from the stop-with-the-threats dept
Speaking of
Edgar Bronfman and Universal Music being confused about the market, it appears that the company is
being sued by online video site Veoh. This one requires going back a little and looking at the history to understand what's happening. In September last year, Universal Music Group CEO Doug Morris made the ridiculous claim that
YouTube and MySpace owed Universal Music millions because they were hosting videos that contained Universal's music. Note that this wasn't about downloadable (or even streamed) song files. It's about videos that happen to have Universal music in the background. There's no credible way for Universal to claim that anyone was using music in such a video as a substitute for actually purchasing music. If anything, these videos help promote the music. This was, clearly, a blatant money grab (and one that would actually tend to cut off the promotional value of these videos).
Soon after this, Google
bought YouTube, and as a part of the deal had them
pay off Universal Music and the other labels. A rumored part of the deal was that the record labels would not sue YouTube, but
would sue YouTube competitors. Universal Music obliged, suing smaller sites
Bolt and Grouper. There was an attempted
settlement, but problems with the settlement
quashed a potential acquisition for Bolt recently. A month later, Universal
also sued MySpace. Basically, it's decided to shake down every online video service, hoping for some cash settlements even though it would probably lose in court.
Last month, apparently, Universal Music alerted Veoh that it was "considering" suing the company for "massive copyright infringement," though it failed to provide any details. It's a typical shakedown situation. Basically a threat with nothing to back it up other than a "you wouldn't want to end up like those other websites, now would you?" implied threat. Veoh apparently decided to fight back. Rather than wait for Universal Music to file a lawsuit, it's gone to a judge to ask for a declaratory judgment that Veoh's service is
perfectly legal under the DMCA safe harbor provisions. It's great to see at least one company stand up to Universal on this one -- especially after the disappointment of Google paying off the record labels on this issue. Hopefully the judge recognizes the issues at stake.
Filed Under: copyright, dmca, infringement, music, safe harbor, videos, youtube
Companies: google, myspace, universal music, veoh, youtube