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Music file sharers are up to their old tricks again
Deterrents appear not to be working...

By Marguerite Reardon

Published: Monday 19 January 2004

Despite the heavy-handed tactics of the major record labels illegal music downloading could be making a comeback, according to market researchers who note a surge in the use of peer-to-peer services.

The NPD Group, an independent market research firm, reported on Friday that peer-to-peer usage was up 14 per cent in November 2003 from September. This upturn comes after six straight months of declines in digital file sharing. Usage dropped dramatically starting in April 2003, when the Recording Industry Association of America (RIAA) began its well-publicised campaign of threatening individual file sharers with legal action.

Russ Crupnick, vice president of NPD, said in a statement: "It's important to keep in mind that file sharing is occurring less frequently than before the RIAA began its legal efforts to stem the tide of file sharing. We're just seeing the first increase in these numbers. NPD will continue to monitor whether it's a temporary seasonal blip or a trend that suggests that the industry should be more aggressive in capping the use of illegal methods to acquire digital music."

The RIAA has launched more than 300 lawsuits since it started its campaign against file swapping. Officials for the organisation have been optimistic about its success, pointing to polls that suggest that people are more aware of the risks involved in the practice.

But data from research firms like NPD throws more cold water on the music industry's claims that its lawsuits are working to actually deter people from illegally downloading music files.

Even though overall usage of peer-to-peer services has declined by almost half since April 2003, earlier studies by NPD and others also suggested that large numbers of people have still been illegally downloading music files.

Marguerite Reardon writes for News.com