IP Democracy: Will Universal Music Sue Apple?

Universal Music Group (UMG) CEO Doug Morris talks tough, but more importantly acts tough, about the need for record companies to get paid for the ubiquitous use of music content on the Internet. After nearly suing YouTube for UMG music that appeared in user-generated videos (UMG instead took a stake in YouTube right before its acquisition by Google), UMG turned around and did sue Grouper and Bolt for their alleged unauthorized use of UMG music.

Not only that, but UMG also then took on media and Internet giant News Corp. when it sued MySpace on basically the same grounds. According to this AP article, the next target in UMG’s and Morris’ war against online music moochers is Apple.

Morris has already suggested, albeit guardedly, that his next target will be iPod-maker and No. 1 online music retailer Apple. With Apple’s licensing deal to sell Universal music on iTunes set to expire in May, Morris says, “There might be other ways to get paid.”

Speculation in the industry is that he’ll seek a slice of iPod sales. Apple declined to comment.

Universal’s upcoming negotiations with Apple could set the tone for the rest of the recording industry. But Morris says he doesn’t know if he’s prepared to pull Universal’s music from iTunes to get a cut of iPod sales.

“I wouldn’t want to draw a line in the sand,” he says.

Any confrontation between UMG and Apple would be a fun show, that’s for sure. Apple’s unbending will combined with Morris’ bulldog nature could provide grand entertainment for intellectual property lawyers.

And the 67 year-old Morris doesn’t really care if he goes down in flames as he strafes the giants of the business. In fact, he calls himself a kamikaze.

“It’s just the position you get put in, where you’re either going to succumb to it, and say, ‘Fine, that’s OK, yeah, put your advertisements next to our videos, we don’t care,’ or you’re going to say, ‘Hey, this isn’t fair,’” says Morris.

“I’m going to be a kamikaze pilot until that’s all straightened out.”

Posted by Cynthia Brumfield on January 16, 2007 8:16 AM to IP Democracy