The real cost of piracy

Wow. Kinda makes France seem so insignificant.

cost_of_piracy.jpg

Donny's Blog - sarcasm, rants, technology

Lately we've been hearing more and more about the RIAA suing people over downloading music. Many people are skeptical of of the figures of lost revenue the RIAA reports, giving arguments like not every song downloaded equals a song that would have been bought. With all of this talk, I decided to investigate the cost of piracy, using the perfectly reasonable figures given by the RIAA: $150,000 per infringement.

In January 2006, there were approximately 2370 music torrents posted. By estimating that each music file is 5 megs, we can estimate the number of infringements as the number of downloads multiplied by the estimated number of songs. I ran my program, and when I saw the results I was shocked! Using those figures, there were approximately 76,272,931 infringements caused by the torrents posted in January! Using the RIAA's value of $150,000 per infringement, the total cost to the music industry was $11,440,939,650,000!


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