Spanish IP firms post revenue declines
Losses derived from International Property LawMADRID -- A pool of Spanish rights management entities announced Monday a year-on-year drop of 8.6% of revenues to €83.3 million euros derived from the canon on digital products instated in 2007.
The figure is from 2008 and compares to 2007's €90 million.
The announcement came from seven different intellectual property organizations protecting authors and producers.
The International Property Law, the framework for the canon, calls for MP3/MP4 to pay €3.15 per item sold and €1.5 per cell phone, PDA or MP3 player.
The tax, designed to compensate authors for the private copy of digital content on mobile phones, hard drives and MP3 players, is paid by the manufacturer, though it is generally understood that it will be absorbed by a rise in cost for the consumer.
But for many consumers the canon is seen as license to download, and for producers it doesn't stem the losses.
The world pirating leader, Spain clocks nearly 20% of worldwide illegal downloads.