AllOfMP3

Last updated
AllOfMP3
Allofmp3logo.png
Launch date2000
Platform(s) Platform Independent
Availability Russia, legal status in other locations is questionable.
Website allofmp3.ru [usurped]

www.AllTunes.com

www.allofmp3.com

AllOfMP3, MP3Sparks and MemphisMembers are brands of online music store that were operated by Mediaservices, Inc., a company founded in 2000 in Moscow, Russia. The stores formerly sold music encoded in standard, non-protected audio formats at a significantly lower cost than other online music stores. In 2008, the original AllOfMp3 site was replaced by a blog.

Contents

The company has been plagued by legal issues for some time due to accusations, mainly from the record industry, that they are operating illegally and engaging in music piracy. [1]

Revenue

Run by the Moscow company MediaServices, AllOfMP3 had an estimated revenue of US$30 million in 2006. [2] According to the IFPI and various other label representatives the company has never transferred money to any (western) label. AllofMP3 claims to have offered settlements to IFPI, which AllOfMP3 claims IFPI refused to accept.

AllOfMP3's legality is controversial. It is licensed in Russia by the Russian Organization for Multimedia and Digital Systems, a licence similar to agreements held by Russian radio stations. AllOfMP3 states that this agreement allows it to distribute music legally from all artists and all labels. This is disputed by most major record labels, which generally do not recognize ROMS or believe that it has the authority to distribute their works. AllOfMP3.com makes no claims as to its legality outside of Russia. [3] However it is accessible to visitors in all countries.

In 2005, Moscow authorities began investigating the site as a result of a formal complaint from the International Federation of the Phonographic Industry (IFPI), who accused the site of "large-scale copyright infringement". [4]

On June 1, 2006, The New York Times reported that US trade negotiators have warned Russia that the continued existence of AllOfMP3 could jeopardize Russia's entry into the World Trade Organization. [1] This was reiterated by the United States Trade Representative Susan Schwab in remarks to the US Chamber of Commerce on September 28, 2006. [5] She later told reporters that "I have a hard time imagining Russia becoming a member of the WTO and having a Web site like that up and running that is so clearly a violation of everyone's intellectual property rights." [6]

Pressure from the IFPI resulted in AllOfMP3 being blocked by the Danish ISP, Tele2 in October 2006. [7]

On December 18, 2006, [8] the RIAA, on behalf of EMI, Sony BMG, Universal Music Group, and Warner Music Group filed a US$1.65 trillion lawsuit against the site. That equates to US$150,000 for each of 11 million songs downloaded between June and October 2006, and exceeds Russia's entire GDP. [9] [10] $150,000 is the statutory limit for copyright infringement awards in the United States. [11] Allofmp3 responded to the lawsuit saying "AllofMP3 understands that several U.S. record label companies filed a lawsuit against Media Services in New York. This suit is unjustified as AllofMP3 does not operate in New York. Certainly the labels are free to file any suit they wish, despite knowing full well that AllofMP3 operates legally in Russia. In the meantime, AllofMP3 plans to continue to operate legally and comply with all Russian laws.". [12]

In May 2007, UK police arrested a 25-year-old man on fraud charges for selling allofmp3.com vouchers on sites such as eBay and allofmp3vouchers.co.uk. The man was reported to be funneling money from the sale of these vouchers back to the owners of the site in Russia. [13] A statement in relation to this alleged transfer of funds to Russia was made by the British Phonographic Industry chairman. [14]

In 2007 Allofmp3 was banned from service by its payment processor ChronoPay.

In an interview with p2pnet, a MediaServices representative said "It is disappointing that United States Trade Representative Susan Schwab completely and deliberately mischaracterized AllofMP3.com. Furthermore, it is irresponsible to use AllofMP3.com as a negotiating instrument in an attempt to extract concessions from Russia in return for US support for accession to the World Trade Organization". [15]

In July 2007, a Moscow court ruled that Visa's decision to cut off payments to allTunes was illegal. [16]

In August 2007, Denis Kvasov, head of the company which owned AllofMP3.com, was acquitted of all charges stemming from copyright infringement prosecution. The prosecution was seen as a test case of Russia's commitment to fighting piracy, and was brought after EMI, NBC Universal and Time Warner lobbied for such prosecution. [17]

In January 2008 The Register reported that MP3Sparks.com and its associated web sites were being hosted (since December 2007) by AbdAllah Internet, a Turkish web hosting service which allegedly provides safe harbour for spam and malware operations as well as having strong links to the Russian Business Network. For this reason access to the AbdAllah network is blocked by some ISPs, including all UK members of LINX, therefore blocking access to MP3Sparks as well. [18]

On May 20, 2008, the RIAA dropped all copyright infringement charges against AllOfMP3.com. [19]

Closure of AllOfMP3

In June 2007, AllOfMP3 announced on their site that they were "closed for maintenance", while Times Online reported that an unnamed person claiming to be an ex-employee told them it was closed down following pressure from the Russian government. MP3Sparks, however, remained available, [20] as did the AllTunes download service.

Following the acquittal of Denis Kvasov by a Moscow court in August 2007, a brief message was posted at the site's blog, stating "The service will be resumed in the foreseeable future". [21]

About the services

The sites offer Russian and English user interfaces. All functions, except for the buying of songs and full length song previews, are available to unregistered users (and full length preview of songs is restricted to individuals who have spent a total of $50 or more on the website). Registration is free. The store maintains an account balance for each user; while a user's account has a positive balance, they can continue downloading music. To do so, the user selects the files for download from the store's catalog.

Pricing model

Unlike some US-based music stores such as Apple's iTunes Store, MediaServices' sites charge for the volume of data downloaded, not for individual songs.

This price is often reduced by a complicated system of discounts based on cumulative usage, promotions, and type of payment.

Payment methods

The sites operate using a pre-paid balance method. Users fund their account using a credit or debit card, in increments of US$10 or more.

However, action taken in late 2006 by Visa and MasterCard [22] [23] made it impossible for users to fund their accounts at the main AllOfMP3 site.

Users outside UK and US can also pay using a variety of credit cards at ChronoPay processor. ChronoPay had announced on March 20, 2007, that they would no longer be processing payments from online Russian music stores that only hold a ROMS license (e.g. AllOfMP3), but this does not apply to MP3Sparks which has an NP FAIR license. [24]

Between April and June 2007, it had become difficult for users to fund their AllOfMP3 accounts themselves, and a number of users and sites began selling AllOfMP3 gift vouchers on the Internet. However, in May 2007 a man who had been selling vouchers was arrested in London, [25] and this led many other voucher sellers to shut down their operations.

Download formats

AllOfMP3 (and now MP3Sparks) allows users to choose from a variety of audio codecs for audio files. Lossy formats are offered in constant bitrates up to 320 kbit/s or variable bitrates up to maximum quality in the following formats:

Select albums are also being made available in Lossless audio codecs in the following formats:

Most music is encoded straight from source, which is dubbed Online Encoding Exclusive, so gapless albums could provide gapless playback, unlike most other music services. There is no extra charge for using the Online Encoding Exclusive service. The user sets the codec parameters, including the desired bitrate, allowing for superior quality over other music download services such as iTunes and Napster.

Downloaded files do not contain digital rights management information, allowing unrestricted use between multiple computers and digital audio players. This differentiates AllOfMP3 from many other music download services, which limit the use of the music the user may purchase and the platforms on which it may be played.

The websites also offer free, full album previews, streamed at a bitrate of 24 kilobits per second (roughly equivalent to analog telephone audio quality). Registered users who have spent less than $50 have access to 90 second samples, and unregistered users have access to 30 second samples.

Music for Masses

In late 2006, AllOfMP3 experimented with a feature called "Music for Masses" which allowed users to download DRM-protected music for free. [26] The files were encoded in a proprietary MP3 format (.mp3x) that could only be played in the Music for Masses player, and could not be transferred to a portable media device. However, the DRM protection was cracked within a week. [27] Although AllOfMP3 released a compulsory update to the player software which rendered the original crack unusable, they eventually removed the service in December 2006.

Related Research Articles

<span class="mw-page-title-main">LAME</span> MPEG-1 Audio Layer 3 (MP3) audio encoder

LAME is a software encoder that converts digital audio into the MP3 audio coding format. LAME is a free software project that was first released in 1998 and has incorporated many improvements since then, including an improved psychoacoustic model. The LAME encoder outperforms early encoders like L3enc and possibly the "gold standard encoder" MP3enc, both marketed by Fraunhofer.

<span class="mw-page-title-main">MP3</span> Digital audio format

MP3 is a coding format for digital audio developed largely by the Fraunhofer Society in Germany under the lead of Karlheinz Brandenburg, with support from other digital scientists in other countries. Originally defined as the third audio format of the MPEG-1 standard, it was retained and further extended—defining additional bit rates and support for more audio channels—as the third audio format of the subsequent MPEG-2 standard. A third version, known as MPEG-2.5—extended to better support lower bit rates—is commonly implemented but is not a recognized standard.

<span class="mw-page-title-main">Napster</span> Online peer-to-peer file sharing software

Napster was an American peer-to-peer (P2P) file sharing application primarily associated with digital audio file distribution. Founded by Shawn Fanning and Sean Parker, the platform originally launched on June 1, 1999. Audio shared on the service was typically encoded in the MP3 format. As the software became popular, the company encountered legal difficulties over copyright infringement. Napster ceased operations in 2001 after losing multiple lawsuits and filed for bankruptcy in June 2002.

<span class="mw-page-title-main">Michael Robertson (businessman)</span> American businessman

Michael Robertson is the founder and former CEO of MP3.com, an Internet music site. In the years following his departure from MP3.com Robertson has launched several companies, including Linspire, SIPphone, MP3tunes, and Ajax13. He is also founder of OnRad.io, a search engine for radio and DAR.fm, a website for recording audio from internet radio.

<span class="mw-page-title-main">Digital music store</span> Online retailer of audio files

A digital music store is a business that sells digital audio files of music recordings over the Internet. Customers gain ownership of a license to use the files, in contrast to a music streaming service, where they listen to recordings without gaining ownership. Customers pay either for each recording or on a subscription basis. Online music stores generally also offer partial streaming previews of songs, with some songs even available for full length listening. They typically show a picture of the album art or of the performer or band for each song. Some online music stores also sell recorded speech files, such as podcasts, and video files of movies.

Ripping is the extraction of digital content from a container, such as a CD, onto a new digital location. Originally, the term meant to rip music from Commodore 64 games. Later, the term was applied to ripping WAV or MP3 files from digital audio CDs, and after that to the extraction of contents from any storage media, including DVD and Blu-ray discs, as well as the extraction of video game sprites.

<span class="mw-page-title-main">Rio PMP300</span> Portable consumer MP3 digital audio player

The Rio PMP300 is one of the first portable consumer MP3 digital audio players, and the first commercially successful one. Produced by Diamond Multimedia, it was introduced September 15, 1998 as the first in the "Rio" series of digital audio players, and it shipped later that year.

<i>A&M Records, Inc. v. Napster, Inc.</i> US legal case

A&M Records, Inc. v. Napster, Inc., 239 F.3d 1004 was a landmark intellectual property case in which the United States Court of Appeals for the Ninth Circuit affirmed a district court ruling that the defendant, peer-to-peer file sharing service Napster, could be held liable for contributory infringement and vicarious infringement of copyright. This was the first major case to address the application of copyright laws to peer-to-peer file sharing.

This is a timeline of events in the history of networked file sharing.

Russian Organization for Multimedia and Digital Systems, also known as Russian Multimedia and Internet Society is a Russian collective rights management organization. ROMS is a body designated by Russian law for collecting and distributing statutory copyright royalty payments from radio stations and Internet download sites in Russia. It is disputed whether they are authorized by law to allow music for download. This in 2015 was pending in the Russian legal system.

<span class="mw-page-title-main">Amie Street</span> Online music store from 2006-2010

Amie Street was an indie online music store and social network service created in 2006 by Brown University seniors Elliott Breece, Elias Roman, and Joshua Boltuch, in Providence, Rhode Island. The site was notable for its demand-based pricing. The company was later moved to Long Island City in Queens, New York. In late 2010, the site was sold to Amazon who redirected customers to their own website.

GoMusicNow was a Russian music download site. The site offered a variety of music, special collections, as well as audiobooks in English. Songs were priced per song, with prices from 9 to 19 cents; audiobooks range from around $1.60 through $5.00 USD. The site's design and display were highly similar to MP3Search.ru along with current database collection numbers; in fact, users with a GoMusic account who tried to sign into the Mp3Search.ru login page were told that their account was a part of the GoMusic network.

The online service imeem was a social media website where users interacted with each other by streaming, uploading and sharing music and music videos. It operated from 2003 until 2009 when it was shut down after being acquired by MySpace.

Arts and media industry trade groups, such as the International Federation of the Phonographic Industry (IFPI) and Motion Picture Association of America (MPAA), strongly oppose and attempt to prevent copyright infringement through file sharing. The organizations particularly target the distribution of files via the Internet using peer-to-peer software. Efforts by trade groups to curb such infringement have been unsuccessful with chronic, widespread and rampant infringement continuing largely unabated.

<span class="mw-page-title-main">Oink's Pink Palace</span> Defunct BitTorrent tracker and music sharing community website

Oink's Pink Palace was a prominent BitTorrent tracker which operated from 2004 to 2007. Following a two-year investigation by the International Federation of the Phonographic Industry (IFPI) and the British Phonographic Industry (BPI), the site was shut down on 23 October 2007, by British and Dutch police agencies. These music industry organisations described OiNK as an "online pirate pre-release music club", whereas former users described it as one of the world's largest and most meticulously maintained online music repositories. About a month before the shut-down, music magazine Blender elected OiNK's creator, British software engineer Alan Ellis, to their The Powergeek 25 – the Most Influential People in Online Music list. Alan Ellis was tried for conspiracy to defraud at Teesside Crown Court, the first person in the UK to be prosecuted for illegal file-sharing, and found not guilty on 15 January 2010.

File sharing is the practice of distributing or providing access to digital media, such as computer programs, multimedia, program files, documents or electronic books/magazines. It involves various legal aspects as it is often used to exchange data that is copyrighted or licensed.

<span class="mw-page-title-main">Recording Industry Association of America</span> Trade organization in the U.S.

The Recording Industry Association of America (RIAA) is a trade organization that represents the music recording industry in the United States. Its members consist of record labels and distributors that the RIAA says "create, manufacture, and/or distribute approximately 85% of all legally sold recorded music in the United States". RIAA is headquartered in Washington, D.C.

In the first decade of the 21st century, the rise of digital media on the internet and computers as a central and primary means to record, distribute, store, and play music caused widespread economic changes in the music industry. The rise of digital media with high-speed internet access fundamentally changed the relationships between artists, record companies, promoters, retail music stores, the technology industry, and consumers. The rise of digital music consumption options contributed to several fundamental changes in consumption. One significant change in the music industry was the remarkable decline of conventional album sales on CD and vinyl. With the à la carte sales models increasing in popularity, consumers no longer downloaded entire albums but rather chose single songs.

<i>Arista Records LLC v. Lime Group LLC</i> 2010 United States district court case

Arista Records LLC v. Lime Group LLC, 715 F. Supp. 2d 481, is a United States district court case in which the Southern District of New York held that Lime Group LLC, the defendant, induced copyright infringement with its peer-to-peer file sharing software, LimeWire. The court issued a permanent injunction to shut it down. The lawsuit is a part of a larger campaign against piracy by the Recording Industry Association of America (RIAA).

Pavel Olegovich Vrublevsky is a Russian, owner and general manager of the processing company ChronoPay. He is also the founder of investment company RNP and a Russian Forbes contributor on matters relating to blockchain, cryptocurrencies, and cybersecurity. He was also implicated in a range of criminal cases related to hacking.

References

  1. "Music Labels: Nyet to Russian Pirates Archived 2007-01-10 at the Wayback Machine " New York Post, December 21, 2006
  2. "Barely Legal", Slate Magazine, March 28, 2005
  3. "Russian police probe cheap downloads site" The Register, February 22, 2005
  4. "Remarks by U.S. Trade Representative Susan C. Schwab, U.S. Chamber of Commerce Archived 2006-11-06 at the Wayback Machine ", September 28, 2006
  5. "U.S. pushes Russia in WTO talks to close MP3 site Archived 2006-12-01 at the Wayback Machine ", ZDNet, October 5, 2006
  6. "Swedish Tele2 Will Block AllofMP3.com Archived 2007-09-27 at the Wayback Machine " Russian Spy, October 27, 2006
  7. "Record labels sue operator of Russian music Web site AllofMP3.com [ permanent dead link ]" Boston Herald December 22, 2006
  8. "Sued for $1.65 Trillion Archived 2007-03-22 at the Wayback Machine " cybernetnews.com December 22, 2006
  9. "Music Labels: Nyet to Russian Pirates Archived 2007-01-10 at the Wayback Machine ", New York Post, December 21, 2006
  10. 17 U.S.C.   § 504(c) US CODE: Title 17,504. Remedies for infringement: Damages and profits (Cornell University Law School)
  11. "AllofMP3.com Responds to the $1.64 Trillion Lawsuit" Slyck.com, December 27, 2006
  12. "MP3 site's voucher system closes" BBC News, May 21, 2007
  13. "Police dawn raid stops allofmp3.com pirate vouchers scheme", BPI press release, May 21, 2007
  14. "p2pnet talks to AllofMP3.com Archived 2012-09-06 at archive.today " p2pnet, 28 May 2007
  15. "Russian pirates get Visa in court Archived 2007-08-23 at the Wayback Machine " CNews July 13, 2007
  16. "Russian court acquits music site owner" Yahoo News August 16, 2007
  17. "MP3sparks.com downed by links to Russian cybercrime gang" The Register, January 11, 2008
  18. "" Bloomberg
  19. "Russia shuts down Allofmp3.com" Times Online, July 2, 2007
  20. "Russian music site to 'relaunch'" BBC News Online, August 28, 2007
  21. "Visa halts its service for allofmp3.com" CNET, October 18, 2006
  22. "Blacklisted AllofMP3 slams 'capricious' Visa and Mastercard" The Register, October 19, 2006
  23. "JSC ChronoPay accepts Russian music stores with NP FAIR license only" (ChronoPay press release)
  24. "AllofMP3 voucher operation shut down in Europe" Ars Technica, May 21, 2007
  25. "Moscow Music Site Defends Free Downloads" The New York Times October 18, 2006
  26. "MusicForMe cracks AllOfMP3's DRM, hilarity ensues" Engadget, October 25, 2006