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" The privatization of file-sharing is taking place as the number of Americans using paid online music services is growing and the total number of downloaders is increasing , " Mary Madden , the research specialist at Pew who wrote the report , said . The Pew report suggests that even with P2P usage on the decline and legitimate music purchases on the upswing , the industry might still have its work cut out for it in order to become e-commerce savvy . " Microsoft is taking advantage of the perception in the market of the uncertainty around the possibility of alleged intellectual property infringement in the future , " Stacey Quandt , principal analyst , Quandt Analytics , told TechNewsWorld . I think it 's critical that before we confuse the public with this information that we get it verified by NHTSA , and more importantly , that they indicate the significance of these numbers to us so that we can make a proper report to the American public without further confusion . " " We have been warning for months that unauthorized file-sharing is illegal , " British Phonographic Industry Chairman Peter Jamieson said in a statement . They remind music fans about the law and provide incentives to university administrators to offer legal alternatives . Mr. Dingell asked you some questions which I find very interesting , and talked about the standards of tires and the width , the skin stock , the body , the belt , and basically the response was - - you set performance specs up for the industries to compete , and some of the types of performance specs were speed , handling , wet weather , snow . Rather than relying on networks such as Kazaa or Morpheus , which formalize the file-sharing process , people are using other means to share those files , including e-mail , MP3 players , instant messaging and even blogs , the report said . " Kazaa - - possibly the largest P2P file-sharing free-for-all ever developed , has agreed to a settlement with the record industry rumored to be in the neighborhood of $ 100 million , and has promised to mend its ways . " They underwrite their own research and proclaim they have independent proof that file-sharing is killing their industry . " We are appreciative of our partners in the university community and all they have done in recent years to tackle the problem of digital piracy at campuses across the country , " RIAA President Cary Sherman said . " We have been warning for months that unauthorized file-sharing is illegal , " BPI Chairman Peter Jamieson said in a statement . The report was released as the U.S Supreme Court readies for a hearing on the P2P issue Tuesday in the case of MGM vs. Grokster .