Watch out MP3!
Get ready for the fight!

    To many pop music lovers, the recent rising of MPEG PLAYER 3 must be the greatest invention of the century.

    MP3 is a new format of music file. It can compress a file of 60MB to less than 5MB while the quality of MP3 songs is compatible to that of compact discs.

    As PC users can also produce MP3 songs as long as they have the necessary software, many MP3 websites have emerged on the net.

    Nearly all kinds of songs including Canto-pop, English songs and Japanese songs are available from those sites.

    The production of MP3 is not difficult.

    Said Mr. Clarence Leung, the webmaster of the Skyline Music Plaza, one of the Hong Kong MP3 websites: "First, I convert CD songs to a computer file by using a CD Creator.

    "Second, I compress the file to MP3 by a MP3 Compressor.

    "The last step is to upload it to the site for others to download."

    The MP3-production software is easily accessible as it can be downloaded from the net.

    Also, it does not take long to create a MP3 song.

    Said Mr. Leung: "For a song of three to four minutes, it takes about one minute for the first process and six to eight minutes for the second one.

    "The uploading time depends on the speed of the modem. Usually 12 to 15 minutes would be enough for one song."

    People can also record MP3 songs to a MP3 Player and carry it with them everywhere.

    The player carries 32M memory inside, which can store about twelve songs.

    According to Mr. Chit Yiu Pui, computer technician of the Golden Gate Computer Company, users can add a RAM card (either 16M or 32M) to the player to increase its memory.

    MP3 facilitates people sharing their own music productions with others.

    Said Mr. Tim Shum, the international assistant general manager of Rock Records: "It's easier for people to publicise their works and this encourages people to create more.

    "But I don't think this kind of activity will intensify competition in the industry.

    "The general public are still interested in productions with good technical support."

    According to him, with the emergence of MP3, the Internet will have a great influence on the existing selling mode of CDs and even the whole music industry.

    "Many foreign record companies were aware of the impact of the Internet two years ago.

    "I predict that in 2000, two to three mainstream foreign record companies will set up a new system to cater to Internet users.

    "Maybe at that time, there won't be any sales and marketing departments in record companies and artists need not rely on them as they can put their own songs on the net."

    The Recording Industry Association of America, or RIAA, and the International Federation of The Phonographic Industry Limited, or IFPI, are waging an extensive war on the webmasters who offer MP3 songs without the consent of the copyright holders.

    Mr. Ricky Fung, the Chief Executive Officer of the IFPI Hong Kong Group Limited, said, "We have asked the site operators to eliminate the sites containing infringing files.

    "Most of them are amateur computer users. Nearly all of them closed their sites after having received our requests," he said.

    The Skyline Music Plaza, which is still operating, might face the challenge soon.

    Said Mr. Leung: "If I am asked to close my site, I'll follow suit.

    "I started the website just for interest, and I don't want to cause any trouble.

    "But many net users will be very disappointed."

    However, Mr. Leung thought that this action won't lead to a complete closure of MP3 websites.

    "Though some of the MP3 sites are closed, more new ones will be established."

    On December 15 1998, the recording industry hosted a press conference in New York to announce the birth of the Secure Digital Music Initiative, or SDMI, a standard for delivering music over the Internet.

    SDMI would let copyright owners control the distribution of their music while making it easily available for sale.

    Dr. Krates Ng, professor of the Department of Digital Graphic Communication at the Hong Kong Baptist University, doubted if the standard can supersede MP3.

    "Security features in the SDMI may trouble the consumers.

    "They won't accept the technology if it's highly restrictive," he said.

    "Moreover, as MP3 is widely accepted by both the consumers and distributors, I don't think SDMI can take over it now."

    IFPI's Mr. Fung disagrees, "As we're working with the computer industry, we can solve the technical problems."

    Dr. Ng thinks that fighting Internet piracy is an impossible mission.

    "The Internet is highly accessible, there's no border in between. No law can restrict it," he said.

    According to Miss Ada Leung, the acting assistant director of the Intellectual Property Department, although the law was amended lately to cover intellectual property on the Internet, prosecution incurs high cost.     "It consumes much time and money to prove the ownership of the intellectual property."

    With reference to Article 26 of the Copyright Ordinance in Hong Kong, only copyright holders have the right to provide copies of their works to the public.

    For solicitor Miss Yolanda Fan, instead of passively fighting against Internet piracy, the recording industry should take the initiative in distributing songs on the net.

    "If the record companies authorize the net operators to distribute songs on the net, IFPI can receive loyalty, and they value intellectual property," she said.

    According to Mr. Fung, what Miss Fan suggests will be put into practice. The recording, computer and communication industries are about to set out their rules of the game.

    The popularity of MP3 make some people worry that CD sales will decline.

    Mr. Shum said the influence of MP3 on CD sales does exist but its extent is uncertain.

    Faced with such a challenge, he said what a record company can do is to put more effort on packaging because there is not much difference between the sound quality of CD and that of net music.

    However, the record companies are being criticised for focusing too much on packaging while neglecting the audio quality.

    It is believed that the record companies should spend more on improving the sound quality as a way to combat MP3.

    Argued Mr. Shum: "I wonder if the sound quality really means so much to the general public.

    "If you're not big fans of audio luxuries, the present sound quality of CD is already enough.

    "Instead, most consumers will pay more attention to the packaging when buying CDs."

    The fuss generated by MP3 not only sparks controversy on the Internet, but also in the realm of electronic gadgets.

    In October 1998, the RIAA, together with the Alliance of Artists and Recording Companies, or AARC, filed a complaint about Diamond Multimedia for its MP3 portable recording device.

    The device, named the Rio, was alleged to violate the Audio Home Recording Act, or AHRA.

    At last, the request for a preliminary injunction against Diamond was denied.

    The judge concluded that the absence of serial copyright technology--a feature designed to prevent unauthorized duplications--was merely a technical violation and the Rio would likely be certified by the Secretary of Commerce as complying with the AHRA.

    Mr. Fung said that the device facilitates piracy.

    "MP3 Walkman enables the duplication and storage of infringing MP3 files."

    Miss Fan pointed out the reasons for the survival of MP3 Walkman.

    "As the Walkman doesn't help produce illegal songs nor change the permanent form of recording, it's not banned by law."

    The ultimate solution to Internet piracy, as suggested by both Mr. Fung and Dr. Ng, lies on education.

    "In foreign countries, citizens value creative works and respect copyright. They feel guilty when using pirated products.

    "Unfortunately, this's not the case in Hong Kong," Mr. Fung said.

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