by Mike Masnick
Wed, Jul 25th 2007 11:03pm
The saga of Allofmp3 is quite well known at this point. The company that was apparently following the laws of Russia for licensing music made a name for itself selling DRM-free music at very reasonable points. Rather than recognizing that this was proof of a very viable business model for the recording industry, the recording industry turned to US gov't officials to pressure Russia into shutting down the site by threatening to block Russia's entrance into the WTO. Eventually, Russia caved. And, while the site was eventually shut down, an almost identical site quickly popped up in its place. That, of course, can't be good for Russian politicians looking to get into the WTO, so now they're threatening jailtime for Allofmp3's owner. If you step back and look at the big picture, a struggling U.S. industry has had its gov't pressure a foreign gov't to throw a foreign entrepreneur in jail for demonstrating a better business model to them. This is the world we live in.
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