March 31, 2004
Music industry emits static on MP3 phones
Roiled by technology that allows consumers free access to Internet music files, the entertainment industry wants to lower the sound on MP3 mobile phones, reports The Korea Herald.
"The music industry is demanding that the new phones only be capable of playing music at radio-level sound quality, but MP3 phone makers oppose the restriction.
Today Samsung Electronics was expected to unveil its MP3 Anycall phone. But yesterday, instead of anticipating entry to a hot market, the world's No. 3 cell phone maker was enmeshed with record producers and government officials over the operational features of the phone and decided to delay the launch.
Between 2000 and 2003, MP3 players along with pirate copies of compact discs and tapes have nearly cut in half the value of Korea's music recording market.
When LG Electronics, the fifth-largest mobile phone maker in the world, and Samsung Electronics announced plans to release MP3 phones this year, alarm bells went off at groups claiming music copyrights, such as the Korea Association of Phonogram Producers and Korea Music Copyright Association.
In a nation where more than half the population carries a mobile phone, the potential for downloading illegal music files is huge in Korea.
In an MP3 player market where 95 percent of songs are illegally downloaded, an MP3 phone that can play only paid music files is unlikely to appeal to consumers".
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