Bad News for Spotify: No Illegal Download Drop

Perhaps the most persuasive argument for labels and artists taking smaller payments from Spotify and other ad supported music services, was the belief that it was a substitute for illegal downloading. But a new study suggests that might not be the case.

A survey by The British Phonographic Industry (BPI) showed that 1 in 3 people are using illegal sites. More than 3,000 consumers between 16 to 54 years old took part in the online poll. When questioned about the future, users of unauthoriazed services reported that they actually intended to increase their illegal activities in the next 6 months. Use of newer web-based, or non-peer-to-peer sites, has grown in the last half year; while torrent site traffic remains level.