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Movie studios renew call for three-strikes copyright law

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Mon, 03 Aug 2009 4:45p.m.
By Dan Parker

Six major Hollywood studios have joined forces to criticise the Government's plan to stamp out internet copyright theft.

The group also has the support of a major movie rental chain which says the rental industry is on the brink of collapse, with 21 video store closures in the last year alone.

"What concerns us is not only the video stores closing, but of course the thousand of jobs that it effects," says United Video general manager Lindsay Hall.

United Video largely blames internet piracy for their $20 million revenue slump in the last year.

The Government is acting with changes to copyright law, which would see internet service providers and rights holders dobbing in suspected infringers. The Copyright Tribunal would then impose punishments: "Fines, damages or possibly termination if continued infringement occurred," according Minister of Commerce Simon Power.

The Government has worked with a lobby group representing six Hollywood studios, including Paramount, Disney and Fox to come up with this plan, but the parties involved are now distancing themselves from it, saying action against the pirates will take too long and not provide a strong enough deterrent.

"Ninety days is too long," says Tony Eaton, Federation Against Copyright Theft. "What we are seeking is an educative, graduative response where the online infringer is given two educative notices. If they do not listen to that education notice then we are seeking the ultimate sanction of their internet account."

The proposed legislation relies heavily on ISPs and rights holders to locate pirates. It is problematic because some connections work off dynamic IP addresses which change every time they connect to the internet.

"Dynamic IP addresses are common in New Zealand," says IT expert Lars Vandrey. "When you dial into the internet through your phone line you'll probably get a dynamic IP address."

While most cable broadband connections have just one static identifying number, dynamic addresses are much harder to track. It is just one example of an ever-changing digital landscape which highlights technology can and will move faster than legislators.

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Comments [6]

Hammer
04 Aug 2009 1:42p.m.

The current distribution model is in decline for a increasingly larger market. The poor customer is getting sick and tired of parasites in the supply chain clipping the ticket at each stop with no real added value. I'd buy (digital download) a lot more movies if the costs were more reasonable. A new release $40 DVD is probably being sold by the studios for less than $15. By the time freight, distributors and retailers take their cut the price goes through the roof. If you want the hard copy you pay the premium but I'm not paying for someones antiquated business model.

Cathy
04 Aug 2009 12:52p.m.

Dynamic IPs with dail-up? And how long does it take to download a movie on dail-up? I'm pretty sure video pirates would be using high speed broadband!!

Paul S
04 Aug 2009 11:15a.m.

Seth is right. The movie distribution model is broken and the studios have chosen not to move with the times. Consequently the govt is being coerced by the studio lobbyists to make new laws to protect their failing businesses. The next thing you know the govt. will attempt take control of the internet altogether through censorship...oh wait they are already working on that.

Jack Yan
04 Aug 2009 10:11a.m.

The reason rental stores are closing down is not primarily piracy, but the very opposite. In my household, we have spent hundreds (if not thousands) on legitimate DVDs that are now readily available in New Zealand, putting money back in to the studios. The lobbyists do not seem to realize or recall that when most of the original rental stores opened, there was no way for Kiwis to get their own copies of movies on video cassette. This is just greed on their part to get the last few dollars out of honest Kiwis, hoping to shift their duty on to ISPs. So is it time for another blackout on Twitter and other services, seeing that the Government has not got the message?

Seth
04 Aug 2009 7:23a.m.

Instead of pointing the finger and laying blame, maybe it's time we look at business models where there are better solutions to Piracy. i.e. iTunes stores offer a cheap and affordable way to get content, Fatso content to your door (snail-mail) and as our broadband capacity expands we're moving towards more DVR solutions that could potentially include push/pull content from content partnerships with our ISP's. Vodafone already delivers Sky TV to mobile devices. So whats stopping the video stores evolving to meet the needs of today's & tomorrows customers

Venus
03 Aug 2009 9:14p.m.

If I went into any store and stole anything and whoever it was that I stole it from took 90 days to realise it....duh!
The only way to stop piracy is to stop. Stop letting them.
Who says you have to warn them? Who says you have to warn them twice or three times. When you warn an infringer of copyright laws, shouldnt you also be warning the ISP ? And is the ISP an accomplice to that infringement? I think so.

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