IV, but not on the download side (the Deluxe editions, the $75 and the $300 boxsets, include both a data DVD with multitrack files for remixing and a BD holding the album in high-def 96/24)

As a side note, I really liked a "feature" of both Ghosts and The Slip that doesn't look that much but speaks volume about the care Reznor has for his packaging (and how much of a geek he is): each track has a different, track-specific artwork on top of the global album artwork.

Masklinn on May 9, 2008 8:51 AM

> As a side note, are we really locked in to DRM when we can simply burn/reimport? I'd prefer if my iTunes were DRM-free (and I buy that way when possible), but considering that I can break the protection essentially *at will*, I don't feel terribly constrained.

The problem here is the quality loss: you're burning music which already isn't CD-quality, and you're reimporting it (probably as a lossy mp3 or aac file), losing even more quality and details.

Masklinn on May 9, 2008 8:53 AM

An interesting read:

http://en.wikipedia.org/wiki/Resale_price_maintenance

Reg Braithwaite on May 9, 2008 9:53 AM

Good article. Goes back to my theory though:

Record company, pay artist $0.10 per song - *artist rich*
Charge Amazon $0.20 per song - *Record company rich*
Charge Consumer $0.30 per song - *Amazon rich*

Consumer happy to pay $0.30 per song. Everyone happy!

Mark on May 9, 2008 10:00 AM

"There's absolutely no historical evidence that a type of media, once it is officially sold DRM free, can somehow revert back to the DRM model."

That's an interesting statement there. I'd go the opposite route, "There's absolutely no historical evidence that a type of media, once it is officially sold DRM free, can NOT somehow revert back to the DRM model." Or, even, "There's absolutely no STATISTICALLY SIGNIFICANT historical evidence regarding any type of media, once it is officially sold DRM free." Which cuts to the heart of the matter: there just is no evidence one way or the other. Which brings us to the "extraordinary claims" maxim: the more extraordinary claim, with a lack of evidence in either direction, is false. I think the claim that DRM-free today means no DRM ever in te future is far more extraordinary than the claim that anything could happen.

In any case, the RIAA is (predictably) not so pessimistic about DRM's future: <http://arstechnica.com/news.ars/post/20080508-if-music-drm-is-dead-the-riaa-expects-its-resurrection.html>

"Was there viable competition for digital music downloads before Amazon? No, there wasn't. So in effect this has created the only real competition there ever would be. Without Amazon DRM-free, iTunes was well on its way to becoming utterly dominant and entrenched, the de-facto standard for the forseeable future."

Yes, offering DRM-free music opens up competition. That hasn't been questioned anywhere, has it? However, BLOCKING one retailer from selling DRM-free music while allowing another retailer to do so is absolutely reducing competition.

"Would Apple have reduced iTunes Plus fees from $1.29 to $0.99 if Amazon didn't offer DRM free music for less? Out of the goodness of their heart? Because they love, in Reg's words, "delighting customers"?"

I don't know. Would they have? Do you know?

My understanding is that $1.29 was based on keeping the per-song profit constant between DRM-free and DRM-laden, nothing more, and that the key to the $.99 drop was a better deal having been cut with EMI. There is good evidence that Amazon makes the same amount per-song as iTunes does, so obviously they were and are getting a significantly lower per-song price from EMI et al.

"As a consumer, why would I care about anything other than competition resulting in lower prices -- and *less DRM* -- for me?"

Well, as a consumer, I tend to care about many more things than just the immediate bottom line price. These include:

* Environmental impact
* Corporate practices (I'll gladly pay $0.10 extra for a pack of socks in retaliation for Wal-Mart's disgusting practices, for instance)
* "Safety net" if something comes up
* Predatory pricing practices (buying product X today saves me $1 and kills product Y, costing me $2 per purchase for the next ten years)
* Quality of sales experience (I tend to shop at places which provide me better information about a product, even when the same is available elsewhere for a few bucks less)

The list goes on. Not all of these apply here (the last two clearly do, perhaps safety net as well), but the point is that the situation isn't nearly as simple as you make it out to be. True, what really counts in a commodity market is the price and quality of delivered goods; there's a lot more than the presence of DRM which goes into "quality of delivered goods" though!

Fact of the matter is this: I don't need a blog to tell me that $0.88 is cheaper than $0.99 and that that has some remote economic affect on my bank account. If you aren't going to be bringing in some larger context, why even write?

Craig Maloney: "It was only because of iTunes and the iTunes Music Store that the iPod took off."

Please. This is the second time today I've read this gross misinterpretation of history. It has to stop. Before iTMS, iPods had 80% of the HDD MP3 player market. Before. Meaning, back in the dark ages when to get something onto that iPod you had to rip our CD and/or obtain it less-than-legitimately "from a friend". iPods succeeded, perhaps based on the success of iTunes (many don't like it, but it really provided the most seamless interface around for many years before Windows Media Player cloned it) ... but iTMS? Forget it!

Paperino: "Even non-DRM protected songs bought on iTMS are useless on other players because they are AAC encoded"

Are you seriously telling me you can't find 1001 AAC music players out and about? AAC is not an Apple standard, unlike WMA which is a Microsoft standard (albeit with more opened up licensing now).

Catweazle: "How about the Russian mp3 sites (e.g., www.mp3fiesta.com) - no DRM and about a tenth the price of iTunes."

And a double serving of mafia support mixed in with just as much legitimacy as Kazaa downloads! Again, price should not be the only factor when buying a product.

Paul Coddington:

You seem to be the first one to accuse iTunes of degrading all audio on your machine to "MP3 quality" (I assume you imagine iTunes installed a replacement sound card driver on your machine so that only it would sound decent?) and simultaneously interfere with your mouse driver. I think you have a bad hardware problem somewhere; I can think of no conceivable way that a user-level application on a modern OS could cause these disturbances in kernel-level behavior.

Tom Dibble on May 9, 2008 10:19 AM


No problem with the first two points of DRM, and I think they should be kept. Can not understand the fact that you can not put the music onto another player. This sounds to me exactly what Microsoft did with the Windows. Like ordinary folks, they might not care at all; and for the ELITEs, as long as its not M$...

W on May 9, 2008 10:26 AM

masklin:

"Don't conflate music DRM and application DRM. While they're very debatable, Apple has actual reasons to try to have a say in which applications can and can't be run on regular iphones".

OK, what reasons?

Tim Almond on May 9, 2008 11:35 AM

So, class, what have we learned from Mr. Atwood this week?

We know now that he has not an utter clue as to what MVC is and why it is the way it is, and now we know that he doesn't understand why collusion is bad for the market.

Hey, I have an idea... let's all start blogs where we mull over topics that have been discussed to death by everyone else, then link to all those discussions, so we'll have talkback links back to us, so that we can make money off of ad revenue without coming up with an original or informational thought!

GregoryD on May 9, 2008 12:21 PM

Sasa: But that's not really true.

I'm a "geek". I owned a Rio MP3 player long before iPods existed, and I was ripping my own mp3s since the mid 90s.

And I still thought the iPod was the <I>best thing ever</i> when it came out. Know why?

Because unlike the Nomads and the Rios and all the rest, <I>Apple understands interface and that it matters</i>. Some "geeks" seem to take pride in having horrible interface, but I don't. I have better things to do with my time than fight against my tools and my toys - I prefer to have them work.

I'm on my third iPod now, and will doubtless replace the current one with another in a few years... but I've never bought a single track from iTMS, and don't use AAC files.

(Everyone I know who uses iTMS and has AAC files either 1) doesn't give a damn about DRM as long as their music plays on their iPod [99% of the market] or 2) unlocks the files they bought with a third-party tool.

For people in 1) that migrate to another player, see 2). "Start iTunes, start un-DRM-ing tool, click start, come back in the morning when all eight billion files are unlocked")

Sigivald on May 9, 2008 2:01 PM

I just recently encountered DRM built into the windows media player built into Vista. Where did I hit it? When I went to encode an avi file onto my HTC windows mobile phone.

Instead I had to go find some 3rd party encoder to convert it to something that my device can play.

DRM is such a stinkhole.. I will use my technical skills to avoid it at every opportunity.

The music industry is finally waking up to the advantages of digital media. Do we REALLY have to go through this all again with digital video media too?!!

Shaun on May 9, 2008 3:00 PM

Music is like software, it is better when is free.

Linus Torvalds on May 9, 2008 4:36 PM

I take solace that this blog is consistently anti-apple.

Even if you don't intentionally do it Jeff, you do.

The ipod would have been a flop if people weren't so god damn retarded.

Mp3 players existed before, the mp3s were available....

What was the problem?

They thought of a scroll wheel first? no.

People need to be told what to listen to. Itunes collection pales in comparison to what oink had in its peak, and there was a better community of people to discover music with there. But they were using the internet for its true purpose; intended or not: cutting out the middle man.

I often sit and wonder how far we've strayed from the "information superhighway" sold in the mid 90's to the destruction of major corporate enterprises. It makes me both happy and sad at the same time, its inexplicable really. Bands should deal directly with their fans, without apple, or any middle man collecting a profit from their hard work, be it label or otherwise.

When i walk through the streets of my local city and i see all the people totally shut out from reality with their ear buds in i wonder... is this what our generation will be known for? the greatness of oblivious idiots almost getting hit by cars to not be without their precious song for even a minute?

Perhaps I am the old man then, out of touch. Or perhaps I am exactly right, music should be as free as the air we breathe. 100 years ago musicians didn't profit unless it was a live performance, the introduction of the recorded media introduced a whole medium of slime-balls in suits collecting a check for the blood sweat and tears of others. Maybe the internet brings back scary memories of a time long since past...

Or maybe I'm just crazy, and I should just love my mainstream music being spoon fed to me 99 cents at a time. Gotta love the progress of the "digital age"... Just have your credit card # ready.

;)

mike on May 9, 2008 7:00 PM

"(Everyone I know who uses iTMS and has AAC files either 1) doesn't give a damn about DRM as long as their music plays on their iPod [99% of the market] or 2) unlocks the files they bought with a third-party tool."

I think that pretty much sums it up. That, plus the simplicity of the integration with iTunes, and the ease of using iTunes to organize a large collection of music.

In my heart of hearts, I guess I care about DRM from an ideological or market view. In reality, if I can use it for everything I want to use it for, I don't care all that much. And my needs are not that varied. I have never run up against AAC DRM problems, because they are pretty lenient, really. When it comes to DRM, the only thing I've even run up against on a regular basis has to do with locked PDF files (which I find idiotic -- if you let me have it on my computer, what do you care if I copy and paste something from it, or print it? The one guy in the world who might want to run you out of business with it will figure out a way to bypass it, in the meantime the end user is stuck running into walls).

I think that interface DOES matter, I think that's the only reason why Apple has dominated in this area. PC and Linux nerds take pride in their use of esoteric interfaces, command line elegance, and having the ability to change every single conceivable setting. But most consumers just want the thing to play songs. iPod was and is an easy to understand system that has a well designed software component that is now totally integrated with the online component.

And all that while looking stylish as well, mixed with the unique sort of brand affections that Apple has built up for itself over the years. Apple feels like a company with a face, while Sony and Microsoft do not, and whether this is an illusion or not is hardly the point.

It's not a case of people being "idiots", as have have suggested. It's a case of people buying what they want. That's the free market, baby. Rather than bitching about what one sees as shortcomings in the Apple product, the smarter (and harder) analysis is figuring out why people choose it over many others. People aren't "idiots" in that sense -- when people are avoiding other products and flocking to a different one, it's because it's doing something right and its competitors are doing something that's wrong.

Shmork on May 9, 2008 7:33 PM

Classical is best on CD.
Pay Amazon $1.99 more and get the Goldberg variations on disc. Gets you a booklet, a hardcopy backup and you can re-rip it (lossless) into any format you like. And that's not even considering how bad online stores are when it comes to classical.

Erik on May 9, 2008 7:37 PM

can we all say it together this time? AAC is not a propietary Apple format - its part of the MPEG-4 standard, just like MP3 is a part of the MPEG standard. None of the A's in AAC stand for Apple.

FairPlay DRM is a layer on top of AAC, not something that is required by it.

dennis on May 9, 2008 7:49 PM

You forgot that Apple iTunes and FairPlay is compatible with more computer systems than any other DRM scheme making FairPlay nearly transparent. Sorry Linux users.

sodapop on May 10, 2008 1:57 AM

Napster still provide DRM-WMA music from their service. However, I'm using one of those 'Plays4Sure' MP3 players, so getting music onto it isn't a hassle. For people in the US its only about $15 a month, which I think beats the 99c per track that the competitors have. Any comments on this?

Jared on May 10, 2008 3:50 AM

@Tim
> OK, what reasons?

1. Prevent a slew of low-quality/shitty apps, that's the main reason for the $100 "iPhone Developer License" fee, which allow devs to sign their apps. $100 is low enough that pretty much anybody who would want to dev for the iPhone can get the money, it's simply there to prevent the 20000's iteration of hello world.

2. Prevent the appearance of "misbehaving" applications that are at odds with what apple considers to be the "iPhone Experience" e.g. apps that use the network too much or tear through the (fairly light already) battery

3. And ensure that apple keeps control on what they're going to distribute. Because the AppStore will be apple/itunes-branded all around, which means that problematic apps will be blamed on apple. Now of course they brought it on themselves with the AppStore model in the first place, and the system has both advantages (visibility, searchability, "endorsement" by apple, consistent payment system, consistent download & update system, ...) and huge inconvenients (neither the developers nor the users are completely free to provide and install whatever applications they want, unless they go back to the current way of hacking their phones).

Masklinn on May 10, 2008 4:16 AM

1. Who judges what a "shitty app" is? I used a timesheet system for my Palm that worked exactly how I wanted one to work. It cost me something like $10. It didn't look pretty and had a couple of small bugs. But I could live with that for the cost and what I wanted it to do. Does Apple know better than the customer what they want?

2. One more reason I won't get an iPhone then. I want whatever experience I want, not for it to be restricted by what the supplier thinks is right for me.

3. "Because the AppStore will be apple/itunes-branded all around, which means that problematic apps will be blamed on apple.". How is this a justification for DRM that stops people distributing elsewhere?

Tim Almond on May 10, 2008 7:01 AM

Sigivald,

Please take note I have nothing against people who like iPod and iTunes integration. Accidentally I own an iPod too (a gift), but I use it with WinAmp. To confront your anecdotal evidence, I don't like the interface (I prefer Creative Zen I had before).

My point was that iPod, as a portable music player, is nothing special. Not when it first appeared, not now. It is simple device, as a blow dryer, as a toaster, as a mobile phone. Whether it is Apple or Creative or Sony or whatever is really not important.

Sasa on May 10, 2008 9:39 AM

Nice blog dude but so much comments ::::)

Omar Abid on May 10, 2008 9:48 AM

I just buy my music DRM free on plastic discs without the extra encoding loss from the codecs used on either website.

Then again, the music labels I get most of my music from sell new CDs for $11 or 12 if you buy direct instead of funneling money to the middle-men.

Given the number of times I've re-encoded my music (no small task with my collection), I just can't see making the jump for music that's encoded at lower bit rates than my most recent rip.

Vizeroth on May 10, 2008 2:29 PM

"1. Who judges what a "shitty app" is? I used a timesheet system for my Palm that worked exactly how I wanted one to work. It cost me something like $10. It didn't look pretty and had a couple of small bugs. But I could live with that for the cost and what I wanted it to do. Does Apple know better than the customer what they want?"
Well, clearly not, that's why they put the tariff on. If you would pay $10 for the app, they can clear the dev fee after 10 of you. If you wouldn't, then it's not worth making that app, and it's worth Apple's time to keep that kind of app off.

"2. One more reason I won't get an iPhone then. I want whatever experience I want, not for it to be restricted by what the supplier thinks is right for me."
Yeees, but you're a *developer*. Your criteria are, let's call it, special.

Tom on May 12, 2008 3:14 AM

This may be objected to somewhere else, I haven't read all the comments yet. If so, please pardon me.

You say, "so if the labels want to disrupt the power of the iTunes machine by doing the right thing for customers and irrevocably breaking the back of DRM on music, that is the beauty of pure competition working for us, the users. This is a level of progress on the DRM front that I thought we would never see."

This isn't progress on the DRM front. This isn't pure competition. This is collusion on the part of the labels to break iTunes. Progress would be if the label that sells a DRM-free track on Amazon sold it DRM-free on Apple. As you point out, it's not Apple's choice to sell it with DRM. It's not pure competition because it's the same company selling one product in one market and the same product with one teeny little change (albeit with large consequences) in a different market, not because the second market is different but because the producer doesn't like the terms of the second market.

Plus it's just silly. I don't care what Amazon does to their website, they will never make it as seamless to purchase MP3s and transfer them to your iPod as the iTunes Music Store. Not gonna happen. So the labels are dictating to Apple that the consumer (you and I) can get the same product at a cheaper price from some place that makes it harder for me to give them my money. Idiocy.

Howard Fore on May 12, 2008 5:54 AM

How about just supporting independent artists? Those are virtually always unencumbered mp3s...

Bill on May 12, 2008 11:34 AM

Yes, the iPod as a device was indeed, at the time, lamer than other portable music devices. iTunes and the iEnvironment made it better sure, but there were better devices. Arguing that is just silly.

Would you argue that Windows is not lame compared to Linux? That it is superior to Linux? No, you wouldn't. But... but... oh, look... 95% of the motherfreakin' planet is using the lame Windows! My, how can that be?

The first iPods and Windows are/were both lame products that just happen to have great things surrounding them.

Again, iPod + iTunes + itms = great. The first iPod = a lame device.

W on May 12, 2008 6:31 PM

It's funny hearing everybody fall back to the defense "we want a level playing field". "it's unfair that Amazon has a better deal than Apple." "We just want a level playing field." As though special deals between retail stores and distributors. There's no such thing as a level playing field. Do you really think Best Buy pays the same for electronics as Bob's Electronics Shack? Do you not notice why some DVDs have special extras when you buy it at Best Buy that aren't in the edition from Video Barn? There's nothing untoward with Amazon using the big bad music congloms spat with big bad Apple to force the former to sell a better product to put a squeeze on the latter.

Wes on May 13, 2008 5:13 AM

I think that the only error in Mr. Makla's statements is that he greatly underevaluated the amount of impressionable people in the world. It's been noted many times over that the ipod (in all its variations) is not superior to its competition, but it became a conspicuous consumption good - it costs a fortune, and you don't get any more value from it than its competitors (arguable less considering drm) but because of its price and snob appeal, it's purchased.

and by impressionable people, I mean "suckers"

Steve-O on May 14, 2008 7:40 AM

> It's been noted many times over that the ipod (in all its variations) is not superior to its competition

Actually, it's been noted many times that the ipod was (and is) vastly superior to all competitive products on several fronts such as simplicity, intuitivity, industrial design and build quality feel.

That you want to downplay (or that you don't consider these features "worth considering") compared to e.g. the number of formats played or the raw storage of the device is irrelevant, if understandable by you coming from a technical field: the majority has spoken, and it's telling you to get bent, because it wants simplicity, ease of use and good looks above raw numbers.

Side point, that's also why Nintendo is currently reaming both Sony and Microsoft with its Wii. Yes the Wii is a bit cheaper (not much though, entry Xbox360 is only $25 more than the Wii in the US, or something like that), but the Xbox and PS3 are vastly more powerful and deliver arguably better graphics. On the paper, they should have annihilated the Wii, just like the PSP should have annihilated the DS. Alas, the wii is smaller, looks better, feels better built, it's simpler to use, and it's got a novel and intuitive interface instead of the decades old button mashing.

And that's why it's winning, and why even in the US (where the Wii is the weakest compared to the combined Xbox360 and PS3) people are now comparing the Wii not just to the PS3 or just to the Xbox, but to both at the same time.

Masklinn on May 18, 2008 4:39 AM

It is great that a respected blogger raises his voice against another evil empire growing. Apple promotes more intrusive corporate culture than even Microsoft (not that Google any better).
And a little bit more about Mac vs.PC - http://lazyloading.blogspot.com/2008/05/why-vs-pc-commercial-works-in-pc-favor.html

The Sloth on May 25, 2008 1:35 PM

Actually, Napster just released DRM free MP3's for $0.99 of their entire 6 million song catalog. So Amazon has a little better price on some songs, but Napster has a larger catalog - same size as iTunes. I am on their subscription right now - and I listen to a lot of different music, but if there is one I want to "keep" then I just pay the $0.99 and get the MP3.

Jim McKeeth on May 29, 2008 3:27 PM

At 99 cents a song, you're still paying the price of a CD to get less than a CD. DRM, no cool packaging, and if you're hard drive crashes - you've lost it all. (A guy can't really spend all his time backing things up) Apple has been making record profits from iTunes from day 1, mostly because they pioneered a market that didn't exist before. There never used to be any digital download service, so to be the top seller of digital downloads and not make a profit is nearly impossible.

I've never agreed with Apple's pricing. Never. A single download should and can be much cheaper. No one in the article or comments has even mentioned eMusic.com. They sell like NetFlix - with a monthly service charge you can download a certain number of DRM-free MP3s every 30 days. At their most basic cheapy level of $10 a month, your songs are 33 cents per. If you opt for $20 or more a month, each track becomes that much cheaper. This is a more viable selling practice in my opinion.

However, eMusic's selection isn't as big as iTune or Napster (yet) and the true audiophiles won't consider MP3s as a good enough encoding, but my experience is that MP3s are the most cross-platform format out there. I haven't bought an iPod yet, because rather than spend $299 on an 80-gig iPod, I can spend $25 on a stack of CDs and burn 12 albums or so to each, which then play on my computer, in my car, in my roomates car, and even in my DVD player. Hell, I've even transfered MP3s from my iBook to my MotoQ (the only Apple-Windows transfer success I've had w/o tweaking anything).

So back to my point. No DRM necessary, and keep it cheap. Micropayments are what keep the web and related media profitable.

Sid on June 5, 2008 4:32 PM

Why is this even important? Have no bigger worries than carrying around a piece of musicbox to plug in your ears? It is what classy and stupid teenagers do. Listening to music is a sacred thing, it is not an everyday commodity. In other words: your western culture sickens me!

Clever guy on June 6, 2008 1:37 PM

i just bought some john prine stuff on a site called HDtracks.com. Completely DRM free, but that wasn't the best part, it was cheaper to buy the record from them than it was at iTunes or Amazon or anyplace and i not only got the songs in a much better sound, i got the full liner notes too for the same price. not only is it stupid that when you buy songs online with drm you don't get to use them the same way you would as if you bought a cd, but they are normally crappy sounding and don't come with the rest of the cool art/ packaging. i finally feel like there's someplace that apprecaites what it means to actually enjoy my music again.

weiss on June 23, 2008 8:21 AM

Masklinn on May 18, 2008 04:39 AM

you're too much of a apple fan boy to even comment. just because the ipod is a huge seller doesn't mean its better. technically speaking, there's nothing technically great about the ipod. it is a one trick pony tied into a vastly cumbersome iTunes platform and even steve jobs once noted the device itself is disposable. if it were so superior in quality it wouldn't be thought of as a replacable commidity, it would be designed to last longer than a year and function for the consumer more like other audio/video products as an investment and less as a commodity.

warren on June 23, 2008 8:28 AM

I'm not really all that against DRM, as I do understand the underlying problem it attempts to solve, to get money for the work put into making the content.

However, I am against everybody and their brother coming up with their own 100% proprietary and thus incompatible solution, which is basically the source for *all* the problems people have with the DRM-based content.

If DRM-based content could be used on all your units, most people would not complain and have any problems with it.

The problem of course is to define what *your units* is.

I think DRM is here to stay, but the way it is implemented right now is perhaps not a long-term approach to the problem. I don't know how to make one, but I think that 100% non-DRM-content from all the sources is unlikely.

Lasse Vgsther Karlsen on July 1, 2008 4:39 AM
Content (c) 2009 Jeff Atwood. Logo image used with permission of the author. (c) 1993 Steven C. McConnell. All Rights Reserved.