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Squillions will be lost to 'piracy' by 2015

Comment Gallo report backs MAFIAA push to hang filesharers high
Thu Mar 18 2010, 15:57

A SYMPOSIUM of so-called 'anti-piracy' overlords has plucked a figure from its random number generator and estimated that European economies will lose £215 billion by 2015 if peer-to-peer (P2P) filesharers aren't subjected to draconian punishments.

A report was commissioned by a partisan wing of the International Chamber of Commerce (ICC) corporate lobbying group called Business Action to Stop Counterfeiting and Piracy (BASCAP). Its directive was to investigate the "alarming rise in piracy driven job losses in Europe's creative industries."

BASCAP duly commissioned the research out to a supposedly 'independent' (*cough*) French consultancy called Tera to pull bunnies from its magic hat that correspond with BASACAPs initial brief. The report predicted job losses due to 'piracy' to total from 185,000 in 2008 to 1.2 million by 2015. A question mark over the validity of the report hangs in the air. We don't blame Tera entirely for the nature of its 'independent' study, but neither are we so naive as to imagine that its findings were ever destined to deviate off message from its client's wishes.

"The research shows that the illicit use of the Internet has contributed to massive piracy of Europe's creative works studied in the report," said Jeffrey Hardy, ICC BASCAP Coordinator.

"Digital piracy is sweeping through global markets for music, motion pictures and video, television programming, literature and software. In its wake, these creative industries suffer devastating economic losses and an assault on their ability to compensate artists and furnish legitimate employment opportunities. These dire consequences call for an urgent response by policymakers, consumers and the creative industry itself," he said.

The ICC then claimed that creative industries lost £8.9 billion in 2008 and lost 185,000 jobs due to piracy. What's galling about that pitch and BASCAP's aim is that it turns those affected by 'piracy' on its head in the hope of soliciting empathy. It's savvy enough to realise that multi-billion faceless conglomerates aren't exactly as cute as a basket of kittens.

So BASCAP, the ICC and by proxy the music and film MAFIAA are telling us that those most affected by so-called 'piracy' are the little guys on the street. This is the same song as an unpopular cinema ad that played the last time I went. It's the draftsmen, the guys in guilds and low-paid creative worker who are being made redundant. Mmmm. The last time we looked, filesharers weren't downloading the manhours and skillsets of low paid employees in the creative industries. They were downloading the intellectual property of corporates and that allegedly dented their revenue streams, or so they claim. But one does not directly translate to the other, and the argument that the media content industries make that every downloaded file is a lost sale and therefore theft is specious. In fact, filesharers spend more on music and films than non-filesharers.

The ICC went on to tout the backing of the Union Network International-Media Entertainment Industries (UNI-MEI), the International Actors Federation (FIA) International Federation of Film Producers' Associations (FIAPF) and the European Coordination of Independent TV Producers (CEPI).

The timing of Tera's report was more calculated than fortuitous. It's a drum bang on getting unions to call for European legislators to act at the same time the upcoming vote on the Gallo report. The Gallo vote is on Enforcement of Intellectual Property Rights in the Internal Market in the European Parliament. If you read between the lines on Gallo's comments, you'll see that there's a link between Tera's study and his report:

"Behind the report on Enforcement of Intellectual Property Rights currently under discussion in the European Parliament is the crucial question of protecting European jobs from the threat of digital piracy. Piracy should be recognized as a problem."

We've said it before, but we'll say it again. The term "piracy" refers to armed robbery with violence on the high seas, and the entertainment cartels' use of the term is an attempt to pervert discourse on the subjects of person to person filesharing and alleged copyright infringement by applying this emotionally charged label to what are really rather harmless actions that the music labels and movie studios really should be encouraging instead of trying to suppress, because P2P filesharing activities actually draw interest toward and spur increased sales of their products, rather than displacing any revenues.

In fact, the Gallo report is nothing more than a European-wide version of Mandelson's Digital Economy Bill and has been subjected to the same criticisms. Gallo and the Bill have both been accused of pushing through ill-conceived proposals and last-minute amendments at the behest of copyright enforcers. We reported two weeks ago that the Open Rights Groups cited Lord Clement Jones for pushing through another amendment to the Bill. The change allowed web censorship by web blocking for 'substantially infringing' websites. This angered ISP's who were already on the back foot for being press-ganged by the music and film MAFIAA to act as enforcers and not service providers.

If the Eurocrats in Brussels roll over and let the entertainment cartels get away with this, would the last person to leave Europe please turn out the lights? µ

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Comments
DRM is dead; Canada forgot

The assumption is that every 'free download' is a sale that was lost. Wrong. I think most folks understand that many downloads are consumed like radio...then chucked away. Quality issues abound and true audio/video lovers want all the bonus extras packed into the physical format.
Artists have shown that the old model doesn't work any more and are cutting the big media companies out by self-producing or distributing in backchannels or smaller tweetcasts.
In many ways it reduces the homogenized pop mess and gives consumers more choice.
Apple has changed the game forever (that means for you to Bon Jovi) by making music more accessible in tracks a la carte. And notice they're aren't bothering with cumbersome DRM at all.
By the time Canada gets around to a suck-up to the US government, the law will be pointless.
Musicians who want to succeed in the new environment will need to be more intimate with distribution; and better able to cope with quality for their fan base...they'll do just fine.

posted by : RIAA Victims Should Sue, 15 March 2011 Complain about this comment
FLAC???

I don't understand this, why are they battering on the doors of the pirates when you can't even buy FLAC or an unprotected lossless codec legally? Why should people pay more for a CD just because they want a legal electronic copy of an album? The music and movie moguls plainly have a lack of technological awareness.

posted by : Anon, 25 May 2010 Complain about this comment
Can't say it loud enough

I have never bought as much music as I did back when Napster was still free. Now, I do it maybe once a year, since finding good music I like picking hay from a pile of needles.

posted by : MarkusR, 19 March 2010 Complain about this comment
It's hard not to notice...

... how wrong is that business model. You first have to have that money or value to be able to really lose it.

And the assumption that all those people will definitely buy a copy each, so we can add it all up is just moronic.

But the prize examples are the ones that actually believe that corporate crap :)

I mean, Enron anyone? XD

posted by : Psihomodo, 19 March 2010 Complain about this comment
The only good pirate...

...is in prison or dead.

posted by : Bill Gates, 18 March 2010 Complain about this comment
GFC anyone?

185,000 jobs lost in 2008..... MUST be piracy, had NOTHING to do with the GFC...

People all lost their jobs, stopped spending money on overpriced CDs/DVDs so the entertainment industry made less money and had to make a few people redundant. But this HAS to be piracy's fault....

posted by : Solgar, 18 March 2010 Complain about this comment
No the money won't be lost

At least, it will be used for something else, more useful instead of getting in the hands of greedy multibillionaires.
Power to the people, culture for all !

posted by : popo, 18 March 2010 Complain about this comment
Silver lining?

I guess that means that ISP's must be making a killing with all the customers they have.

On a side note, I coulda swore the entertainment industry was only worth $35 some billion a year total, so losing out 20 times that, in only one market, makes you kind of wonder.

I guess they also don't mention they have been making hand over first for the past few years, with record profits. So I ask you, how the pirates are making the heads of the companies' kids live off Man n Cheese cuz they can't afford anything better, when they seem to have enough money to sway the governments of the world with their save the artists sham of a tactic.

posted by : Reality Bites, 18 March 2010 Complain about this comment
Oxymoron of the day

Creative industry.

posted by : b, 18 March 2010 Complain about this comment
Idiots

What bunch of idiots think that the "economy" will lose £215 Billion if the music and movie moguls dont get it. Where will it go if not into the economy.?

posted by : Andy, 18 March 2010 Complain about this comment
Thanks

I've never read a news report with so much agreement and laughter. Love this ironic style.

posted by : Sierra, 18 March 2010 Complain about this comment
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