Telstra has revealed the addition of almost one million new mobile services in the six months to December 2011, but Sensis revenues plummeted 24 percent in 12 months.
EMI's DRM-free files are also encoded at a higher bit rate (256kbps vs 128kbps) for higher quality. Transcoding to MP3 - a process supported by iTunes and other player software - inevitably causes some loss of quality, but the better the audio quality of the original track, the less noticeable the degradation will be.
The good news is that Apple's simply the first retailer to be given access to EMI's DRM-free catalogue. It will soon be available from other download services, including those offering WMA and MP3 files. Once you get rid of DRM, the only reasons for selecting one codec over another are widespread player support and device compatibility.
From a financial perspective, the test will be whether the increased revenue - from broader device compatibility and the $US0.30/£0.20 premium added to DRM-free tracks - is offset by any 'shrinkage' caused by piracy.
Frankly, the additional risk of piracy or casual sharing is surely pretty low. Anyone who wanted to do that only had to buy the CD instead of DRMed downloads.
Having some sympathy with the 'defective by design' view of DRM, I hope EMI's decision pays off - it's one less thing to worry about in the long term, and it also sets a precedent for consumers not having to pay full price to repurchase tracks they already own when technical changes are made.
Don't you wish that had been the rule when DVD replaced VHS? Or, if you're of a certain age, when CD replaced vinyl?
David Bass
| For the fourth year in a row, IDC has placed content security provider Websense (NASDAQ: WBSN) at the top of the IDC Worldwide Web Security 2011 –…
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