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                           THE STANDARD'S
                         M E D I A  G R O K
           A Commentary on What the Press Is Reporting and Why
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                                       | http://www.thestandard.com |    
       
Wednesday, April  4, 2001


TOP GROKS
~~~~~~~~~
Welcome to the Hotel Senate Judiciary 

Nothing got done, but everyone had something to say at Tuesday's
Senate Judiciary Committee hearing on the now-lukewarm topic of
digital music. The 70 or so Napster fans allowed into the hearing 
also got to do a little stargazing as the unlikely duo of Don Henley 
and Alanis Morissette talked about online tunes. "For the majority 
of artists, this so-called 'piracy' may have actually been working 
in their favor," said Canadian Morissette. Isn't it ironic?

The more salient point made by the celebrities was that musicians
haven't been properly represented - not just by Napster & Co., but 
by the labels. "My colleagues and I are concerned that artists do 
not have rights to direct remuneration for interactive services," 
said Henley, scolding the labels. Morissette declared, a bit more
ominously, "History has not been kind to artists who have candidly
expressed points of view that differ with those of the record
company." Is the RIAA squirming yet? Napster CEO Hank Barry may 
have made up for the musicians' barbs with the admission, "Things 
are still available through the service that shouldn't be."

The Wall Street Journal played up Barry's not-so-shocking confession
of Napster contraband while some other outlets pounced on his request
for congressional intervention. (Yes, Napster now wants the law on its
side.) Barry requested - and a few senators seemed to support - the
creation of a compulsory license for compensating copyright-holders,
like the licenses now used for radio stations and cable TV. Such a
license would free Napster from the burden of making deals with
individual labels and songwriters, but committee chair and Napster 
fan Orrin Hatch seemed unenthusiastic. Then Hatch made some analogy 
to the Orphan Drug Act of 1983, said Inside, and "none of the nine 
panelists or any of the other Senators on the committee evinced any
understanding of what Senator Hatch was talking about."

Hatch was more lucid on the subject of MusicNet, the upcoming major
-label online music service. According to the Wall Street Journal, 
Hatch noted that the formation of the service was announced a day 
before the hearing, and asked, "Do I have to hold a hearing every
week?" The New York Times quoted another pointed exchange. Richard
Parsons of AOL Time Warner said "progress is being made," and Hatch
replied, "Yes, but it seems to be slow in the making." Then Parsons
uttered what the Times called "perhaps the most honest testimony of
the day:" "Frankly, we're all in business to make money. ... We are
working through the complexities."

Less complex but probably no more effective than the labels' wrangling
is the RIAA's latest anti-Napster campaign. "As part of a don't-do-that-
pleasurable-thing effort reminiscent of Nancy Reagan's 'Just Say No' 
antidrug campaign," reported TheStreet.com, "the Recording Industry 
Association of America has launched an anti-Napster Web site called 
'Nofreelunchster.com.'" And we all know how well "Just Say No" worked. 
- Jen Muehlbauer

Turning the Tables 
http://www.thestandard.com/article/display/0,1151,23309,00.html?nl=mg 

Microsoft Jumps Into Digital-Music Fray 
http://www.thestandard.com/article/display/0,1151,23332,00.html?nl=mg 

Congress Wrestles With Web Music 
http://www.msnbc.com/news/553987.asp 

Napster Looks for Relief From the U.S. Senate but Is Largely Rebuffed
http://www.inside.com/jcs/Story?article_id=27782&pod_id=9 

Senators Criticize Record Industry, Napster For Delaying Easy Delivery
of Online Music
http://interactive.wsj.com/articles/SB986332992118576501.htm 
(Paid subscription required.) 

Senators Hear Debate About Online Music 
http://www.nytimes.com/2001/04/04/technology/04MUSI.html 
(Registration required.) 

Desperado Storms Capitol Hill 
http://news.cnet.com/news/0-1005-200-5463148.html 

Napster CEO: Let It Be - Update 
http://www.washtech.com/news/media/8802-1.html 

Music Industry to Napster Lovers: Just Say No 
http://www.thestreet.com/tech/internet/1375165.html 


Copyright 2001 Standard Media International

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