Yahoo to compensate customers for killing their DRM music collections

Yahoo Music Store customers – angry about the company’s plans to kill its DRM system, preventing re-activation of their music collections – will be compensated. From Information Week:

Carrie Davis, spokeswoman for Yahoo Music, confirmed that the digital rights management servers would be taken down, severely limiting the use of the files. However, Yahoo did not intend to abandon its customers.

“You’ll be compensated for whatever you paid for the music,” Davis told InformationWeek. “We haven’t said exactly what we will do, but we will take care of our customers.”

It will be on a “case by case” basis.

Also, the FAQ on how it’s migrating subscription-based users to Rhapsody is a pleasantly instructive primer on why people don’t buy music subscriptions.

Yahoo To Reimburse Customers Of DRM-Protected Music [IW]

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12 Responses to Yahoo to compensate customers for killing their DRM music collections

  1. strider_mt2k says:

    Wouldn’t the “straight up” “good faith” thing to do be to simply send everyone on the database of customers a check for the amount they paid?

  2. Rob Beschizza says:

    The best solution, I think, would be to just release info that readily facilitates a crack of its DRM scheme. Then someone can just make a drag-n-drop app, or something.

  3. strider_mt2k says:

    Doh. :o
    Yes of course that’s ideal, Rob.
    I don’t know why I was thinking in terms of refunds.

    Absolutely, crack the DRM, folks get what they paid for, end of problem.

    Sorry.

  4. Joel Johnson says:

    There are probably legal reasons why this wouldn’t work. I would imagine the deal that Yahoo brokered with the music companies — the same companies now willing to sell their music sans DRM — prevent them from releasing a crack.

  5. Anonymous says:

    I dunno. Yahoo doesn’t exactly have a very responsive customer service department. I foresee a lot problems during the transition. It might be easier to just download high quality DRM-free versions of your purchased music from torrent sites.

    Once again, DRM punishes the honest customers.

  6. pauldrye says:

    Correct me if I’m wrong, but US law makes it illegal to possess a DRM-cracking tool anyway.

  7. Rob Beschizza says:

    Cracking is circumvention as the DMCA sees it, but it’s not a legal problem unless someone makes it into one. And Yahoo isn’t going to do that after supplying a de-DRM-ing utility for its own music.

    As Joel says, its deal with the music industry probably won’t let them. So they’ll end up doing something roundabout like arranging credit at another store.

    It originally recommended that people burn and re-rip their music, according to the Internet.

  8. Bugs says:

    Why do I get the feeling that their “case-by-case” system will involve a poorly-publicised and convoluted application process designed to make most customers lose interest?

  9. Anonymous says:

    Re: #8

    My guess is that the instructions will be on display in the bottom of a locked filing cabinet stuck in a disused lavatory with a sign on the door saying “Beware of the Leopard.”

  10. michaelportent says:

    Another example of why Yahoo is shooting themselves in the foot on multiple levels. They can’t compete with Google in advertising and now they can’t compete with iTunes or Amazon in MP3 sales.

    The biggest problems they’re having is bad planning and even worse customer service.

    Here’s another reason too why DRM is the bane of any online music sales platform.

  11. retchdog says:

    This sentence is the best summary: “Yahoo! Music Unlimited subscribers who migrate to Rhapsody Unlimited will enjoy Rhapsody Unlimited at then-current Yahoo! Music Unlimited prices for a limited time.”

    The only “unlimited” is in the trademark.

  12. Chris S says:

    Transition? What transition?

    Will Yahoo! Music Unlimited subscribers in Canada also be migrated to Rhapsody?

    No, Rhapsody is not available in Canada and Yahoo! Music Unlimited subscribers will receive a pro-rata refund for any remaining subscription time when the service is shut down.

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