AfterDawn: Tech news speak out over IFPI allegations

Written by Ben Reid @ 06 Jun 2006 12:21 User comments (17) speak out over IFPI allegations Last month, the International Federation of the Phonographic Industry (IFPI) hit out at popular Russian music download service, claiming it fails to pay artist royalties, and is therefore an illegal service.
In a press release on 2nd June, entitled 'Setting The Record Straight', the IFPI made claims that, " is not a legal service either in Russia or anywhere else. It is distributing music without any permission from the artists or copyright holders. Unlike all the legitimate sites, it does not pay artists or copyright holders so it is effectively stealing from those who create music. Like most things that appear to be too good to be true, is not what it seems."

Up until now, AllofMP3 remained silent on the issue, refusing to answer any inquiries from virtually every media source. Now, however, has decided to set the record straight from its own point of view.

Point number five is particularly intriguing, as it implies that AllofMP3 may be negotiating a settlement on changing its popular cheap price structure:


The US government officials and politicians have been demanding lately that the Russian authorities shut down, alleging the site is pirate. Otherwise, they threaten Russia with sanctions, including blocking its entry to WTO.

In this regard we would like to make a statement:

1. The site belongs to a Russian company and for 6 years it has operated within the country, in full compliance with all Russian laws. Throughout this period the various government offices have scrutinized site's legality and have not found any breach of the law. So far there has been no decision by any Russian court contesting the site's legality.

2. The Russian site is not operating or advertising its business on the territory of other countries.

3. The site does regularly transfer substantial amounts of royalties to the Russian organizations for collective management of rights such as ROMS and FAIR, which have granted the site licenses to legally deliver music through the Internet.

4. The site reserves the right to take all steps necessary to protect its business reputation. We call upon everyone to take a thorough and unbiased view of the site's legality.

5. On September 1, 2006 the changes to the Russian copyright legislation will come into force. Since January 2006 the site has been making direct agreements with rightholders and authors at the same time increasing the price of the music compositions and transferring the royalties directly to the artists and record companies. The aim of is to agree with all rightholders on the prices and royalties amounts by September 1, 2006.

6. We believe in the long term and civilized business based on respecting the law, considering the customers' demands as well as the interests of both national and international rightholders.

The Administration
June 6, 2006 Moscow

The IFPI's 'Setting The Record Straight' press release can be read here.


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17 user comments

16.6.2006 14:27

At least people are willing to pay for music and not just illegally downloading it from P2P groups. Why the US has to play Mr. Policeman to EVERY affair is beyond me. First wars, now so-called piracy. What's next? Better yet, don't answer that...

26.6.2006 18:27

You know what, Im really really pissed at the U.S right now, I can see why terrorists do what they do.

36.6.2006 18:37

Brilliant observation kingo, the terrorists really hate the U.S. for DRM.... Targetting allofmp3 is such weak-sauce anyways, p2p usage is so much more massive, it's hardly even worth going after a site like that, especially when Russian legislation itself is getting tighter...Still laughing about that terrorist comment kingo, oh-kay chief...

46.6.2006 18:43

Like I siad its leagle in russia,the miafaa dosnet like it so it will try and close it down befor they finish the royalties agerment and becoem the new cheaper and non DRM Itunes.......its all about greed and the RIAA.... gtnheimer He has a point,the supidty of the corpate rule can be enough for us to start another revalution........ if we americans were not so damn lazy ><

This message has been edited since its posting. Latest edit was made on 06 Jun 2006 @ 18:50

56.6.2006 20:10

@gtnheimer He wasn't referring only to DRM, you know. Mmm, in a country far far away, the Piracy Wars have begun, and victims have become a many. You can now sanction a country for copyright infringement? LOL! Priceless... This is the price we pay for capitalism, enjoy everyone, there are enough lawsuits to go around!

66.6.2006 20:23

hot_ice not for the lack of trying was it vinsswela (SP?) (I know its a south american contry) that desided in order to take care of its owen populace it ignored genric and other drug laws and started manufatoring drugs for tis citizins in order to take care of its populace? God corprate rule is so fcked up ><

77.6.2006 8:16

Jesus Christ guys, I was reffering to the the fact that the U.S.A seems to think everything is our problem.

87.6.2006 12:49

The reason I think this whole ordeal is messed up is because their servers have been so busy lately my download times have suffered.

98.6.2006 9:49

"They threaten Russia with sanctions, including blocking its entry to WTO." this surly should be what we worry about, the fact that millions of peoples lives would be put at risk an countless people would die because a government will not conform to Americas views or is it the fact that America may miss out on the $$ they need because they are up a dirty little creek without the proverbial paddle! Its always the same with America if people fail to conform they invade or declare sanctions killing thousands of innocent people. Why is George bush calling the president of Venezuela a tyrant a threatening to invade? [url][/url] because they wont share with the good old us.

108.6.2006 9:50
1110.6.2006 2:36

The only problem with allofmp3 is that the server speeds are only about 60KB/s. For a large high quality album that could take a little while. Their service is first-class, it's legal and I'm proud to be a member.

1210.6.2006 8:19

Much like Mexico president of Venezuela is focus its money and care on its elites and letting poor suffer more.but then the US is doing less year after year for its poor *L*

1310.6.2006 8:52

Seems like the US is trying to get in on everything!! You would think they would learn how poor they are at it after Korea,Veitnam and Iraq!! I live in the UK and we also have a guy in charge who has little regard for the country or the people, his only interst is in ensuring he has a footnote in history. (So I guess it is only a matter of time before he follows the US lead on this one as well.)

1410.6.2006 13:45

I don't mind Tony Blair, and no politics please. That's not what we're about.

1510.6.2006 21:44

Seems to me like the IFPI just got a huge kick in the nuts with this response.

166.8.2007 16:43

spam removed

This message has been edited since its posting. Latest edit was made on 07 Aug 2007 @ 1:35

176.8.2007 19:03

no offense velichk, but this topic is kinda old.

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