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the report's headline horns the "an in three CDs namely pirated claim," merely beyond down in the report summary you find a mingle of agreeable newspaper and bad news statistics like this:
COMMERCIAL MUSIC PIRACY REPORT 2005: KEY FIGURES
* Music disc piracy rose 2% to 1.2 billion discs in 2004, the lowest level of growth in five annuals but almost double the digit of pirated discs in 2000
* Anti-piracy enforcement efforts aided in the de-commissioning of 87 CD production lines (up from 68 in 2003) and the seizure of 28,350 CD burners, twice the class of 2003
* Sales of all pirate recordings fell slightly to 1.5 billion units, as cassette piracy fell by 28% to 390 million elements in 2004
* The merit of the world music pirate market was largely flat at US$4.6 billion in 2004 (US$4.5 billion in 2003).
* Pirate bargains outnumber legitimate sales in 31 countries
* Pirate operations are obtaining smaller but more many as record piracy shifts increasingly to smaller-scale high-speed CD-R burning labs.
* CD-R piracy, predominant in Latin America, Southern Europe and India, rose 6% in 2004
So are the pirates conquering, or is the industry? I assume it depends on the metric you select, and whether or not you believe the report at entire. Most of the media reports I've peruse (e.g. Reuters and InformationWeek) follow the IFPI summary's guide in foregrounding the bad news, which suggests that the bad news is mostly what the manufacture wants us to hear for they shove for more government involvement in anti-piracy efforts.
If CD piracy is indeed as rampant as the report claims, that doesn't necessarily mean that the world is full of immoral music thieves who're out to devastate the world economic. Rather, it's an economic truism that a colossal and thriving black market is evidence not of extensive consumer "immorality" or stupidity of/disrespect for attribute rights, but of synthetic price inflation in the legitimate market. Furthermore, the size of the black market for anyone product is a straight arrow of the degree of overpricing in the legit market. In other words, as some force (like, mention,[link widoczny dla zalogowanych], the logging industry's monopoly pricing) distorts prices ascending, folk start to corner in ever larger mathematics to the black market for the same goods.
(Note that monopoly amounting isn't the only force namely can expand prices and steer consumers into a gray alternatively black market. High taxes, administrative corruption, and other administrative and institutional roadblocks to legitimate businesses can squelch a market's formal sector and pedal play into the informal sector. All of these issues are probably ingredients in the growth of melody black markets in locations like Latin America and China. See this excellent TCS interview with William Lewis for more on the topic of the role of protectionism and corruption in fostering black markets.)
My point is that whether CDs weren't so outrageously priced, there wouldn't be such a great CD piracy problem. CD prices have risen significantly faster than inflation in the quondam 15 years, even as CD production and distribution costs have fallen via the floor. What the music industry has is not a piracy problem, but a monopoly pricing problem. The "pirates" are just giving consumers the chance to buy music in a real market. In querying the government to help them work later pirates, what the recording industry is actually trying to do is get the government to help them work against the market by maintaining their monopoly pricing. It's ironic that in the label of "free trade" and trade, Big Content is really fighting to contradict the very market forces that they claim to winner.
The same forces depicted upon are too at go in the rise of the market because lawful downloads, a mall that's immediately starting apt antagonist the illegal download market:
LONDON (Hollywood Reporter) - Around 35% of music consumers now download alleys legally through the Internet and the percentage will soon pass the 40% who have pilfered music, along t