Deutsche Telekom's Musicload, one of the largest online music stores in Europe, has publically released a letter last week which stated that 3 out of 4 customer service calls are ultimately the result of the frustrations that come with DRM. Major music labels are expected to be paid well for their source material, meaning the losses due to support for DRM are entirely on the music retailers. According to Musicload, DRM "makes the use of music quite difficult and hinders the development of a mass-market for legal downloads." Musicload has tried to differentiate itself from the competition by allowing independent music labels to sell their music on the service sans DRM, and the move has reportedly been a success. Musicload said that artists choosing to drop DRM saw a 40% increase in sales since December, and that more artists and labels are showing interest. The company hopes that DRM-free MP3s make a comeback, though there have been few signs that the major labels are interested.
News source: Ars Technica