A few years ago, Birgette Andersen and Marion Frenz of the University of London published a study (available through Industry Canada) titled “The Impact of Music Downloads and P2P File-Sharing on the Purchase of Music: A Study for Industry Canada“.
It’s a short and fascinating read, and found Â that, contrary to popular belief, Â peer-to-peer file sharing increases purchases of CDs.
Here’s a short quote from the study:
Our review of existing econometric studies suggests that P2P file-sharing tends to decrease music purchasing. Â However, we find the opposite, namely that P2P filesharing tends to increase rather than decrease music purchasing.
Among Canadians who engage in P2P file-sharing, our results suggest that for every 12 P2P downloaded songs, music purchases increase by 0.44 CDs. Â That is, downloading the equivalent of approximately one CD increases purchasing by about
half of a CD. We are unable to find evidence of any relationship between P2P filesharing and purchases of electronically-delivered music tracks (e.g., songs fromÂ iTunes).