September 20, 2006

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Back in July, Sony BMG released the Jessica Simpson single "A Public Affair" in the unprotected MP3 format. The story clogged up Google News for days. Granted, the track retailed for $2 -- it was customized to include the name of the purchaser -- but it was seen by all as a victory against DRM. And let's face it: Nobody other than the RIAA's Cary Sherman and Mitch Bainwol like DRM (at least publicly).

Hollywood Records has made waves with its commerciall release an MP3 (many give away promotional MP3s). Yahoo! Music scored an impressive MP3 version of the entire Jesse McCartney album, Right Where You Want Me. The album is priced the same for both the MP3 and WMA versions.

In the ultimate if-you-can't-fight-them-join-them statement, Hollywood senior VP of marketing Ken Bunt said, "Piracy happens regardless of what we do. So we're going to see how Jesse's album goes (as an MP3) and then decide on others going forward."

The report card on Jessica Simpson's full-length: In three weeks, A Public Affair started out at 100,000 in its first week, dropped 41% in its second week, and dropped another 55% in its third week. Should Sony BMG executives worry about MP3s hurting sales of A Public Affair? No, no need for worry. Unprotected MP3s floating around the Internet aren't ruining sales of the album. The reason the album has dropped so far since its release is the single peaked at only #38 on the Hot 100 chart.

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Posted by Glenn at 2:16 PM | | | Digital Music | Universal Music Group