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Music piracy rose 13% in the US last year, and stream-ripping is to blame.

Despite reports claiming otherwise, a new study from a marketing research company reveals that the war on piracy far from over.

The music industry breathed a sigh of release last September after global piracy platform MUSO released a report claiming that piracy was on the decline. The streaming age, it seemed, had finally converted thieves into consumers.

This week, however, a new study published by marketing research company MusicWatch claims otherwise.

In a blog post focused mainly on stream-ripping services, MusicWatch claimed to have tracked 17 million users downloading their music on websites from video platforms, including YouTube.  That’s up from 15 million from the same period two years ago.

The top 30% of stream-rippers also downloaded an average of 112 music files, the equivalent of 10 full music albums, over the course of the year.

The company wrote:

That may not seem a lot in a world where streaming services hold millions of songs, but ask any rights holder how they feel about someone copying their works.  For a more vivid picture, imagine someone shoplifting 11 albums from Walmart or Best Buy!

MusicWatch Blog, 2019

The question of why the spike occurred remains unanswered, but MusicWatch points the blame at search platforms such as Google for not taking the matter seriously. The company believes it is easy for anyone to find a stream-ripping service in a matter of clicks, and that files ripped from sites such as YouTube are seen as a replacement to mainstream music streaming services such as Spotify.

A quick search by the Haulix team proved their theory to be true:

Google and other search platforms are under fire for not doing more to prevent access to stream-ripping services like the ones seen here.

Additionally, the study from MusicWatch revealed that stream-rippers are also more likely to participate in other forms of unsanctioned music sharing.  These include downloading songs from unlicensed music apps and sharing songs on digital lockers or file-sharing sites.

They’re also more likely to go to the movies, play video games, and subscribe to video streaming platforms, like Hulu and Netflix.  That, says the marketing research company, amplifies the risk of piracy in each category. If they’ll steal music they don’t own, why wouldn’t they do the same for films, tv, or video games?

Of the people surveyed by MusicWatch, 68% of stream-rippers in the U.S. are aged between 13 and 34.  A slightly higher number of males pirate when compared to women, 56% to 44%.  The average household income of stream-rippers is between $75,000 and $199,000.  Only 34% are full or part-time students, which strongly suggests that professionals are also downloading music for free.

As for solutions to these problems, MusicWatch concludes their study by reiterating the need to fight back against stream-ripping platforms.

If [stream-rippers] pirate music, they’ll likely also take movies, TV shows, and other forms of intellectual property.  Discouraging stream-ripping isn’t just good for music; it’s good for the entire entertainment ecosystem.”

There have been several lawsuits filed against stream-ripping websites in recent years, while other stream-ripping platforms have received cease and desist letters. Until action is taken to block or otherwise remove stream-ripping sites as a whole, the entertainment industry will have to wage war against the services on a site-by-site basis.

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Hooray! Stream-Ripping is (finally) on the decline

The popularity of stream-ripping dropped 13% in 2018, according to a new report.

Piracy, not unlike entertainment, has seen the rise and fall of various trends as consumer behavior evolves. Early pirates relied on torrents and peer-to-peer services such as Napster, Kazaa, and BitTorrent to access materials they would otherwise have to pay to consume. Today’s pirates, however, often rely on services that rip existing content from streaming sites such as YouTube. Both methods work, and both methods are illegal.

Everyone knows piracy persists, but new information from the UK-based company MUSO shows signs of decline, at least where music is concerned.

While most people now subscribe to Spotify and Apple Music, Christopher Elkins, the company’s Chief Strategy Officer, explained that piracy “remains a significant challenge.”

The new data made available comes from 2018 piracy habits, and it includes a marked decrease in YouTube ‘stream-ripping,’ which was declared a piracy menace by groups like the RIAA in recent years.

MUSO counted over 189 million visits to piracy sites in 2018, which is over 100 million less than the number reported for activity 2017. TV remained the most popular content for piracy. Nearly half (49.4%) of all activity focused on pirating television programs. Film, music, and publishing had a respective share of 17.1%, 16%, and 11.2%. Software piracy came in the last place with around 6.2%.

That said, music saw the biggest decline in piracy, with a 34% drop overall compared the previous year.

The United States topped the list of countries with the most visits to piracy sites with 17 billion. Russia came in second with 14.5 billion, followed by Brazil, India, and France with 10.3 billion, 9.6 billion, and 7.4 billion visits, respectively. Turkey (7.3 billion), Ukraine (6.1 billion), Indonesia (6 billion), the United Kingdom (5.8 billion), and Germany (5.4 billion) rounded out the top ten.

Public torrent networks, such as ThePirateBay and 1337x, accounted for just 13% of all infringing activity.  Stream-ripping fell 13% between 2017 and 2018 – from 8.9 billion visits to 7.7 billion.  This was primarily due to YouTube-MP3.org’s closure in 2017, leading to a 16% drop in overall stream-ripper visits.

Speaking about the findings, Andy Chatterley, Muso’s Co-Founder and CEO, explained,

In 2018, we’ve seen a 10% increase in people bypassing search engines and going directly to the piracy destination of their choice.

“Simply focusing on take-downs is clearly a whack-a-mole approach and, while an essential part of any content protection strategy, it needs to be paired with more progressive thinking.

“With the right mindsight, piracy audiences can offer huge value to rights holders.

There is still a long ways to go before piracy is eradicated, but it appears that the proliferation of streaming services such as Apple Music and Spotify may finally be making a difference.

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Industry News News

A new report reveals why piracy continues in the streaming age

The New Zealand based study finds piracy “isn’t driven by law-breakers” anymore.

Piracy was supposed to end with the dawn of streaming. Entertainment analysts predicted that having the vast majority of movies, music, and television a few clicks away at any moment would remove any need for digital piracy. After all, who doesn’t have a Netflix and Spotify (or similar subscription services) account in 2019?

The solution to piracy was never as simple as people like to believe. Studies show that streaming has changed consumer behaviors, but as more services become available with exclusive content from major stars, a new issue is emerging. Paying for Netflix and Spotify here in the United States will set people back about $25 a month. For some, that figure is not a problem, but others cannot afford it. Add to this, the rising popularity of Hulu ($10 a month), Amazon Prime Video ($8.99), HBOGo ($10), and DC Universe ($7.99), as well as upcoming streaming services from companies like Disney (likely to cost $10 or more per month), and the price associated with seeing everything is getting pretty high.

That figure is so high, in fact, that many consumers cannot afford to keep up. According to a new study commissioned by New Zealand telecoms group Vocus Group NZ and conducted in December 2018, while the enhanced availability streaming provides is having a positive effect overall, it’s also leading some consumer to pirate.

“In short, the reason people are moving away from piracy is that it’s simply more hassle than it’s worth,” says Taryn Hamilton, Consumer General Manager at Vocus Group.

“The research confirms something many internet pundits have long instinctively believed to be true: piracy isn’t driven by law-breakers, it’s driven by people who can’t easily or affordably get the content they want.

Speaking strictly to film and television, the majority (75%) of those surveyed said that free-to-air TV services are their weapons of choice for viewing content, with 61% utilizing free on-demand channels offered by broadcasters. Around 58% of respondents said they visit the cinema, with paid streaming services such as Netflix utilized by 55%.

The results of the study are mostly positive. Piracy seems to be declining, but as competition for consumer dollars in streaming grows, illegal downloading may see a resurgence. That goes for film, television, and music alike. Access over exclusivity is best for everyone, but it often means less money for creators. Is there a solution that makes everyone happy AND lowers the likelihood of piracy? We don’t know.

“The big findings are that whilst about half of people have pirated some content in their lives, the vast majority no longer do so because of the amount of paid streaming sites that they have access to,” Hamilton added in a video interview with NZHerald.

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Stream ripping has lead to a surge in piracy, but Haulix has a solution

Bad news on the piracy front. According to a new report from MUSO, stream ripping from sites like YouTube and Soundcloud has lead to a surge in music piracy.

In the first nine months of this year – that’s January 1 to September 30 – there were 7.2bn visits to copyright-infringing stream-ripping sites around the globe. That is a 60% rise over the same period in 2015. 

The websites responsible for allowing such rampant piracy to be carried out are numerous, but none are more well known than YouTube-mp3.org. The owner of that site was actually sued by all three major labels last month. This has not caused the site’s competitors to run and hide however, which is disappointing.

There is good news. Well, good news for those of you who use Haulix to promote your new and unreleased music.

Haulix uses a custom system for injecting watermarks that extends to streams hosted on our service. If someone rips the audio from a Haulix stream, or from a YouTube video using a watermarked track taken from Haulix, our system can pull the watermarks from those rips and identify the person responsible for the leak. Pirates can try to transcode and re-upload files they originally received from Haulix, but the watermarks will still remain.

We wish we could say we had a solution to ending rip services like YouTube-mp3, but until that time our watermarks can help identify music pirates and ensure they are never allowed access to music again. 

Sign up today and experience the Haulix difference for yourself.

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