The key devastating factor music piracy does to record companies, specifically outside of the U.S. and U.K., is that it is allowing unit capacity to outweigh demand. This is bad for record execs, but the conflict that arises from this is whether it is morally wrong.
It is estimated that illegal music piracy in the U.S. cost the music industry 4.6 billion U.S. dollars in 2004, equaling a third of the CDs sold world wide (Kennedy, 2005). This accounts for an estimated 1.5 billion units lost in this conflict. The estimated value for the world pirate market is said to equate to the entire legitimate recording industry markets of the U.K., Netherlands and Spain combined (Kennedy, 2005). China is estimated as having the world's largest piracy market.
Simple piracy - the packaging of the pirate copies is different from the original. They are often compilations, such as the "greatest hits" of a specific artist, or a collection of a specific genre, such as dance tracks.
Counterfeits - the packaging of the pirate copies resembles the original as closely as possible. the record companies' trade marks are reproduced in order to mislead the consumer into believing that they are buying an original product.
An Italian Police officer, coordinator of a unit involved in a major anti-piracy operation, was shot at in Naples in November 2004Forensic police specialists c ...Show more