Important Issues Concerning the Recording Industry Association of America

The Recording Industry Association of America (RIAA) is the trade organization that supports and promotes the creative and financial vitality of the major music companies. Its members are the music labels that comprise the most vibrant record industry in the world. RIAA® members create, manufacture and/or distribute approximately 85% of all legitimate recorded music produced and sold in the United States. In support of this mission, the RIAA works to protect the intellectual property and First Amendment rights of artists and music labels; conduct consumer, industry and technical research; and monitor and review state and federal laws, regulations and policies. (RIAA, 2011)

We are only halfway through 2011, and the sales of digitally produced music on the Internet has increased 3.6 percent as opposed to the first half of 2010, and individual tracks have grown 11 percent from over the last few years. Additionally, digital albums have grown up to 19 percent compared to the previous year so far. These statistics are from Nielsen SoundScan.

Artists such as Lady Gaga, Eminem, Black Eyed Peas, and Adele have made millions this year achieving platinum, and multi-platinum sales. With thanks to LimeWire's closure, for instance, downloading illegally have been reduced to under half than it was previously. All of this information is great news; however, it's still not time to open the Champagne bottle as we need to remain cautious, and work on more anti-piracy tactics. Rather it is to improve on the existing anti-piracy devices and/or to invent more anti-piracy devices, we need to continuously strive to ensure hardworking artists are getting their justifiable fruit of their labor.

Another great victory for recording artists is the tremendous increase in venture capital lending; however, there is the issue over the PROTECT IP Legislation. Investment from venture capital has grown from $200 million in 2004 to $3 billion in 2010. This is wonderful news for us; however, there are concerns from many venture capitalists that this bill will stifle investment for the development of Internet music. While the legislation says that they are working on lowering the risk of overseas rogue websites in trafficking, many VCs have the concern mentioned above. On the other hand, other venture capitalists think that this bill will enable more lending for the development of Internet music.

There are great, optimistic opportunities for recording artists, small and large. With continuous improvements for our protection, this market will be grand.

References

RIAA. (2011). RIAA. Retrieved on July 24, 2011 from

http://www.riaa.com/aboutus.php?content_selector=about-who-we-are-riaa.