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Record chiefs have stopped an online music store from selling cheap CDs
Website CDWow.com caved in and promised to hike its prices after being threatened with a costly legal battle.
Last night company boss Philip Robinson said: “This is a very sad day for UK consumers. We’ve done our best to bring cheap music to people and fight our corner.
“But we are a small company and we can’t take on the clout of the British record industry.”
Before yesterday’s out-of-court settlement, fans were paying as little as £6.99 for albums like Dido’s No1 hit Life For Rent.
Now it will cost £10.99 from CDWow.com and up to £13.99 in High Street stores.
Last night the British Phonographic Industry and the major record labels they represent were celebrating the victory.
They had the law on their side because it is illegal to import CDs from outside Europe.
By buying cheap in America, the Far East or Asia and posting them to UK customers, a crime was committed by website firms.
BPI chairman Peter Jamieson said: “I’m delighted to resolve this without the need for a trial.”
All CDs bought in the UK and Ireland from CDWow will now come from European distributors.
But the settlement will anger music fans who feel they are being ripped off.
Another case against Play.com continues.
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