The Recording Industry Association of America and various other international music organizations have proposed the insertion of identification codes into digital music files that would, reportedly, facilitate the sales of music online and help assure that artists receive their royalties. The system will not prevent piracy, but will give legitimacy to legally traded music files. The ID codes will work with the Secure Digital Music Initiative’s efforts to develop a method for delivering music while protecting copyrights. The music industry has, recently, worked out many of the administrative details of its system for paying and collecting online royalties. According to a writer for The Register, the system will provide a way for Napster to stay in business if the case against the company is won by the music industry.
In related news, the file-sharing Scour Inc., under attack from the entertainment industry, has filed for bankruptcy.