Tim O'Reilly Explains Where The Federal Gov't Has Gone Wrong On SOPA/PIPA: Solving The Wrong Problem
from the indeed dept
A few months back, in going into great detail on everything wrong with PIPA & SOPA, I started it off by explaining that the whole effort was attacking the wrong problem. Here's what I wrote at the time:That main issue, we're told over and over again, is "piracy" and specifically "rogue" websites. And, let's be clear: infringement is a problem. But the question is what kind of problem is it? Much of the evidence suggests that it's not an enforcement problem and it's not a legal problem. Decades of evidence from around the globe all show the same thing: making copyright law or enforcement stricter does not work. It does not decrease infringement at all -- and, quite frequently, leads to more infringement. That's because the reason that there's infringement in the first place is that consumers are being under-served. Historically, infringement has never been about "free," but about indicating where the business models have not kept up with the technology.Tim O'Reilly (who you should know already), who makes his living in the content business, but has always been against these kinds of ridiculous laws, has come out with a great, detailed discussion of the same issue, concerning how the federal government still has mis-defined the problem. He's doing this in response to the White House's statement on Saturday, and makes some important points:
Thus, the real issue is that this is a business model problem. As we've seen over and over and over again, those who embrace what the internet enables, have found themselves to be much better off than they were before. They're able to build up larger fanbases, and to rely on various new platforms and services to make more money.
And, as we've seen with near perfect consistency, the best way, by far, to decrease infringement is to offer awesome new services that are convenient and useful. This doesn't mean just offering any old service -- and it certainly doesn't mean trying to limit what users can do with those services. And, most importantly, it doesn't mean treating consumers like they were criminals and "pirates." It means constantly improving the consumer experience. When that consumer experience is great, then people switch in droves. You can, absolutely, compete with free, and many do so. If more were able to without restriction, infringement would decrease. If you look at the two largest contributors to holding back "piracy" lately, it's been Netflix and Spotify. Those two services alone have been orders of magnitude more successful in decreasing infringement than any new copyright law. Because they compete by being more convenient and a better experience than infringement.
I found myself profoundly disturbed by something that seems to me to go to the root of the problem in Washington: the failure to correctly diagnose the problem we are trying to solve, but instead to accept, seemingly uncritically, the claims of various interest groups. The offending paragraph is as follows:From there, he talks about his own experience running a content business, and how he's learned that any actual infringement tends to benefit him in the long run. That's because, like I explained above, if you put in place a smart business model (something Tim is good at) piracy is no problem at all. O'Reilly is fond of the phrase that "obscurity is a bigger problem than piracy" and he's completely right:"Let us be clear—online piracy is a real problem that harms the American economy, and threatens jobs for significant numbers of middle class workers and hurts some of our nation's most creative and innovative companies and entrepreneurs. It harms everyone from struggling artists to production crews, and from startup social media companies to large movie studios. While we are strongly committed to the vigorous enforcement of intellectual property rights, existing tools are not strong enough to root out the worst online pirates beyond our borders."In the entire discussion, I've seen no discussion of credible evidence of this economic harm. There's no question in my mind that piracy exists, that people around the world are enjoying creative content without paying for it, and even that some criminals are profiting by redistributing it. But is there actual economic harm?
In my experience at O'Reilly, the losses due to piracy are far outweighed by the benefits of the free flow of information, which makes the world richer, and develops new markets for legitimate content. Most of the people who are downloading unauthorized copies of O'Reilly books would never have paid us for them anyway; meanwhile, hundreds of thousands of others are buying content from us, many of them in countries that we were never able to do business with when our products were not available in digital form.From there, he starts talking about what the White House should be doing, and it's simple: look for ways to allow innovation to flourish -- not create protectionist plans for industries who aren't keeping up with the times:
History shows us, again and again, that frontiers are lawless places, but that as they get richer and more settled, they join in the rule of law. American publishing, now the largest publishing industry in the world, began with piracy. (I have a post coming on that subject on Monday.)
Congress (and the White House) need to spend time thinking hard about how best to grow our economy - and that means being careful not to close off the frontier, or to harm those trying to settle it, in order to protect those who want to remain safe at home. British publishers could have come to America in the 19th century; they chose not to, and as a result, we grew our own indigenous publishing industry, which relied at first, in no small part, on pirating British and European works.He also has a final suggestion that may seem unrelated, but is actually directly at issue:
If the goal is really to support jobs and the American economy, internet "protectionism" is not the way to do it.
It is said (though I've not found the source) that Einstein once remarked that if given 60 minutes to save the world, he would spend 55 of them defining the problem. And defining the problem means collecting and studying real evidence, not the overblown claims of an industry that has fought the introduction of every new technology that has turned out, in the end, to grow their business rather than threaten it.
If Congress and the White House really want to fight pirates who are hurting the economy, they should be working to rein in patent trolls. There, the evidence of economic harm is clear, in multi-billion dollar transfers of wealth from companies building real products to those who have learned how to work the patent system while producing no value for consumers.But, of course, that will never happen. That's because a totally useless "patent reform bill" passed a few months ago, and Congress and the President now consider that problem "done." And that's even though nothing in the bill actually addressed the issue of patent trolls, which has been a huge problem, and has hit many of the new businesses that are needed to build the innovations that will help the old guard in the content industry adapt. Hell, just look at Spotify. Days after being introduced in the US... it was sued for infringement.
So, the real response to the White House should be that it's time to stop making this a faith-based debate. Let's focus on the actual evidence, and define what the actual problem is. Because if it's (as all the evidence shows) a business model problem, not a legal or enforcement problem, pushing forth new regulation is not going to be the answer.
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Filed Under: business models, copyright, economics, internet, laws, legislation, pipa, protect ip, protectionism, regulation, sopa, tim o'reilly, white house
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Make Law firms sad T_T
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you know the rules, when you have money, it's easier to force someone out of business than compete with it. just keep suing them out of existence! once the competition has gone, you can keep to the old ways. the fact that it cost more to expel the competition than it would have to update and compete, is irrelevant!
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oh wait...
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Funny, I searched the article for that quote, and it doesn't appear to exist. This wouldn't be the start of a straw-man would it?
Exactly - and that's why Tim says that infringement of his stuff has stopped completely, oh wait...
What he actually said was "at O'Reilly, the losses due to piracy are far outweighed by the benefits of the free flow of information, which makes the world richer, and develops new markets for legitimate content."
But I guess that doesn't really allow you to dump your steaming-pile of "comment" here.
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This is not about 'piracy' or 'infringement' or 'business models' or 'jobs' or 'USA' or anything related to that.
The problem is that members of congress need money. This is the one and only concern they have. Thinking that they are interested in solving other problems (like 'infringement' or 'business models') ignores reality. They don't care about that stuff.
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Say yes, not no!
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You just have to understand what the "problem" is through the eyes of the media conglomerates
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Let's focus on the actual evidence, and define what the actual problem is.
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Re: Let's focus on the actual evidence, and define what the actual problem is.
"Facts? We don't need no stinkin' facts!" - MPAA/RIAA
For those wondering, it's a reinterpretation of "Badges? We don't need no stinkin' badges!" (Or you can substitute "badgers" for "badges" as well.)
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"Look, I've been paying you guys protection money for years, and I don't see any benefit. Honestly, I'm starting to get the impression that I'm paying you this money every month to protect myself from you. How does that make any sense as a business model?"
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Trololol
You certainly need a dose of reality, chubby.
/hardtroll
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Re: Trololol
I am hoping it is sarcasm.
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Gotta give him credit, that was on par with the usual comments by some of the more ridiculous trolls.
Ninja, I give you a 10 out of 10!
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I got the /two/ wrong, it's /three/ =(((
And I thought that closing the command line with a /hardtroll would show the sarcasm (as you said some of the trolls here are reaching that level of ridiculousness).
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But, pardon me... GOTCHA!
On a side note I should get my lazy arse moving and actually login to my TD profile. I wish Mike would allow something like using your twitter acc to post, I'm almost always logged into twitter via my phone =/
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Re: Trololol
/s
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Re: Trololol
SOPA/PIPA = WAR
We do not want nor need your stinking Censorship.
Public Government Information proves that you are wrong and the MPAA & RIAA are not losing money nor employees and are in a great position compared to other genres of employment.
By looking at the Public Government Info we all can easily see thru those lies and so do the supporters of these Bills in our Government.
These Arses want to take away our Freedom.They want to control what they should never have control of.
And I feel deep down inside that the day is coming when they will get what is coming to them.
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The problem is the industry refuses to address the actual evidence. They refuse to have any open or honest discussion. The refuse to accept any sort of compromise or negotiation. They deliberately and purposefully twist facts and statements to say what they want them to say (the MPAA response to the White House directive is a perfect example).
It is simply not possible to be reasonable with totally unreasonable people. And as someone who used to be a loyal supporter to their cause, I have no interest of even trying anymore.
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It is the government that needs to define the problem and take appropriate steps. Like putting copyright back to ten years.
If the **AAs' don't like it, they can move to another Country. Oh! That's right! Half of them are from other Countries. GO HOME!
As my favorite t-shirt says under a decal of our flag:
"Love this Country or get the Fuck out"
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I still wonder
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It sucks, but as long as we keep buying from them, they will always have the money to throw around at Congress.
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I think you are right - it's the best innovation that media of any type has ever encountered and they are mad they don't own the rights to all of it.
The day the media industries control the web so happens to be the same day I'm not interested in using the web anymore.
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Spreading and Sustaining the Message
Internet activism has proven to be very powerful on this issue, but if it peaks and dies off it won't have made a lasting impact. How can we sustain it, even when we no longer feel threatened, to become a force to make positive changes in this area and beyond?
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Consumers ARE being underserved
I keep looking to see if I can get complete season series of the original Maverick TV series with James Garner. There is one DVD available that features three (3) episodes. That is it, complete and total. there used to be a season DVD, but it mysteriously disappeared.
Now if I was a "My Favorite Martian" fan, I could get everything. Now, I am a MFM fan, but it doesn't rank up there with James Garner in Maverick!
"My Mother the Car" also isn't available, and although I am a huge fan of that series (one year) and not ashamed of it, it is not nearly as heart-breaking as missing out on Maverick.
The question arises, of course, "Why?" Why aren't the studios cashing in on one of the most popular Westerns ever filmed? Could it be that Garner sued them for back royalties and won? That he exposed their greed and fraud and their lack of concern for the artist?
I wonder. Not!
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Re: Consumers ARE being underserved
A TV show about a radio station playing many of the hits of the day. It simply can't be reissued due to massive licensing issues.
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Re: Consumers ARE being underserved
"Just a few" meaning "less than the majority of all consumers".
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