Phase 1: For a full 36 hours, MusicRebellion.com offered digital song files for a dime each, its version of demand-driven pricing technology. Like other music services, MusicRebellion has fixed costs that it must pay to labels and other rights holders, but hopes to promote the e-commerce idea of floating prices. Phase 2: The site's track prices now range from $0.75 to $0.95, depending on consumer demand, and each track is offered as a pay-per-download with more than 99 percent being burnable and transportable.
According to a recent report from Pew Internet & American Life, a fifth of survey respondents who continue to download or share files online said that they are doing so less often because of the recent suits filed by the RIAA. Of 1,358 Internet users surveyed between November 18, 2003, to December 14, 2003, the results showed that the percentage of music file downloaders has fallen to 14 percent from 29 percent surveyed during March 12-19, 2003, and April 29-May 20, 2003.
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