Ding Dong DRM Is Dead – Sony/BMG Joins Amazon MP3

Just one year ago, we in the industry thought it unfathomable for even one of major labels to abandon DRM for digital downloads of music. Yet here we are, living in a world where all four major labels are now selling their wares sans DRM.A press release went out today confirming that Sony/BMG would be making their catalog available for sale on Amazon MP3 by the end of the month.Am I surprised at the celerity of the major labels in making the move to DRMless MP3? A little. I’ve always maintained it was a merely matter of time before the labels ditched DRM. If it was not to accede to consumer demand, it would be to fight the Frankenstein they created in the iTunes music store.

Do I think Amazon MP3 has what it takes to take on iTunes? Sure. Amazon MP3 sells the better product to more possible customers at a better price ($0.89-$0.99 compared to the $1.29 of iTunes Plus). As long as consumers are educated properly and the service is marketed competently, there’s a very good chance this may be the one challenger to the iTunes throne to succeed.

But does this really matter at the end of the day?

No.

The future of music distribution is not in a la carte track sales. It’s in the pay-what-you-want model that Radiohead and Trent Reznor have pioneered. It’s in the value proposition that eMusic offers when you are getting $25 tracks for $9.99 a month. Neither of these are the ultimate solution, but they are steps forward. You have to look at how MOST people are consuming music nowadays. They do it via bulk through bittorrent or eDonkey or what have you. Selling DRM-free MP3’s for $0.89 each would have been a good start… seven years ago. In order to be the true winner of this sad drama, you have to be looking ahead of current consumption patterns. You need to take chances instead of playing catchup.

We’ve got a long way to go before this is finished.

Read the press release [businesswire.com]