Rights issue dogs CD protection

"A dispute over royalty rights on copy-protected CDs and other types of music discs is helping to stall the release of some new music technology, and could result in record labels owing tens of millions of dollars in back payments to music publishers. At issue are "double session" CDs that include two versions of each song on a disc, formatted for playback on different kinds of devices. The most widely distributed type are copy-protected discs that prevent CD tracks from being copied to a hard drive, but that also include a digital version of the songs, often in Microsoft's Windows Media format, that can be transferred to a computer or portable digital music player. ... ... The licensing dispute highlights the new power of music publishers as the recording industry seeks to shift gears from selling songs on discs meant solely for traditional stereo systems to formats optimized for use on computers and computer peripherals--a change with profound implications for artists, consumers and everyone in between. ... ... The labels are bent on reducing piracy by preventing consumers from making unlimited copies of tracks on future CD releases, much as they have required digital download services such as Apple Computer's iTunes Music Store to include locks on the tracks they sell. Still, labels don't want to see their already beleaguered profit margins shaved further, and they are seeking ways to avoid doubling the amount they pay publishers for what most consumers perceive as the same product. So far, both sides say they want to resolve the dispute through negotiation, rather than litigation. But the high-stakes dispute underscores how technology transformations still remain captive to licensing and rights issues created for a decidedly pre-digital world. ..." An interesting dispute. Technology RULES! hehe Click the link above to read the full article...