The boss of Apple’s iTunes nearest rival eMusic has warned that recent deals struck between the music industry and UK internet providers could threaten the existence of legal sites. eMusic CEO David Pakman told the Financial Times that ISPs could lure customers away from well-known digital music sites by offering their own legal download services."Our concern is that in order to obtain the co-operation of the ISPs, there seems to be a quid pro quo," said Pakman. "This is qualitatively different from licensing another half a dozen digital music businesses." He claimed that the agreement inked in July between six UK ISPs, the BPI, and the Motion Pictures Ass. of America, to crack down on illegal downloading would “penalise the good guys, not the bad guys”.
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eMusic is just causing a fuss because someone else will be entering the market. IF isp's decide to restrict access to other legal music sites then they could be taken to court because of anti compitition laws. So really yes ISP's launching their own service is going to cut into other sites shares of the music downloads business, but if they keep prices competitive and their customers loyal where is the problem?
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