The Development of Digital Piracy
The first example of digital piracy was the creation of Napster, a site based around the sharing of MP3 music files over the internet, in 1999. Napster survived in this form from June '99 to July '01, just over two years, before being taken down, after losing a legal case with the district court and being unable to comply with the demand for total filtering of copyrighted material. the following year, Napster declared itself bankrupt.
Napster worked as a peer-to-peer (P2P) based-service, essentially meaning that files shared on the service were provided by fellow users (peers), and not the producers or official distributors.
The Napster brand eventually became an online music store, before being acquired in 2011 by Rhapsody. It was the first, it inspired the creation of many other sites of a similar nature. Freenet, for example, is a free P2P platform that offers users a free way to publish and share copyrighted material online, preventing filtering of the uploaded content with the help of decentralized data storage. It follows the footsteps of the earlier Gnutella service, another large P2P file-sharing service.
Madster, a service similar to Napster, appeared in an attempt to take over the gap left by Napster's closure in 2000, but was shut down in 2002 by a lawsuit from the Recording Industry Association of America (RIAA). The RIAA was also responsible for the closure of Scour Inc. a service similar to napster that had been founded in 1997, suing on grounds of copyright infringement.
Finally, LimeWire, a P2P file-sharing service that used both Gnutella and Bittorrent, was ordered to terminate its services in 2010 by a federal court ruling. However, the software came in multiple versions, both freeware and paid. As a result, any Limewire software that has not been updated past 5.5.10 remains functional, as the next and future versions contained a disabling backdoor created by the company.
Pirating today
The most pirated film of all time is, according to ExtraTorrent, Iron Man 3. Drake's 2013 album 'Nothing was the same' is likewise the most pirated music album ever.
Today, there are numerous ways to pirate copyrighted material. There are numerous sites based around the upload of televison programmes and movies, for example, which allow you to both watch online and download for future viewing. Some sites, like The Pirate Bay, provide links to these sources. Youtube is also a favourite, users uploading copyrighted songs and videos to the site. with Youtube Converters, that is, tools that turn youtube videos into MP3s and MP4s, this means that people have access to plenty of content for free.
Impact on the music industry
With the loss of revenue from piracy, producers look to other income sources to recoup losses. A link from piracy to rising ticket prices for concerts has been made, with Livewire's Executive Chairman Irving Azoff tweeting
“So if you want ticket prices to go down, stop stealing music” in 2010. However, it must be noted that these prices are also rising due to several other factors, including the presence of a ticket 'black market' of sorts which resells tickets to desperate fans.
In addition, the RIAA estimates that between 2001 and 2012, music industry revenues fell by around 27%
On the other hand, for smaller artists, Piracy actually helps their music spread and find new fans. Some argue that this promotional effect is true for all artsits, finding fans whose consumption of media related to the artist will increase revenue in the long term, or at least balance out the loss from the initial piracy. Radiohead has been notably unopposed to Piracy.
What attempts have been made to combat piracy?
There are numerous actions being taken against Piracy. Some artists, like Prince, are taking legal action, both against pirating fans and the sites that enable them. U2 is apparently working with apple to create a new music file format which cannot be copied. Youtube has a system (albeit a heavily abused and faulty one) which allows copyrighted material to be reported. And finally, the streaming site Twitch mutes sections of recorded streams if (unauthorised) usage of copyrighted audio is detected.