I note this bit from that story:
In reply to:
Officials from Pressplay and MusicNet, which are in their second year in operation, declined to disclose how many customers they have.
"We haven't really started yet," said Alan McGlade, CEO of MusicNet, when asked about his subscriber base.
Michael Bebel, CEO of Pressplay, said his customers tally is in the tens of thousands. He added that the firm, backed by Universal and Sony, could expand into Canada in the first half of the year, its second market after the U.S. He didn't have a timeframe for Europe.
Meanwhile, Kazaa and Morpheus claim tens of millions of registered users who download a wide variety of tracks for free.
Yeah and while the Record companies fiddles about with online music, Kazaa and Morphues users can do the downloading right now, not in 6, 12 or 60 months time when the "official" sites get going.
I also wonder about these guys [the RIAA] saying that the demand for broadband is mostly due to file swapping and the ISPs know this and are therefore responsible - thats a very long bow to pull.
Thats a different kettle of fish from suing Kazaa which is a file swapping service ala Napster, to suing an ISP "just because they have a customer who uses bandwidth in a way they choose to".
They are tacking a leaf out of the book that the MPAA uses for dealing with movie-swapping sites - in this case the MPAA sends a cease and desist letter to ISPs outside the US when they find (users) websites hosted at that ISP, that are hosting music or video files.
And while technically this has no legal validity, the ISPs tend to comply and take the sites down, even though they know they have no legal right or authority to do so.