CD pirates in from the cold
By NUI TE KOHA
24Jun02

AUSTRALIA plans to endorse CD-copying kiosks in a controversial world-first plan that legalises music piracy.

The Australian Mechanical Copyright Owners Society will allow an Adelaide-based business to operate CD-pirating kiosks nationwide for a modest royalty payment.

The coin-operated kiosks could open in shopping malls, supermarkets or record stores from September and charge $5 for each CD "burn".

Some independent operators have already installed copying machines in convenience stores, but their legality has not been tested.

Observers say the green light from AMCOS, which represents songwriters and music publishing companies, has world implications and suggests the industry has been cornered into a compromise with the unstoppable pirating of music.

Experts told the Herald Sun the CD-pirating kiosks -- with superior sound quality to home burners and able to outwit anti-copying devices -- will be a winner with older users.

Music industry consultant and former copyright lawyer Owen Trembath said: "The only ones whipping down to Woolies to make a burn will be parents. Mum has become the pirate."

In a confidential, two-page letter to CD-copying firm Little Ripper, AMCOS said it would endorse the CD-pirating kiosks for a standard royalty of about 6 per cent.

An agreement was reached between AMCOS transmission licensing director Richard Mallett and Little Ripper CEO Greg Moore in an e-mail exchange late on Friday.

"The terms of the proposed licensing arrangement must remain confidential for now," AMCOS said in its letter to Little Ripper.

Mr Moore said: "I have accepted a deal with AMCOS . . . a significant breakthrough for the consumer."

Industry observers say the deal is likely to force the hand of the Australian Record Industry Association, which considers the CD-burning kiosks illegal.

Mr Moore has made an offer of a blanket royalty payment to ARIA.

ARIA chief executive Stephen Peach is overseas.

Michael Speck, of ARIA's anti-piracy investigations unit, said: "Any request or application that is made of the industry is not just point-blank rejected. This is very much a case of watch this space.

"There are many legitimate uses for CD burners. However, experience has shown illegitimate uses as well."

According to ARIA figures, blank CD sales are now about 450 million units a year globally.

"I'd think opportunity for piracy increases dramatically if a vending machine with CD burner is put in a public place," Mr Speck said.

Music industry organisations worldwide have refused to parlay with CD piracy franchises.

But Mr Trembath said AMCOS' co-operation and ARIA's decision on Mr Moore's royalty offer reflected industry resignation on piracy.

"This is a total ambush," he said.

"It is yet another angle in a technological nightmare the music industry is finding unstoppable."

Mr Moore said the machine was intended for consumers who want to copy their own music CDs.

Little Ripper hopes to be in business by September. A franchise willl cost about $20,000.

This report appears on news.com.au

hahaha, that's fucking cool!!

I'm sorry, but copying a CD isn't pirating if there's a royalty compensation or if its for personal use.

Suck on this RIAA!

You think it ended with Napster. Your wrong. The people want something that you have stolen from them for years. Now, we are fighting back. CD burning on every corner. Ha Ha!

Hail Mp3!!!

Yeah... Go Aussies... Go aussies

-- with superior sound quality to home burners and able to outwit anti-copying devices --

WTF!?! A cd is just a media with digital information, right? 1s and 0s. Of two digital duplicates, how can one have better sound quality? It is like suggesting that a microsoft word document will have the crispiest sharpest lettering if it is never copied to another computer.

BTW, we have had these (in Oz) in convenience stores for quite a while now. The only people I have ever seen use them are young teens. I wouldn't say there was a huge amount of success in the venture.

I'd like to see the RIAA struggling against that one.