[A2k] EU McCreevy swings toward computer lobby on digital rights

[Michelle Childs]

Focus] McCreevy swings toward computer lobby on digital rights
29.11.2006 - 17:18 CET | By Andrew Rettman

EUOBSERVER / FOCUS - The European Commission's upcoming memo on "private
copy levies" looks set to come down on the side of computer companies
instead of artists, single market commissioner Charlie McCreevy signalled
in a speech at a Creative Rights conference in Brussels on Wednesday (29
November) hosted by Blueprint Partners and EUobserver.


Private copy levies are a system in 20 out of 25 EU member states that see
artists' "collecting societies" or trade unions skim a fee off the price
of any DVD recorder, MP3 player and blank disk sold on the legal basis
these will be used to make unlicensed private copies, with Brussels set to
issue a legal "recommendation" on the issue next month.

"We are concerned that the operation of some current schemes for fair
compensation may be disruptive to trade in the internal market...and
whether full account is being taken of the increased use of technological
means to protect copyrighted works," the commissioner said, echoing the
arguments of computer firms that want the =801.6 billion a year levies
regime scrapped.

"We also feel that greater clarity and accountability in how these funds
are managed and distributed would be greatly in the interests of all
concerned," he added, in what sounds like the computer lobbyists' portrait
of artists' collecting groups as an out-of-date, unprofessional bunch that
stand in the way of a multi-billion euro digital arts industry.

The commissioner's remark that "where a rightsholder suffers harm as a
result of the private copying exception, they should be compensated" also
recognised one of the central arguments of the computer companies - that
artists' groups have not legally demonstrated that private copies cause
"harm" in line with the 2001 EU copyright directive.

Referring back to an earlier recommendation in October 2005 - that record
labels should be able to get pan-EU digital music licences from any of the
25 EU member states artists' trade unions instead of separate licences for
each country - Mr McCreevy added that "there are signs that the
recommendation has had a positive effect."

The recommendation - a non-binding legal tool that gives guidance to
stakeholders on what the commission would like to see or may legislate on
in future - has already seen artists' societies in the UK and Germany
break ranks with European colleagues by granting pan-EU licences for their
Anglo-American music repertoire to EMI, one of the world's largest record
labels.

The European Parliament is pushing Mr McCreevy to in future propose a
binding directive on how to manage EU digital rights to take account of
the explosive growth in online music and video sales, but the commissioner
praised the softer "recommendation" approach while promising to keep the
case "under review."

Brussels has soul, too
Mr McCreevy's speech - delivered to over 200 players from all sides of the
spectrum including Yahoo's global head for digital music Robert Roback and
Danish songwriter and artists' rights campaigner Pia Raug - also addressed
artists' fears that giving the market free rein could see big business
push mainstream musical "products" while suffocating smaller creative
outfits.

"I am very sensitive to the cause of cultural diversity and to the
particular needs of small member states and their creative artists," the
former Irish finance minister, known for his free market-oriented
philosophy, stated, citing his respect for artists who "help human beings
make sense of the world" and who "need bread as well as roses to survive."

But his remarks on "striking a delicate balance" between protecting
cultural diversity and releasing digital market potential took a swipe at
artists' groups worries over big business, saying "There are some who pit
culture against commerce. Who see any change as a zero-sum game. Such
simplistic arguments are as damaging as they are wrong."

The 57-year old commissioner also displayed knowledge of digital jargon
such as "long-tailing" - the practice of putting back catalogues of music
online - and new trends such as free-video website YouTube and the rise of
music and video content on mobile phones, while poking fun at himself as a
man "driven mad by some of the more irritating ring-tones" downloaded
these days.

Artists' trade unions must change
He confessed the pace of change in technology and "new ways to enjoy
content" has left Brussels policy-makers "working hard to keep up" with
the digital "revolution" that is set to see music downloads in Europe grow
into a =803.9 billion market by 2011, when one out of every three songs
bought is predicted to come off the web.

But Mr McCreevy's central message - that Europe should stop "looking on
change with profound suspicion" and that the 150-year old network of
artists' trade unions should be more "open to change" - indicates that
recent pleas from singers like Robin Gibb or filmakers such as Pedro
Almodovar to protect the status quo have not found favour in Brussels.

"Policy-makers have a responsibility to listen to different viewpoints and
to consider matters in the round. But eventually, we have to reach a point
of decision and to act," Mr McCreevy stated.

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