(14 May 2009 4:40 pm)

MUMBAI: Music Mobile Exchange (MMX), a division of the Indian Music Industry (IMI), has launched the first-of-its-kind in the world mobile licensing in Andhra Pradesh to encash on the growing demand for music content on mobile chips.

With this, mobile stores and other related shopkeepers can become legitimate by opting for a MMX licence from the right holders and sell music without violating the Copyright Act.

MMX currently consists of seven members like Saregama, Aditya Music, Tips, Venus, EMI, Sony and Universal which account for a significant share of the copyright titles being pirated.

A MMX licence can be taken for a period of one to three years at a minimal cost which ranges from Rs 1,500- 5,000 per month/per computer depending on the kind of shop and location of the shop.

An independent survey conducted by IMI indicates that an average shopkeeper earns Rs 7,500-12,500 each month by music downloads and other music applications, thus making the licence fee a reasonable amount and a profitable business for the shop owners.

Commenting on this issue, Mr. Savio D'Souza, Secretary General said that "Mobile phones and chips are growing at a phenomenal pace and India should have the largest base of mobile phone users in the next few years. Each of these users requires music on their phones. The numbers of shopkeepers are currently offering these services illegally and making million of rupees.

"The seven major members of the music industry have offered a legitimate partnership opportunity for these shop keepers. We hope a number of shop keepers will partner with the Music Industry and obtain the license. In case these shop keepers do not obtain the licences, anti-piracy action will continue unabated."

The size of the music market on mobile phones is huge. The legitimate market at present is estimated to be Rs 3 billion that includes products like: ringtones - monophonic and polyphonic; truetones, ringback tones, full song mobile downloads, music videos etc.

With India currently having more than 400 million mobile subscribers and approximately 45-50 per cent of the phone models in the market being capable of music transfers, music piracy has assumed a mobile chip piracy avatar.

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IMI launches Music Mobile Exchange to curb piracy