Digital rights management (DRM) software is a system forced onto distributors
that protects only a handful of the world's music, according to
Apple chief
executive Steve Jobs.
In an
open
letter posted on Apple's website, Jobs outlined the reasons behind the
company's decisions to close its FairPlay DRM system to other developers.
Jobs claimed that Apple was being held hostage by the "big four" record
labels, which threaten to pull their entire catalogues from the iTunes store if
FairPlay is breached.
"If the big four music companies licensed their music to Apple without the
requirement that it be protected with DRM, we would switch to selling only
DRM-free music on iTunes. Every iPod ever made will play this DRM-free music,"
said Jobs.
The Apple chief lashed out at the labels for requiring Apple,
Sony and other
companies to encode music files with DRM software to prevent copying while not
applying the technology to CDs, which comprise the overwhelming majority of
music sales.
Previous attempts at
putting DRM in
CDs have proved disastrous.
"If the music companies are selling over 90 per cent of their music DRM-free,
what benefits do they get from selling the remaining small percentage of their
music encumbered with a DRM system? There appear to be none," said Jobs.
Much of the three page letter is devoted to explaining why Apple had refused
to open its FairPlay system to other vendors and allow for songs purchased from
iTunes to be used with third-party devices.
Currently, the songs will play only on iPods and computers running iTunes
software.
The reason for this, according to Jobs, is that when someone
cracks FairPlay's
copy protection, Apple only has a "small number of weeks" to update the
software before labels have the right to demand that the music be pulled from
the iTunes store.
"Such an undertaking is very difficult when just one company controls all of
the pieces," said Jobs.
"But it is near impossible if multiple companies control separate pieces of
the puzzle, and all of them must act quickly in concert to repair the damage
from a leak."
The problem with the DRM system lies with the record companies, not Apple,
said Jobs. As such, he suggested that
unhappy
consumers and
government
agencies redirect their anger towards the "big four".
"Much of the concern over DRM systems has arisen in European countries. For
Europeans, two and a half of the big four music companies are located right in
their backyard," he said.
"The largest,
Universal,
is 100 per cent owned by
Vivendi, a
French company.
EMI is a
British company, and
Sony BMG
is 50 per cent owned by
Bertelsmann,
a German company.
"Convincing them to license their music to Apple and others DRM-free will
create a truly interoperable music marketplace."
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