Wednesday, June 11, 2008

The Future of Copyright

Rasmus Fleischer at the Cato Institute on the abuse of copyright law:
This change has taken place because previously distinct media are now simulated within the singular medium of the Internet, and copyright law simply seems unable to cope with it. Consider radio broadcasting and record shops, which once were inherently different. Their online counterparts are known respectively as "streaming" and "downloading," but the distinction is ultimately artificial, since the same data transfer takes place in each. The only essential difference lies in how the software is configured at the receiving end. If the software saves the music as a file for later use, it's called a "download." If the software immediately sends the music to the loudspeakers, it's called "streaming."

However, the receiver can always choose to transform a stream to a digital file. It's simple, legal, and not very different from home taping. What now fills the record industry with fear is the possibility that users could "automatically identify and separate individual tracks from digital transmissions and store them for future playback in any order." In other words, they fear that the distinction between streaming and downloading will be exposed as a big fake.

For example, Swedish company Chilirec provides a rapidly growing free online service assisting users in ripping digital audio streams. After choosing among hundreds of radio stations, you will soon have access to thousands of MP3 files in an online depository, neatly sorted and correctly tagged, available for download. The interface and functionality could be easily confused with a peer-to-peer application like Limewire. You connect, you get MP3s for free, and no one pays a penny to any rights holder. But it is fully legal, as all Chilirec does is automate a process that anyone could do manually.

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