Music Industry And How Serious The Music Piracy

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What happened in China music industry and how serious the music piracy in China music market? This paper will first present some news happened in recent years in China music factory about the music infringement lawsuits. Then it will show the whole trend and distribution of music sales in China. It will also use the microeconomic models to analyze the societal benefits under the situation of without and with piracy. Then the paper will give some discussion of existing literature about the music piracy.

Keywords: Music piracy, China, Copyright, Societal benefits

On September 26, 2005, Universal Music Ltd., Warner Music Ltd, Gold Entertainment Ltd, EMI GROUP Hong Kong company, Sony BMG, Cinepoly and East record accused Baidu MP3 of the music copyright infringement in the Beijing First Intermediate People’s Court. These seven companies required the Baidu stop the infringement actions, make a public apology in the Legal Daily newspapers and offer compensation for losses of 1.67 million RMB. Baidu lost the lawsuit(Zhongtang Zang, 2005).

On April 7, 2007, a Chinese court agreed to consider copyright-infringement cases against two main China’s leading search engines, Baidu and Sougou, which offer illicit music downloading. The international Federation of the Phonographic Industry presented Universal Music, Sony BMG Music Entertainment (Hong Kong) and Warner Music Hong Kong in a suit against Baidu. Gold Label Entertainment Ltd.,

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