Abstract

No other factor in the core copyright industries has been impacted as heavily as the recorded music industry by the combined effect of digitalization and peer to peer file sharing through the Internet. This article highlights the ability of the industry to add increasing economic value to the mechanical reproduction rights (it is intitled to) by creating world products and the world market by controlling physical distribution of physical CDs. Now all these strategic factors prove weak against digital attack. This article argues that unless this industry change his business models or practises, or it is doomed to face an accelerated decline.