Bad stats, maybe. As Ben says, home taping didn´t do it, neither recordable CDs and nor will the internet. As I keep banging on about (and now the research supports): we want to pay for music, not for music companies. As Charles Dunstone says: you can´t beat the pirates. Consumers don´t like DRM and once you have put a digital file online, you´ve lost your chance to protect it. As Apple has shown with the AppStore, people are willing to pay for stuff they might have once pirated: you just have to make it easy for them to pay.
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