Tuesday, June 20, 2006

Music Industry Sues XM Satellite Radio Over Radio's that Record


June 20, 2006/foxnews/ The recording industry accuses XM Satellite Radio of "massive wholesale infringement" because of a $400 iPod-like device that allows XM customers to record up to 50 hours of music and automatically parse recordings by song and artist.

The lawsuit, filed Tuesday in New York by the Recording Industry Association of America, seeks $150,000 in damages for every song copied by XM Satellite customers using the device, which went on sale weeks ago. The company says it plays 160,000 different songs every month.

The lawsuit does not seek directly any payments from or sanctions against XM Satellite customers who record songs. But if the lawsuit were successful, it could raise the company's costs, which could be passed on to subscribers as higher monthly fees

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