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Tackling Online Piracy - The Institute for European Studies-ag

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					Tackling Online Piracy without Harming Consumer Rights
                                                                IES - IBBT Workshop
  Strengthening the European Information Society - Consumers in Media Policy and Law
                                                                    23 October 2009
                                                                        Sakari Aalto
                                                                     1


 Basic Message Today

  The most effective way to fight piracy is to make content available
   legally


  Customer is King


  Where regulatory actions are necessary they should concentrate
   on the customer’s rights and removing obstacles from offering
   content legally online




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 Online Piracy as Phenomena



                                                                                 Source:
                                                                                 PWC Global Entertainment
                                                                                 and Media Report (2008), IFPI


        Collating separate studies in 16 countries over a three-year period, IFPI estimates more than 40 billion
         files were illegally file-shared in 2008, giving a piracy rate of around 95 per cent.

        Overall 16 per cent of internet users in Europe regularly swapped infringing music on file-sharing
         services in 2008 according to Jupiter Research.

        Analysis by the Institute for Policy Innovation concludes that global music piracy causes $12.5 billion
         of economic losses every year.




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 Legal Actions to Fight Piracy - Examples
      1.      Pirate Bay
                  Stockholm District Court decision of 17 April 2009 against four individuals associated with a
                   file-sharing website and service called The Pirate Bay, directed at the file-sharing community
                  Contributory copyright infringement
      2.      Finreactor
                  Turku Court of Appeals decision of 19 June 2008 against 30 defendants associated with the
                   Finnish “Finreactor” BitTorrent-based P2P network
                  Contributory copyright infringement
      3.      Grokster
                  United States Supreme Court decision of 27 June 2005
                  P2P file sharing companies could be sued for inducing copyright infringement for acts taken
                   in the course of marketing file sharing software
      4.      Napster
                  The Ninth Circuit Court of Appeals decision of 12 February 2001
                  Repeated infringements of copyright law as millions of users uploaded and downloaded
                   copyright protected sound recordings


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                                                  4


 Possibilities of Right Holders to Fight Piracy




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 Results of Right Holders' Legal Actions

  Monetary claims against mostly private individuals or companies in not very solid
   financial standing
                 Badwill for the right holders


  File sharing services moving to new locations

  Image demonstrated by results of the PirateBay decision in Sweden:
                 Pirate Party (Piratpartiet) in Sweden (also in Finland)
                              Advocates for reform of copyright laws
                              High visibility, newfound popularity
                 Sweden: 75% of youths from 15 to 25 years old would not alter their file-sharing
                  habits even if their actions were found illegal (Dagens Nyheter, 23 February 2009)




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 Legally Available Content

         What is slowing down the introduction of services offering
          authorised content?
              Unavailable or unclear licensing
              Overly burdensome administrative requirements
              The pricing expectations of supply and demand do not meet

         Examples of successful services offering legally available
          content :
              1. iTunes
              2. Spotify
              3. Ovi by Nokia



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 Tackling Online Piracy

         Effective tackling online piracy requires balanced interplay of different elements
             Having content available legally
             Taking legal action against piracy
             Implementing technical measures to protect content
             Increasing awareness of general public
         None of these elements work alone and the set of elements used needs to be
          approved by the users (customers) and general public

 → Looking at where we are now in relation to each of the elements the most
   sustainable results would seem to be reached by promoting legally available
   content
 → Penalizing the customer with more stringent technical measures and forced
   knowledge feeds seems hardly effective


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         Thank You
                      Sakari Aalto
E-mail: sakari.aalto@roschier.com
         Tel. +358 (0)20 506 6271
    Mobile: +358 (0)40 558 2000

				
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