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Survey shows freemium helps to curb music piracy

CALinnovates canvasA new study investigated the relationship between piracy and freemium music services. Availability of free music services decreased the likelihood of pirating music for 41% of the 503 freemium users surveyed. The rate was higher – 54% – among the respondents aged 18-34.

CALinnovates, an advocacy organization for tech and public policy, sponsored the study. The survey pointed to high royalty rates as potentially threatening the existence of freemium tiers. Two in five respondents said a drop in the nuber of freemium platforms would increase piracy.

The results do conveniently support CALinnovates’ tech-friendly platform, but they also echo the findings of yesterday’s Nielsen 360 report. That research found that cost was a top deterrent to listeners signing up for music subscriptions, as well as a major factor in their decision-making about which music services to use.

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Anna Washenko

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