February 25, 2005

I’m Shocked, Shocked That There’s Price Gouging Going On Here!! [5:03 pm]

Says something about the mindset of the purveyors of DRM, doesn’t it? Expensive Anti-Piracyware Threatens Open Standard [pdf]

Several consumer electronics makers balk at the $1 charge for anti-piracy technology proposed by the Open Mobile Alliance (OMA), they told Reuters. The OMA is a group of handset makers, wireless telecoms operators and other technology companies.

Mobile phone makers and consumer electronics makers said $1 per device is too high a price only to protect music and video against illegal copying. They will not be able to recoup that money through revenues expected from digital entertainment.

“This kind of price is certainly unreasonable. It’s not in proportion to the economic value,” said one senior executive at a top five mobile phone maker who declined to be named.

Then again, what would be its economic value?

One more statistic:

He points out that last year alone 684 million mobile phones were sold. If handset makers had put anti-piracy protection software in those phones, the $684 million in royalties would have exceeded total digital music sales on the Web last year.

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