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""GREEDY music label giants suing CDWow.com & Play.com over cheap CDs""

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Fri 09/01/04 at 14:47
Regular
Posts: 19,415
Thought this was worth posting as I know a lot of people who get their music online at these sites.

SOURCE : The Sun By DEREK BROWN
http://www.thesun.co.uk/article/ [space] 0,,2-2004011632,00.html

What Dido’s Life For Rent can cost

HMV .......................................£13.99
Virgin Megastore ..........................£11.99
Amazon.co.uk ..............................£8.49
(plus £1.46 postage)
Amazon.com (US site) ......................£7.43
(plus postage £3.80)
Play.com ..................................£8.49
(free delivery)
CDWow.com .................................£6.99
(free delivery)

GREEDY music label giants are launching a legal battle against cheap CDs.

The British Phonographic Industry — which represents hundreds of record companies — is suing two Internet music stores for selling CDs for almost half their High Street price.

And they hope by winning a court case against UK-based CDWow.com and Play.com, music fans will be forced to buy their discs at the higher shop price.

Dido’s Life For Rent — the biggest selling album of last year — costs £13.99 in HMV. But buy it from CDWow.com and you’ll get change for seven quid and free delivery.

Even buying an album on American website Amazon and paying the airmail postage is cheaper than buying it here — especially if you buy more than one CD as the postage is the same.

It is proof yet again that British music fans are continually being ripped off.

Two years ago the Office Of Fair Trading ruled that record companies were unfairly blocking the import of cheaper discs from the rest of Europe.

So why are CDs less expensive on the superhighway than on the High Street?

Internet stores cut prices in two ways. First, they don’t have any of the overheads of big stores such as HMV, Virgin and Our Price.

They don’t have to rent a shop floor in the centre of town or spend money to display CDs in fancy racks. They also have far fewer staff.

But most importantly, many Internet stores import CDs from the Far East, Asia and North America where they are cheaper because record companies there take a smaller percentage of sales income.

Record companies here claim they have to add on extra expenses for paying artists, recording costs and distribution to the price of each disc.

It’s an excuse that many music fans will find hard to swallow.

Unfortunately, the BPI claims the law is on their side.

It is illegal to import even one CD from outside the European Economic Area.

So by purchasing a discounted album from, say, North America, a crime is being committed.

BPI spokesman Matt Phillips defended the decision to sue CDWow.com and Play.com, saying: “Let’s get one thing straight — the BPI is not against people shopping for their music on the Internet.

“Online shopping is a great alternative way to buy your music and many people enjoy it immensely.

“But to buy cheap CDs from outside the EEA is illegal. If we find that products are sourced outside the EEA we would have to take action.”

However, CDWow.com insist they were given permission by the record companies to supply CDs worldwide.

The case is due to go before the High Court next month.
Fri 09/01/04 at 22:43
Regular
Posts: 20,776
and then they wonder why people go online and download music, rather than buying it.
Fri 09/01/04 at 22:40
"I love yo... lamp."
Posts: 19,577
It would be considered illegal importing if the company brings them in en masse, which they do. The way round it is to move the distribution off shore. Then when you buy it is YOU importing, which is legal.

Jersey is self governing so I'm not sure about its status. Andorra may be the wise move as it has no, or at least fewer, taxes.

Personally I'm in favour of starting a petition against the BPI suing online retailers.
Fri 09/01/04 at 21:24
Regular
Posts: 19,415
P.S You know, because they're importing which the music boss says is illegal. I think it's okay for customers to buy outside but then you're still going to pay customs a lot for the pleasure.
Fri 09/01/04 at 21:22
Regular
Posts: 19,415
I think they want to stress this point Belldandy

"It is illegal to import even one CD from outside the European Economic Area."

So that's their reason for trying to stop play.com and cdwow.com
Fri 09/01/04 at 20:14
Regular
"Gundammmmm!"
Posts: 2,339
1) Play.com is safe because it's in Europe, unless Jersey suddenly broke away over night...

2) It is not illegal for consumers to buy records from abroad.

3) Play.com and CD Wow sell international version CD's, not UK versions.

Just two holes in the argument, and if this is what an ordinary person can come up with in a minute or less imagine what highly paid lawyers can do...
Fri 09/01/04 at 17:59
Regular
"Chavez, just hush.."
Posts: 11,080
AliBoy wrote:
> If they are stopped and we are forced to pay the higher prices then
> expect a lot more illegal downloads.

Exactly, put the prices lower, if they get more expensive then more people will download songs.

They're just shooting themselves in the foot here, you lower prices to combat piracy, you don't try and make things more expensive.
Fri 09/01/04 at 17:00
Regular
"gsybe you!"
Posts: 18,825
Amazon Marketplace.

Any CD I could possibly want, for damn cheap and in very good condition.

HMV 3 for £20 if I'm being weak.
Fri 09/01/04 at 16:54
Regular
"Not a Jew"
Posts: 7,532
Stupid record companies. I generally pay for music, but after hearing that I would download it all, if I had broadband. Which I don't. >_<
Fri 09/01/04 at 15:59
Regular
"Picking a winner!"
Posts: 8,502
If they are stopped and we are forced to pay the higher prices then expect a lot more illegal downloads.

Lets just hope that it dosn't come to that.
Fri 09/01/04 at 15:45
Regular
Posts: 10,364
Idiots, The lot of em.

How can they expect the paying British public to fork out £12 - £15 of their hard earned cash for a CD, which can be brought cheaper online. Hey, if they lowered the prices people might not resort to importation of products, but no. The BPI decide to americanly settle everything in court.

Like someone mentioned below, they should be glad people are buying music, it's easily pirated.

I use CDwow and Play.com quite a lot, and they excel in the service they offer.

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