[A2k] Indie labels want copyright shift

Thu Jul 13 05:54:01 2006

The UK's independent music labels want a change in the law so internet
service providers (ISPs) become liable for illegal file-sharing by their
users. The Association of Independent Music (Aim) has outlined the plans
....

This could take the form of a collective licence - similar to the current
radio licence in the UK - which would allow ISPs to host file-sharing for
a fee that would go to record companies and musicians.

For a fuller description see this story from the BBC- note these proposals
are in draft. Some of the proponents took part in the Paris Accord
discussions.
** Indie labels want copyright shift **
The UK's independent music labels want internet providers to become liable
for
illegal file-sharing by their users.
< http://news.bbc.co.uk/go/em/fr/-/1/hi/entertainment/5172816.stm >

However see below a view from a leading UK Digital rights org  who see
this proposal as a  'tax'  on ISP. It is clear that a global licence idea
would have to be more fully explained and discussed with  a number of
groups. It is important to stress that as I undertand it the indies
proposal would be mandatory, while in our discussions there is still no
agreement on a) a global licence ( though  a number expressed in principle
suppport for it at the meeting) and 2) whether it should be mandatory or
voluntary. There is also a split between countries in Europe who have had
levies ( most of them) and those like the UK who have never had them.

Michelle
---------------------------- Original Message ----------------------------
Subject: Press Release: Music Industry Proposes ISP Tax
From:    "Suw Charman" <suw.charman@openrightsgroup.org>
Date:    Wed, July 12, 2006 1:59 pm
To:      suw.charman@openrightsgroup.org
--------------------------------------------------------------------------

Also available online at: http://www.openrightsgroup.org/press-
releases/music-industry-proposes-isp-tax/

Music Industry Proposes ISP Tax

A music industry coalition (1) today proposed a reform of UK
copyright laws which, according to their press release, would see
"Internet Service Providers (ISPs), mobile phone companies and device
manufacturers" paying a levy or licence fee to the music industry for
any illegal file sharing that their services or products enable.

This new right, which they have called the Value Recognition Right,
would "allow the music industry to create a commercial relationship   with
any company deriving value from either the sharing or storage of   music".

Suw Charman, executive director of the Open Rights Group, said, "This
proposal is ill-conceived and grasping. Suggesting that ISPs and   telcos
should be responsible for the content transferred by their   users
illustrates how poorly the music industry understand the net,   the right
to privacy, and the ISPs' duties to their customers under   the Data
Protection Act. They are looking at booming technology
markets, such as the growth in iPod sales, and wondering how they can
get themselves a slice of the action."

If granted this right, the music industry could then force licences   or
levies on a wide variety of businesses, not just ISPs and telcos.
Manufacturers of any device capable of storing an MP3 would need to   pay
up. This could include companies that make hard disks, mobile   phones,
portable media players, game consoles and memory cards/sticks.

Whilst some European countries have a levy on blank media, applying   this
to every service or product which 'derives value' from music   would
drastically over-extend copyright's reach.

Alan Cox, a respected Linux developer, says that this new right would
likely be as harmful in the UK as the private copy levy has been in
Europe.

"The private copy levy has seriously damaged new and novel music
businesses, open source, data sharing applications, and business   models
based around media. It has also grossly distorted the market   and led to
many large EU companies importing all their CD media from   the UK and
other EU members who do not have a levy."

In their press release, the music industry have also said that they
would then shift their focus from suing the public to suing
"unlicensed intermediaries".

Digital rights activist Cory Doctorow says: "The music industry wants   to
make ISPs liable for the traffic they carry, and sue them if they   don't
take action to police their users. The only way to accomplish   such a
policing is to throttle, spy, and firewall out potentially   infringing
traffic, an incredibly invasive regime that has no basis   in
international copyright or telecommunications law."

The Value Recognition Right could damage ISPs' status as a 'common
carrier' which means that ISPs are not responsible for the content of
their network until they have been notified that illegal material is
being hosted or transferred.

Says Charman, "AIM and their colleagues also seem to be implying that
the ECommerce Directive, which protects ISPs' status as 'mere
conduits' and is crucial to the net's development, should be torn up.
Messing with that for financial gain would be very foolish. AIM's
proposals are like charging the Post Office a fee in case some of the
packages it delivers have illegally copied CDs in them, and making   them
responsible for the contents of every parcel they deliver."

Malcolm Hutty from ISP group LINX said, "We don't accept that ISPs
should be responsible for paying for all the value that our customers
acquire as a result of using the network. There are already very
effective procedures in place which rights holders can use to pursue
cases of copyright infringement and ISPs co-operate fully with such
investigations, but beyond that, it's nothing to do with the ISP.   There
is no need for an ISP tax, and it is absolutely inappropriate   that the
ISP industry should be forced to seek a licence from the   music industry
in order to operate."

This announcement comes hot on the heals of the BPI's attempt to   bully
ISPs Cable & Wireless and Tiscali into disconnecting customers   whom the
BPI accused of illegal file sharing. And that action came   just over a
month after the music industry forced Tiscali to shut   down their
experimental Music Jukebox service, which offered users   the chance to
legally listen to millions of songs.

(1) Including the Association of Independent Music (AIM), British   Music
Rights
(BMR), the Musicians Union (MU), Music Managers Forum (MMF), the   royalty
collection society the MCPS-PRS Alliance, and the British   Academy of
Composers and Songwriters (BACS).

For more information, contact Suw Charman, Executive Director, Open
Rights Group:

www.openrightsgroup.org
suw.charman@openrightsgroup.org
Mobile: +44 (0)20 7096 1079

---- END -----

--
Michelle Childs -Head of European Affairs
Consumer Project on Technology in London
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