Analysis: Apple Finally Kills DRM Effective immediately, iTunes songs will no longer have restrictions. It's about time. by Tim Gideon January 6, 2009 PC Magazine http://www.pcmag.com/article2/0,2817,2337929,00.asp At Apple's final keynote address to the Macworld faithful today, the company made an announcement that should change the way music is purchased from now on - roll it back to the old, better way, I mean. Apple will no longer put DRM code on its iTunes music files. DRM, shorthand for Digital Rights Management, is the "protection" that is encoded into purchased digital audio files, such as songs from iTunes or the Zune Marketplace. The "rights' being managed and "protected" have never been those of the consumer, but those of the record labels seeking to ensure that customers aren't tempted to copy the files they've purchased and hand them off to friends for free. The "Big Four" - Universal Music Group, Sony BMG, Warner Music Group, and EMI - all agreed that, effective today, they no longer need to encumber their artists' iTunes offerings with DRM. This means that you can give a friend a song you bought on iTunes - and it will actually play on his or her iPod! Hooray! The stupid, insulting blight to the consumer's intelligence that is DRM has finally been done away with. Remember stereo cassette players that had dubbing decks on them, for the specific purpose of making "mixtapes" and copies for friends? It might be hard to remember, because these devices coincided with a time when records actually sold and big labels had real budgets. Then something happened: the digital music revolution. CDs gave way to files, and labels feared consumers would never buy music again, only steal it. Their solution: steal from the consumer. With DRM, making "mixtapes" or playlists for friends became a whole lot harder. Paying for music felt a little bit like a scam, since there were limitations on how you could use the music. Would it play on someone else's MP3 player? If you stopped subscribing to a service, would you lose the songs you paid for because they were "protected"? Unsurprisingly, the record industry slumped horribly, mainly because instead of adapting to a new business landscape, the companies merely reacted, and restricted consumers in ways that they had never been restricted before. Turns out, people don't like that. Apple's got a new pricing scheme, too: songs will either be 69 cents, 99 cents, or $1.29. You can expect premium tracks - let's say, a hot new single - to get the expensive pricing, new-but-less-premium tracks to get the standard 99-cent treatment, and older tracks will likely go for 69 cents. Clearly, charging more for expensive tracks was a record label stipulation in order to rid iTunes of DRM, but, honestly, $1.29 is still a good deal for a song you love (and can now pass along to anyone you want in an unlimited fashion). If you think I'm crazy for saying so, take that $1.29 into Starbucks or even McDonald's and tell me how far it gets you - and a song stays with you for a lot longer than a latte. It would be nice to think that the extra money for the $1.29 downloads will find its way into the bank accounts of songwriters and performers instead of going to the label's honchos, but for now, we'll settle for a victory for the music consumer. For 30 cents per song, iTunes users can upgrade their entire purchased music catalog to the new iTunes plus, DRM-free standard. Some folks won't want to pay for their music twice, and paying 30 cents per a song in one lump sum could quickly add up, but for a price, Apple has offered what was once unthinkable: a completely DRM-free, legally-purchased music library. Would you think twice about lending a favorite book to a close friend? Of course not, and sharing music shouldn't be any different - and with DRM-free files, you don't even have to worry about whether your friend will return it. The Zune Marketplace and other music retailers and subscription services probably saw today's announcement and thought: "Uh oh, the party's over." Soon, these retailers will be forced to follow suit. Independent music retailers like eMusic, which has always provided DRM-free content, will likely scramble to find a new way to differentiate themselves. This is a bit sad for the smaller companies trying to keep up, but it's for the greater good. Eliminating DRM is just another example of Apple doing what Apple does best: making life easier for the consumer. The question isn't: "Why did they take so long?" It's: "Why did DRM ever exist in the first place?" That iTunes gift card you got in your stocking just got a lot more valuable. Kudos to Apple - and yes, even the Big Four - for finally coming to their senses and actually trusting the consumer. Perhaps this is the beginning of a new era of prosperity for record labels, and even if not, it marks the return of a basic consumer right: to own what you paid for. Happy New Year!