Currently, music piracy does not only penetrate physically in the form of CDs and DVDs but has penetrated the digital realm, as stated by Adi Adrian, KLa Project personnel, who stated that "There are four types of music sales, namely: physical, digital, performance, and synchronization. In Indonesia, there are four problems," said the KLa Project keyboardist.
According to Gumilang Ramadhan, Director of PT Musica Studio, "We lost trillions of rupiah because songs were downloaded illegally," to SWA Online, on the sidelines of the 2013 Digital & Music Matters event, which was held in Singapore last week.
According to the Minister of Trade of Indonesia, Gita Wirjawan, the potential loss of the Indonesian music industry due to piracy reaches IDR 4.5 trillion annually. If the value of music consumption per person is IDR 20,000 per year, the potential value of music consumption reaches IDR 5 trillion per year. "However, that can be enjoyed by the musicians only ten per cent," said Gita. Gita said that the musicians' income, which is only ten per cent of the potential of Rp. 5 trillion, is unfair. Therefore, his party and several related agencies will continue to fight against piracy in Indonesia.
Solutions to Overcome Music Piracy
One solution to tackling music piracy is by digitizing music from CD and DVD physical media into digital form. Apple has taken this step by establishing iTunes and Google, which has established Google Play, which provides a legal means of buying digital music.
Therefore, domestic record labels must immediately invest in the development of digital music so they can tackle the piracy of physical music in the form of CDs and DVDs. Research shows that piracy of one direction songs through the Google search engine with the keyword free one direction download music is known to be as many as 135,000,000 searches. If only 20% of these 135,000,000 searches were downloaded and multiplied by the price of one music for 10,000, the total loss from downloading this illegal song was 405 billion.
Thus, selling digital music is one of the steps to combat piracy because currently, only 40% of physical sales of music are in the form of CDs and DVDs, while the rest are already leading to digitization. 60% of digital music sales are still dominated by foreign players such as iTunes, Deezer and Google Play.
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