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This is from Gerd Leonhard's 2009 book The End of Control. Leonhard is a media futurist and writer.  He discusses how the record industry has attempted to control their product but ultimately failed. The music industry must admit to what is happening and let go of there old economy business models and belief that content is king. They must accept it fast as the longer the wait the more they have to lose. Advances in technology such as memory sticks, iPhones, wireless hard drives / music players have made file sharing easier and easier and its popularity will grow exponentially. Record companies must embrace the end of distribution control and stop harassing their customers with lawsuits and threats. They must move to a service based model.

 

 Leonhard proposes blanket licensing as the best solution. Existing public performance blanket licenses given by collectives are easy to get and make economic sense. The system is straightforward and benefits performers and artists but a new method will be needed for the internet. A blanket scenario would work best and he likens music to commodities such as water or electricity in that everyone should be a legal user. However, it is important to recognize in any discussion that music can be consumed unlimitedly, thus in determining the appropriate fee, TV is provided as an example. Flat rates could be connected to service or other methods.

 

 The article's most interesting topic is its emphasis placed on control. Music companies still hope to maintain control of their product which does not make sense considering how uncontrollable it is. The movement of data has become so commonplace that controlling it seems almost ridiculous. Record companies have no other choice; they should strongly consider the prospects of blanket licenses. Flat rate licensing would work better as it would get money to creators who are not being served properly by the groups trying to represent them. I think this is probably the reason voluntary collective licensing has still not hit the mainstream. Middlemen like record companies realize their role will be diminished in a world where artists can provide their product directly to their fans.

 

The Higher Education Opportunity Act written in August 2008 contained a few mentions of file sharing on campuses. The act addressed three main areas. First, students must be warned about illegal downloading and illegitimate P2P file sharing. They must be notified about potential repercussions such as civil and criminal liabilities. Next, institutions must certify that they have developed plans to combat the unauthorized distribution of copyrighted materials including technology based deterrents. Third, they must, to the extent possible, provide alternatives to illegal downloading.  The timing for this is 1 year after the Act was signed.

The Act is quite specific in its requirements. Universities must both combat and provide solutions to the peer-to-peer file sharing dilemma that has run rampant on college campuses since the creation of Napster over a decade ago. Numerous attempts of other services have been tested, but all have failed the ultimate goal of compensating creators and giving students the music they want. Ruckus was the most recent failure. With the Act in place, universities must address the issue in the near future giving Choruss a unique opportunity as it is backed by both labels and file-sharing proponents. The controlled nature of campuses and use of a central ISP makes them a very attractive place to test the subscription model and this will be important to watch develop for the future of collective licensing.

The editorial by Reihan Salam discusses the benefits and issues with voluntary collective licensing. Four music companies (Universal, Warner, Sony BMG, EMI) control 90% of all record sales in the U.S and have blamed piracy for the 40% decline in music sales over the past decade. Some opinions in the article describe voluntary collective licensing as a "music tax" or even an extortion scheme. Issues such as the masses paying for the actions of a few and the recording industry gaining too much are reflected. Salam believes the system is actually beneficial as it rewards smaller artists and will help creativity. If artists are not compensated and royalty streams dry up, they will in fact stop recording.  I do not necessarily subscribe to this as plenty of musicians do so out of passion not profit.

 

The part of the article that is most interesting is related to Apple, which record companies believe has a virtual monopoly on music downloading and must be kept in check. Voluntary collective licensing helps record companies ease their reliance on the software. Apple's counter attack to voluntary collective licensing is also discussed which poses an interesting proposition. A one-time fee on an Ipod purchase would give purchasers access to all music available on the iTunes website. The reason this hasn't yet happened is price and that it further entrenches Apple in its power against record companies.

 

Additional concerns are raised about how VCL would hurt independent labels; the other 10% of record sales and with the Apple plan its effects on other music software programs. It also discusses what actually may work best and sides with William Fischer’s book Promises to Keep and its strategy of an actually government music tax. Such a strategy would benefit artists and consumers but may cut out the powerful RIAA, which is well liked by the current administration.

 

The Apple tax idea is interesting and one that sticks in my mind, but again grants power to Apple who the record companies are too dependent on already. If an agreement was reached, I think it would be revolutionary but still limit consumers full access to the world’s music catalog as iTunes only holds a small percentage of all music available.

This is a New York Times article written by Eric Pfanner in January 2009. It discusses a proposal by the Isle Of Man to test voluntary collective licensing. For $1.38 a month, the eighty thousand residents, who all have broadband access, would be able to download unlimited amounts of music. A fee would be collected by the ISP. The music industry estimates that currently 95% of tracks distributed online are pirated and this is a potential solution offered by the Isle.

 

The article discusses European perspectives on the issue and they do appear to be farther along than the U.S. A similar proposal made it Parliament in France, but it was eventually rejected after a fierce battle by copyright holders. Currently European countries seem more interested in the idea of holding ISPs responsible for illegal downloading on their networks. They have also proposed ideas including a 3 strikes your out rule and the banning of individuals from broadband access. While these idea are taking shape in the U.S., it seems unreasonable to hold ISPs responsible for reporting their customers actions. It also could create competitive advantages for those ISPs who refuse to participate and also distrust in them in general. Similar to phone tapping under the Patriot Act, it impedes on individuals freedom without the concerns of national security. It seems to be another example of the record companies alienating their own customers and building ill will and holding onto their past control ideals vs. adjusting to the future and the fact that file sharing is here to stay.

This transcript is from Jim Griffins keynote speech about Choruss at the Digital Music Forum East in March 2009. Jim Griffins heads Choruss, LLC is a non-profit organization created and supported by major music labels. Choruss aim is to provide voluntary collective licensing to universities. It amazingly is backed by both the RIAA and EFF, who usually are on opposite sides of the music file-sharing issue. Choruss would act as a collective pool and then distribute royalties to artists based on various metrics.  

 

Mr. Griffins discusses the need for a new business model in the music industry as technology has completely changed the game. He states, "It’s a fact of life: If your business model depends on controlling or getting paid for copies of zeros and ones, you may need to look at a new business model." He explains how collective licensing has existed in various industries in various forms and now is no different. Mr. Griffins then specifically addresses a Billboard editorial written by Chris Carter on the issues facing voluntary collective licensing. He provides mitigating arguments to the issues including lack of data to allocate funds, legal implications of collective licensing, opt-in / opt-out, label favoritism, and implementation challenges. He further discusses that this is not an academic pursuit but rather an actual attempt at monetizing and regulating piracy. He stresses that the creation of the system will also expand the market and uses the Copyright Clearance Center as an example of past success. Choruss has the goal to test various systems and eventually make paying for music fast and simple because doing so will release the floodwaters for money to flow.

 

Mr. Griffin is basically heading up the idea of voluntary collective licensing and is the initiatives public face and voice. This transcript gives a cohesive response to critics of voluntary collective licensing. By addressing the concerns of Mr. Castle, he has provided counter-arguments necessary to push the discussion on this revolutionary concept. His answers are based in reality and admit the concerns faced but are optimistic and derived out of reason.

Chris Castle is a California attorney who represents clients on music technology and public policy. He wrote this editorial in January 2009 and takes a much needed look at the problems with voluntary collective licensing and ISP taxes. He explores what would happen in a world where suddenly downloading music is free. The main issue he brings up is without any legitimate proven tracking sources, ISPs would basically be providing good guesses on how the fees garnished should be distributed. Other concerns he raises are about file quality, illegitimate lawsuits and the lack of feasibility of the plan in actual implementation. He further comments that the record industry would be exchanging one form of uncertainty for another.

 

The editorial further accuses proponents of voluntary collective licensing of ignoring the positive results in the billion dollar industry of quality digital content such as Hulu and Itunes which are experiencing successful growth. The author questions how collective funds would be distributed with no good data and the addition of another middle-man pulling money out of artists pockets. Questions are also raised about any promises to not sue ISPs, especially by those who opt-out of collective licensing. ISPs will also face issues related to other content illegally downloaded on their sites like images, movies, etc. and international trade agreements that may be tested.

 

While voluntary collective licensing on a topical level sounds great, Mr. Carter raises some very legitimate points and the issues that could be present in actual practice. ISPs will have to take on additional duties and are vulnerable to attack for participating as a middle-man whether it be voluntarily or involuntarily. Consumers may also be at risk in a world where authorized and unauthorized works are at their fingertips with no clear ability to distinguish between the two. If this is the case, lawsuits may continue unabated.

This is Chapter 6: An Alternative Compensation System from William Fisher III's 2004 book Promises to Keep. Mr. Fisher is the Hale and Dorr Professor of IP Law at Harvard and Director of the Berkman Center for Internet and Society. This is a very comprehensive discussion of the creation of a governmentally administered reward system for music and movie file sharing. Its basic premise is musicians or filmmakers would register their work with the copyright office and be given a unique identifier that would be used to track downloads of their work. The government would enact taxes which would be used to create a central fund.  Using techniques created by television rating agencies, performing rights organizations, etc. the government would determine what frequency the work was used. The artist would then receive their royalty payment. The benefits would be consumers would pay less for more entertainment and artist would receive their fair share. Distribution companies would largely become obsolete over the long run. Society at large would benefit with less litigation and transaction costs. 

 

The chapter goes on in detail to explain the various components of the plan. It also performs a deep analysis into revenue sources to determine the financial impact of the system. In the end, Mr. Fisher determines a tax of approximately $27 per year per household would make the system work. Concerns with this do exist such as consumers potentially supporting music they are morally or ethically opposed to. Another funding source could be taxes on the goods and services that are used to gain access to the media. Items such as ISPs, mp3 players, etc. are all explored and in the end an approximately tax of 12% is calculated as being appropriate. This is very deep and thoughtful analysis on what the actual numbers are that is helpful in pushing the discussion of voluntary collective licensing forward.

 

The chapter raises very important issues about voluntary collective licensing including derivative works, artists gaming the system, the inadequacy of the current copyright office, and how to create an appropriate sampling system. This is deep dive is essential to my research project as it peels back the surface to explore further ideas that will have to be confronted as the method moves forward. While a required government tax may face strong opposition, the idea of taxing devices is logical. My other concern with this strategy is the involvement of the government as the EFF plan to have non-profit collectives seems more in-line with letting the market do its work in maintaining innovation and efficiency.

This is The Songwriters Association of Canada’s proposal for monetizing file sharing of Canadian music. It lays out a voluntary collective licensing scheme similar to that proposed by the Electronic Frontier Foundation. The plan highlights its unobtrusive nature which will basically let consumers continue to download music as they wish but remove the legal risks and legitimize their actions. Consumers would have unlimited access to the world's music collection both preserving and fostering its growth. The association believes the voluntary collective licensing method will usher in a "Golden Age of creativity."

 

The background of the proposal provides some interesting statistics on music downloading. The estimate 98% of all music is shared and only 2% is actually purchased obviously indicating that sharing is the preferred method of the public at large to access music. The proposal also argues that legalizing file sharing would increase the amount of high quality virus-free music available as only 6mm of the 100mm recordings created are available on legal sites. Legitimizing file sharing will hence increase society's access to all music promoting the arts. It will also answer the most important dilemma: compensation for creators.  

 

The proposal is an amendment to the current copyright act instituting collective licensing and the payment by consumers of a monthly fee on internet and wireless accounts. This would basically be a government tax but with an opt-out option. Consumers could sign documentation stating they will not share files and face penalty for breaking their agreement. Creators could also opt-out. The proposal would not only benefit consumers, but also ISPs and the music industry. ISPs would receive an administrative fee and record companies would finally receive compensation for file-sharing. The collective would be responsible for tracking music file sharing and distribution of royalties and could be outsourced to firms currently doing similar work.

 

Overall, the system seems very reasonable and a solution to the secular downward trend facing the record industry. The proposal is broad in its strokes, but it is the details of voluntary collective licensing that make it difficult which are not addressed. Issues such as how royalty streams are fairly distributed, misuse for non-music materials, cheating by artists, impact on record companies and current providers of legal file sharing are not fully tackled. Still the proposal takes the next steps necessary to move the method forward.

This is Fred von Lohmann of the Electronic Frontier Foundation's whitepaper on voluntary collective licensing.  The EFF has been a proponent of the idea since 2004 and put its seal of approval on current attempts to give life to the idea such as Choruss. The idea has gained traction with both Warner Music and Universal expressing interest. There has been a plethora of comments by writers, bloggers, panel discussions regarding the subject.

The paper presents voluntary collective licensing as a method to combat digital music piracy and create a legitimate revenue source for the flailing music industry. It lays out the precedent, the idea, the logic and the advantages. Voluntary collective licensing could be a way to monetize file sharing and hence provide the creators with compensation for their work, but at the same time provide consumers with what they have wanted all along, complete and uninhibited access to music. Since the creation of Napster, peer-to-peer file sharing has resulted in a secular decline of the music industry. Even through numerous evolutions and legal battles, file sharing has continued illegally and impacted recording artists. Consumers have been sued and accused by record companies of piracy, all of which has resulted in ill will towards record companies and little revenue generation for artists. Lohmann lays out the reasons voluntary collective licensing is needed including artists deserving to be compensated for their work, file-sharing has become the normal mode of music distribution, fans are in fact the best distributors, decision makers and preserves of music and finally the importance of letting the market drive innovation more than the government.

Voluntary collective licensing is compared to the system currently used by radio stations and insights are provided on how the concept will alleviate piracy in the music industry. The idea  is to form "collecting societies" similar to ASCAP, BMI, and SESAC which provide music fans with unlimited downloading in exchange for a reasonable monthly fee. The fees would be collected through a variety of sources including at the ISP, university networks or subscriptions (similar to Rhapsody). All money would move to a central organization who would distribute compensation to artists based on popularity of their music, the technology for which already exists. The whitepaper further answers the most obvious questions including antitrust, division of money, and the impact on unwilling artists.

The Higher Education Opportunity Act made it mandatory for universities to provide alternatives to illegal peer-to-peer networks.

 

 

Wang, Shujen. “Recontextualizing Copyright: Piracy, Hollywood, the State, and Globalization.” Cinema Journal 43 (2003): 25-43.

Shujen Wang is a professor of media and film studies at Emerson College. In this article she discusses transnational copyright governance among other topics. Her analysis looks at the qualities of both copyright owners and users. In general she says that the state continues to play a prominent role in intellectual property (IP) and information technology (IT) policy making. In addition the consumer has an active role in their infringing use of copyrighted material. This is a general description of her task. More nuanced is how she employed three prominent experts in the field of sociology namely, Scott Lash, John Urry and Manuel Castells. Their views may coincide with Karnow’s about the structure of culture as it is today. The virtual reality or information structure is highly abstract and variable. Wang goes on to expand on this point and the need to examine these topics under the description of her task as mentioned prior. So these authors initially act as a backdrop for her task and sub sequentially remains a critical theme in her work.

Similarly, this article acts to compliment and expand on Karnow’s position. This is not only an information based culture; it is also that culture has become information.

 

As new digital technologies proliferate, tension between consumers and corporations has increased due to the new challenges confronting entertainment industries. Historically, the anime industry has leveraged the activities of fans through strategic ignorance in order to grow the foreign market in the United States. I am interested particularly in exploring how these fan communities functioned as proselytization commons to develop this market -- that is, how their illegal activities actually created growth and benefits for the industry. These fan activities, however, have also created pressures and potential harms for the industry by demanding a departure from a traditional physical-media business model. Furthermore, since anime fandom is an especially participatory community, rights-holders will increasingly be faced by more unauthorized reproductions of their works and expectations from fans of the ability to engage with this content. I have chosen my sources in order to reflect the multi-faceted perspectives currently competing in the debate over how to balance the interests of creators and fans. In my paper I will examine anime fandom and its relationship with the anime industry as a paradigmatic case of a "hybrid economy," where balance is achieved through cooperation between both groups in order to maximize the benefits of fan engagement while minimizing the harms.
My research paper will be focused on answering the following questions: How is film piracy, specifically online film piracy, affecting the film industry, and what measures are being taken to regulate it? Are these measures effective, faulty, or even misdirected? In my annotated bibliography, I hope to answer these questions in depth so that I can frame my research paper's thesis around my findings. I will be specifically looking at the MPAA's involvement in the domestic fight against copyright infringement of film, as well as certain past and present cases that directly involve incidents of film piracy. In addition, I will briefly cover international film piracy. My tentative thesis that aims to answer the above questions is: Film piracy significantly affects the film industry, and legislative strategies to thwart it have proven to be ineffectual.
tagged cine110 copyright film infringement piracy by plukas ...on 29-NOV-08

Mary Erickson’s article gives an in depth examination of the MPAA’s involvement in Congressional committee hearings pertaining to piracy and copyright issues since 1976. In her paper, Erickson concentrates on witness testimonies of varying MPAA reps at copyright and piracy related hearings. Her main goal throughout the paper is to look at how and why the “interest groups” influence the policy decisions with their witness testimonies (Erickson 1).  Her findings suggest that witness testimonies often have little or no affect on Congressional policy decisions, unless it is a celebrity witness. Erickson’s paper encompasses a number of informative statistics concerning the MPAA, and specifically outlines the MPAA’s “four-pronged approach to combating piracy” (Erickson 8).  nsight is also given as to what compromises the legislative committee and its hearings, including the MPAA’s participation in Senate and House hearings. Erickson's article gives a different perspective on how the MPAA handles anti-piracy legislation, instead of simply what they cover during a hearing. It is important to see how the MPAA either effectively or ineffectively goes about trying to thwart piracy in the film industry. 

This legal complaint was filed on November 16, 2004 by the Motion Picture Association of America (MPAA) against "the people," or the unknown offenders of piracy in the U.S.  It is important to clarify that it was the MPAA who filed the complaint on behalf of the studios it represents.  The Document is outlined by three different sections: 1) Jurisdiction and Venue, 2) Parties, and 3) Count I: Infringement of Copyrights.  The document references itself as, "a civil action seeking damages and injunctive relief for copyright infringement under the copyright laws of the United States."  The complaint also states that the MPAA is targeting the Defendant (the people) for specific film piracy actions such as distributing and offering to distribute copyright works via the internet.  A particularly informative portion of the "Parties" section of the formal complaint consists of a description of how the Plaintiffs (the studios) are affected by the Defendant.  Described in this section is the fact that piracy allows people to freely and illegally obtain unauthorized copyrighted works.  The Defendant then has the ability to distribute the illegal copy in near perfect condition regarding both sound and picture quality.  The Plaintiff's main argument here is that just one copy of a film can cause an explosion of illegal distribution worldwide by limitless people.  Included under the Infringement of Copyrights is an equally as informative explanation of willful process of the Defendant's piracy acts, and how the court should go about punishing those said acts.  This formal complaint document shows how Hollywood is reacting to the piracy movement, and what measures they are taking to fight against it.

Kerry Segrave's book Film Piracy in the Motion Picture Industry dedicates its entirety to my topic. Segrave's research though, extends significantly farther back into the history of film than I will be including in my analysis. She provides a wide berth of information about past and present domestic film issues as well as specific international ones. Chapters 6, "Domestic Piracy, 1975-2001," and 7, "Foreign Piracy, 1975 to 2001," are laden with the utmost pertinent material for my research. In these two chapters, Segrave goes into exquisite detail, not only providing an enormity of statistics, but also documenting vast amounts of specific legal action taken to prevent film piracy over sixteen years. Segrave's in depth method of relaying information allows me to get more than just a surface level understanding of Hollywood's constant struggle concerning film piracy. Her attention to detail regarding legislative measures and the strategic moves made by Hollywood to suppress piracy will add substantial support to my own analysis.

Shujen Wang's article, "Recontextualizing Copyright: Piracy, Hollywood, the state, and Globilization" provides a careful analysis of the copyright and piracy issues in the Hollwyood film industry while framing it in relation to the global impact.  Wang does this by endeavoring to answer four major issues surrounding the issue of piracy and copyright in film.  This article gives a much less centralized argument about my topic's issue, as it touches more on a general overview, though still focusing on the essentials.  It allows me to step back and look at my research in a more broad sense.  One crucial aspect that Wang brings up is the existence and role of the Motion Picture Export Association of America  (MPEAA), which my other sources have left out.  Throughout the article, Wang provides a more grounded view of issues concerning how and why the copyright issues have infiltrated our society so egregiously.  He adds a certain complexity to the arguments surrounding film piracy that is difficult to find on other research regarding my topic.  In addition, his conclusion touches on some of the more open ended questions of film piracy that I hope to answer in my research paper.

This article is a report on the controversial Anti-piracy bill.  On October 13, 2008, President George W. Bush signed the bill into law.  This particular bill greatly stiffens penalties for movie and music piracy on a federal level.  The law itself creates a new position or "intellectual property czar," who will directly report to the President concerning ways in which copyright law can be better protected both domestically and internationally.  Previously, the Justice Department had contended that the new position would greatly undermine its authority.  The law also makes criminal laws against piracy more tough.  There is significant worry though that this new law risks the punishment of innocent people.  It is interesting to note that the MPAA strongly backed this bill.  The passing of this bill shows how ineffective some of the past legislation has been on curbing film piracy.  If past laws and case ruling had made enough of an impact, then this new, and aggressive, law would not have been needed.  Even though such groups as the MPAA have been making fervent efforts to curb film piracy, it is simply not enough.

The RIAA submitted this letter in response to public requests for comment on the ACTA. The RIAA provides a detailed prescription of what it needs in order to ensure that its intellectual property rights are not infringed anywhere in the world. This includes recommendations for the definition of “piracy,” and which infringement cases should be prosecuted. It also sets out specific requirements for law enforcement and monitoring officials to follow. The RIAA expresses its strong supports for the dialogue the ACTA has provoked and expresses its wish that all of its arguments be taken into account when formulating its final version.
    The RIAA provides by far the clearest and most non-negotiable opinion. It explicitly states that all acts of piracy, commercial or non-commercial, should be prosecuted and the strictest laws should be applied. It seems that the RIAA has already created its own legal framework that advances the industry’s ambitions and protects its interests efficiently. The Association is merely looking for a conduit of its legal system and does not intend to negotiate with any party. It also disregards the motives of user worldwide to seek and use illegal materials online. The RIAA does directly address the links between piracy and organized crime, which shows that it recognizes some of the ramifications of copyright infringement that affect areas completely exterior to music.  While the Association’s stance should not be ignored, its positions should be considered alongside economic and empirical evidence (like the one provided by the IIPA). Additionally, the confidence and severity of the RIAA’s opinion should caution all countries that the U.S. organization is a powerful player and can include the international arena in its jurisdiction if its demands are completely met by any multinational agreement.

belongs to CC Bibliography project
tagged acta copyright counterfeit infringement piracy riaa by nikolovb ...and 1 other person ...on 25-NOV-08

Justin Sevakis presents an overview of the anime industry's current decline in sales, which he attributes both to digital fansubbing and corporate reluctance to adopt new technologies.  Unlike many other authors who have written about fansubbing, Sevakis recognizes a qualitative break between the VHS distribution networks and current digital fansubs with decentralized distribution.  The internet has dramatically lowered the barriers to obtaining fansubs, which are now easily available at the click of a button on a multitude of streaming sites.  While fansubs might have previously been a non-rivalrous work that served a promotional function for the licensed products, digital fansubs have effectively usurped the licensed market by offering a product of the same quality for free and faster than legal avenues.  The fansubbing groups, however, are simply responding to fan demands for timely releases, which the industry has failed to meet.  In order to prevent further losses and rebuild the industry, companies must adopt a digital model that provides American audiences with “a legal, inexpensive way to watch new anime in English.”
 
Rather than idealizing the cultural benefits of fansubbing, Sevakis presents a practical understanding of how fans and the industry operate in the digital market.  People watch fansubs because there is a market vacuum that the anime industry has ignored for several years.  Rather than providing a legal avenue to meet this market demand, anime companies have responded like many other entertainment industries by believing they can guilt their fans into sticking with a failing business model.  Furthermore, the industry has confounded the size of the fan community with the anime consumer market, which in fact represent audiences with varying levels of engagement and interest; not all fans share the same buying practices as collectors, and indeed many are simply interested in just viewing a series once and not owning it on DVD.  These considerations complicate the perspective of fansubbing as an activity that promotes economic and cultural growth because they demonstrate the real harm to the anime industry being caused by illegal reproduction in fan communities.


     This article takes a much more anthropological perspective and focuses on the user side of illegal music download sites in Ukraine. Haigh discusses the differences in the music and movie market in Ukraine compared to that of the West. She also talks about the financial limitations of Ukrainians and the limited use of the Internet I that country. She draws parallels between modern norms of illegal fire sharing the heritage of the Soviet Union and its copyright regime.
    This article supplies a crucial perspective for my argument – the motivations of populations to download illegally from the Internet and infringe copyright. The financial situation of Ukrainians is particularly important because it is clear that they cannot afford legal copies of the pirated material. The ACTA and other multinational authorities should be cognizant and offer alternatives to illegal sites in order to give incentives for the users to switch to legitimate materials. This also means that the legal sources should be affordable for the native population. The article also touches on the perception and attitude of Ukrainians toward the western legal copyright framework. This links back to the sentiments of the natives evoked by their life within the Soviet Union. Ukraine is a proud nation and in its history it has been constantly conquered and re-conquered by foreign powers, which imposed their own rule on the population. Ukrainians feel that when the WTO and the US are allegedly trying to protect their intellectual property rights, in effect they are acting just like the USSR and attempting to coerce Ukraine to follow western models even when they are not suited for the needs of the country. This attitude is echoed throughout most other eastern European former Soviet satellites and republics.

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tagged culture file_sharing piracy ukraine by nikolovb ...on 25-NOV-08

This blog entry contains much of the same information as the other article on Russia and its music download website www.allofmp3.com. It discusses how the website was symbolically closed and the RIAA dropped it suit against the site for that reason. This allowed the United States and Russia to sign bilateral accords since technically Russia had achieved one of the requirements for strengthening its ties with the West. At the same time, a couple other similar illegal music download online stores continued to operate and were completely their existence was completely ignored by the RIAA and the bilateral negotiations.
    The blog entry does contain one piece of crucial information – the author comments on how he enjoyed his customer experience using allofmp3.com. This raises an issue that is important in my argument: the view of those who use illegal sites to download music. The blog author’s opinion hints to the fact there is no legal website of the same scope and quality as allofmp3.com. Therefore, we can’t expect eastern Europeans to abstain from illegal downloading if the illegal choice is more accessible than the legal one. Also, if the international community insists on infringing countries to crack down on illegal websites and materials, the multinational group should also offer an alternative to infringing sites. Perhaps, the RIAA could have negotiated a deal where it insured that allofmp3.com does pay the necessary licensing fees and becomes legitimate in the eyes of the western countries. It is absurd that the RIAA expects Russians to stop downloading music illegally if these listeners have no legal way to obtain music online.

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tagged music piracy riaa russia by nikolovb ...on 25-NOV-08

The statement of this interest group discusses the concerns the Anti-Counterfeit Trade Agreement (ACTA) raises. These include the lack of transparency of its content, the limited information given to the public, the fact that this is an executive agreement and the implications this will have in practice in the Unites States political context. Public Knowledge is also uneasy with the terminology used in the ACTA – the use of “piracy” and “counterfeit” without concrete definitions of what these words would encompass. 
    The opinion of Public Knowledge adds an important perspective to my argument because it criticizes the format and the ramifications of ACTA implementation on a domestic level. The interest group raises the fact that the ACTA is an executive agreement and as such does not require the “signatories to be accountable to the public” since it circumvents Congress. If one links this information to the claim that the ACTA is supported predominantly by copyright industries then it leads me to believe that the sole purpose of this accord is to give the companies such as the RIAA and MPAA greater powers to prosecute copyright infringement internationally at their own discretion. Eliminating accountability also signifies that the United States Trade Representative (USTR) does not want to directly involve the U.S. in multinational infringement disputes but only seeks to facilitate the domestic copyright industry to defend its rights in the international arena. The limitation of the Public Knowledge opinion is that it doesn’t consider the newest Fact Sheet that was released by the USTR in August 2008. Even though the fact sheet does not give a substantial amount of concrete information, it does formally address some of Public Knowledge’s questions.

    This article talks about Serbia’a surprising progress in combating piracy. The Serbian authorities have seized “280,000 illegal copies of music, films, games and software” from the domestic market. The article points out that this raid was most likely because Serbia wants to join the E.U and combating piracy is one of the criteria for closer relations between the European Union and Serbia.
    This source is closely tied to the article on Russia’s music download website. The Serbian case, however, has a more optimistic outcome. While the raid will certainly not stop piracy, it is an important step forward that shows the population that the Serbian authorities are serious about strengthening their relations with the E.U. and are therefore willing to carry out seizures of illegal materials. The article also explicitly brings up the ties between piracy and organized crime. Knowing the political and social climate of Eastern Europe, I can confidently claim that the same connection exists in Russia and is evident in the symbolic closure of allofmp3.com. When the exact terms of the ACTA are negotiated, it is important to take into consideration the domestic implications of combating intellectual property infringement. Enforcement of copyright laws can be dangerous since it interferes with powerful underground crime networks whose bosses maintain close connections to corrupt officials within Eastern European police authorities. Finally, the limitation of this article is that it does not investigate the reaction of the population and whether the seizure was successful in the long term, i.e. did the vendors stop selling illegal materials for good or did they continue after a few days.

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tagged eastern_europe music organised_crime piracy serbia by nikolovb ...on 25-NOV-08

    This article discusses the closing of www.allofmp3.com - a major Russian music download website, which was considered a significant copyright infringer by western countries. Users could buy songs from the website and the owners claimed that they paid royalties and license fees for the songs and therefore the owners argue that the site was legitimate in accordance with the law of the Russia Federation. Western music companies, however, assert that they do not receive any of these fees. This issue is important for a political reason: the presidents of Russia and the U.S. were meeting at the same time and the article speculates that Russia was trying to improve its relations with the West.
    This source is important for my research because it shows the link between piracy and international politics. Perhaps a way of dealing with countries where piracy is rampant is to tie their success enforcing intellectual property rights to the amicability of their relations with the West. The outcome of this scheme will depend on the country’s size and particular international standing and needs. As this article shows, the closing of www.allofmp3.com was merely a symbolic gesture since a nearly identical site opened up soon after but at a different address. It is also evident that there are domestic inconsistencies when it comes to applying copyright and license laws. For example, even though allofmp3 claims to have paid the necessary licensing fees, the Russian Multimedia and Internet Society says that it has not received these payments for months. This hints that piracy is not just a copyright and intellectual property issue, but that it has links to more lucrative domestic crime operations. Because of the vague wording of the ACTA, it is not clear how this agreement will affect similar situations.

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tagged music piracy riaa russia u.s. by nikolovb ...on 25-NOV-08

The EFF submitted this letter in response to the request for public comments regarding the ACTA. The letter focuses on the legitimacy of the ACTA itself. The EFF argues that the lack of transparency surrounding the creation and negotiations of the ACTA is highly suspicious. It questions who the true supporters of the ACTA are (authors vs. companies) and the genuine motives of the agreement. The EFF then analyses the available information regarding the ACTA and makes recommendations. Thee recommendations include respecting each country’s own legal regime and not imposing secondary liability, making sure that any prosecutions for breaking the rules of the ACTA go through judicial review, and creating a precise and narrow definition for “commercial-use.”
    This document also gives a unique perspective for my research paper, because it questions the general purpose of the ACTA as well as the process through which it is being negotiated. It is the only document so far that discusses the implications for Fair Use in this new multinational agreement. The letter also talks predominantly about the rights of users and argues that the United State should take extreme care to ensure that civil rights will be preserved. The EFF discusses another interesting aspect: prosecution of individuals who committed piracy for personal uses compared to those who truly operated significant commercial networks and gained profit from infringement. In order for the ACTA to be an effective agreement, it should set realistic rules and standards that are enforceable, instead of labeling every type of copyright infringement as prosecutable. This means that the ACTA should concern only large-scale profit-seeking infringers since they have committed greater harm then someone who has downloaded a song to his/her personal computer. For example, the ACTA should affect online music and movie torrents as well as street vendors – these are the people who use piracy for profit and not just for personal pleasure.

 

This academic journal is published by Cambridge University Press and is a commentary on the first source listed above.  Laing highlights the most important points of Frith’s work, offering his professional opinion in a disagreement, agreement, or clarification in the very least.  A notable quality of this journal is the fact that is it printed in Great Britain; therefore it offers the insight of a foreigner analyzing American copyright law in contrast to that of the United Kingdom.  This perspective draws attention to aspects of the law that may not been previously considered. 

            The essay is short and concise, wasting no words in a full examination of Frith’s work.  He calls into question Frith’s assertion that the copyright system is an “aspect of the competition between different music producers…and…different music users,” and claims that there is much more to it than that.  He acknowledges the complexities in the system in that they do not clearly favor or target neither the creator, nor the performer, nor the consumer.  Slightly outdated, this essay was written before any sampling lawsuits were completed in the courts (at least in Great Britain) however, this serves as a strength instead of a weakness, however, seeing as his calculated predictions can be measured against the results to gauge how scholars viewed the subject.

            This journal is not only an intellectual work in itself, but it is also an intelligent deciphering of some of Frith’s most significant assertions.  This serves the reader well as some of his reading can be confusing and seem contradictory at parts.  In reading Frith’s work, I will be sure to keep Laing’s journal on hand for color and clarification in order to most accurately comprehend the discussion and facts presented.

 

This book is a guide – as its title might suggest – to all things digital when it comes to music.  It serves as not so much an analysis on copyright in the music industry as a whole, but rather as a set of legal and technical guidelines so that one may participate in the consumption and production of such music without infringing on copyrights.  In other words, it describes for the reader all of the ins-and-outs of the digital music industry so that one may know where in the law his practices may reside. 

            Hill’s book has entire chapters devoted to the assessment of what is legal, what is not, and how to go about participating in said sanctioned musical practices.  He identifies a list of acceptable file-sharing websites, and offers his own commentary on why others are forbidden, as well as why these are acceptable.  The book begins with a basic introduction into the technologies and methods used in the digital realm and then goes deeper to list available services and to comment on the merits of various practices.  His advice is clear and he condones no illegal activity, yet he makes clear why certain people might be motivated to circumvent copyright laws in terms of digital music.  He further lists specific file types and programs that are used in these practices and he identifies useful software.  He finishes the book with another broad chapter about the “Conscience of Digital Music” as a whole as well as his prediction of the future of the industry.

Hill’s technological knowledge is a key aspect of this book that has allowed me to delve deeply into the details of digital music production and sharing.  He explains these issues in simple terms, while still conveying the complexity of their implications.  In writing this final paper, the technological terms and details from this book will provide much-needed expertise in a field that I am not necessarily well-versed in.  In my analysis of the acceptability of digital sampling, I must first know how the practice works and what techniques are involved; this book offers me this knowledge, which is key to reaching a conclusion in my final paper on what sampling is acceptable within copyright law.

 

Katz also examines the realm of digital sampling, but he does so with a keen detective’s eye, looking at the practice from the outside-in.  He uses three case studies to show the main uses and techniques employed with digital sampling.  First of which is a “song” created by Paul Lansky with recordings of human voices speaking random words entitled “Notjustmoreidlechatter.”  The complicated issue of speech and music is addressed through this first instance of sampling and Katz identifies the specifications and implications of either one.  Secondly, he compares two pop songs, Camille Yarbrough’s “Take Yo’ Praise” and Fatboy Slim’s “Praise You,” which uses bits of the former in its creation of the latter.  Finally, he breaks down the numerous sampled bits in Public Enemy’s “Fight the Power.”  Public Enemy’s strong political message coupled with the nature of his samplings creates one of the most powerful sample-ridden songs of contemporary music. 

Katz only does so after first clarifying with the reader what exactly sampling is.  This definition has been found in the majority of the sources, but none went on to detail the legal issues as well as Katz.  He also goes on to explore the question of originality and immorality in terms of remixing and sampling.  Nevertheless, his case studies have proven most useful in determining the full extensions of digital sampling in music and his insight into its effect on music today.  He also lightly touches on the various effects parodies have upon the original work, if any, and acknowledges the complexities within the industry when it comes to approval for such works.  This book could possibly be the best source found thus far, seeing as it is not overly specific in its subject matter, yet it explores enough topics in a reasonable level of detail to be reliable. 

 

Lee Marshall, co-editor of the very first source, "Music and Copyright – Second Edition," authors this work of similar form but on a slightly different subject.  The strictness of copyright law in terms of music is once again revisited but is no longer commented on as either fostering or inhibiting creativity in the industry.  Lee more explicitly lays out the fundamentals of copyright law, especially when it applies to bootlegging and piracy, and he broadens the discussion outside of the United States to international copyright law. 

            Prior to his outline of the bootlegging/piracy portion of the industry, Marshall itemizes the four main copyright issues in music.  The first two he identifies as the copyright of the original work itself: song and lyrics.  Beyond that, he clarifies the issue of copyright of the recording and who often owns the rights to a song produced in a studio.  Lastly, he outlines the details of copyright it terms of the performance and the differing stipulations both in the United States and abroad.  Marshall then asserts that the main concerns over performers’ rights stem from issues regarding bootlegging, and he goes on to explain the complicated laws concerning it. 

            Bootlegging and piracy are two of the main portions of copyright law that are most closely related to, if not directly cited in, cases involving digital sampling.  By referencing Marshall’s comprehensive look at copyright law as it pertains to bootlegging, I can not only ascertain for myself whether or not a particular usage is acceptable or not, but I can also refer to the various case studies employed by Marshall if unsure.  In writing this final essay, Marshall’s detailed work on bootlegging and piracy in terms of copyright law has certainly been a valuable source to cite.

Nintendo’s attacks against anything capable of copying a video game are not just a historical curiosity.  The company, along with the rest of the video game industry, continues to sue these copying devices to this day.  The most recent lawsuit is against the R4, a Nintendo DS cartridge that fills many of the same purposes as the old Game Boy Advance flash cartridges.  The device bypasses the protection on the system and uses a micro SD card to run pirated games, homebrewed games, or anything else capable of working on a Nintendo DS system (playing music, programming, etc.).  Despite being fully aware that the device skirted the edge of legality, Japanese retailers continued to stock and sell the device to high demand (while explicitly not explaining what the device does).  Of course, Nintendo was not happy about this state of affairs, and proceeded to sue the companies that make and distribute the device.  54 other software companies joined the lawsuit.

Under the precedent set by the Game Boy Advance flash cartridges these devices are probably illegal.  It is easy to see why the video game industry wants them off of the market.  However, the consumer base clearly loves these devices.  The R4 apparently sold very well in Japan, and with the lawsuit the price of the device skyrocketed (see another article linked from this one).  Consumers seem to believe that there exists plenty of legitimate uses for the R4, not just playing old, illegally obtained games.  Consumers write homebrew applications that allow the DS (and also the PSP, although this is not the subject of the lawsuit) to do an incredible number of things.  The author even notes that he has meet people who jumped into game design by learning on hacked DS’s and PSP’s.

Clearly, the consumer base enjoys using the R4.  And while Nintendo might be perfectly within their rights to stop them, it could create massive ill will.  Being told that all of the hard work you put into a homebrew application that you created without breaking copyright law is bound to make anyone angry.  With a huge portion of the video game industry getting behind this lawsuit, it makes an easy target for the ire of the community.  The video game industry, it seems, has not learned its lesson.  Despite already angering many consumers with their attacks against any form of copying or emulation, it continues to press lawsuits.  If this path continues, then the industry risks turning into the next RIAA.

Bill would force “top 25 piracy schools” to adopt anti-P2P technology

        Senator Reid promotes a bill that would support the RIAA by creating a ‘blacklist’ of schools with the highest number of illegal downloaders. The article discusses how the plan would prevent funding of the top 25 illegal downloading schools. These universities would then be forced to create and prove that they have created a technological way of stopping file-sharing.  The article also gives a prominent flaw of the plan, quesioning how the RIAA and MPAA would collect and represent their data since there would be a huge difference between schools with 70,000 students than those with 2,000. Basically, they would be getting their money from the larger state schools, and therefore the taxpayers.  The article also contains a quotation from the Digital Freedom Campaign which simply put, says that our universities have more important things to do than spy on their students. The article concludes with an update stating that the bill has been dropped for now.


    This article supports my thesis and confirms the idea that the RIAA is taking their fight too far. The information this article provides helps to prove that universities’ involvement should be minimal, if only because the other options are ridiculous. Putting schools on a ‘blacklist’ seems threatening and more similar to a way to make money from larger schools than it is to help artists. The sense of desperation portrayed in this article on the side of the RIAA aids my argument for less force on the universities since the RIAA's plan to involve universities is overflowing with flaws.

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tagged anti-p2p piracy top-25 by cil ...on 25-NOV-08

Lik-Sang was an Internet mail order business based in Hong Kong. Note the word “was”; the company was forced out of business in 2006 by multiple lawsuits from Sony regarding the early selling of PSP's in the UK. However, in the early 2000’s Lik-Sang was embroiled in a legal battle with Nintendo over the selling of Game Boy Advance copy devices (similar to the GB Flash Advance Linker). These devices allowed a consumer to either copy a ROM from a PC onto a blank cartridge, or copy a legitimate game cartridge to a PC. The court ruled in Nintendo’s favor that the devices were illegal, making the analogy of going after drug traffickers instead of drug addicts to curb drug use.

But this article is primarily a statement from Alex Kampl, one of Lik-Sang’s founders, after the decision was handed down. First of all, he notes the errors in the official Nintendo press release (which can be found via link from this article), including the fact that he had filed an appeal to the case, and that it was a summary judgment, not a full trial. In addition, he notes that the Hong Kong judge in the case was not an IP specialist (apparently there is not IP specialist in the Hong Kong judicial system any longer) and seemed to misunderstand some basic concepts about video game emulation. Kampl goes on to claim that since there is not copy protection on the Game Boy Advance, this particular section of law does not apply. Kampl also describes his disappointment that Nintendo is going after hardware used extensively by hobbyists, even by certain video game companies (apparently companies purchase flash cartridges from Lik-Sang for development purposes). Kampl claims that what he is doing is perfectly legal, and that presumption of innocence seems to no longer apply to cases of video game copying (“Nintendo doesn’t need to prove you are a pirate anymore, it is assumed you all are if you have the technical means to copy”).

Kampl’s claim that the Game Boy Advance does not have copy protection is more or less false; the system does have a form of copy protection (as explained in the Customs and Border Patrol ruling on the GB Flash Advance Linker). In addition, the analogy to drug trafficking has some logic to it, since it would be impossible for Nintendo to find and prosecute all video game pirates. But Kampl’s statement that the whole case should be embarrassing for Nintendo certainly seems to have merit. The purchase by video game developers of hundreds of flash cartridges clearly shows that they have some legitimate use in game development (and could be used by consumers to produce homebrew games), and as such is does seem that Nintendo is assuming that anyone who uses this device must be guilty. In addition, these types of cases clearly build up ill will towards Nintendo within the video game community, something that the company wants to avoid. Overall, while the decision may have been correct, Nintendo’s decision to pursue this case may have been a mistake.

Jordan Hatcher describes the fansubbing community as sitting at an interesting boundary between creative production and file-trading.  He notes that fansubbers are guided by a cultural goal and attitudes that exist within the community itself, comparable more to the FOSS movement rather than typical pirates.  After recognizing these nuances between fansubbers and pirates, Hatcher asks, “Do our laws stifle creativity and sharing to the point where it harms society?”  While there are certainly cultural benefits created by the fansubbing community, there also exists the potential to replace market need for official licensed translations, thus causing an economic harm to the artists and creators of these works.  He argues that a fair use defense based on these benefits, such as market enhancement or interest-building, are undercut by the reality of fansubbers' actual practices of providing a substitute product.  While Hatcher concludes that it is still too early to come to any conclusion about the benefits of fansubs, he believes that the relationship between fansubbing communities and the anime industry will “reveal a great deal about copyright in a connected digital world.”

Hatcher challenges the model of fansubbing as an activity that creates growth and benefits for the anime industry by undercutting the traditional market enhancement argument that fans usually propose.  Copyright should not be frivolously violated because protection of creative products is a culturally beneficial instrument that provides creators with incentives to produce new works.  Therefore, in order to produce a culturally beneficial arrangement that incorporates the benefits of fansubbing communities while minimizing the harms to creators, both groups must respect the value each respectively generates and come to an agreement that meets their common goal of promoting anime.  Such an agreement is possible because, unlike typical pirates, fansubbing communities operate around a code of conduct and thus have demonstrated a level of compliance with industry requests not seen in other areas of the piracy debate.

Sean Leonard extensively documents the history of anime in the United States from 1976-1993 in order to demonstrate how fan communities acted as proselytziation commons that shaped the formation and initial operation of the anime market.  Leonard defines a proselytization commons as a free exchange of media in order to advance a directed cause, namely the promotion of anime to a wider audience.  While these fan activities infringed on the copyright of Japanese companies, the companies nevertheless responded with either strategic ignorance – that is, they sought benefits that result from unauthorized use – or plainly dismissive ignorance.  Leonard’s legal analysis classifies the fansubbers’ activities as producing a desirable outcome, but not being sanctioned by law.  Since current copyright law prohibits these culturally beneficial activities, Leonard proposes a revision that excuses unauthorized reproduction of foreign works until they are actually licensed and distributed in the domestic U.S. market.  He grounds this revision on the early American tradition surrounding copyright law based on an originalist interpretation of “limited Times” and “promote progress” in the Constitution.

Leonard’s analysis of the history of fansubbing presents one of the strongest rebuttals to the argument made by many media industries that the progress of culture requires “perfect control over copyright from fixation to expiration.”  Grass-roots distribution of anime through fan networks not only promoted cultural growth by acting as a proselytization commons, but also created a multi-million dollar market for these products as well.  Therefore, the example of fansubs demonstrates how culturally beneficial activities that in fact meet the goal of “promot[ing] progress” are nevertheless unjustly restricted by rigid copyright laws.  The fact that current copyright laws are in fact having the opposite of their intended effect should prompt citizens and lawmakers to consider exemptions, such as expanding Fair Use, that legalizes these activities.

 Though not so recent, this article highlights the importance of the Electronic Frontier Foundation and it’s preliminary role in defending privacy against lawmakers. The article reports that the International Federation of the Phonographic Industry, a music-industry based group, attempted to block filtration devices that were used to transfer copyrighted material illegally. The EFF claimed that this move was an “ineffective measure that will do little to practically address the concerns of major rights holders while imposing serious costs on the individual rights of European citizens.” Recording industry groups further asked filtering technology makers, such as Audible Magic, to block users’ access to specific peer-to-peer file-sharing services.


This article targets yet another example of the entertainment industry (and the ACTA by extension) pretending to tailor the Internet to what it wants as opposed to operating with the way the Internet actually works. Developments like this also demonstrate that defenses, such as the EFF, actually do exist and strongly advocate the privacy of Internet users. This relates specifically to my thesis in that it shows the early steps toward the formation of a defense against global control of file sharing.

This article posted by the Motion Picture Association of America announced that Swedish authorities shut down Pirate Bay, one of the world's largest and best known facilitators of online piracy. ThePirateBay.com is a pirate “tracker” that allows people to access pirated movies and music, making 157,000 illegal files available to the general public. Some titles include blockbuster hits such as the Da Vinci Code, Mission Impossible: III, and a number of other tities. The shutting down of Pirate Bay, according to the MPAA, represents an appreciation for the respect of intellectual property abroad. Sweden, in particular, reformed its copyright law in July of 2005 to tackle digital piracy. Because of piracy, the major motion picture studios lost approximately 6.1 billion dollars in revenue in 2005. Of this amount, roughly 2.3 billion was lost to internet piracy alone. To combat these losses, The Motion Picture Association of America (MPAA) plans to launch a multilateral attack on internet piracy, including educating the public about the fines they might incur for contributing to it. Additionally, this multi-level attack plans to incorporate harsher punishment for those failing to adhere to MPAA standards about film copying and distribution. The article sites the Razorback2 file-swapping server, which was shut down by Belgian and Swiss authorities, ending sharing between roughly 1.3 million users. This effort, in combination with the shutting down of Pirate Bay, appears to be the MPAA’s largest motivation for shutting down other file sharing networks across the globe.


In relation to my thesis, this serves as a great example for the ACTA’s justification in limiting the passage of material from peer-to-peer.    Additionally, this particular case highlights the influences of file sharing on the motion picture industry, which in combination with the music industry, is considered to be the largest source of revenue for pirates abroad. Though succinct, this article emphasizes the importance of ACTA’s cause and provides another example of the other industries being influenced by piracy.

This article provides a comprehensive overview of the tenets regarding the proposed Anti-Counterfeiting Trade Agreement (ACTA). The proposal is drafted by Japan, the EC, the US and Switzerland as of now for a plurilateral anti-counterfeiting agreement. The report delves further into the issue of piracy by identifying factors studied by the OECD. The OECD report highlights that negative impacts on individual property right’s holders include decreased sales volumes, prices and royalties complemented by limited research and development. In the context of file sharing, this could potentially damage the image of product sales and bigger companies due to the lack of proper revenue being brought in. This trade discussion paper is also provides information about Australian participation in the ACTA negotiations. Areas further discussed within the legal framework include criminal enforcement and border measures. These just serve as a few of the potentially stringent new plans to be carried out should the ACTA be passed.

This article seems to be similar to the ACTA information sheet, but provides a more comprehensive look at the future of file sharing and problems associated with it. However, the claims tend to blanket all issues of piracy and copyright infringement and thus leave out a lot of information regarding file sharing. In reference to my thesis, this seems to provide early evidentiary support for the ACTA’s prototype and the legalities that would come along with its passing.

The purpose of this note is to address foreign countries that harbor counterfeiters that by association indirectly support the act of piracy. This piece of literature further argues that the primary effect of piracy on foreign economies would seem to be a substitution of sales and profits away from American subsidiaries to locally owned companies. With this movement of sales, this substitution contributes to a reduction in producers’ surplus and allows for a short run gain in profit for foreign economies. As such, this reduction in the inflow of foreign investment will strengthen the perception of those foreign countries being susceptible to piracy, labelling them as less appealing markets. The second part of the article further distinguishes the differences between government protection and market protection. The macroeconomic effects of piracy that are discussed also relay the idea that domestic consumers benefit from lower "priced" imports that are acceptible substitutes for the "original" goods. With this idea in mind, the author argues that the U.S. has a strong influence on global productivity because of its economy’s incredible efficiency. Firmly holding this notion, the author believes that greater flexibility in distribution techniques can mitigate piracy problems. Though this article does not address peer-to-peer file sharing directly, it seems obvious that this issue would be heavily implicated in piracy and copyright infringement.

The future of file sharing seems bleak considering that the U.S. has decided to form alliances with other nations in order to rally support against broad-range piracy. This article in particular addresses the act more and strongly defines what constitutes an act of piracy and the damaging effects on various economies. I found this to be of use since it defined the umbrella term of piracy and how file sharing could be grouped within this category, since shared material appears to be the "lower" priced import. The notes following the read provide more legislative material to justify the claims of the author. Either way, this piece provides information about preliminary control over piracy issues and future implications that may result from actions taken by larger corporations and organizations.

This research project provides a considerably strong and opinionated argument against the passing of the ACTA. Theorist Aaron Shaw argues that the ACTA will create harsh legal standards that infringe on the principles of a democratic government and civil liberties. Shaw further states that the USTR is just one of many organizations that is taking part in the formation of this agreement, a fact unknown to most file sharing users. The author further writes that service providers will be protected from the actions of their subscribers, throwing their own internet users under the train tracks of the law. If signed, this agreement would put money back in the hands of a few wealthy states and corporations while simultaneously crushing the rest of the world . This rejection of multilateralism will laud the usage of the DRM and other technology-blocking devices that prevent existing file sharing/transfer of information. Many large, multinational companies such as Microsoft and Time-Warner both agree that their software and liabilities would be better protected after the passing of this, but Shaw argues that they are overlooking the patents being passed on user-generated software, such as Myspace. This highlights many other points about the importance of user-generated interfaces such as Apple’s App store and the restrictions that would be placed on future products made by users.

This article provides a good third party view on the ACTA and the preliminary steps taken against its passing. Shaw’s outlook, though highly biased towards the liberalization of the media and its associated property rights, does provide a few good points about the potential consequences should this be approved. Though the passing of this bill could serve to help larger companies, the stress placed on consumers could serve as a double-edged sword for the larger service providers. The thesis within which my argument is framed specifically focuses on the transfer of information, so Shaw’s argument on the ethics of file sharing and the blockage of information seems to benefit my stance most. I highly recommend this source as a good introduction to the opposition against the ACTA.  Shaw also provides a clear argument against the passing of this and the future consequences that may result in both a theoretical and economical context.

The proliferation of piracy and counterfeiting appears to pose a threat to the development of the economy. It is believed that these infringements deprive legitimate businesses of proper income, while simultaneously limiting innovation and creativity. To combat these changes, the Anti-Counterfeiting Trade Agreement serves to establish among nations a way to combat global infringements of copyrighted works.  Individual property rights’ protection via the ACTA will increase international cooperation, strengthen the framework of practices that contribute to effective enforcement of IPRs, and strengthen relevant IPR enforcement measures themselves. The provisions of the act stress international cooperation via improving technical assistance. This includes building relationships with organizations such as Comcast and other internet service providers to develop better restrictions on file sharing. These restrictive forces, when applied, will provide an easier way to control the transfer of illicit information via peer-to-peer sharing.

The ACTA's passing controls the future of file sharing and the implications involved in the advancement of these proposed restrictions. By taking this movement global, the ACTA will be able to infiltrate all forms of control and severely handicap the transfer of information. This block in file sharing appears to be the world's way of fixing our failing economy. Though this intends to strengthen the cause for the protection of individual property rights, this agreement severely stunts the growth of information and creativity from peer-to-peer. Joining other organizations in order to crack down on file sharing will enhance the opposition to find alternate paths to acquiring this information, a situation this agreement further fails to address. Though succinct, this article appears to highlight central arguments and provides constant updates on legislative procedures taken against the EFF.

The Organization for Economic Co-Operation and Development, made up of thirty democracies, focuses on issues facing the economy, the society, and the environment due to globalization. Their executive summary aims to identify the economic impact of counterfeiting and piracy. In 2005, they found that pirated and counterfeited products amount to $200 billion, ecxluding trade conducted through the Internet. To put this number into context, the report states that the amount is larger than the GDPs of 150 economies. They found that piracy operations are in large led by organized crime such as gangs and terrorist groups. Only groups with financial stability and vast distribution networks would be capable of controlling such a market. Even though certain target groups have been identified, it is still difficult to catch and combat these pirates.While piracy exists in all economics, it is most pronounced in developing countries. The report calls upon governments to strengthen law enforcement and regulation to diminish these networks.

While some counterfeit goods could potentially be harmful to ones health, such as counterfeit pharmaceutical drugs, other pirated goods such as movies serve to decrease economic growth and discourage creativity. Due to the Internet, new distributions outlets are available for pirated material. As the report emphasizes, the Internet provides an infinite market for products that can be sold through full anonymity. Not only does piracy effect copyright industries, it is also shown to effect areas of trade, the evironment, and employment as well.

The report finishes by suggesting methods to improve information on counterfeiting and piracy to better target such groups. By developing more information on the national and global level that is systematically collected, comparable, and comprehensive, there can be a uniform system for combating these illegal activties.

In my paper, I intend on identifying the challenges the movie industry faces. The data collected by the OECD provides significant insight into the nature of the groups disseminating pirated goods. In addition, their numerical figures will help me quantify the impact of their activities, economically and socially.

belongs to The Movie Industry and Technology project
tagged counterfeiting development piracy report by milich ...on 25-NOV-08

Shujen Wang, the author of this aritcle, analyzes the complexity of protecting property in a technologically advancing society. By recognizing the film industry's universal impact, she aims to situate ideas of piracy and copyright in "the larger contexts of power, technology, and the networking logic of globalization. The reader is provided with a history of important legislation that has led the industry to its current situation, noting the DMCA as important national legislation and TRIPS as a global one. Acknowledging that the copyright industries continue to be a leading force in the U.S. economy, she summarizes reports from the International Intellectual Property Alliance, which break down where copyright markets receive revenue and what percentages are lost to piracy. The article highlights the importance of overseas markets and how the MPAA has adjusted to accommodate these markets.

Another section emphasizes that technology and piracy are inextricably linked to power and control. Each country has devised its own standards for copyright protection, but in a world based on global information economy, nations must work together to protect property. While it is up to each country to enforce copyright laws, members of the World Trade Organization must accommodate broader terms of agreement. The WTO agreement states that that "all state laws of its member countries must conform to the TRIPS agreement by 2006." Such agreements are deemed necessary because of the digital advancements that have complicated anti-piracy efforts. The next section of the article provides a background of film piracy dating back to the 1970s. Back then, finding pirates was simpler when such copies were tangible, but in this digitally advanced realm, "information is stored digitally, content is liberated form the medium and all that flows to the recipient is the information." Furthermore, the speed at which information is transferred increases while the cost to reproduce it decreases--ultimately giving pirates an advantage. She argues that copyright protection is the only way to preserve our global information economy.

Contextualizing copyright and piracy in a global context reveals the immense significance digital technologies have in global trade. This article outlines the history of the film industry and the ways in which it has had to alter to sustain economically.

belongs to The Movie Industry and Technology project
tagged hollywood internet piracy by milich ...and 1 other person ...on 25-NOV-08

This article analyzes the preventative measures the movie industry must take in order to protect their copyrights and stifle piracy. It is made clear that various factors, particularly the invent of broadband Internet, peer-to-peer networks, and improvements in video compression technologies have made such efforts extremely difficult. Thus the industry must exercise legal and technical means to battle competing markets. The entertainment industry is aiming to hold the information industry accountable for all copyright violations. Furthermore, they are urging the information industry to also institute anti-piracy technologies in all software and hardware. By elaborating on the previous legal battles that complicate the debate on whether to hold the user or manufacturer accountable for piracy, the authors device a better solution that assigning blame. The article suggests that the movie industry should adapt their supply chain to provide cheaper, quality, convenient products than any illegal form could offer.

This new model would force the industry to reconstruct how they distribute, exhibit, and produce films. The second section delineates the current framework of the industry tracing back to the 1970s. The weaknesses are exposed and the industry's long-term "techo-phobia" is identified as a major culprit. The next section brings attention to the legal battles of the MPAA and the RIAA to protect copyrights and further discusses the benefits and setbacks of the DMCA. Two organizations have been assembled to try and deal with these problems; one is the Digital Media Device Association and the other is Project Hudson, which is made up of technology giants such as Samsung, Toshiba, and Nokia. Various solutions are proposed, such as digital watermarking and smart-card technology, but all have flaws. Because neither legal nor technological solutions effectively can eliminate piracy, the most sensible answer is economically based. In terms of distribution, the article suggests creating e-Blockbusters near ISPs, which would enable consumers to rent movies in a cheap and accessible manner. For exhibition, theaters must adapt by adjusting the "window scheme, offering differentiated digital viewing experiences, and developing fast-access storage to reduce portable media." Production will take on a purely digital form, reducing the need for human interaction almost completely.

There are plenty of viable options available to improve and sustain the movie industry; it is just a matter or time and technology. The aforementioned solutions can improve the industry and successfully eliminate piracy if executed effectively. The article articulates my very thesis and attempts to provide an answer as to how the movie industry can change to this digitally advancing world.

This is a ruling by US Customs and Border Protection in 2001 on whether or not the GB Flash Advance Linker violated the DMCA (if it did, then CBP would not allow the device the pass through customs). The GB Flash Advance Linker serves two basic purposes. The first is basically a blank Game Boy Advance cartridge on which the consumer can load data. This cartridge can then be played in a normal Game Boy Advance. While homebrew or public domain games could be loaded onto these cartridges, most often illegally downloaded ROMs were placed on them. The second, and more important, is to make a copy of a Game Boy Advance cartridge and store it on a PC. Nintendo, naturally, wanted CBP to stop this product from entering the United States. CBP noted that the DMCA prevents the importing of devices that are primarily for circumventing protection, have limited use outside of circumventing protection, and are marketed with the explicit knowledge of their circumvention capabilities. The floppy disk that comes with the device (and installs the necessary software) is simply used to provide the Nintendo boot up code, clearly signifying the intent to bypass protection. Then, the device illegally copies the cartridge data to flash, and then to a PC. Therefore, CBP decided that the GB Flash Advance Linker violates the DMCA.

The ruling makes perfect sense. Clearly the Game Boy Advance cartridge has a form of copy protection on it (although a weird one, as described in the ruling), and this device was created and sold with the intention of bypassing that protection. Obviously this violates the DMCA. The problem here is that this ruling effectively leaves no legal way to create a backup of a legitimately owned video game. If any attempt to back up the video game data breaks the DMCA, then how can backups be created? If I want a backup of my video game, to be used in the event of damage to the original, how would I go about getting it? Petition Nintendo? The other major problem with this ruling is that there do seem to be a few legitimate uses of this device, most notably concerning homebrew games. If a consumer creates his or her own video game for the Game Boy Advance, then how could they move it to a cartridge playable on the actual system? In essence, once one has created his or her own game, it is unplayable on the system that they designed it for. Unfortunately, there seems to be no way around this problem. Nintendo, in going after this device, clearly indicates that it wants complete control over how its games are used and copied. Basically, Nintendo does not want consumers to have the ability to make backup copies (which are allowed by law) or create homebrew games.

The Internet is forcing the movie industry to adapt its current business model in order to keep up with the online trend. With the growing popularity of online movie download sites, Hollywood will have to figure out a way to compete. This article featured in The Economist argues that if the film industry embraces the Internet they will profit considerably more than if they were to fight it. One of the most advanced Internet distribution sites is ZML.com, which offers over a thousand films for download to various devices at low costs and good quality. Unfortunately for Hollywood, this website is a pirate site. Piracy and the increased accessibility pirates have to online material discourages the film industry from making titles accessible on the web. While film industry has always been slow to accept new technologies, failure to do so with the Internet could result in damaging effects. The article points out that studios such as Paramount and Disney were opposed to the DVD at its inception, primarily because they would rather keep their stringent business model than adapt to a new one. Still, some studios are embracing the Internet and its potential to spur new revenue.

While some studios have helped to create legal online rental services, they have reaped little success. The author suggests that download-to-buy options would be more profitable and could show the movie industry the capabilities of the Internet. In addition, the current sites are not particularly enticing for users because the movies offered are second-rate--with very few blockbusters or major hits available. The article goes on to explain the reasons for Hollywood's reluctance to go online. Most notably, the DVD industry is so popular that they fear risking such a large source of revenue. In reality, the industry could profit by increasing the amount of titles available through an infinite online database rather than through limited shelf space in DVD rental stores. Regardless, there exists technological obstacles that are difficult to combat. For example, download times can reach up to an hour and most people would rather watch movies on their televisions than on their computers. Lastly, the "lack of common standards" prevents a uniform system for online distributors. Despite these challenges, the article points out the potential remedies and the various ways the industry is currently taking steps towards overcoming these difficulties.

Although wary of what the Internet may bring, the industry recognizes its potential to reach the masses. Studios spend a significant percentage on online marketing because it is so successful and provides beneficial feedback. By targeting substantial groups interested in specific subjects, the industry can use this response to shape their films. The most promising invention described is the flash-memory enabled kiosk, which "overcomes many of the weaknesses of the present model and the current deficencies of the Internet," says Mr. Lieberfarb, who is on the board of MOD Systems.This article directly aids my paper through its summarization of the multitude of adaptations and inventions that film industry has had to make in such a digital world. It is apparent that the movie industry must adapt if it does not want to falter in this digitally advancing society.

This New York Times article from 1997 shows how far piracy has come today. It emphasizes the difficulties the movie industry has to face now compared to eleven years ago. In the last year or so, the two blockbusters that hit the streets before their openings were the "Hulk" and "American Gangster." Although the Internet has made proliferation of these movies capable, bootlegs have existed for quite sometime. Back in 1997 "Men in Black," "Batman and Robin, and "Hercules" were leaked earlier than its intended opening and were available for purchase on the streets of New York for five dollars. The article isolates New York as the major hub for pirated motion pictures. Back then, the estimate of how much the industry loses from domestic revenues is about $250 million (compared to $6.1 billion in 2005).

The author suggest that bootlegs are acquired by people sneaking camcorders into advanced screenings. The films are often of bad quality, but consumers want what is new before anyone else. To clean up piracy, the government and individuals targeted the streets of New York. In 1992 when Spike Lee's film "Malcom X" came out, he and some friends went to 125th Street with baseball bats to scare vendors of bootleg films. The MPAA geared its efforts towards attacking duplication labs in New York; the raids led to the seizure of over 10, 000 bootleg videos. Besides selling copies on the street corners, bootleggers set up booths, akin to tourist attractions, that stock the most recent films for purchase.

This article is a great comparison of how piracy has developed with technology. Pirates are now almost invisible due to the Internet, the quality of the films pirated is of superior quality, and dissemination is almost impossible to contain. The losses incurred by the industry back then have significantly increased and the pirates are more organized. A brief discussion of the drastic changes that have occured in the last decade will help contextualize the efforts the MPAA has had to undergo.

belongs to The Movie Industry and Technology project
tagged bootleg films piracy by milich ...on 25-NOV-08

This essay by Professor Randall C Picker is his comment to the essay “The Piracy Paradox: Innovation and Intellectual Property in Fashion Design”. It is from the point of view of someone who didn’t know too much about fashion until he read Kal Raustinala and Chris Sprigman’s The Piracy Paradox: Innovation and Intellectual property in Fashion Design. Picker talks mainly about two points- the role of the Fashion Originators’ Guild of America and its demise and then he questions whether a piracy paradox even exists. On March 23, 1976 Time magazine carried a story called ‘Dress War’ which was a discussion of the legal issues happening between the Boston department store Filene and the then newly created Fashion Originators’ Guild of America. Picker states that this guild was set up to protect fashion and deal with ‘style piracy’. Picker says that the Time magazine article describes all the dirty tricks that people would use in the fashion industry. He then uses an excerpt from the piece to show this. The excerpt says that by the early Depression years style piracy was a huge thing, if an item came out in stores in the morning and was priced at $60, by the evening it would have been copied and would be in other stores priced at $25 and later in the week, at even lower prices. Picker explains that the way the Guild dealt with all this was by organizing a registration system and by boycotting stores that sold copies. He then uses the Time magazine story again to analyze whether the Guild’s efforts of protection actually did lead to more creativity and newer fashions. He says that Raustinala and Sprigman in their paper were dubious as to whether the Guild actually wanted more property rights but in his opinion what the Guild was doing was definitely wanted by high- end designers.

Picker’s next main point is about Fashion Durability. he talks of an article from the New York Times in 1947 which says that Maurice Retner, the former head of the Guild wanted legislation in America to be modeled on French legislation. Leon Bendel Schulmen of Henri Bendel on the other hand didn’t really care and was happy living without property rights. he said that by the time anyone could copy his designs, the design itself would be on its way out. Picker argues that famous designs get copied and sold to the masses. People who want ti be dressed in the best and are very fashion conscious would not want to be associated with the masses and what they wear. High-end fashion designers see this and produce something new for this elite market to wear, there by starting a cycle that keeps the fashion market alive. He argues that creating a fashion copyright would only ensure high-end designers the ability to raise their prices and differentiate themselves. The Piracy Paradox paper really questions whether creativity can be sustained without protection. Picker in this essay asks whether the price is worth it.

This source would be useful for my paper as it is an insight into a very interesting paper. I questions the validity of what the authors have written regarding a magazine article that I crucial in this field. I will use this source to help me analyze the issue of sustaining creativity without protection. I will further explore what the paper says about the Guild and how Picker’s interpretation is different to that in the paper he is commenting on.

belongs to Should Fashion be Copyrighted? project
tagged copyright fashion piracy by avanti ...on 25-NOV-08

This source includes the Design Piracy Protection Act itself as well as a comprehensive analysis of it by the LawNexis community. They have very methodically split their argument into three parts: questioning of whether the legal community needs to step in and protect fashion designs, whether analyzing the bill and whether it is right or the issue and finally suggesting changes to the bill that would improve fashion design protection. This source is a very interesting analysis of the ongoing legal processes and it makes audiences look at the issue from a very unique point of view. It questions whether supporting this act would be indirectly supporting an industry that may be exploiting labor or has the ability of being a key player in the human rights movement. Another interesting question it raises is whether this new protection will lead to new standards of protection or simply discourage protection to ‘non traditional’ subject matter. The statement believes that the fashion industry is in a crucial place and has the ability to become a good influence in the spectrum against human trafficking. An interesting aspect of this statement is when they bring up the matter in relation with the US economy. The fashion industry can be associated with outsourcing jobs as they produce a lot of goods in countries that have cheap labor and then cheaply import them into the US. They question whether the fashion industry can show the economic impact.

Laura Tyson was the last  Dean of the London Business School, and author of the Tyson report which is the Economic Analysis of the Proposed CACP Anti-Counterfeiting and Piracy Initiative, prepared for the Coalition Against Counterfeiting and Piracy (CACP).  This source uses this report to discuss the act. To quote her, “If we are to persuade our trading partners to adopt best practices to stop the export of illicit product to market, we must show that we are implementing these practices ourselves. With the advancement of technologies and the internet, piracy and counterfeiting has been made very easy. During fashion shows, people take dozens of photos and designs, manufacture them cheaply and flood the market with them. Trademark laws make it impossible to copy the exact same design but it is legal to copy the pattern or print on an item of clothing. The Tyson report states that the fashion industry is a $350 billion dollar industry and counterfeiting causes $12 billion dollars in damages. This may be in the form of lower sales of original designs and lack of jobs. Another issue that Tyson brings up is that this Act gives privileges to an elitist group and the point of this Act should be to protect smaller designers too. They are the ones who are most affected- they can’t even establish themselves properly as they fall prey to piracy which weakens their original sales.

This source is very important for my paper for not only is it a neutral source but it also brings to light a different angle relating to the issue. The Tyson Report is crucial in understanding the economic effects of piracy and counterfeiting. A point that I will talk about in my paper is the link mentioned between human rights, outsourcing and the effects of giving protection to the fashion industry.

This article, by Chuck Cochems, is an interesting look into the mind of a video game consumer.  This particular consumer is annoyed at video game companies (“corporate fat cats”) for their unending bashing of video game emulation.  He feels that they are simply out to make as much profit as possible, and do not really care about what is right or legal.  However, what starts as just a long rant against the industry morphs into the author’s attempt to find a legitimate, legal defense for video game ROMs.  After discarding all of the traditional defenses, he turns to the Betamax case, and focuses on what he refers to as “the personal use defense.”  Through his reading of the decision, the author comes to the conclusion that ROMs made for personal use could not be infringing.  He also applies this personal use logic to the DMCA, claiming that since a personal use could not possibly be commercial, the DMCA does not apply to copies made by consumers (he also notes catch-22 inherent in the DMCA, that nobody can legally provide the equipment to make a legal backup copy of a video game).  So, there does exist a legal means for a consumer to make backup ROMs of a video game.

While the author makes some valid points, a lot of his logic seems to fall flat.  The Betamax case cannot be applied to space-shifting quite as easily as Cochems might think, even if it only applies to personal use.  And not every personal use is non-infringing; it is clearly possible to infringe on someone’s copyright without selling or trading the infringement.  Also, he simply waves the DMCA away with a wand and the magical words “personal use.”  This is an unlikely scenario at best, and downright wrong at worst.  However, the true power of this article is to demonstrate how important this issue is for a significant segment of consumers.  It is clear while reading this article that Cochems cares passionately about video game emulation, if only on an ethical level.  He is “sick and tired” of the attempts by the video game industry to stamp out emulation, and he is looking for any legitimate argument to ensure the legality of video game ROMs.  The video game industry wants to avoid creating a consumer base that predominantly resembles Cochems.  Otherwise, they could find themselves in the same position as the RIAA.

This article documents China's promise to step up its efforts to punish violators of intellectual property rights outline in the agreement on Trade Related Aspects of Intellectual Proprety Rights (TRIPs). China unveiled an outline of a new enforcement policy of IPR's, eaded by the deputy director of its National Copyright Administration's copyright management bureau, Xu Chao. Their response comes after multiple please by the U.S. for the Chinese to further crackdown on IPR infringement, despite Chinese claims of significant progress. China's law stipulates a maximum of seven years i prison for copyrigh violators. However, the Chinese still do not meet international IPR protection standards. The aforementioned outline promulgated the Chinese goal to increase its self directed IPR levels within 5 years. Furthermore, the Chinese plan to fully ramp up their efforts, similar to international levels, by 2020.

This article will help illustrate some of the causes of the rampant Chinese piracy of U.S. IPR. There exists both a punitive and a cultural defecit between the two countries. The lack of genuine enforcement of IPR domestically has enfuriated U.S. copyright officials and trade czars for decades. There seems to exist a chasm between the two countries as to the moral reprehensibility of copyright ifringement, illustrated by the Chinese complancency with their progress, that may help contextualize much of the discrepancy in policy goals between the two countries. This article will serve as background support and evidence to my larger goal of first proving the enforcement of international copyright law and then documenting the trade agreements put in place to accomplish this very task.

In this paper, Lisa J Hedrick, argues against a copyright for fashion designs. Before laying down her stance, she spells out all the facts and then goes onto to articulate her own opinion. She uses a brilliant quote from the blockbuster movie The Devil Wears Prada, to begin her paper.  

The fashion industry thrives on glitz, glamour, not to mention change. The shelf life of a product or a design in this lucrative industry is only a few months at the most, making the turnaround  time very fast. Hedrick argues against copyright saying that the cost of litigation would be so high it would be irrational to protect something with such a short shelf life.  

Hedrick begins her paper by explaining the current state of intellectual property law and its failure to protect fashion. The ambiguity of the definitions of the words ‘fashion design’, ‘design’ and ‘apparel’ in The Design Piracy Bills is a major concern and can be projected as being seen as a major reason why fashion won’t actually be copyrighted in a proper manner, if the bills are passed. The many restrictions that will indirectly be put in place by these  bills might eventually cripple the industry. Designers will have to think twice before creating something and to ensure that their goods will be protected by these bills. Hedrick brings up an interesting issue of “conceptual separability” that already exists within current copyright law. It is the only concept under which fashion designs are provided with a minimal amount of protection. But even so, there are numerous tests that the designs have to pass, as Hedrick points out, for them to be protected. For instance a certain item of design or piece of clothing needs to pass the test of whether the button is original or not even the most minor alterations to an item of clothing. 

Hedrick talks of the proposed Fashion design protection under the Bills and later compares current Fashion protection in different parts of the world. European fashion copyright protection with its concept of  the Community design system, would be the closest thing that could be compared with what American fashion protection is aiming for. However the differences in the legal processes between the two demographics make it hard to compare the situation.  

This paper is very essential as a source: not only does Hedrick argue the same point as I do, but she also goes to great lengths to fully explain the legal situation. Her meticulous and thorough method of approaching the issue fully inform the reader of the current scenario. She has also explained this well and even points to a direction where fashion copyright might work. Her sound argument makes for a crucial source.  

This is Nintendo’s legal page and list of frequently asked questions (FAQ).  Many things on this page are completely unsurprising.  For instance, Nintendo defines terms such as copyright, patent, and trademark, along with explaining what ROMs and emulators are.  Nintendo very clearly has a zero tolerance policy towards emulators and illegally distributed ROMs (it refers to emulators that play illegally copied software as “the greatest threat to date to the intellectual property rights of video game developers”) and refuses to legitimize any attempts at emulation.  Nintendo also makes it clear that the exception of the law allowing backups does not allow a consumer to download a ROM of a particular video game (as the company notes, it is not a “second copy” law).  This exception, it explains, only refers to an owner making a copy to ensure that, in the case of the destruction of the original, they have a usable alternative.  However, later in the FAQ, Nintendo explains that game copying devices are illegal, since they allow for the illegal uploading of ROMs to the Internet. 

Nintendo’s absolute refusal to legitimize any emulators, while completely expected, is unfortunate.  Emulators are completely legal, and, considering how widespread they are, are here to stay.  It would be nice if Nintendo accepted this fact, and tried to find some middle ground (the Virtual Console on the Wii system could be seen as a sort of middle ground).  The classification of emulators as “the greatest threat” is a little excessive; emulation tends to focus on previous generations of video games, which bring in little revenue for the companies.  And even if emulation was such a large threat, the fact that it is legal means that Nintendo needs to live with the existence of emulators.

Most interesting is Nintendo’s understanding of the backup copy exception.  As Nintendo explains, you cannot simply download a ROM of a video game that you already own, since that copy is illegal.  A legal backup, however, seems impossible to create, since Nintendo classifies all game copying devices as illegal.  Without a legal means to copy a video game, Nintendo has essentially made it impossible for a consumer to create a backup copy of a video game that they own.  Nintendo provides no solution to this dilemma, and in all likelihood does not want a solution to exist.

United States. Cong. House. Subcommittee on Courts, the Internet and Intellectual Property Committee on the Judiciary. Testimony of Congressman William Delahunt, Hearing on Design Law- Are special provisions needed to protect unique industries. [Introduced in the U.S. House of Representatives; 14 February 2008].

This is the actual testimony of Congressman William Delahunt arguing in favor of the Design Piracy Pohibition Act, which is a bill that has been pending for quite some time in Congress. If passed, this bill will give all unique pieces of clothing three years of protection. In his testimony, Delahunt states that fashion counterfeiting costs US businesses a minimum of 12 billion dollars every year. He also says that because the fashion industry is expanding in the United States, more and more teenagers are pursuing fashion careers. However, with the growing piracy problem, these aspiring individuals will not be able to make their mark in the fashion industry because soon counterfeit and piracy will take over the industry. Moreover, he quotes Newsweek contributor Dana Thomas who stated, "Most people think that buying an imitiation handbag or wallet is harmless, a victimless crime. But the counterfeiting rackets are run by crime syndicates that also deal in narcotics, weapons, child prostitution, human trafficking, and terrorism." Therefore, he argues that if Congress passes the Design Piracy Prohibition Act, not only will it be highly beneficial for the fashion industry, but it will also help discourage crim syndicates and other illegal activities.

Although this source is against my thesis, which is against copyright on fashion, it is a very invaluable primary source that will allow me to acknowledge the other side of the debate in my paper. In doing so, it will make my argument against copyright even stronger because I will then state reasons why approving such a bill will still be unfavorable in the end. Furthermore, Delahunt makes several excellent statements about the fashion industry and the troubled economy at present that I will be able to address in my paper.

This article draws on theories of globalization, technology, and the struggles between trade agreements and copyright objectives to place international piracy into a global context. The author, Shujen Wang, examines the the role of Hollywood in shaping trade agreements and piracy policy as well as the interconnectedness of unilateral and multilateral solutions. Specifically, Wang documents the General Agreement on Tarrifs and Trade (GATT) which led to the creation of the WTO, the growth of U.S. trade policy from the WTO's agreement on trade-related aspects of intellectual property rights (TRIPS), and the Digital Millenium Copyright Act (DMCA). While analyzing the importance and role international piracy and copyright law play within the framework of these multinational trade agreements, Wang illustrates the necessity for copyright protection via the importance of the copyright industry in the U.S. economy. Moreover, Wang tracks the way techological developments like VCR's and DVD's have changed the moral landscape of the pirating industry and Hollywood's lobbying efforts to push for protect copyrights internationally.

This article incorporates many of the essential themes of my topic, including techology's ability to alter and push the boundaries of domestic and international copyright statutes, international piracy's role in shaping trade agreements, and the U.S.' ability to use these trade agreements to open up markets and ensure strict copyright protection for its goods. Furthermore, the article cites the specific legislation, trade organizations, and trade agreements that have been instrumental in shaping the two-pronged U.S. approach to copyright protection. Specifically with the passage of the Permanent Normal Trade Relations act with China in 1999. Overall, this article provides valuable insight into constrcting a fraework that encapsulates the complexity of Chinese piracy and how it has affected our bargaining and trade agreements and policies.

 

U.S. Congress. House. Design Piracy Prohibition Act. 110th Cong., 1st sess., H.R. 2033. (25 April 2007).

This is one piece of legislation proposed to protect fashion designs from piracy. This Design Piracy Prohibition Act would basically give fashion designs protection for three years after the application for registration is submitted. Within this act, the terms fashion design, design, and apparel are defined so as to create a definition of what can actually be protected under this bill. The reason these are defined within this bill is the ambiguous nature of these words. Without a clear definition, there would be way too many interpretations of the clauses of the Design Piracy Prohibition Act. The bill also states the terms for submitting a design for copyright protection. Basically, any rights to protection are lost if the design is not submitted within three months after the design is made public. The bill also briefly lists the monetary penalties for any pirates if found guilty of copyright infringement.

This bill is an important source for any paper on fashion copyright since it provides an example of the types of legislation that would supply design protection. Even though this bill has not gone through, many of the Design Piracy Bills follow this basic structure for fashion copyright. Therefore, this source provides an example of how effective bills can be in providing protection. In addition, many sources reference this bill and its contents. So, it is useful to have the actual bill and its wording to look back upon and analyze as a primary source. The bill basically amends title 17 in the United States Code to provide for fashion design protection. By looking at how proponents of fashion copyright will protect fashion designs, I can decide, within my paper, whether these laws are beneficial or effective enough to even bother enacting. Thomas, the site where this bill is located, also provides a list of sponsors for this bill. There are only fourteen sponsors, which creates suspicion as to how effective or plausible this bill may actually be. Information like this surrounding pieces of legislation make bills useful sources.

Another landmark emulation case, although slightly different from the Connectix one.  Bleem was another emulator for the Sony Playstation, and Sony sued it for the use of copyrighted images on their packaging.  Basically, on its packaging Bleem compared what a video game looked like on a Playstation vs. what it looked like on the emulator.  To do this, they used screen shots of Sony video games, which Sony contested.  Bleem, of course, claimed fair use.  The court decided in agreement with Bleem, noting that the use of copyrighted images fell under fair use because it was comparative advertising.  Since Bleem is a direct competitor to the Playstation, it needs to be able to use copyrighted material in order to make a successful advertisement.  Sony even claimed that Bleem was hurting the market for screen shots by using them in advertising, but the court shot that argument down as well, stating that Sony could still use the screen shots in advertising if they wanted to.  Also, since a screen shot is an absurdly small portion of the total work, Bleem is not actually copying that much from Sony. 

Similar to the Connectix case, the Bleem case drove home to the video game industry that contesting emulators themselves would lead nowhere.  With emulators being fully allowed to advertise using copyrighted video games, there was no need to hide their real uses.  Emulators and their creators are free to proudly display the abilities of their systems, without fear of any legal reprisal.  This makes it much easier to distribute a particular emulator using advertising, and in turn makes emulators much more widespread.  If this decision had gone the other way then the difficulty in advertising an emulator (remember, you wouldn’t be able to use any copyrighted shots in the advertising) would have been a huge obstacle to distribution.  But, without any legal recourse to stop the distribution of emulators or make them harder to spread, the video game industry needs to focus on the people illegally distributing the actual games, not the programs that play the games.

Raustiala, Kal and Sprigman, Chris "The Piracy Paradox: Innovation and Intellectual Property in Fashion Design." Virginia Law Review, Vol. 92, p. 1687, 2006; UCLA School of Law Research Paper No. 06-04. http://ssrn.com/abstract=878401

This detailed article is an in depth view of both sides of the fashion copyright debate. Rather than simply looking at and supporting only one viewpoint on this controversial issue, the authors address both angles to the fashion copyright controversy. They then proceed to prove why support of low IP protection is the better choice despite arguments made in support of fashion copyright laws. This article describes the fashion industry as unique since it continually produces original content while its main creative element remains outside of copyright protection. This appears to condradict the theory of IP rights which claims that copying, which is rampant in the fashion industry, smothers the incentive for innovation. The article then presents the reader with the two overarching arguments. The argument for increased copyright protection within the fashion industry is more of a moral rights claim. This side claims the lack of current fashion design protection is an injustice to the immense creativity put into the creation of apparel. The other side looks at the unique nature of the fashion industry. They claim copying drives the cycle that makes fashion such a thriving, innovative industry. The article then proceeds to delve into past attempts at copyright protection for fashion. One failed attempt was made by the Fashion Originators' Guild of America: they made a deal between designers and retailers to refuse the sale of any copied apparel and boycotted any member of the guild who violated this rule. Since clothing and apparel are considered utilitarian objects, copyright should not apply to fashion design. Patents and trade dress also are not effective methods of protecting copyright. Although trademark is used by designers, it can only be used to protect names and logos, not entire designs. Therefore, bills like HR 5055 are suggested by groups like the CFDA. One of the main concepts of this paper is how induced obsolescene and the positional nature of apparel drive the fashion cycle, which would be incredibly slow and ineffective without copying. In addition, Raustiala and Sprigman explain how free appropriation helps to anchor trends in the industry. So, they conclude that due to induced obsolescene and anchoring of trends, the fashion industry has remained stable despite rampant copying. Finally, the authors address the copyright system in the European Union and how even with protection laws, very few design infringment cases come to court. Additionally, due to the litigious culture of the United States, copyright protection in the US would simply flood the courts with unnecessary cases and reduce innovation due to fear of suit.

This article is of extreme importance to any research regarding the issue of fashion copyright. The article is unique among other scholarly works on this issue in that rather than just delving into one side of the debate, the authors address the arguments on both sides of this fashion copyright war. This is an extremely useful method and structure since it provides the reader with insight into both arguments. However, the article is then strengthened by analyses of both arguments and subsequent counterarguments against those supporting fashion copyright. Since my topic revolves around whether fashion copyright should be enacted or not, having both argments laid out within one coherent paper is extremely beneficial. The paper also looks at previous attempts at fashion copyright. This is important in building the history and basis of design protection in my paper and why these laws should not be enacted in the present day. This article is very important in building the foundation of my argument.

The definitive video game emulation case. In the late 1990's, Connectix created the Virtual Game Station, a commercial emulator designed to replicate the Sony Playstation on a PC. In doing so, they necessarily had to copy elements of the Sony BIOS (built-in operating system (the software that runs the Playstation)), but they claimed fair use. The court agreed, noting that law stated that disassembly could be considered fair use when it is the "only way to gain access to the ideas and functional elements embodied in a copyrighted computer program." Since Sony had provided little information about their BIOS to the public, Connectix could only gain access to it by taking it apart. The court also found VGS to be "moderately transformative"; it transfers the Playstation to a new platform, and thereby expresses the product in a different fashion. And since the VGS is transformative, it is not really a replacement for the Playstation. The court also ruled on the claim that Connectix tarnished Sony's Playstation name. Although the VGS does not play games as well as an actual Playstation, the court did not find that this would result in the VGS hurting Playstation's good name

This case follows sound logic, and clearly sets out the argument that emulation itself is perfectly legitimate. It clearly outlines exactly how Connectix copied Sony's BIOS, and explains why that path resulted in VGS being fair use (and in doing so, more or less created guidelines as to how to ensure the legality of an emulator). More importantly, this case made it clear to video game companies that contesting emulation itself would not succeed; if video game companies were intent on stopping piracy, they would have to go after the actual copies of the games, not the emulators. Since ROM files are much more prevalent than emulators, this decision in essence made it much more difficult to stop video game piracy, and forced companies to allow the creation of dozens of free emulators.

First, some basic background. VNES (stands for Virtual NES) is an online NES emulator, written entirely in java. The site, based in the US, has a huge catalog of original NES games, which are completely free to play online (no downloading required). Now, obviously a whole bunch of legal questions come up here, most notably the claim that this is massive copyright infringement. The vNES legal page attempts to address these claims, and provide a justification for the legality of the site, through six main points.

One of the most notable arguments is the claim that the website constitutes fair use. It states that the website is noncommercial, only uses cartridges out of the market for 15 years, keeps copies of entire works, and that it holds works "vastly technologically inferior" to modern works (and then claims that these facts sufficiently satisfy the four factors). It also claims that, under Sony v. Universal, this emulation simply constitutes time-shifting, and therefore must be fair use. But by far the most interesting claim that they make is their classification of themselves as an archive (under 17 U.S.C. § 108). As an archive, the claim goes, they should be able to make their works available to the public. Also, they only provide games that they have physical copies of in their offices.

Now, their fair use claim in tenuous at best. The fact that they use entire works actually hurts their case as opposed to helping it, and just because the works are "vastly technologically inferior" to modern games does not mean that companies cannot still profit off of them (as remakes clearly demonstrate). Also, this isn't time-shifting so much as space-shifting, and the legality of space-shifting is not well tested in the courts. However, the archive claim is interesting, and could provide a valid loophole for emulation sites to provide video games to consumers. It relies on the games only being playable online though (no downloading (other than normal, incidental downloading) is involved). And the site has been contacted by the ESA (after which they removed all games for which they did not own physical cartridges), so presumably the industry is aware of it. This could provide an interesting middle ground for video game companies and consumers.

Barnett, Jonathan, Grolleau, Gilles and Harbi, Sana El. "The Fashion Lottery: Cooperative Innovation in Stochastic Markets." USC CLEO Research Paper No. C08-17; USC Law Legal Studies Paper No. 08-21. http://ssrn.com/abstract=1241005

This article puts an economic spin or an economist's viewpoint on the fashion copyright debate. In other words, it applies economic principles to the fashion industry to show why an incomplete property regime, not complete copyright protection, is the most sensible situation for the fashion industry. To build this argument, the author first explains the concept of "fashion risk," the main economic problem in fashion. Due to demand uncertainty in the fashion industry, it is difficult to forsee if a new design will be successful. So, designers need a system of collective insurance to balance the losses from seasonal product failure and the risk of firm bankruptcy. This collective insurance comes from designers allowing limited imitation which maximizes earnings in the long run. Basically, how this economic idea works is that the designer that produces the "winning" design for that season earns a larger prize, keeping the incentive for innovation alive. However, the incomplete property regime also gives smaller profits to the "losing" designers as a kind of insurance against the "fashion risk." This method is termed the "winner take most" approach. The article then transitions into three different types of imitation: mark perfection, design perfection, and quality perfection. These are then related to three different methods of imitation: horizontal imitation, legitimate vertical imitation (knockoffs), and illegitimate vertical imitation (counterfeits). Basically, horizontal imitation is copying among high end designers while vertical imitation is copying of elite designs by lower end fashion designers in a trickle down effect. As stated previously, the fundamental economic problem for designers is demand uncertainty and the associated risk of bankruptcy. By allowing horizontal imitation and legitimate vertical imitation, this risk is greatly reduced. An obvious way to success for the majority of the market is to wait until the winning design is determined for the season by the consumers and then release imitation products as this eliminates risk and increases success. However, this would kill innovation. So, the best solution is incomplete protection-positive yet constrained imitation. The economics equations show that to maximize final wealth and minimize the variance of final wealth incomplete, not complete, property regimes are required. This can be explained by the idea that at one extreme the winner does not make enough and so incentive is low. At the other extreme, insurance is too low and risk is too high. Both of these cases lead to underinnovation. In short, some imitation supports design innovation while too much or too little undermines it. Therefore, only the very few elite firms can afford the complete copyright protection suggested by bills such as the Design Piracy Prohibition Act.

This article is a very unique way to approach this fashion copyright war. It is an invaluable asset to my argument against enacting fashion design protection laws. This article basically utilizes economical principles to build mathematical equations proving that incomplete copyright protection or rejection of recently proposed copyright laws is more beneficial to society than enacting complete protection for fashion designs. The organization of this paper with alternating pieces of mathematical equations and textual analysis creates an extremely convincing and almost indisputable argument due to the logical thought process this method of presentation creates. This article greatly enhances my argument in that it provides an alternative viewpoint, particularly an economist's angle, which still points towards the same conclusion: fashion copyright laws should not be enacted.

Hedrick, Lisa J. "Tearing Fashion Design Protection Apart at the Seams." Washington and Lee Law Review, Vol. 65, No. 1, pp. 215-273, 2008. http://ssrn.com/abstract=1127190

This article presents both side of the copyright debate more in terms of the pieces of legislation proposed for fashion copyright. It goes through the pros and cons of either side of the fashion copyright argument and then argues against the enactment of these laws. Fashion design falls within the negative space of copyright protection. Therefore, designers cannot prevent knockoffs of their original designs. This paper acknowledges that these knockoffs are harmful as they hurt the designer's profits and reputation due to the low quality of imitation products. Piracy causes almost $12 billion of loss in the fashion year annually. The paper is set up this way and the author then skillfully uses all these facts that seem to support fashion copyright to show why copyright laws are ineffective in stopping any of these problems. First of all, terms such as fashion design, apparel, and design are extremely ambiguous but are used within the Design Piracy Bills. This is simply because fashion is hard to define and consequently very difficult to protect. The author also explains that fashion also cannot effectively use patents, trademark, trade dress, or copyright (due to its utilitarian function) for protection purposes. In addition to the vagueness of fashion lingo, the Design Piracy Bills would simply cause congestion of the courts with senseless cases due to the extreme subjectivity that would be involved in fashion court cases. Even if the bills went through, there are so many loopholes that pirates can find within these bills to basically render any protection useless. Finally, Hedrick looks at the fashion laws in the European Union and shows that even with laws hardly any cases come to court regarding piracy. However, she points out the cultural differences in that America is much more litigious and these laws could force designers to pay large amounts of money for lawyers to protect clothing that has a short shelf life. In addition, there is no guarantee that courts will even be able to punish pirates. It is also very possible that the laws enacted in the US would be much stronger than those in the European Union, which could lead to monopolies that would stifle creativity. Although Hedrick is opposed to these laws, she does make some suggestions on how to improve fashion copyright dealings if these laws go through. Overall though, her basic argument is that effective protection by Congress for fashion design is impossible. So, no protection is better than minimal protection. Any benefits that might arise from design protection would diminish rapidly with the cost and time of court decisions on piracy.

This source is obviously beneficial to my argument since it supports my thesis. However, the importance of this source is due to the rational and legal method used by the author to argue against fashion copyright. The author basically looks at the problems with the fashion industry at present and then shows the correlating proposed laws. However, she then analyses these legal proposals to show that they are extremely ineffective at solving the issues surrounding the fashion industry. If anything, these "solutions" might actually make things worse. The argument basically concludes that the fashion industry is inherently incapable of useful intellectual property protection. Therefore, time and energy should not be wasted on implementing laws that will most likely not benefit the industry.

Picker, Randal C. "Of Pirates and Puffy Shirts: A Comment on the Piracy Paradox: Innovation and Intellectual Property in Fashion Design." Virginia Law Review, Forthcoming; University of Chicago Law & Economics, Olin Working Paper No. 328. http://ssrn.com/abstract=959727

This article takes the side of those individuals supporting the enactment of fashion copyright. This argument is made using past attempts at employing fashion copyright laws to protect designs and the results of these attempts. One major example used to support this claim of positive effects resulting from design protection is the Fashion Originators' Guild of America. This guild basically organized registration and monitoring for apparel with a threat of boycott of any retailer who sold knockoffs. The claim here is that this increased intellectual property protection resulted in greater innovation efforts. Although the Federal Trade Commission took down this organization, the article argues that the fact that it formed demonstrates that high end designers do want greater protection. This argument is made against other claims that the members of the industry do not even want increased protection. The argument then continues into the present time and the benefits these laws would endow on the fashion industry. With fashion design protection, high end designers can make credible promises to their consumers, which is impossible with the current amount of knockoffs in the market. With the ability to make credible commitments, high end designers could raise their prices and make more money off their original designs. Therefore, there is clearly a benefit to high end designers that accompanies increased protection. Also, the author argues that imitation in the industry is only one sided with the high end designers having to deal with the rapid imitation of their original designs. With copyright, these designers could promise their consumers that this rapid copying of the apparel they are buying would not occur. Basically, the author here argues that the rampant copying in the fashion industry is detrimental to the high end designers and their customers. Therefore, copyright protection is necessary to protect their rights and keep low end designers from exploiting the low protection regime of the fashion industry.

Although this source complicates my thesis by working against my claims that fashion copyright laws should not be enacted, sources like these are absolutely necessary to develop a strong paper. These claims will provide something for me to argue against and prove incorrect in my argument. Without addressing opposing opinions, the argument and paper would be weak. This article clearly utilizes an analysis of the high end or elite designers to support the claim for increased fashion design protection. However, it avoids looking at the effect of copyright laws on the rest of the fashion industry. However, it is still a useful source as it provides the perspective of a high end designer, the biggest victim of piracy or imitation.

Subcommittee on Courts, the Internet, and Intellectual Property, Committe on the Judiciary, U.S. House of Representatives. Design Law: Are Special Provisions Needed to Protect Unique Industries-Testimony of Fashion Designer Narciso Rodriguez.  14 February 2008.

This source is a testimony by Narciso Rodriguez, a fashion designer and board member of the Council of Fashion Designers of America. This testimony is in favor of HR 2033, the Design Piracy Prohibition Act. He first presents some astounding figures such as the annual loss of at least $12 billion in the fashion industry due to piracy. He then takes the audience or reader through an almost emotional trip by explaining all the training, hard work, and money that goes into becoming a designer. With all the time and money invested within the fashion industry, pirates are just making a risky business riskier. He then constructs an argument for fashion copyright using a sad, personal anecdote. In other words, he plays on emotions and moral rights to make his point. He basically recounts a story about an original design he made that was copied and sold by pirates millions of times. Without protection for fashion design, US companies arise with piracy as their business model. These companies can afford to make large quantities at low prices, causing more sales for the pirating companies than for the original designer. Rodriguez then suggests the positive results of enacting copyright. Pirate companies would be forced to hire real designers, increasing the job market for designers and creating a great choice of original designs for consumers. He admits that in the past clothing was a functional object and therefore did not require protection. However, he believes that fashion has now become an art that is no longer just utilitarian. He then addresses the other side's concerns by claiming that only truly unique designs will be copyrighted, not all designs. He also states that the three year protection period will simply allow designers to reach the market before the pirates. After these three years and with a large public domain still in existence, previous designs can still be used for inspiration. He also addresses the concern that this will increase apparel prices by claiming that accessibly priced clothing will still exist, but the creation of these derivative lines will be through the original designer. Through explanation like these, Rodriguez attempts to passify the concerns on the scope of the legislation of copyright opponents.

This testimony by Narciso Rodriguez is very beneficial since it is a primary source coming from an elite fashion designer. It provides the viewpoint of someone within the fashion industry. Rodriguez begins his argument with a very emotional approach regarding his personal experiences and losses due to piracy. After getting the audience's sympathy, he provides some positive benefits of enacting copyright. He concludes his argument by addressing the concerns of the skeptics of fashion copyright. Rodriguez is a biased source since he obviously can benefit if the copyright laws are enacted. However, his testimony provides some real insight into the minds of fashion designers and the actual issues they face due to piracy. Therefore, this article provides a better sense of the real problems plauging the industry and if these laws can actually address these issues. So, although this testimony may not support my thesis, it provides better issues to address and counterargue than secondary sources would.

This panel discussion at Otakon 2008 brought together members both from U.S. anime licensing companies and fansubbing groups in order to discuss some problems affecting the industry, which are supposedly attributable to the prominence of fansubs on the internet.  The industry representatives argued that the wide availability of anime fansubs on streaming sites such as YouTube have significantly impacted DVD sales and thereby led to reductions in series production.  Actual market figures presented include a drop in DVD sales from $550 million in 2003 to an estimated $300 million in 2007, while an estimated 6 million fansubs are downloaded every week.  Fansub members respond to these claims by arguing that (1) they serve an important promotional role for unlicensed anime series, (2) they preserve the integrity of shows which have been heavily edited or censored, and (3) the industry has not presented any alternatives that meet fan demand for timeliness.  The panelists then discuss some approaches that companies could take in order to address these issues, such as streaming simulcasts of shows and digital downloads.

Just like every other media industry that has experienced declining sales, the anime industry has also attributed these losses to digital piracy and filesharing.  However, the practice of fansubbing cannot be reduced simply to that of digital piracy since it developed prior to the advent of the internet and in fact served an important and acknowledged positive role in promoting and developing the anime market in the United States.  Furthermore, the transparency and codes of conduct within fansubbing communities are often proposed as a basis that justifies their practices and separates them from pirates.  Although the anime industry has undeniably been faced with a contraction in sales due in part to digital piracy, any legal response from these companies must be targeted towards the correct group of perpetrators, namely the pirates and not fansubbers.  Furthermore, companies must leverage the influence of fansubbing groups within anime fandom by working with them to provide legal alternatives, such as fansite-based internet distribution, that balance respect for creators’ rights with the demands of fan communities.

Rangnath, Rashmi. "Design Protection for Fashion Design and Autoparts: A Bad Idea Times Two." Public Knowledge Blog. http://www.publicknowledge.org/node/1399. February 16, 2008.

This blog considers the design protection for fashion designs and autoparts in terms of markets and niches. In terms of fashion design, the author argues that knockoffs do not damage the market for original designs much at all. Obviously there is some effect on the original designer, but the author argues that this effect is negligible due to the different markets that original designs and knockoffs compete within. Customers who can afford to buy runway designs are going to buy these original designs regardless of how many imitation versions are circulating. This is because the people who are willing to pay so much for clothing want to be able to tell others they are wearing an original. For them, only the original can give them the status they desire. On the other hand, people who cannot afford these original designs do not care if their clothing gives them status. In actuality, these customers still would not purchase the original design if the knockoffs were not present in the industry. These consumers are fine with the lower quality imitation once the trend trickles down. For this reason, elite and original fashion designers have no need to lower their prices to compete with knockoffs and imitations. This is because these two versions are marketing and selling to two different groups of people. They are operating within two different markets. Finally, the blog ends with an attack on elite designers who claim pirates end up selling more imitation versions than the designers can even imagine to sell of their original. The author argues here that in the elite market, the designer can sell very few items at a incredibly high price while pirates may sell thousands of products, but at virtually nothing compared to the original's price. Therefore, the elite designers probably come out ahead in terms of profit. The author makes a correlating argument against autopart design protection, which does not apply to the topic of interest.

This blog was chosen as a source for my paper because it has a very unique approach in looking at fashion designs and their imitations. Rather than looking at the logistics of the fashion industry or as someone from within the fashion industry, this blog arrives at this issue from the viewpoint of a consumer. In other words, the blog looks at the various classes of consumers and their different markets in order to suggest that imitation is not really harming anyone to an extent where copyright laws need to be enacted. By looking at the fashion copyright debate from a consumer and market viewpoint, this blog provides incredible support for my thesis by showing that a lack of copyright laws in fashion actually helps the industry thrive in all consumer markets. With design protection, the market for low end customers may very well be knocked out since a majority of consumers do not shop around in both low and high end markets.

The "little black dress" is a universally known fashion phenomena. However, almost no one can claim the rights to originally designing this fashion garment that lives in every woman's closet. The fashion industry is full of trends and apparel, like the "little black dress," where the origin is unknown due to the vast varieties and imitations of each original design. Due to this rampant copying present within the fashion industry, past and present, a group of individuals has started rallying support for fashion design protection against piracy. Although imitation of original designs by elite designers is widespread in the fashion industry, this very phenomena is what makes the fashion industry so incredibly successful and creates overall economic and long term industrial benefits for the majority of designers, retailers, manufacturers, and consumers. Therefore, fashion copyright laws should not be enacted since the results will be detrimental for a vast majority of the fashion industry. The fashion industry has been thriving for ages and nothing has changed to create need for new protection laws except for the greed of a select minority of elite designers and lawyers. Therefore, we can say the fashion industry is packed with inspired pioneers rather than infringing pirates.
For my topic I plan to explore how pirating has changed with the advancement of music technology and how the music industry has adapted to deal with this on-going problem. I want to demonstrate the arms race that has been occurring between new technologies and the illegal copying or stealing of music sources.

     In this article Kai Lung Hui and Ivan P.L. Png argue that although the demand for cds decreased with piracy, the impact of piracy on cd sales was much smaller than the industry estimates. They believe that the music industry lost only about 6.6% of its revenue to piracy. According to the IFPI in 1999 the music industry estimated a loss of 4.1 billion dollars to pirating.

     In the beginning of the introduction Hui and Png give a few reasons as to why the publishers' losses to piracy may not be as large as what they claim. One reason is that if piracy were prevented users of pirated products may stop using the products instead of switching to the legitimate items. Another reason deals with the publishers' pricing strategy. Hui and Png also argue that piracy could actually boost the demand for legitimate items. Piracy steals from the demand of legitimate items because potential buyers switch to pirated products, but it also increases the demand for legitimate items because it intices more people to buy and increases their willingness to pay. Another issue that is looked at in this article is how prices are adjusted in response to the pirating of products.

     In the second section of the article, Hui and Png look at two models of information product piracy. The first model called end-user piracy deals with private copying. The second model known as re-seller piracy deals with pirating by third-party members. Through extensive statistical analysis of these two models, Hui and Png came up with two hypothesis to test the demands for legitimate and pirated items.

     This article is full of extensive data and research but it combats my topic that piracy has had a great effect on the music industry. This article argues that piracy has had much less of an effect on the music industry than what has been stated.

    

 

Bernstein, Arthur. . Global music industry : three perspectives / Arthur Bernstein, Naoki Sekine, Dick Weissman. 9780415975797 series New York : Routledge, c2007.
Call#: Van Pelt Library ML3790 .B39 2007
    
     Not only is music piracy a problem in the United States, but it has become a nuisance for the music industry in Europe as well. On pages 137 and 138, the authors give four reasons as to why piracy has emerged and expanded in Europe. The first reason is the fact that there is a direct correlation between the penetration of broadband internet services and illegal downloading and file sharing. The second reason is an increasing amount of organized crime. Setting up an illegal downloading facility is very low-risk as compared to other illegal activities such as drug smuggling. The third reason is the emergence of the European Union (EU) and the relaxation of border controls which made it quite easy to transport pirated CDs across Europe from countries in which the piracy rate was high. The last reason that the authors gave was the development of new music technologies that can hold a greater number of songs.
    
     As in the United States, many different strategies are being implemented around Europe to combat piracy. In 2006, a piece of legislation called The EU Enforcement Directive was put into place to help define activities that are considered infringement. It also provides civil measures such as injunctions and seizures. Legislation in Spain featured the creation of special intellectual enforcement units along with training programs for police and judges and campaigns to raise public awareness. Other countries continue to use existing laws but are attempting to enforce them more actively.
    
     Most of Asia has very high levels of piracy. China and Indonesia have the two highest levels of piracy in the world. One reason for these extremely high levels is the fact that most income is spent for living and pirated music is cheap and readily available for the individual whose funds for entertainment are limited. Another reason is the lack of action by governments against the piracy.
    
     Asian countries have implemented their own schemes for dealing with the piracy situation. China for example joined the World Trade Organization in 2001 and fully implemented its TRIPS program which sets laws for intellectual property copyright. China also increases raids and seizures and lowered their threshold for applying criminal penalties. The government of Taiwan amended their copyright law making piracy a public crime. Enforcement by law enforcement officers has increased against night market venders and has been quite successful. Many other Asian countries are using similar strategies.
    
     This source like a few of my other sources demonstrates a difference in the effects of piracy on diverse countries around the world. It helps to expand my topic of how piracy has evolved in different cultures.
    
    


 

Hinduja, Sameer, 1978- . Music piracy and crime theory / Sameer Hinduja. 1593321244 (alk. paper) series New York : LFB Scholarly Pub. LLC, 2006.
Call#: Van Pelt Library HV6773 .H56 2006

 

    Toward the end of Chapter two, Hinduja defines what is considered copyright infringement. On pages 33 and 34 he quotes from the United States Copyright Office the rights of an owner of a copyright. These reasons include the right to reproduce the work in copies, to prepare works based upon the original work, to distribute copies, and to perform and display the work publicly. After this brief outline of copyright infringement, he goes into the copyright of sound recordings and digital music distribution.

    Sound recordings have copyrights on the musical work which includes the notes and lyrics and also on the actual recording which is everything that goes into the production of a song written to a medium such as a cd. Hinduja gives examples of music piracy involving MP3s. According to the Recording Industry Association of America (RIAA), the legal concepts are copyright infringement and vicarious liability. A person who makes MP3s available for distribution for example is violating copyright infringement. Vicarious liability occurs when a person who is able to control the actions of a copyright violator fails to do so. To further explain digital music piracy, Hinduja cites numerous examples of legislation and gives a brief explaination of each example.

    In chapter 7, Hinduja talks about how the music industry has struggled with the rise in popularity of the MP3. According to many supporters, the music industry was too late in their embracement of MP3 phenomenon and that they would have experienced a greater increase in revenue had they not spent time trying to combat the "digital music revolution."

    Hinduja also gives advice on different marketing strategies to increase revenue in the music industry. He gives examples of a few musicians and their strategies to market their music. One example he gives is David Bowie and his use of the internet to expand his popularity on a global scale. Bowie offered free downloads for songs off of upcoming albums and also live concerts to fans who visited his website. He also held contests such as opportunities for fans to write lyrics to have the chance to be included on one of his new albums.

     The book provides useful information on the subject of piracy and gives strategies that could be useful to the music industry in order to fight piracy.

     According to the article piracy of records began in the late 1930s and early 1940s when collectors of jazz music began to pirate records that they wanted but were not being reissued. Not much was done to stop these pirates because of the great expense and difficulty of legal action. Pirates were almost impossible to track down because of their frequent address and name changing. The introduction of long playing records aided in the expansion of pirating. These records were cheaper to produce and thus made for more profiting. In the early 1950s bootleg records were being distributed nationwide. One of the major pirating operations was Paradox industries which formed in New York under a man named Dante Bollettino. He marketed his records under the label "Jolly Roger." He basically took over the piracy market. He even had his own place of business in New York City.

    Record companies made many attempted to stop these pirates. In 1952 a case known as The Columbia Paradox case, the record production company Columbia and Louis Armstrong filed a lawsuit against the bootlegging company Paradox Industries and their president Dante Bollettino. Columbia was successful and the case led to the introduction and passing of the Bennett Bill which made record pirating a criminal offense.

     Many jazz addicts and critics said that pirating was not unethical. They said that pirates were just providing a desired work of art to a small audience because the major record companies are not willing to reissue the records. The record companies on the other hand said that some records were pirated even though they were easily obtainable which means that records were not just being pirated on the basis that they were not being reissued. They also said that the pirates were only trying to make easy money by taking works that others had payed full price for.

     This article gives information about early piracy in a form of media that may not have been thought of as being pirated. It helps to explain where piracy started in the music industry and how companies dealt with this piracy which is important to my topic of how piracy has evolved through different forms of music and what was done to combat the copyright infringement.

 

     In this article the European Economic Community council of ministers gives support for audio visual anti-piracy measures. In certain countries such as Germany, France, and the United Kingdom piracy is on the decline because of the strict penalties that have been adopted but piracy from outside countries continues to be a problem. One of these problems is the illegal copying of compact disks using technology known as DAT or Digital Audio Tape machines. Japanese manufacturers began to launch these machines all across Europe. According to the International Federation of Phonogram and Videogram producers (IFPI) a problem with expired copyright works in Denmark could cause pirating problems for other EEC countries.

     According to the article many countries began to propose legislation to combat the piracy. The Dutch for instance introduced a levy on the sale of blank video and audio tapes. The Cultural Commisioner gave proposals for anti-piracy penalties. Other proposals included ways to find and get rid of pirate material, a framework of cooperation between the copyright holders and authorities, and a computerised register of audio visual work. In the UK the illicit sale of cassette tapes has declined due to a rapid decrease in prices. Other countries have implemented prison sentences for up to two years.

     The major problem with the music industry is the use of DAT machines because of their ability to make perfect copies of compact disks in a short amount of time. The music industry wants all imported machines to have an anti-copying device, but the commission does not necessarily agree with the proposal. The commission does not want to put something into place that will ban legitimate copying.

     In Denmark a record company known as All Round Trading are exporting unauthorized cds because of the expired copyright problem mentioned earlier in the article. Certain disks in Denmark were only covered under copyright for 25 years and are now unprotected, but in other countries the disks are still under copyright law. The record company argues that since the disks are on sale in one EEC country they can freely be exported to other EEC states under the Treaty of Rome which allows for the free movement of goods. The Commission believes that the action is clearly illegal whereas the IFPI believes that the case may need to go to court in order to be clarified.

     This article makes reference to early music piracy and strategies that were implemented in different countries to help combat the problem.

  The premise of this article is a study done by the authors which explored seven variables that influence music piracy rates across different countries. The seven variables they looked at were economic development, income inequality, individualism v. collectivism, level of education, intellectual property protection, music CD price, and music market size.

     The economic development factor is one of the most common influential factors for piracy. Researchers hypothesize that the higher a countries economic development, the lower its rate of music piracy. Individuals who are rich have no need to obtain pirated copies of music. They also found that patent protection has a very strong correlation to high economic development. Therefore more developed countries seem to have stronger patent laws.

     With the income inequality factor the authors hypothesized that the rate of music piracy would be greater in countries with higher levels of income inequality. Developing countries usually have a much smaller middle class than developed countries. In an income inequality setting, the higher income groups are more likely to have access to technical devices which can be used to pirate music.

     The authors found that the rate of piracy was greater in some countries that had a higher per capita income than others. They therefore concluded that piracy cannot be explained by only economic variables. They looked at countries that are more individualistic such as the United States and compared them to other countries such as China who have more of a collectivist culture and found that collectivistic countries have significantly higher rates of piracy. Collectivistic societies put a greater emphasis on sharing within a group which could explain the higher rates.

     Another predictor of piracy that the authors used was education level. They explained that people who are more highly educated are more developed both ethically and morally and therefore are more likely to view piracy as an unethical behavior.

     The fifth predictor was intellectual property protection. There is no uniform standard of protection for intellectual property therefore some countries have stricter laws to protect from intellectual copyright infringement. The countries with the stricter laws have lower rates of music piracy.

     The next predictor mentioned was the price of music CDs. In some countries CDs are relatively expensive and therefore not as available to the general public. Because of this people are more likely to buy pirated CDs which are cheap and easier to obtain.

     The last predictor that the authors explain is the size of the music market in the country. They suggest that people in countries with a large music market might see music as a social value and therefore want to enforce copyright laws in order to protect from piracy.

     This article helped me to gain an understanding as to why music piracy rates are higher in some countries but not in others. It  shows a perspective of piracy not seen in more westernized cultures such as the United States.

 

This is essentially the plaintiffs' (Columbia Pictures' et. al.) memorandum of Points and Authorities in Support of Summary Judgement on Liability. Essentially it captures the main arguments of the plaintiffs in Columbia Pictures v. Gary Fung (IsoHunt), a recent development in the bittorrent context. Essentially the plaintiffs claim that the whole purpose of the "Fung websites" is to facilitate and provide users with the ability to search for ".torrent" files which link to trackers hosted on various computers and servers that contain actual content files like movies, etc. Also, plaintiffs maintain that "torrent" files in themselves have no purpose but to link to actual content files. The plaintiffs say that there had been done an "unrebutted" statistical study which showed that "95%" of all the torrents on the "other fung sites", which work hand-in-hand with the main IsoHunt site, are links to copyrighted material. Also important, is the plaintiffs counter to the defendant's (Gary Fung) claim that the Grokster case doesn't apply because unlike in the Groster case IsoHunt does not distribute any product. The plaintiffs' argument is that this claim is invalid because the Grokster case had nothing to do with it being a product as opposed to a service, but rather the fact that the Grokster "induced and promoted" active infringement which thus made Grokster liable for contributory infringement. 

This document is crucial to my research paper. It is the only recent legal document, and at the same time a primary source, directly related to my research thesis of whether government can/should shut down sites like www.IsoHunt.com. I plan to use virtually all of the arguments presented by the plaintiffs in my research paper. By weighing these arguments with various other sources (copyright law, DMCA, Grokster case, Fung's Affidavit) I'll be able to reach some kind of a conclusion in regards to my thesis.

 

This article introduces another argument to support the one that states that pirates can actually be beneficial to the original producers of fashion products. The authors render that pirates are not merely copiers. On the contrary, they often inspire high-end fashion designers in new directions. Specifically, the article cites the example of Fred Nuovo, the designer of the Nokia luxury brand, recognizing his idea of creating Vertu came from pirates who were selling counterfeit Nokia phones with diamonds on them. In addition, the article describes an incident in which Coco Chanel, a high-end fashion designer, used raffia in her collection after her press secretary bought a counterfeit Coco Chanel knockoff outfit that had included raffia trim, a detail the original lacked. If this were to be true, the usually pirated firms are the ones who are pirating from the so-called "pirates." In the conclusion, the article admits that the overall impact on social welfare remains ambiguous and calls for further research into this topic as a whole.

This article adds another argument that is important for my topic: that often producers not only gain financial benefits from pirates, but that they also often take creative ideas and details from counterfeited products. In addition, I appreciate the way that the author notes that the beneficial gains from pirating are still, at this point, ambiguous and that further research is needed to be conducted in order to fully understand the implications piracy has on fashion designers and their revenue of sales.

 

tagged copyright design fashion law piracy by nicoleek ...on 23-NOV-08

 

This is a bill pending in the United States Senate that would broaden the already existing Copyright Act of 1976, extending copyright protection to fashion designs for a period of three years. Under this act, the rather ambiguous terms relating to fashion are clarified. For example, the bill extends protection to "the appearance as a whole of an article of apparel, including its ornamentation." Furthermore, the bill identifies what constitutes the term "apparel," including, "men's, women's, or children's clothing, including undergarments, outerwear, gloves, footwear, and headgear." If a designer wishes to receive the three-year protection, he or she would be required to register with the U.S. Copyright Office within three months of going public with the design. In addition, the bill lists the monetary penalties for any individual who is guilty of copyright infringement under these terms.

            I almost did not include this bill in my project, but I found it very noteworthy how many of my sources referred to this bill. Thus, I found it important to actually read and have in front of me the primary source of many of their arguments. I also think it is interesting to see how designers would be protected under law. I am planning on arguing whether or not designers should have protection under law for their designs, so it is helpful to see an example of how proponents of fashion copyright hope to protect fashion designs.

 

belongs to Fashion Design Copyright project
tagged congress design hull law piracy by nicoleek ...on 23-NOV-08

 

This article's overall argument is that although counterfeiting is a criminal activity, the act of counterfeiting is not always damaging to brands and can actually work to a brand's advantage. The author lists numerous ways in which this is accomplished, such as that it can increase a brand's awareness and desirability in the public's eye. A new way of looking at how counterfeited products help the original is by analyzing who is purchasing the counterfeits. The article argues that the people who buy the fake products are not financially able to buy the original, and that if they were, they would be the first in line to purchase the original. In this way, the increased brand exposure only helps to entice those who are able to buy the original. The counterfeit proves as no competition for the original. Another new piece of argumentation is that it closes off competition. The author notes that high priced branded goods encourage competition at slightly lower prices. Then, the "fake" products are priced as significantly lower prices. Thus, the competition is squeezed out because it is prices out of the top market by the original brand and is unable to compete with the very low prices of counterfeited products.

            I chose this article to use for my final project because it clearly explains that way in which counterfeited products eliminate the real competition for the original higher priced products. This adds a new dimension to my argument because previous articles did not deal with the actual competition of the original producers of fashion goods in the way that this author does.

 

belongs to Fashion Design Copyright project
tagged copyright design fashion law piracy by nicoleek ...on 23-NOV-08

 

This article argues against the thinking enforced by the incentive thesis, which argues for strict enforcement of intellectual property rights against piracy, or imitation. According to this theory, if the original producers are not protected, they will lose the incentive to produce new items. The article states that counterfeiting in fact does not always diminish the original producers' innovation incentives. The author gives two reasons to back up his argument. First, the introduction of copies will increase the amount of money that the elite are willing to pay for the original fashion product. In addition, the fact that a product is being copied will increase the desirability of the product to the non-elite consumers. Because of this increase in perceived desirability, such consumers will believe that the status benefits acquired from owning the product make the product worthy of a purchase. Thus, not only will the elite increase their purchasing of the item, but the non-elite consumers will also more often buy the fashion good. Both increase the producer's revenues on sales of the original, despite the counterfeiting.

This article is important for my topic because it argues against the need for protection against counterfeit products. Here, the consumer is not only the one being aided by the pirates, but the producer, too, is gaining more benefits, in the form of an increase in the revenue of sales on a fashion good, with the appearance of counterfeited products. I think it is important to note that the author specifies the counterfeiting is "imperfect," which increases the desirability of the product, both for the elite and non-elite consumers.

 

belongs to Fashion Design Copyright project
tagged copyright design fashion law piracy by nicoleek ...on 23-NOV-08

 

This article questions why the fashion industry has failed to secure U.S. copyright protection for its designs, despite the rampant view that piracy is an extremely fatal and potentially destructive threat to the drive to engage in creative pursuits. It tracks the film, music, software, and publishing industries, illustrating that such industries have used this argument for demanding increased legal protection. On the other hand, fashion firms and designers have not. The author gives several reasons for his argument. First, the article states that even original producers are sometimes copiers themselves. Different designers at different times set the trends for a season, and all engage in copying at some point. Also, because of the fashion industry's quick design cycle, a firm's position as either copier or originator is constantly and very swiftly changing. Furthermore, the article notes that the fashion industry is dependent on whether or not the consumer is aware of the newest trends. Thus, widespread copying results in some coherence. There is always a range of new designs produced each season, and the counterfeited products make clear to the consumers was is "trendy" at the time.

            This article is important for my overall topic because it gives claim to the argument that lack of protection rights for top designers are actually increasing the sales for these designers' products. Without counterfeiting, the American public will not be aware of what is "trendy," which would result in greater distribution of sales, but less concentrated sales for a particular design. Also, it gives substance to the argument that all designers borrow from one another at some point, for the industry is constantly evolving.

 

belongs to Fashion Design Copyright project
tagged copyright design fashion law piracy by nicoleek ...on 23-NOV-08

 

This article relates the common belief that software piracy is harmful both to the firms and to the consumers. Because of lower profits, with more people buying the copied products, the firms are financially hurt. Because of higher prices employed since their revenue of sales is cut, the buying customers are hurt if they do not purchase the copied products. The model that this article shows, however, suggests that even with significant piracy, firm profits will raise and prices will be lowered for the consumers. In addition, the article calls piracy an efficient "gift-giving" method. In other words, the product is made available to the public to increase its circulation, but it is only given to those who desire the product. The software does not end up being discarded by someone who has no use for it. The author compares piracy to mailing free copies to all computer owners in an attempt by a firm to make his product more well-known. Not only would many of the copies be discarded by those who do not want them in the first place, but the firm also would have had to pay for the copies to be made then distributed. With piracy, the firm receives free advertisement.

            Although this article deals directly with software and piracy, I found that its argument was relevant to my own. Just as pirates serve as free advertisement for the software firms, the pirates in the fashion industry help to circulate news of which are the most current and popular trends. The top designers do not have to pay for copies of their designs to be made known to the public in this way, and they are sure that those concerned about fashion are buying the copies.

 

belongs to Fashion Design Copyright project
tagged copyright design law piracy software by nicoleek ...on 23-NOV-08

     Beginning on page two of this journal article the author discusses anti-piracy technologies that major music labels are integrating or testing out in order to combat online file sharing. Certain copyright protection systems already implemented by Sony and Bertelsman Music Group (BMG) encode CDs with electronic implements so that they can only be played on a CD player. Sony developed their own anti-piracy technology which they called "key2audio." This piece of technology prevented the use of CDs on personal computers and DVD players. A later version called "key2audio4pc" allows for use on computer but not multiple computers. The music label BMG Entertainment used another company known as Midbar technology to develop a program called Cactus Data Shield. This program prevents individuals from reformatting songs into MP3 files so that they can either make copies or make them available through file-sharing. Two other companies Macrovision and TTR Technologies developed different versions of a technology called Safe Audio. Safe Audio Version 2 allows for use in CD players and PC CD-ROMS but adds background noise to the playback sound if a copy is made to the hard drive or a CD burner. Version 3 allows CDs to be played in CD players but not in CD-ROMS. The Safe Audio technology had difficulty selling in the United States due to fear of consumer's negativity towards the product. As a result of this the Macrovision company released the product SafeAuthenticate which allows CDs that are authenticated by the product's software to be copied to the hard drive and played using Windows Media Player.

     In the conclusion of the article the author talks about the fact that technology is constantly becomming outdated and although it is frustrating for the technology industries they have to learn to adapt to the situation. He states that the anti-piracy software and inhibition of recording devices just brings frustration to consumers and retailers. She suggests that Congress should research what has worked and use that to make changes in order to adapt to the time period.  

 

This is a publication by the Ifo Institute for Economic Research located in Munich. The authors are Martin Peitz and Patrick Waelbroeck. Essentially this is a detailed economic analysis of various models concerning the effects of digital copying and secifically pirated digital copies. The paper specifically looks at filesharing networks and analyzes the economic impact. The authors analyze the common claim by record industries and "affected" industries, that unauthorized copying leads to lost profits. The authors present various articles by other reputable sources, and provide analyses of them. In some situations firms do indeed lose profits either directly attributable to piracy or indirectly. However, the publication also cites situations under which digital copies actually increase firms' profits and social benefit all together. Among other things, the paper also provides specific examples of types of goods and state whether producers of these goods benefit from digital copies. 

This source is very important to my research in a number of ways. It provides a third party outlook on the impact of unauthorized digital copies. While some of the issues raised by this publication complicate my research paper, the publication does provide some analyses which provide support for my thesis that government should suspend sites that host/index unauthorized copies of copyrighted content. For example, it mentions that in a certain setup firms do suffer from the existence of copies. Also it talks about how copies limit the monopoly-power of the firm, which in the long run detracts both from the producer surplus and the social surplus as a whole. Careful consideration and analysis of this source will help address my thesis question more fully.

Telecommunications Policy [0308-5961] 28.7-8 (2004). 619-.
tagged film internet movies piracy by milich ...on 18-NOV-08

 

In this article Henry Jenkins discusses the series of events that gradually elevated Japanese animation to prominence in the Western market. He suggests that Japan's allowance of early fan piracy was able to promote international expansion of the cartoon business when its own publicity efforts could not. Early attempts to broadcast Japanese animated cartoons in the US were rebuffed by censor groups who considered them inappropriate, and Japanese cartoons largely disappeared from American television. When videotape recorders became available, however, it became common practice for Japanese and American animation fans to tape their favorite shows and exchange them, circumventing both copyright laws and the limits of television broadcasting. In the US, many of the Japanese tapes were exhibited at science fiction fairs around country, and fan clubs sprang up to collect and translate these foreign cartoons in a practice called “fansubbing.” As Japanese animation gained popularity, some fan groups actually won the rights to distribute Japanese cartoons in the US and began the first legal distribution companies. Eager to see more work imported, fans collectively agreed to stop circulating pirated shows that had been licensed, so as to avoid competing with the official legal cartoons and encourage growth of the foreign market. In addition to fansubbing, fan clubs worked to translate and explain the unfamiliar cultural elements of Japanese cartoons to American viewers. They also worked to identify Japanese cartoons that could be commercially successful in the US. This has resulted in the introduction of new animated genres in the western market, and massive global growth in the industry from 1994 to 2004.

A few ideas here are central to my research.  Jenkins remarks that the Japanese industry's tendency to not interfere with fan practices has largely encouraged its own international growth and innovation. The industry has followed a similar policy domestically, too, largely supporting fan-made cartoons (called “dojinshi”) and using them to promote official work. Moreover, this article emphasizes the commercial advantages of thoughtfully monitoring a trend before taking action for or against it, as the Japanese animation industry has done. The industry has pleased its consumer base and ultimately strengthened itself by exploiting a form of piracy that it could not completely control anyway. In Japan, apparently, new technology is not considered inimical to business, a philosophy that western entertainment businesses might do well to embrace.

 

The purpose of this study was to identify factors that shape the attitudes leading someone to commit digital piracy. While most scholarship has focused on piracy behavior in general and how to impede it, this paper hopes that by identifying these factors, steps could be taken to intercept these attitudes and behaviors, thus reducing digital piracy.  I found the findings interesting when thinking about the MPA's 2005 Piracy report, which identifies statistical information about the average pirate.  This report is critical to my own research as it identifies the attitudes and behavior leading to committing piracy.  If Hollywood were to pay more attention to the behavioral factors that are involved, their fight might be completely different.  
 
One can infer from the results of the study that certain cognitive beliefs, active beliefs (such as happiness and excitement), age and subjective norms influence the general attitude towards committing digital piracy. Key issues at the heart of this study are the attitudes toward digital piracy as well as the study of ethical behavior.
 
The authors introduce two methods that have been instrumental in the current fight against piracy - preventives and deterrents. Preventives are simply that - preventive measures put in place that make it so difficult for pirates in order to wear them out and tire them of the process of trying to commit digital piracy. Deterrents try to persuade you with the threat of legal or other kinds of force so that you don't even try to commit digital piracy in the first place. For example, if you hear about someone who has been prosecuted for illegal file-sharing or downloading you might be less likely to participate know what consequences await you. Piracy losses have increased exponentially, indicating that the above strategies are failing. That is why this report is so important - knowing the factors that influence this behavior could lead to a better understanding and creation of measures to eliminate the threat to copyrighted content. What is also interesting of note is that a number of studies have indicated that a vast majority do not see the act of piracy as a crime or an ethical concern.

At the conclusion of the study, two very important cognitive beliefs were identified by a number of subjects:
-digital media is overpriced or the individual wants to save money
-'i won't get caught'
 
Other important conclusions:
Significant others generally supported illegal downloading, thereby influencing subjects. This was consistently the strongest factor affecting individuals behavior. The majority of people studied did not see the issue of digital piracy as much of an issue. Subjects generally felt excited and happy engaging in these acts. Moral judgement and gender not found to be an influence of people's attitudes.
 
(Please note - I had prepared a much longer citation for this article, however it exceeded the 4000 character limit. I had to cut out the middle unfortunately).

The Motion Picture Association asked L.E.K., an international strategy consulting firm, to conduct a study on the financial losses incurred by the film industry due to piracy. The MPA (the international version of the MPAA) is comprised of seven major Hollywood studios - Buena Vista Pictures Distribution, Metro-Goldwyn Mayer Studios Inc., Paramount Pictures, Sony Pictures Entertainment Inc., Twentieth Century Fox Film Corp., Universal Studios LLP, and Warner Bros. Entertainment Inc.

The overall major statement expressed in the report is that 'piracy is the biggest threat to the US motion picture industry.' I disagree - I believe that lack of innovation is the biggest threat. The results of this report will provide the framework for my own thesis, which is to argue against the idea that piracy will take down the motion picture industry.  The lack of consumer choices and convenience leads to piracy.  This report appears to be pointing fingers in the wrong direction.  Throughout history, Hollywood has been very slow to adopt new technologies - whether they were beneficial to consumers or not. With as much risk as Hollywood deals with daily, any slight change can severely hamper the bottom line. One one hand I can understand their hesitancy, but not their focus solely on fighting piracy. The results of this study will form the backbone for my own research.

In 2004, the MPA appointed L.E.K. to spearhead the study not only to determine financial losses on a global scale, but also to pinpoint the demographics of the typical pirate.

Three major areas that the report focuses on:

-losses due to both 'internet and hard goods piracy'.

-analysis of the cost of piracy as it affects not only the domestic industry, but worldwide as well

-typical pirate profile

Internet piracy is defined in the report as movie goods downloaded from the internet or obtained from a personal source who had downloaded from the internet. Hard goods piracy, meanwhile, takes place in real space - a consumer either purchases a bootleg copy via a commerical source or obtains a copy from a personal source.

An $18.2 billion worldwide loss to piracy was reported. This figure indicates losses to the studios, foreign and domestic producers, distributors, theaters, video stores, and pay-per-view handlers. The MPA studios alone lost $6.1 billion. 80 percent of these losses are a result of overseas piracy. 62 percent represent hard goods losses, while only 38 percent are from the internet. Only seven percent of all digital piracy occurs in the US.

China, Russia, and Thailand represent the top three countries engaging in the most digital piracy (90% China, 79% in both Russia and Thailand). According to the report, piracy rates are determined from 'MPA member company legitimate revenue plus estimated revenue lost to piracy in each market. They are a static snapshot of the percentage of the potential market that is lost due to piracy' (page 6). In other words, the preparers of this report did not take into account any possible market growth if piracy did not exist.

The report also states that the typical snapshot of a digital pirate is male, aged 16-24, and resides in an urban environment.

The countries where the most potential revenue lost is highest are Mexico, the UK, and France. These mature markets ensure higher amounts of revenue compared to still-developing markets like China and Russia. In China's case, the country only allows the theatrical release of 20 non-Chinese films per year, therefore the amount that US studios make there is small compared to the free markets of Mexico, the UK, and France.

LaRose,R . "Share, steal, or buy? A social cognitive perspective of music downloading." Cyberpsychology & behavior [1094-9313] 10.2 (2007). 267-277.
This press release, while short, is one of the only legal responses specifically relating to BitTorrent within the world of peer-to-peer file sharing.  This tells of the conviction and sentencing of one of the administrators of a BitTorrent tracker called EliteTorrents.com.  The FBI took down the site in 2005, and then over a year later, Grant T. Stanley was sentenced to 5 months in prison, 5 months house arrest and assessed a fine of $3,000 for copyright infringement and conspiracy to commit copyright infringement. The importance of this case lies in the fact that it destroys what was considered the best defense administrators of torrent trackers had.  It was assumed that, because trackers do not actually house any illegal or infringing files, that those who ran such sites couldn’t be held responsible for the infringement of users of the site.  Basically, the precedent set in MGM v. Grokster was applied to this case, and it was determined that the administrator of EliteTorrents was inducing infringement, by providing files which could only be used for an infringing purpose.
This shows somewhat new tactic in the fight against illegal file sharing. Rather than going after the makers of individual programs such as in Grokster and Napster, they went after those providing access to the infringing content.  This has a great deal to do with the nature of BitTorrent itself, and speaks to the fact that the potential for non-infringing use is so great, that the MPAA likely would not have thought it worth their time to fight what would have almost inevitably been a lost battle against the technology.  The people who run and even use various torrent trackers are likely a bit more worried than they would have been even a month ago, but those using BitTorrent for non-infringing purposes likely need not worry.

    This article is a guide written by the Electronic Frontier Foundation, aimed at Universities to provide a guide for establishing policies on peer-to-peer file sharing.  One of the primary issues that the article tackles is the line between fighting copyright infringement while maintaining a suitable learning environment and protecting the rights and privacy of the students.  The issue of determining where to draw the line in regards to students privacy versus complying with copyright law is a delicate one that has been faced by most institutions of higher education at some point.  The key, according to the article, is discouraging copyright infringement while maintaining student’s privacy and freedom.  Without actively discouraging infringement, they could face potential repercussions from those who support the school financially or even legal repercussions.  Maintaining privacy for students is important in keeping the respect of the students and creating a working academic environment.  
    The article also goes into a fair amount of detail as to the establishment of a school’s network.  One possible solution offered by the article is the establishment of a school sponsored download service.  There are downsides to such a solution, but it can have a major impact on illegal downloading, if a legal alternative is easily available at no additional cost (other than what comes out of tuition to pay for the service).  Peer-to-peer sharing is a major issue on most college campuses, and with programs such as BitTorrent, it’s only going to continue to grow.  If a university can curb illegal file sharing, it lowers the chance of RIAA lawsuits coming into the campus, which would be bad for everyone but the RIAA.  

belongs to BitTorrent Copyright Research Paper project
tagged bittorrent copyright file_sharing piracy by kylesp ...on 11-DEC-06
    This article by Clive Thompson from Wired is essentially an overview of the history and a glimpse at the future of BitTorrent.  The first part of the article discusses BitTorrent’s origins and its creator Bram Cohen.  Cohen created BitTorrent after a string of unsuccessful projects, when he saw the problems with the current generation of peer-to-peer programs such as Kazaa and decided to make something faster and more efficient.  Although it started out slowly, BitTorrent’s popularity grew immensely in the following years.  The article goes on to discuss what the future of BitTorrent, and peer-to-peer file sharing could look like.  The possibilities of a broadcast industry built around BitTorrent looks to be much more convenient, although more volatile at the same time.  If the television industry were based around BitTorrent, for example, trends could change so quickly that a new show could be canceled, or be signed for more shows, within hours after the initial release of an episode.
    The article also compares the reaction of the MPAA to the flood of movie sharing that has come with BitTorrent to the reaction of the RIAA to the music swapping with Napster and Grokster and the like.  The article considers possible outcomes such as the MPAA adopting BitTorrent technology to provide legal movie downloads, such as was seen with Napster 2.0 or the iTunes music store.  This thought in particular is somewhat prophetic, as just recently Bram Cohen and BitTorrent Inc. have struck a deal with the MPAA.  The history of BitTorrent technology has been one of the great success stories of the information technology age, although depending on whom you ask it could be viewed as one of the worst technologies to hit the Internet.  Whatever opinion you have, it seems BitTorrent will be around for a bit longer.

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tagged bittorrent copyright file_sharing piracy by kylesp ...on 10-DEC-06
This is one of the most important, and one of the only, cases regarding peer-to-peer file sharing and copyright.  In this case, the Supreme Court overturned the previous decision of the 9th Circuit Court of Appeals, and ruled against Grokster.  This, along with A&M v. Napster are the two primary cases regarding peer-to-peer file sharing, and the latter in particular came as a surprise to most who follow copyright and technology law.  The decision of the Supreme Court essentially established the doctrine of intentional inducement of infringement, which enables the creator of a technology to be found guilty of infringement if it is found that the technology itself induces infringement, regardless of any or all substantially non-infringing uses.  This goes against precedent established 21 years earlier in Sony v. Universal, in which it was determined that the maker of a technology could not be held responsible for the infringements of the end-user, as long as the technology had the potential for substantially non-infringing uses.  The 9th Circuit Court of Appeals ruled following the Sony precedent, and thus it was quite surprising when the Supreme Court overturned this.  
Essentially, this is the most recent and important case regarding peer-to-peer file sharing, and thus any predictions for the future of peer-to-peer technologies will inevitably be based at least in part on this decision.  In relation to BitTorrent technologies, the object of predicting the future is somewhat more complicated than with past technologies.  It would seem that BitTorrent technology has the potential for a vast amount of non-infringing use, while simultaneously the potential for vast quantities of infringing use.  There are important differences between BitTorrent and previous peer-to-peer technologies, including the open nature of BitTorrent, allowing a myriad of different BitTorrent clients to interact with each other.  Based solely on the precedent set in Grokster, it seems like it would be impossible to find the makers of BitTorrent applications liable for infringement.

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tagged copyright file_sharing piracy by kylesp ...on 10-DEC-06
This is a report by the Electronic Frontier Foundation on the current state of peer-to-peer file sharing two years after the RIAA first filed lawsuits against its own customers for copyright violation.  The report looks at the effects of the lawsuits, as well as the reactions to the lawsuits from the public.  The report also compares the effects of the various attempts the RIAA has made to curb file sharing over the years.  The first method used was to go after the technology itself, as seen in cases such as A&M v. Napster and MGM v. Grokster.  While these were successful, the file sharers have simply moved elsewhere, most recently to protocols such as BitTorrent and darknet solutions such as swapping music on CD-Rs and iPods.  The second method the RIAA used was to sue students who allegedly gave access to infringing material in the form of search engines which could be used to find and download files.  There were four such lawsuits, and all of them ended in settlement. Following these lawsuits, the RIAA attempted to sue many individual users of peer-to-peer networks by issuing “DMCA subpoenas” which required merely the allegation of infringement to get.  The courts eventually rejected these, due to the efforts of the Electronic Frontier Foundation and other groups.  Finally, the RIAA moved on to the more familiar “John Doe subpoenas” which required them to actually provide evidence of copyright infringement before being able to subpoena for their names from the ISPs.  Despite these many tactics, the results have been the bad for both the public and the RIAA.  Peer-to-peer file sharing has continued to increase and the overall public opinion of the RIAA has been greatly tarnished.  Suing 12 year olds and 74 year olds alike, the RIAA has thus far been unable to curb illegal file sharing.
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tagged bittorrent copyright file_sharing piracy by kylesp ...on 10-DEC-06
This paper is the result of a study conducted as a collaborative effort between the University of California Riverside and Cooperative Association for Internet Data Analysis at the University of California, San Diego.  The study was initiated in order to test recent media claims that peer-to-peer file sharing had dropped sharply following the RIAA lawsuits against peer-to-peer users.  This study stands out from previous studies, such as those used by the media to make the aforementioned claims, in that it measured traffic on all known peer-to-peer protocols, rather than focusing only on what the media considered the most popular (Kazaa, Grokster and the like).  In essence, the study is a much more accurate look at peer-to-peer traffic and popularity, and completely refutes the media claims that the RIAA lawsuits had had a cooling effect on file sharing.
The main finding of the study was that contrary to media claims peer-to-peer traffic had never declined.  They claimed that the findings on which the media had based their reports were inaccurate due to the migration within peer-to-peer traffic towards more complicated protocols such as BitTorrent.  The ability to trace and measure peer-to-peer traffic within the more basic protocols, such as those used in Napster, is much simpler than with BitTorrent.  The ability to change ports, and the lack of a centralized server makes it very difficult to get accurate data using outdated methods.  This report is extremely relevant to the topic of BitTorrent within the peer-to-peer world, as it shows the dramatic increase in BitTorrent traffic in the wake of the RIAA’s lawsuits against users.  It shows that the lawsuits seem to have little to no effect other than to give the RIAA a negative reputation among the general public.  

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tagged bittorrent copyright file_sharing piracy by kylesp ...on 10-DEC-06
This is an interview of John Hughes and Jennifer Rich of Townsend and Townsend and Crew LLP conducted by FindLaw took place before the Supreme Courts reversal of the original Grokster decision.  In the interview, a proposed congressional bill entitled “Inducing Infringement of Copyright Act of 2004” is discussed.  Senator Orin Hatch, following the initial ruling in favor of Grokster, proposed the bill in question.  The bill would have created a new doctrine of intentional inducement of infringement, making it possible to find the inducer of infringement as guilty of infringement himself.  This was essentially aimed at directly reversing the Grokster decisions, but had the potential to have much more broad and sweeping effects.  FindLaw indicates in the interview that many worried this bill could be used to overturn such landmark cases as Sony v. Universal (1984).  The interviewees admit that, as the bill was written, that was certainly possible, and they suggest possible amendments that could clarify the intent and reach of the bill.
Looking back, it is interesting to note that, while the bill eventually died, the Supreme Court basically applied the bill when they overturned the original Grokster decision.  The Supreme Court’s decision in Grokster was based on this doctrine of inducement of infringement, and just as people worried that this bill would be too broad and reaching, so do people worry that the Grokster decision could be interpreted to negate the Sony decision.  The Grokster decision is of great importance to the future of peer-to-peer file sharing, although there have not been any major movements since the decision.  The fears of broad interpretation have also been, as yet, unrealized.

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tagged bittorrent copyright file_sharing piracy by kylesp ...on 10-DEC-06
This article, by Andrew Leonard of Salon.com, comments on the current state of copyright law, highlighted by two stories that had come out recently.  The first was about a new technology from a digital tracking and security company called BayTSP that claimed to be able to identify the first person to upload infringing materials to a peer-to-peer file-sharing network such as BitTorrent.  The other involves the plight of a documentary called Eyes on the Prize.  At the time the article was written, it was illegal to broadcast or distribute the documentary, due to the fact that the rights to archival footage used in the documentary had expired, and were too expensive for the filmmakers to secure easily.  Despite the important educational nature of the film, copyright law was preventing it from being seen, and thus a group decided to digitize and distribute the film via BitTorrent.
The argument of the article is about the counterintuitive and counterproductive nature of copyright law, and how the copyright holders go to great lengths to ensure that it remains this way.  Leonard also seems to be certain that these measures taken by the likes of the RIAA and MPAA such as employing spiders like the one created by BayTSP will not curb the file sharing and piracy.  The file sharers and pirates seem to be perpetually one step ahead of the copyright holders, and it is hard to feel sympathy for the copyright holders, when those copyrights are preventing important films such as Eyes on the Prize from being seen.  BitTorrent is clearly growing in popularity and prevalence, and this article makes it clear that copyright industry is already working to curb infringing use of the technology, so the question then is: what will be the next move for the file sharers.

This piece is a brief on behalf of a group of computer science professors in support of Grokster in MGM v. Grokster (2005).  Their argument centers on the nature of the Internet, and how peer-to-peer file sharing is essentially just an extension of this basic model.  They argue that the United States Government’s definition of the internet is inherently flawed, and that the ability of any participant in a network to act as a client is both intrinsic in the design of the internet, and the key characteristic of peer-to-peer file sharing networks.  Their second main argument is in regards to what they call the end-to-end principal, and challenges the assertions that regulating and checking for infringement should be built into a network.  They assert that forcing networks, such as peer-to-peer networks, to build filtering into the network itself forces them to build inefficiency into the network.  The best and most efficient networks use the end-to-end principal, which states that most functions should be provided at the ends of a network, rather than in the network itself.  They state that this is one of the most important principals in network design, and one that underlies the internet’s own design.
The arguments presented in this brief provide another way to look at this ever-important case regarding peer-to-peer file sharing.  Rather than focusing on legal or even moral standards, such as in the Creative Commons brief also included in this bibliography, they argue from a technological viewpoint.  The idea that forcing networks to build inefficiency into the networks goes against the design of the internet as a whole is interesting, although perhaps not entirely convincing.  Certainly the Supreme Court did not find it convincing enough, as they ruled against Grokster in the end.  Despite this fact, this brief provides a unique look at the design of the Internet and how peer-to-peer file sharing networks are simply extensions of this basic design.

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tagged bittorrent copyright file_sharing piracy by kylesp ...on 10-DEC-06

This piece is a brief written by Lawrence Lessig in his capacity as counsel for Creative Commons in support of Grokster in MGM v. Grokster (2005).  The argument presented in the brief essentially deals with the issue of free speech enabled by peer-to-peer software such as Grokster.  Essentially, it is argued that due to the high costs of traditional file distribution technologies such as FTP, the ability to host large files such as videos is limited to larger corporations that can afford to do such.  Peer-to-peer software, on the other hand, enables individuals and non-profit organizations, for example, to distribute larger files without incurring excessive fees.  Lessig argues that, should Grokster be held responsible for the copyright infringement of its users, it will limit the ability of non-infringing users to engage in this specific type of free speech.  Many examples are given, one such dealing with the aftermath of the Indian Ocean tsunami in 2004.  Many amateur videos were taken following the disaster, and only through peer-to-peer file sharing were these videos able to be made public, as the cost of traditional file distribution would have made distribution infeasible. and Creative Commons worry that such legitimate uses would be jeopardized if the Supreme Court ruled against Grokster.


This brief is of great importance to my topic.  There are currently very few cases dealing with peer-to-peer file sharing, and this gives another look at one of those.  While it seems that the Supreme Court disagreed with Lessig and Creative Commons, as they ruled against Grokster, it is nonetheless an important in insightful brief.  The issue of free speech is not what usually comes to mind in regards to peer-to-peer file sharing.  This brief provides a multitude of examples of the legal uses of peer-to-peer file sharing, including BitTorrent, and how ruling against Grokster could impede and severely limit such uses.

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tagged bittorrent copyright file_sharing piracy by kylesp ...on 10-DEC-06
Today, piracy refers more commonly to the prohibited copying and distributing of software rather than to the hijacking of ships on the seas. With the advent of the Internet and the globalization of world economies, businesses and individuals alike have turned online to expand their customer base. Simultaneously, software pirates have seized this opportunity to produce and sell illegal copies of copyrighted material, especially in video and computer games. Still, the complications of copyright infringement are augmented by the diversity of governing laws in countries around the world. In part due to international game play and the mainstream use of the Internet, future game products will focus on Massive Multiplayer Online Role Playing Games (MMORPGs). In these games, players assume characters in virtual worlds. Such online communities are already developing their own rules and economies, as witnessed by the trading of virtual goods with real currencies. As a result, game companies have encountered new legal territories of copyright infringement and anti-circumvention regulation. It will become imperative to examine how legal rights and laws in the real world will affect these virtual worlds in the future. The development of game copyright laws will be fueled by efforts to combat game piracy, to drive innovation and technology, and to compete with globalization of world economies.

In the 1999 case Sony Computer Entertainment America, Inc. v. Gamemasters, Sony sought a preliminary injunction on Gamemasters’ distribution of accessories for the Sony Playstation game console. Sony alleged that Gamemasters violated anti-circumvention regulations of the Digital Millennium Copyright Act (DMCA) as well as state and federal unfair competition laws. Gamemasters, a retail store in California, was sued for selling a game enhancing device. The court granted the injunction and essentially eliminated all sales of such devices by Gamemasters.

This external device performed two primary functions when plugged into the Playstation game console. First, the game enhancer allowed users to temporarily modify aspects of the game, similar to the Game Genie, manufactured by Galoob Toys for use on the Nintendo. Nintendo v. Galoob Toys, as decided in 1992, declared that the Game Genie was not in violation of copyright laws as it was not a derivative work of the Nintendo console and the Game Genie was a fair use of the Nintendo game system. Second, and most importantly, this game enhancer permitted players to play Playstation games sold in Japan or Europe which were intended by Sony for exclusive use on Japanese or European consoles. The game discs contain electronic check codes which are checked by the console when inserted. Discs with codes that do not match the region in which the console operated were rejected. The game enhancer overrode this protection.

By invoking the DMCA, Sony stopped the use of potential copyright and trademark violating technologies. However, critics of the DMCA noted that this decision also allowed Sony to continue its controversial business practice. Sony divided its game distribution and operations into separate international regions. By disabling games from one region to be played in another, authentic Sony Playstation games played in one part of the world suddenly became illegal versions after crossing borders. With increasing video game products offering multiplayer and global competition, these restraints pose legitimate threats for the future of fair gaming, especially online games. Such restrictions enabled Sony to protect its anti-competitive business model and possibly promote price discrimination between different areas of the world.

            This essay describes what an MP3 blog is, and how record labels want to capitalize on the promotion that they provide while fighting file sharing at the same time. The essay discusses the types of copyright infringement and fair use and how they apply to MP3 blogs, as well as the factors that cause the court to view MP3 blogs more favorably than peer-to-peer networks. It discusses law suits against Napster and also by the RIAA against peer-to-peer users.  The article explains what establishes liability for infringing use, and the different expansions of the Copyright Act which have been brought by copyright owners in addressing new technologies. It then discusses some of these acts and gives some examples of violators. The next section explains the defense used when copyright owners bring suits, which is fair use, and it lists and describes the four factors in deciding fair use on a case by case basis.

 

            This essay incorporates basically every aspect of my research into why copyright holders are willing to waive certain copyright in cases such as MP3 blogs, while they continue to fight against much of new technology such as peer-to-peer services. It describes what MP3 blogs are and how they are used and different sites that can link to the unauthorized music.  It shows what the copyright holder needs to look for in order to bring a suit against infringing users, and also explains how the user of the work can try to use fair use as a defense.

            This is a long essay about corporate power in the music industry. The argument is that cross-ownership in the media tends to reduce competition and increases profits, in turn, forcing music production to become increasingly uniform and profit driven, and harming artistic expression. It has descriptions of corporate sponsorship, and the loss of diversity. The next section is about Clear Channel Communications, and how the consolidation takes away jobs, excludes a large variety of music, and provides listeners with a biased source of information. Next, is the analysis of a recent hit, which examines the predetermined song structure which results in homogenized music and play lists, this is called the sound of corporate music. The conclusion suggests that a number of musicians would prefer to circumvent the bureaucratic systems of the industry, and that in order to preserve the artists ability to express sometimes controversial and diverse views, that musicians and the population at large would prefer legislation that moves away from monopolies.

 

            This article is relevant to my research in finding out why copyright holders are willing to waive some of their copyright in such cases as MP3 blogs, which often involve unauthorized downloading of copyrighted work. In the conclusion of the article, it suggests that a majority of musicians are not so upset about free downloads and many who are independently minded, support distribution systems that are not connected with the industry devotion to profit. Some artists who want to make more controversial material release it for free on the internet. It also suggests that this is a reaction to media consolidation, and provides some argument that more copyright control leads to the growth of monopolies, and the limiting of new technology and expression.

            This article is written by Cary Sherman, president of the RIAA as a response to a speech by Consumer Electronics CEO Gary Shapiro in which Shapiro stated that downloading off the Web is neither illegal nor immoral. Sherman says that statement is wrong and misleading. Shapiro says that legal downloading from record companies and legitimate online music companies is fine but there is a problem with unauthorized downloading of copyrighted material, and sites Title 17 of the United States Code. Sherman writes that the fair use argument employed by Shapiro makes falsely seem as if copyright owners are against fair use, and that the fair use claim is unsupported when it comes to unauthorized use. Sherman argues against Shapiro's claim that downloading is different from taking a tangible property by writing that both owners have been deprived of something of value. Sherman refutes Shapiro's use of the first amendment and also says that companies are in fact aggressively pursuing a more flexible business model that does take advantage of new technology. Shapiro writes that the industry using technology and the internet is beside the point and that the real issue in what Shapiro is saying is that "digital stealing isn't really stealing" and the last thing we need is more polarizing rhetoric.

 

            For my research on why copyright holders are willing to waive copyright in some instances such as MP3 blogs because the new technology has benefits in promotion, this article is a firm example of the view from the record labels about copyright law and internet uses. It is written by the president of the RIAA, Cary Sherman and gives an argument in favor of strong copyright law, and a rebuttal to a speech by the Consumer Electronics CEO Gary Shapiro in favor of weaker copyright law. It provides the viewpoint of the music industry about downloading, but it is interesting in that it does not mention anything about record companies such as Warner who at times chose to solicit certain independent blogs and will send the bloggers music with the hope that the blog will help promote the record label's artist for free.

            This is a speech given by Gary Shapiro, the President and CEO of the Consumer Electronics Association about growing tension between copyright owners and new technology. Shapiro speaks about how new reproduction technology and transmission technology has increased the fears of the music and motion picture industries. He draws parallels to new technology in the past such as the VCR, and CD and cassette recording. Today with mass availability of copies of music and movies, the content community has used congress, courts, and the media to challenge new technologies. Shapiro says that he believes that hardware and software companies have an interest in working together to see more products,  and that they can misuse source protection and DVD encryption to sell more products while limiting new technologies. Shapiro says that lawsuits have shut down file -sharing services, threaten peer-to-peer networks, challegenged as illegal devices which allow consumers to skip commercials, and has subpoenaed ISPs to identify downloading subscribers. Congress has introduced legislation that will require technology to be shaped by a government-mandated copy protection system. Shapiro comments on the language used by Hollywood and the music industry using words like "piracy" and "stealing" to describe downloading. Shapiro asserts that downloading is neither illegal nor immoral. He says that downloading is not taking away a copy of the product from someone, and in some cases helps promotion. His principles for policymakers to follow ask that a very high amount of evidence be found before restricting technology.

            For my research on MP3 blogs and why copyright holders are willing to waive some of their copyrights and allow the blogs to post their music this speech shows a view which is far to the fair-use and weak copyright law. It is clear support for allowing the new technologies and the internet to be created and exist, and for there to be significant evidence of a negative effect on the copyright holder before the technology is restricted. The key line by Shapiro for my project is when he submits that downloading off the Web is neither illegal nor immoral. He sites fair use as being given on a case by case basis and that in many cases of downloading the use has "been shown to be neutral or beneficial to the copyright owners, and have either been tolerated or accepted as fair use." He also discusses how downloading can even lead to further sales, when people buy the whole CD from the song he or she heard on the internet.

    In Chapter 5 of Free Culture, Lawrence Lessig lays out anecdotes and archetypes of all manner of piracy.  The duplication of copyrighted CDs and DVDs in foreign markets is touched upon, but one of the main salient points is his defense of Peer-to-Peer file sharing networks, the groundbreaking networks and servers which made Section 512 absolutely necessary and the rulings on which still protect YouTube from harm.

    One of Lessig’s major talking points is his attribution of the four archetypal uses of P2P networking: stealing music, sampling music before buying, access to abandonware or other copyrighted content that is no longer available by traditional means, and those who search for content that has no copyright or a Creative Commons license and is meant to be shared.

    This is a highly utopian view of both P2P networking and the internet, but at the very least interesting to consider.  Lessig goes on to discuss drops in CD sales and later Jack Valenti’s ridiculous claims about VCRs as “tapeworms,” just waiting to drive the industry down.  If anything, the VCR and file-sharing networks both paved the way for the kind of content generation and also server networks that my final project will use and draw attention to.

The Digital Media Consumers’ Rights Act of 2005 proposes greater care taken by the music industry in letting consumers know the types of digital rights management included on compact discs that they buy.  It mentions increasing consumer dissatisfaction with current DRM practices, as well as general confusion by the mass public about the majority of new innovations in DRM technology, many of which are implemented without consumer’s knowledge.

    It finds most discs to be inadequately labeled with copy-protection warnings, and assures that it is deemed deceptive and unlawful for compact discs to be sold with inaccurate advertising of their digital copyright restrictions.  In this case, certain discs with copy protection must be clearly labeled that they are not, in fact, regular audio compact discs and that they may not be able to be played in some devices capable of playing compact discs.

    This law can only serve as support for the anti-DRM movement, which would find it even easier to warn people about DRM if items such as this were clearly labeled.  This is legislation concerning a number of digital restrictions that already exist in other formats, but are being brought to light more because of a lack of implementation of these technologies at their outset.

"Piracy battle a global one, Shiner tells AFM attendees." Hollywood Reporter -- Internaional (2005) Vol. 391 Issue 37, p96-96, 1/3p

This article from the Hollywood Reporter describes the message given y Josette Sheeran Shiner on behalf of the US Secretary of State at the American Federation of Musicians.  Shiner states that international intellectual property protection is important for everyone, not just studios in Hollywood.  Shiner states that the problem of intellectual piracy is rampant in the world in nearly all sectors, not just entertainment.

            Shiner credits the MPA for its work protecting film products, but she states that the problem is much broader than the ‘audiovisual sector.’  The same problem that exists with intellectual piracy in film also exists with “manufactured good from baby foods to automobile parts,” Shiner states, highlighting the need for better protection.  In attempts to strengthen protection of US goods, the United States has joined APAC and the G8 with hopes of timely positive results.

            As countries develop protection against piracy, Shiner claims that they tend to strengthen their own investment and brand names as well.  Shiner refers to China as a region in which positive progress has been made to protect intellectual property with encouraging results.

            This article points to the fact that countries that better protect intellectual property, better protect their own property, and in turn help cultivate it.  Intellectual property theft is extremely common in China and as steps are taken to protect rights, brands and exports are cultivated and delivered to the rest of the world.  Piracy in China has greatly hurt the Chinese film industry however, as law enforcement of intellectual property improves, the cultivation of film improves.

            American cinema benefits from this through distribution and potential value for American remakes of movies.  Few mainland Chinese movies are released in America due to the lack of quality from extensive piracy.  However, once practices change, both China and the United State can greatly benefit from better product production, distribution, and authorized adaptation.

    This section of US Copyright law outlines violations of copyright-managed systems, such as bypassing digital rights management and producing a copy of a video in another format.  This makes it illegal for consumers to bypass encryption that restricts content, for instance, to one device for purposes of moving the same content to another.  The law also includes information on the Librarian of Congress’ selection of a class of bypassable works, exemption for educational institutions, and what construes technological violation of copyright encryption.

    Section 1201 also states that no outstanding violations of this section will hinder a defendant’s fair use argument.

    This section of US Copyright law is particularly salient as in order to create my project, I will be bypassing both DVD encryption codes and any DRM embedded into the music used for the piece.

    These are both clear violations of Section 1201.  However, were my project ever to come under copyright scrutiny, I would hope to find protection under this violation being carried out within an academic institution, for purposes of parody, and creating a transformative video which falls neatly under fair use exemption.

    This is also important because for the vast majority of videos on YouTube that contain copyrighted content owned by major corporations, that content has been captured from a source which implemented digital rights management, and thus the uploaders have infringed upon Section 1201.

This is a copy of the lawsuit Universal filed against MySpace on November 17, 2006, in the United States District Court of Central California.  In the suit, Universal claims that MySpace is guilty of copyright infringement.  Universal claims that the songs and music videos shown on MySpace are done so illegally and without permission from copyright holders.  Universal uses Jay-Z as an example in their case against MySpace, saying that songs from his new CD, "Kingdom Come", are available on MySpace even though, at the time the suit was filed, the record had not been released.  Universal says that MySpace is well aware of the copyright laws that it is breaking and continues to support the "user-stolen"content distributed on the site.  They also say that MySpace knows that they don't have a liscense from the copyright holders of the songs and videos it distributes.  The proof, says Universal, lies in the agreement each MySpace user makes with the site that gives MySpace control over what can be done with the content.   Universal says that MySpace knows that these are not the real copyright holders, and yet continues to show infringing content without permission.

This case is extremely relevant to the YouTube copyright discussion.  First off, it could convince MySpace and other similar sites to follow YouTube's lead and strike revenue sharing deals with major studios.  The YouTube business model would then be seen as a blue print for similar companies, and this in turn would help shield YouTube and other sites from future lawsuits.  However, this case could end up hurting YouTube.  Universal claims that since MySpace edits and posts much of the content on the site, they are knowingly infringing upon the copyrights of the videos and songs available on their site.  Although YouTube's users do much of the posting and editing, YouTube itself still edits user content.  If the courts buy Universal's arguments, YouTube could be in grave danger of future lawsuits.

belongs to YouTube copyright project project
tagged copyright law music myspace piracy universal youtube by dageorge ...on 27-NOV-06

This is a news item, which discusses a list of four exceptions provided by the Library of Congress, which may be legal ways to circumvent the arm of the DMCA (Digital Millennium Copyright Act) and allow limited impunity to bypass some forms of copy protection. In relation to the theme of Video Game Copyright law, it is perhaps not a hugely relevant list of exceptions, but it does effectively illustrate that there is somewhat of a gray area in the Emulator/ROM issue.

The exceptions themselves include Internet filtering lists, programs protected by a dongle (any type of hardware device which is necessary for activation), programs in obsolete formats, and ebooks, which do not contain accessible features for disabled people. While this type of “legal” circumvention of DRM measures does not create the huge impact for those who wish to see copyright restrictions loosened, it may possibly have rejuvenated the emulator debate among its proponents. The vast majority of the emulators that exist in downloadable formats on many Internet sites are made from older video game consoles that have been long out of production. The ROMs that the emulators run are ripped from games that are likely older than a great portion of those who download them. It is this very argument through which many form the moral justification to download and play these ROMs. Such an idea could even be expanded into one about the promotion of arts and sciences, or the cultural benefit of generations too young to immerse themselves in the classic games.

The article uses the short reach of these exceptions as a way to illustrate the need for more rights to be given. The author makes the point that the Library of Congress has found itself in the unique position of being able to “poke the law” and get the attention of the Government and bring these issues into light. Being from a technology-oriented site, the article is clearly in favor of loosening restrictions. However, it is not so much a call to arms as it is a reporting of the exceptions themselves as they were released. The author’s point of view is apparent and he uses the news to bring up the questions about its possible impact on the emulation debate. There is perhaps no issue that is of more importance to the subject of Video Game Copyright than this. It is through this debate that the future of the industry will transform.

tagged Emulators Piracy ROMs Video_Games by jbaxter ...on 02-AUG-06
This is a news item that discusses a rumor that had been going around the Internet around fall of 2005. It was regarding a possible DRM (Digital Rights Management) measure for which Sony had acquired a patent. The belief immediately became that this technology would have been incorporated into the upcoming Sony Playstation 3 video game console.

Sony, because of its extensive activity in the courtrooms has garnered somewhat of a reputation for being DRM fanatics. However, when this rumor began to spread, it created an intense wave of negative backlash to Sony and perhaps to the DRM argument itself. The rumor in question was that the Playstation 3 console would have a technology that would leave a type of electronic signature on each new game disc that was placed in the machine. From that point on, the game disc would be playable on that machine and only that machine. The implications of that would have been enormous. People would not be able to loan games to their friends. Rental outlets would not be able to carry Playstation 3 games. If one were in a situation where the console needed to be replaced, that person’s entire library of games would be unplayable. And it would be the complete elimination of the used game market.

Fortunately for consumers, and Sony itself, “rumor” is exactly what it was. Sony recently made it very public that the rumor was not true. Perhaps it was a competitor who started this since interest in the Playstation 3 seemed to drop for a time due to the backlash. However, the patent for the supposed technology itself does indeed exist. It would not exist if there were not a desire by some to incorporate it. It is no secret that Game Makers have been attempting to exercise control of not only the intellectual property aspect of their software, but also its physical format. If the other video game consoles also adopted these measures, you would more than likely see alternatives such as acquisition of the games as downloads through their respective online features. Perhaps such a measure would have been tempting to Game Makers who saw the benefits of phasing out physical copies of their games as a way to cut production costs and maintain tighter control over its distribution. Cases involving the reverse-engineered production of Emulators were ruled as a fair use because the physical extraction of the object code stimulated activity for the public good. To be aware of how easily their work can be infringed (in their eyes anyhow), there is no denying that this is the ideal direction in which the industry would like to lead. It would be their proverbial check against the blows that have been dealt to them in unsuccessful litigation.
tagged DRM Piracy Video_Games by jbaxter ...on 02-AUG-06

This is a short news item about the DMCA (Digital Millennium Copyright Act) backlash against modification or “mod” chips. Any relatively recent console system has embedded unto it, a DRM (Digital Rights Management) chip, which prevents pirated or counterfeit copies to played on the system. A mod chip is essentially a chip designed to replace that DRM chip that will in turn allow the user play out of region copies of games and consequently, counterfeit copies.

This particular item focuses on a Hong Kong-based online software store. The crackdown on the mod chips which the site sells, seem to have been legally strong-armed by joint lawsuit filed by Microsoft, Sony, and Nintendo. The article serves to illustrate how DMCA-like measures are occurring not just in the United States, but also around the world. The author quickly relates the aforementioned lawsuit to the renewed vigor of the Video Game Industry to stem piracy in the aftermath of the DMCA. It also effectively puts into perspective the point of view of the industry, which sells heavily equipped hardware at a loss, which is ideally made up in software sales. The effect of piracy is not a mere nuisance but something that insidiously chips away at the infrastructure of its very business model.

It is the somewhat personalized perspective of this article brings which makes it applicable to the predominant theme of the copyright issues pertaining to video games. While viewed in the context of a research item, it is limited in the amount of information it gives and is more in the area of food for thought. However, it is a piece through which perspective is gained. In this case in the near peril of the site Lik-Sang.com, which at one time was one of the world’s leading distributors of mod chips. Its struggle against the so-called “Goliaths” of video games was one that showed how these measures affected the supposed “pirates” which they had gained the reputation of being. Suddenly, the anonymous pirates and counterfeiters seem more anthropomorphic. The article makes reference to a similar lawsuit brought about by Sony against a retailer in Australia that was ruled in favor of the retailer. This contrast effectively illustrates a primary point in the whole debate in regards to the inability for international law to come to any consensus. International law is very disparate as far as the acceptance of the devices. In light of that, anything that sheds light on the global aspect of the mod chip crackdown is a ripe subject in terms of video game copyright.

tagged Mod_Chip Mods Piracy Video_Games by jbaxter ...on 02-AUG-06

This is a journal article, which is a comprehensive look at the Video Game Emulation debate. Its layout is filled with loads of historical facts and analyzes the nuances of the debate in several chapters according to each aspect. In spite of the heavy loaded nature and its plethora of facts and technical data, it does all of this to arrive at a conclusion regarding the suggestions of the authors towards finding an amicable way to solve the legal disputes surrounding copyright infringement.

Its argument is not established early on in the article, but it lays the groundwork for it by setting the debate itself into context. It begins by explaining exactly why there is a need in the first place for the emulators and how the emergence of these have only been magnified by the rise of the Internet and peer-to-peer networking. Then it devotes some chapters to examining the methodology and technical data that brought the emulators about. The economic ramifications are also discussed, at which point the direction moves towards the points of views of both sides of the debate. Several cases are cited examining the potential legality or illegality of the practice. Finally, it arrives at its conclusion, which gives the authors’ strategy for issues.

The argument given is quite adamantly against an RIAA (Recording Industry Association of America) type of attempt at simply eliminating the emulation community through endless litigation and bullying tactics. It also makes the case that Game Makers should embrace emulators by recognizing the consumer need and actually meeting that need themselves instead of persecuting the individuals from the outside who have taken the initiative to do it for them. Moreover, the claim is made that customer loyalty would be recaptured. The support of backwards compatibility among gaming consoles is another major suggestion placating consumer ennui and possibly extending the longevity of the product itself. A plethora of statistics is also given to solidify its points.

So what does all of this have to do with Copyright Law, specifically related Video Games? Much of it does, and much of it is technical data and statistics that is, perhaps inconsequential to the legal debate itself. Ultimately, the article serves as a well-researched cornucopia of information about the subject. The overarching theme of this is how legality is either upheld or circumvented in the industry. Piracy and copyright law go hand in hand. The arguments made by the authors are conventional ones, views more than likely anyone outside of a Game Developer’s office would hold. However, its methodology is very precise. It cites information in a very unbiased way and allows the reader to make up his/her own minds. This results in a very different experience for individual readers, yet at the same time brings the debate into the frame of mind that it wants. While probably more fact and data-oriented than the casual reader may care to stand, it accomplishes what it sets out to do in a very efficient way.

This was a landmark case in relation to the debate over Emulators. While taking place before a time when people downloaded illegal ROMs (Read Only Memory) on the Internet to play reproductions of classic video games, the argument here would be perhaps the most material one related to the subject. It was argued over Software Publisher Accolade’s practice of manufacturing unauthorized game cartridges for Sega’s Genesis video game console. Accolade did not wish to pay the heavy licensing fees that Sega was charging for official authorization, so they instead purchased Sega hardware and software and reverse engineered the console and “cracked its code” allowing them to produce and sell their own Genesis-compatible games (the first of which was 1990’s “Ishido” which was a game they converted from its original Macintosh and IBM PC release.) A district court found in favor of Sega, but it was appealed and overturned by the US Court of Appeals, 9th Circuit.

The important precedent set in this case was the fair use judgment involving the disassembly of copyrighted object code. According to the Judge J. Reinhart, “Where there is good reason for studying or examining the unprotected aspects of a copyrighted computer program, disassembly for purposes of such study or examination constitutes a fair use.” This decision essentially gave a validated legal existence to Emulators as well as the right to distribute them. This specifically refers to the Emulators themselves, which were created by reverse-engineered object code of the hardware of the original video game consoles. The ROMs used to play on the Emulators however, remain illegal to distribute even to this day under the DMCA (Digital Millennium Copyright Act.) However as established in other landmark fair use cases such as Sony Corp. of America v. Universal City Studios, Inc. simply providing the means to an infringing activity does not constitute an infringement itself. It is this method of argument that the Judgment seems to draw its endowment. The aim of stimulating activity for the public good qualifies object code as a fair use.

It is this very judgment from which the very crux of the pro-emulation side draws its argument. Even after the implementation of the DMCA, a person who is able to establish him/herself as a developer or an associate of one is legally permitted to create backups of game software based on the premise that they are extracting the code for either educational purposes or for providing the basis for an entirely new work. This is a very important concept in relation to Video Game Copyright Issues because serves as a prime example of what one is able to physically extract from products they pay for and own. To know that what transformative works may have resulted from that extraction is protected is key to understanding the intricacies of the emulation debate. That debate may pave the road for the future of the industry itself.
tagged Emulators Fair_Use Piracy Video_Games by jbaxter ...on 02-AUG-06
Reverse engineering is a common practice among those tech-savvy enough who wish to extract the source code from software or hardware. Even under the DMCA (Digital Millennium Copyright Act), such a practice is considered a fair use as long as the individual can demonstrate that they have legitimate interest in it such as being a game developer who wants to use it to create some kind of transformative work. However, this particular case, a 2006 appeal, brings to front the exception that negates this defense.

Davidson & Association (better known as Blizzard) are a software company who have developed many popular PC Video Games (Diablo, Starcraft, Warcraft, World of Warcraft.) Blizzard provides means for game players to play against one another through a specialized server whom authorized purchasers of their games are provided. This access is carefully safeguarded through a process involving an End User License Agreement (EULA) and a Terms of Use Agreement (TOU). These agreements are prompted to users before installation and applicable to this case, they strictly prohibit reverse engineering of any kind with their software.

This brings us to the defendants, Internet Gateway. In spite of these agreements, they reverse-engineered Blizzard software to create a type of emulator called the Bnetd Project, which was a namesake nod to “Battle.net,” the name of Blizzard’s server. The Bnetd software allowed users to run the online features of official Blizzard software on servers that they created themselves, in essence, bypassing Battle.net. The fair use defense of Bnetd failed even on the merits of its own arguments. What perhaps was its main defense was that Bnetd still required the official Blizzard software to operate. It may have been an argument on the possible lack of effects it would have on the market, but at the same time, it allowed potential pirated copies to enjoy benefits that would have otherwise remained exclusive to paying customers. The onus was on them to demonstrate how their software could provide legitimate non-infringing uses.

Indeed the law agrees that simply providing the means to commit infringement does not constitute infringement itself. However, no other use could be justified seeing as Bnetd existed only for the single purpose of infringing on the Blizzard licensing agreements. The standards for finding a fair use simply did not apply in this instance. The significance of this case is its demonstration of the power of the EULA and TOU. The court did uphold them as valid enforceable contracts and even went so far as to point out that Blizzard had placed the agreements on the outside packaging of the software, which also guaranteed a full refund within 30 days if the purchaser did not wish to comply.

In relation to the overall scope of Video Game Copyright Issues, you begin to see with this case where the old loopholes loose their luster when put to applicable standards which force infringing parties to reveal the underlying motive behind what they do. It may not necessarily be nefarious, but the ambiguity of copyright law was designed to create an atmosphere of innovation and creativity. If you are being honest with yourself and find that your motives are not quite so altruistic, then the concession may need to be on your part.
tagged DRM Emulators Fair_Use Piracy Video_Games by jbaxter ...on 02-AUG-06
This is an early, perhaps arguably, the first case that directly addresses the legal issue of Video Game Emulators and ROMs. Decided in 1983, the controversy here was surrounding a device JS&A produced and sold commercially called the “Prom Blaster.” It was a device, which attached to Atari’s 2600 video game console and allowed users to create back-up cartridges or copies of Atari games. JS&A also sold the blank cartridges it required.

JS&A’s method of argument was that the device allowed users to create backups of the cartridges they owned for protection against “mechanical or electrical failure.” But given the massive library of games that already existed for the Atari 2600 system at that point, the Court did not find any other relevant non-infringing uses for it. JS&A’s other argument was that the Prom Blaster was intended to copy games sold exclusively by JS&A themselves. The Court found that argument weak since they only manufactured nine games and given the cost of the machine, it would not constitute any logical decision to do such. The burden on JS&A was rather light especially considering it came in the aftermath of the Sony Corp. of America v. Universal City Studios, Inc. case which demonstrated that if the device could justify any legitimate non-infringing uses, it could be within the scope of fair use. JS&A’s device could not reap any such uses. It’s failure to do so left the Court with little choice but to issue a preliminary injunction enjoining JS&A from selling, manufacturing, and distributing the Prom Blaster.

There have been many such devices as the Prom Blaster developed for many subsequent game consoles over the following years. But it was not until the rise of the Internet did the practice of emulation really start to make any serious kind of detrimental impact to the industry. When all one needs is a computer and Internet connection to acquire an emulator of a game console and download an entire library of games, this became a danger to them in an exponentially greater way that JS&A could compare. Unlike physical counterfeit copies, this could lead to a form of piracy where the supposed loss and damages would be inestimable. That perhaps is why the JS&A decision is so important to the issue of Video Game copyright. There had been cases regarding software programming codes, but this was the first one to specifically call video games to the forefront to be judged in its own merit of being a protected work of artistic expression.
tagged Emulators Fair_Use Piracy ROMs Video_Games by jbaxter ...on 02-AUG-06
"Defending Intellectual Property Rights in the BRIC Economies." American business law journal [0002-7766] 43.2 (2006). 317-.
 
    This article discusses the issue of protecting US intellectual copyrights in the countries of Brazil, Russia, India and China (BRIC).  It begins by explaining that these four countries, if all predictions go as planned, will soon have four of the largest economies in the world.  Therefore, a detailed look at the United States IP relationship with these nations is necessary.  The next section of the article gives a brief history of international intellectual property rights followed by a more focused look at the history of US relationships with these four countries and the antagonisms that have resulted.
    After giving this overview, which shows how often the United States has tried to influence the IPR regimes of the four BRIC countries, the article delves into a section entitled, “Coercion as an Ineffective Strategy in Promoting Intellectual Property Protection in the BRIC Countries.”  This section is long and detailed with many examples of statistics showing how the United States has not achieved its goals through means of coercion.  The article explicitly gives statistics for each country.  The culmination of this large number of statistics is to show that not only does coercion not necessarily work, it can often be detrimental to the original goal.  Examples of poor results are given for China and India.
    The final section of this article argues that unilateral initiatives are an understudied method of strengthening IPR regimes in the BRIC countries.  Unilateral initiatives are defined as “a voluntary conciliatory action presented by one party to the benefit of the other.”  Examples of unilateral initiatives that have been successful are then given.
    This article is plainly written with an obvious objective: to endorse unilateral initiatives as opposed to coercion as a way of reforming IPR in the BRIC countries.  This method of change is supportive of a gradual change in the IPR regime in China as it does not expect immediate results and therefore, presents an effective means of carrying through with the project's thesis, which is always an important consideration when proposing an argument.
belongs to Copyright and Culture Bibliography project
tagged Brazil China IPR India Piracy Russia US by rogerlm ...on 31-JUL-06
Xiaobai,S . "A dilemma for developing countries in intellectual property strategy? Lessons from a case study of software piracy and Microsoft in China" Science & public policy [0302-3427] 32.3 (2005). 187-198.
 
    This article poses two important questions; Will businesses and countries invest in the economies of developing countries if these developing countries do not enforce intellectual property rights on the same standards of developed countries?  And, if the current situation of increasing the strength of intellectual property rights in developing countries continues, will these developing countries be able to compete in a world of IPR harmonization?
    The article poses an initial answer to these questions by citing empirical studies that suggest developing countries develop best with weak IPR regimes and that only as these countries become more developed should they enforce stricter regimes.  Examples of countries that have enacted stronger IPR regimes as their economies developed are East Asian counties including Korea, Japan, and Taiwan, and notably the United States.  Yet, what the empirical evidence lacks, according to this article, is a timetable for deciding when a country is developed enough to implement a strong IPR regime.  To understand the situation further, the article turns to a study of Microsoft software in China.
    In this study, the article first gives an overview explaining how prevalent piracy is in China.  The article then shows that despite this piracy, Microsoft has entered the Chinese market with great difficulties.  Piracy of Microsoft products subsequently increased and contrary to logic, this led Microsoft to further invest in China in an attempt to promote legal usage of Microsoft products.  This further investment was presumably because Microsoft sees China as the largest potential market in the world.
    This study then shows that, contrary to some scholars’ beliefs, a weak IPR regime can lead to an increased investment in developing countries.  However, this is counterbalanced by the belief that an investment of high-tech products does not allow the developing country to discover its own technologies/products/ideas.
    This article, although slightly redundant with other sources, is crucial to backing the project's thesis that developing countries and especially China are best advised to take a gradual approach to implementing strong IPR regimes.  The article also fully supports the argument that China is best suited to a gradual increase in its IPR protection in that the article presents a case study showing that foreign investment in China will still occur despite its weaker IPR protection than developed nations.
belongs to Copyright and Culture Bibliography project
tagged China IP Microsoft Piracy by rogerlm ...on 31-JUL-06
Mertha, Andrew, 1965- . Politics of piracy : intellectual property in contemporary China / Andrew Mertha. [0801443644 (cloth : alk. paper) ] Ithaca, N.Y. : Cornell University Press, c2005.
Call#: Van Pelt Library KNQ1155 .M47 2005

   This book is essential for any study of intellectual property rights or copyright in modern China. Because it is one of few books devoted entirely to this subject, The Politics of Piracy provides the reader with an indispensable source of information and a unique thesis on the problem of piracy in the People’s Republic of China. The book’s thesis is as follows: “The direction of external pressure and the characteristics of the institutions it is designed to change are crucial to understanding the effects of foreign pressure on policy enforcement outcomes.”
   As can be seen by this sentence, which merely states Mertha’s hypothesis, the book can, at times, be difficult to read. The writing does not flow as smoothly as it could but this reflects some of the harder concepts that Mertha tries to tackle. To defend his thesis, Mertha mainly uses empirical case studies as opposed to broad statistical evidence, presumably because statistical evidence on piracy in China is fraught with a great deal of unreliability.
   One of the best aspects of this book is that it devotes an entire chapter to each type of intellectual property: patents, copyrights, and trademarks. Because most books on IPRs deal with multiple developing economies, they tend to lump all IPRs together. This book treats each IPR as its own entity and explores their problems and possible solutions with the attention they require.
    It must be stated that this book treats IPRs in China from an obvious etic perspective and argues that most reform in China’s IPR protection comes from foreign, usually United States, pressure. Mertha believes that this is a good and effective method for bringing China’s IPR standards into compliance with Western standards. However, one of the strengths of Mertha’s book, the penultimate chapter, discusses problems with his thesis and his approach to the subject. As a consequence, this book is very valuable to the topic of intellectual property rights in China despite its sometimes difficult prose.
   The value of this book in relation to my thesis is that the book illustrates one aspect of the relationship between China and the US. This book shows that by pressuring China, the United States has achieved higher standards of IPR protection. To my thesis, this suggests that as China has become more important economically, it has also become more important regarding IPR. This importance proves a correlation between the strength of the economy and the strength of IPRs that goes well toward advancing the argument for China's gradual improvement of IPRs.
belongs to Copyright and Culture Bibliography project
tagged China Copyright IPR Piracy by rogerlm ...and 1 other person ...on 31-JUL-06

The Online Journal asked Fritz Attaway, a senior executive with the Motion Picture Association of America, to debate the issue over email with Wendy Seltzer, a law professor who specializes in intellectual property and First Amendment issues. Their exchange is below.

tagged MPA copyfight copyright film free_culture piracy by jn ...on 20-JUN-06

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But, as we all know, these numbers regarding China are completely bogus anyways. Because most MPAA member movies can't be sold in China so they have no loss. China only allows 20 foreign films to be imported each year, and usually 14 - 16 of these are from MPAA members. So what the MPA is talking about in this report isn't "profits lost to pirates in China" but "profits lost to closed markets in China".

tagged MPA blog china film free_culture piracy by jn ...on 20-JUN-06

Written by two professors at the Penn in March of this past year addressing how the music industry's revenue has drastically dropped within the past three years. Many argue that this decline in profits is due to file sharing. They obtained data concerning album sales via purchase and downloading as well as consumer valuations from college students. They offer a new estimate of sales displacement caused by downloading.