Universal just says \"No\" to DRM?

Anybody been following this one?

http://money.cnn.com/2003/09/04/news...

Have record execs finally waken up and realized that DRM will be expensive and ineffective, or is it just good publicity for the stores slapping those 2/$20 stickers on their overstock?

Am I missing it? I don''t see anything in that article about DRM, just price cutting?

The thing they don''t say, which is mentioned in this story is that Universal is only cutting it''s wholesale price by $3, but they expect the retailers to cut their price by $6. for some reason I don''t think that will happen, I think we''ll see a reciprocal $3 drop in retail prices, if that.

Yeah, I didn''t see anything about DRM either.

Most people are saying ""too little, too late"" and I''d have to agree. My problem with buying most CDs hasn''t really been that they''re overpriced (though they are), but that I haven''t wanted to listen to any of it. None of it interests me so unless they''re going to drop the price into the $3-5 dollar range I probably won''t even consider it. All it does is force me to look at independent musicians to find the genres of music that I like, which is fine by me.

Let me connect the dots: A lot of the assertions I''ve heard is that more people would buy CDs if they were less expensive (broke students notwithstanding). Thus, DRM wouldn''t be required because those people would stop downloading. Yeah, it''s a pipe dream, but it makes a certain amount of fiscal sense. Why spend billions on technology that everyone hates and will drive away the few people who still buy discs?

"Kepheus" wrote:

Let me connect the dots: A lot of the assertions I''ve heard is that more people would buy CDs if they were less expensive (broke students notwithstanding). Thus, DRM wouldn''t be required because those people would stop downloading. Yeah, it''s a pipe dream, but it makes a certain amount of fiscal sense. Why spend billions on technology that everyone hates and will drive away the few people who still buy discs?

Basically what is stopping them now is that for years they have had a legal and technological monopoly on the distribution of music, and now they don''t. Regardless of what makes business sense at this point, they have had thier profits served to them on a silver platter for so long they don''t know how to compete. It''s called ""rent seeking"" behavior, they had control over the music for so long and they want to keep it that way. They weren''t competing and now they have to, but they don''t know how. They want to go back to thier monopoly, but can''t. So they''d rather go out of business than live in a world where they have to compete, because they see it as thier only option. It''s not really evil so much as lazy and stupid.