Visa pulls credit card service for AllOfMP3

— 3:33 PM on October 19, 2006

AllOfMP3, a Russian music download service labeled as "the world's highest-volume online seller of pirated music" by the U.S. Commerce Department, has had its credit card service pulled by Visa International. AllOfMP3 offers full albums from major record labels at prices that often dip below 20 cents per track, all without digital rights management protection. Those running the site claim to be operating legally under Russian law. However, a Visa representative told CNet that the credit card company's decision to pull AllOfMP3's Visa support was in line with "new Russian legislation" as well as international copyright law. The U.S. government has said in the past that Russia may not be able to join the World Trade Organization if it continues to allow the service to operate.

Naturally, AllOfMP3 continues to claim that it's doing nothing wrong. The director general of the service's parent company said earlier this week, "In six years of operation we have never been convicted by a Russian court or declared illegal. Under Russian law, we are 100 percent legal." Following the Visa incident, AllOfMP3 intends to start offering music for free, relying on ads to support itself.

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