Record shops feel the pinch with album sales down as people acquire and listen to music in new ways.
Sales have fallen largely as a result of illegal downloads and developments in CD copying technology.
The Virgin Megastore in Dublin was one of the biggest casualties of the changing music industry. It closed after facing increasing competition from cheaper online retailers.
One of the most successful online platforms for music sales is CD WOW! which is now increasing the cost of CDs by three euro. This price hike comes following a legal battle with the Irish Recording Music Association and their British counterparts. Dick Doyle, Irish Recording Music Association explains that they took an action saying that CD WOW! were not allowed to source products from outside the European Union.
The big threat to the music industry comes from music piracy and illegal downloads.
There are lots of websites where music fans can swap music illegally. Another threat to album sales comes in the form of the Apple iPod, a device which can store up to ten thousand songs. The iTunes website received over thirty million hits in 2003.
It is now possible to burn an album for a fraction of the price of the original. Dave Pennefather, Managing Director of Universal Music Ireland, describes this practice of burning CDs as stealing. The more music that is stolen, the less chance there is for the survival of record companies and jobs in the industry.
Dublin DJ Paul Taylor says that more DJs are moving from vinyl to CD, a format that allows them to download music.
An RTÉ News report broadcast on 22 January 2004. The reporter is John O'Driscoll.
