American judge torpedoes digital second-hand stores

Product or license?

It all comes down to a matter of principle: is
a downloaded song just a digital version of something already released on cd?
In other words: can you re-sell it like you would an old cd? Or do you only buy
a license, which gives you the right to listen to the music – but not to
resell it.

An American judge has decided that buying
digital content is the same as getting a license, meaning it can not be sold
again. The judged reached his verdict in a case against ReDiGi, an online platform
focussed on the sale of second-hand downloads.

According to the company, the products were
handed from one person to the next, without making a copy, but the judge saw it
different. The ruling torpedoes the plans of several companies that wanted to
start a similar business.

The consequences of the ruling in Europe are
uncertain at the time. Analysts expect that a similar case has to be held here to come to a
definitive conclusion.