RIAA's Copyright Lawsuit Budget Drastically Reduced
The music industry may be losing its interest in suing people for illegally downloading music.
Payments made to the Recording Industry Association of America (RIAA) amounted to almost $50 million in 2008. Two years later in 2010, it was only $28 million.
The numbers, published in the most recent tax returns, reveals that RIAA has been paying far less to law firms. Attorneys received $16.5 million in 2008, but only $2.4 million in 2010. According to heise.de, the practice of Holme, Robert and Owen was hit especially hard with payments declining from $9.4 million to just $788,000. The 113-year old law firm, which employs 50 lawyers, was recently forced to merge with another firm to contain costs.
RIAA's expenses for lobbying decreased from $6.8 million to $6.3 million from 2008 to 2010. The staff was reduced from 117 to 72 employees and cost for its employees was reduced from $9 million to about $6 million. However, nine second level executives received a salary increase to a total of $4.2 million, even if they are now required to work 50 hours per week, instead of just 40. Former CEO Mitch Bainwol received a salary of $1.9 million, down from $2.0 million.