MP3.com Hit Again--This Time By Emusic - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

MP3.com Hit Again--This Time By Emusic

Having already paid millions in settlements to the major music labels for alleged copyright infringement, MP3.com Inc. has been hit with another lawsuit, this time from a coalition of independent labels led by online distributor Emusic.com Inc. Emusic and five indie labels--Fuel 2000 Records, Spinart, Gig Records, Fearless Records, and Invisible Records--have filed suit in U.S. District Court claiming that MP3.com's music locker service, My.MP3.com, infringes upon their copyrights.

The suit alleges that by letting visitors store digital versions of CDs they own, MP3 is violating the digital download rights owned by Emusic and the five labels. Emusic says it owns the digital rights to about 13,000 albums from more than 600 labels.

The suit continues the legal morass surrounding online distribution.

In addition to the suits filed by the majors against MP3.com, music file-sharing service Napster Inc. awaits a ruling in a copyright-infringement suit brought against it by the Recording Industry Association of America.

Emusic execs declined to comment on the suit against MP3.com, but Emusic issued a statement saying that despite its settlements with the five majors, MP3.com has "chosen to ignore their infringing actions with respect to independent record labels." MP3.com execs declined to comment on the suit.

Webnoize analyst Ric Dube says there's more to Emusic's decision to sue than simple copyright infringement. Dube says that even though Emusic reported a 23% increase in revenue and a 40% decrease in losses for the most recent quarter, the company continues to lose twice as much money as it's bringing in. He estimates the company will run out of cash in April at this rate. The suit could be a last-ditch effort to stay afloat. Ultimately, Dube says, the strategy may proveeffective. "There's plenty of precedence to support this lawsuit."

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
The State of Cloud Computing - Fall 2020
The State of Cloud Computing - Fall 2020
Download this report to compare how cloud usage and spending patterns have changed in 2020, and how respondents think they'll evolve over the next two years.
News
Top 10 Data and Analytics Trends for 2021
Jessica Davis, Senior Editor, Enterprise Apps,  11/13/2020
Commentary
Where Cloud Spending Might Grow in 2021 and Post-Pandemic
Joao-Pierre S. Ruth, Senior Writer,  11/19/2020
Slideshows
The Ever-Expanding List of C-Level Technology Positions
Cynthia Harvey, Freelance Journalist, InformationWeek,  11/10/2020
Register for InformationWeek Newsletters
Video
Current Issue
Why Chatbots Are So Popular Right Now
In this IT Trend Report, you will learn more about why chatbots are gaining traction within businesses, particularly while a pandemic is impacting the world.
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll