EMI pays price for not moving with the times

MUSIC GIANT EMI has reported a drop in CD revenues by almost a fifth which the company is pinning on illegal music downloads.

Although the massive label suffered a 19.8 per cent drop on CD based sales over a three month period, the company is hopeful that downloads could prove profitable, with a 26 per cent increase in digital revenue.

The label's music publishing division had a 13.2 per cent increase in digital revenues too, so it's not all grim for EMI.

In regards to EMI's recent joint venture with iTunes which offers DRM-free downloads the group found that "early revenue indications for this initiative are encouraging," according to breitbart.com. µ