Record labels mull unrestricted digital music

The EMI Group said last week that it would offer free streaming music on Baidu.com, the leading Web site and search engine in China, where 90 percent of music is pirated. EMI and Baidu also agreed to explore developing advertising-supported music download services. This summer EMI licensed its recording to Qtrax, an ad-supported music distribution service.

In a handful of European countries, especially in France, consumer frustration has led to government proposals to legislate interoperability.

"It will happen between next year and five years from now, but it is more likely to be in one to two years,” he said.