Hollywood Takes Another Crack At Getting Permission To Break Your DVR

from the they-just-won't-stop dept

The movie studios and the MPAA have been pushing hard over the last year to get the FCC to let them use "selectable output control" to basically block DVRs from recording certain broadcasts of movies. Their somewhat creative (but totally ridiculous) argument is that this would allow more consumer choice. Now, you might ask how limiting what consumers can do with products they already purchased can possibly allow more consumer choice, but this is where the MPAA tries to play a bit of a jedi mind trick. It claims that if it's allowed to block recording of movies, then it would add another window to its windowed release program of movies (i.e., theater -> special locations (airplanes/hotels) -> DVD -> cable TV -> network TV). If they can break your DVR, they claim that they'll also release it to TV before it's even out on DVD.

Now, it doesn't take much thought to see the logical flaw in the MPAA's plan, but since some politicians are a bit slow, we'll spell it out for them. You don't need to block recording to release the movies early. There's absolutely nothing stopping the MPAA from offering this "consumer choice" right now. The MPAA is simply trying to confuse politicians into thinking that they can't possibly add this other way to get paid for the same content without this DVR-breaking DRM. The simple fact is that (a) selectable output control won't stop the movies from being recorded by some and (b) it won't stop the movies from being offered in unauthorized format online. It won't do a damn thing to stop "piracy." But it will annoy an awful lot of people who bought a DVR to record what they see on TV and are seriously pissed off at why they can't actually make the product they bought work legally.

In other words, it's not at all about "expanded consumer choice." It's about giving the MPAA another way to block legitimate watchers from doing perfectly legal time shifting of the content on their TV.

The good news was that when Kevin Martin ran the FCC, he turned down the MPAA. Though we heard mixed reasons on why (one story is that he tried to do some "horse trading" whereby he would give the MPAA what it wanted if they would side with him on things like a la carte cable), it at least kept the MPAA down. Of course, with Martin gone, it hasn't taken long at all for the movie studios to rush right back up to the new FCC yammering on and on about "expanded consumer choices." Hopefully Michael Copps (the temporary FCC boss) and the rest of the FCC are smart enough to recognize that you don't expand consumer choice by breaking their DVRs.

Filed Under: blocking, business models, drm, dvrs, fcc, mpaa, soc

MPAA Tries Out Its New 'Up Is Down, Day Is Night' Strategy

from the how's-that-working-for-ya? dept

The MPAA has been pushing the FCC to allow it to basically add a kind of DRM to broadcasts. As it stands, the FCC blocks broadcasters from using "selectable output control" (SOC) to stop people from recording shows broadcast on television. They do this realizing that recording for the purposes of time or place shifting is perfectly legal, and allowing broadcasters to block consumer rights would be tremendously undesirable.

The movie studios, however, are trying to figure out yet another way to get money, and they want to rejigger release windows for movies. The way they're done now, movies are released to theaters, then special locations (airplanes, hotels), then DVD, then cable and finally network TV. What the studios would like to do is charge cable companies a lot of money to show movies on cable after they're in theaters but before they're released on DVD. Their (misguided) fear is that, if they show them on TV, people will record them and make them available via file sharing sites, killing off the DVD business. This is wrong on many levels, especially since high quality versions of the movies are almost always available on file sharing networks long before they are released on DVD, anyway. So, blocking the ability to record the movies on your DVR (which is what loosening SOC restrictions would do) wouldn't actually do anything to stop piracy -- but would piss off an awful lot of DVR owners out there, who want to know why they can't record the latest movies on TV.

The MPAA has been saying a lot of funny things in trying to defend its position, claiming that this form of DRM is necessary to let the studios release the movies early. That's simply wrong. There is nothing stopping the studios from releasing the movies in this manner right now. It's just their own misguided fear of people doing what they're legally allowed to do (record stuff on their TV) that's stopping them.

Yet, now, as a bunch of you have sent in, it seems the MPAA is going even further in this "up is down, black is white" argument in favor of being able to use SOC. It's claiming that it's the movie studios who are being pro-innovation here, and it's the consumer electronics companies (and consumers) who are anti-innovation:

"At its core, the position of CEA is that technology should be frozen in time, and any new services that require advanced technology should be banned," the MPAA told Adelstein on November 25. "This position is quite astonishing, coming from an organization that in the past has advocated in favor of technological innovation."

This is a neat bit of intellectual judo. Take your opponents (accurate) argument, and claim that it's actually your argument. The MPAA is lying, of course. They don't need SOC to innovate and release movies however they want. And, the CEA is quite pro-innovation, in letting consumers actually make use of their rights to record content. It's quite a statement for the MPAA to claim that taking away consumer rights is innovation. But, I guess that's what you get from a dying organization fighting for its life.

Filed Under: blocking, business models, drm, dvrs, fcc, mpaa, soc
Companies: mpaa

Dear MPAA: DRM Is Not A Requirement For Releasing Movies

from the nice-try,-but...-no. dept

We've written about the request from the MPAA to the FCC to grant a waiver that would allow the MPAA to use "selectable output control" (SOC) in order to block DVRs from recording their movies. As we noted, the movie studios basically would like to add in another movie release window, letting movies appear on television before they're released on DVD. Of course, there's absolutely nothing stopping them from doing so today. However, they claim that it's impossible for them to do so unless they get to implement DRM via SOC to stop people from recording these movies. The MPAA's own defense of this plan was exceptionally weak, but now some others are actually coming forward to defend the MPAA's position.

Ryan Radia, over at the Tech Liberation Front, has a long and thoughtful article where he tries to paint the MPAA's position as being pro-market and anti-regulation: "Consumers are willing to pay to watch new movies at home, and content producers are willing to transmit them, but government is standing in the way." It's a neat twist, but it's 100% wrong. The government is not standing in the way. If consumers are willing to pay, the movie industry can absolutely offer up the movies and let them pay.

Radia's claim is based on the entirely false premise that the MPAA needs this special kind of gov't approved DRM in order to release its movies. Radia plays a neat trick in spinning this the other way, claiming: "But content owners aren't required to ensure that all movies can be easily timeshifted and archived." Yes, indeed, nor are movie studies required to use DRM.

There is absolutely nothing stopping the movie industry from making use of this "new business model" other than its own unsubstantiated fear of non-DRM'd content. It's not a government regulation. It's not some weird FCC rule. It's the MPAA itself.

Mark Cuban gets it right when he points out what a huge mistake the MPAA is making in even bringing this issue up in the first place:

For all the money the RIAA wasted on trying to stop digital piracy, about all they accomplished was explaining to everyone exactly where and how to steal music. Please do not make the same mistake. Right now its a hassle to unitlize the analog hole to copy movies. Most people have no idea how to do it, particularly for HD delivered movies. Please do not go through a big process of teaching people exactly what the analog hole is in hopes of getting companies to prevent its use. All you are going to do is turn on the lightbulb for many who would otherwise not have a clue.

The theatrical exhibition industry just experienced a phenomenal several weeks with The Dark Knight setting record after record. People by the 10s of millions went to the theater, many multiple time to enjoy the unique experience of going to a movie. Could you please, please, please use the money you are going to spend fighting the unfightable and instead spend it on promoting the fun of going to the movies ? More people going to the movies is more people getting excited about movies. More people getting excited about movies means more people watching movies on TV, which is good for revenues, and more people buying DVDs or legal downloads of the movies. Again, good for revenues.

Piracy is not, and has never been, a real threat to the movie industry. The movie industry is doing incredibly well by releasing good movies that people want to see. Even if they're available for unauthorized download, movie watching is a social experience, and the better the industry makes that social experience, the better it will do. Wasting time demanding unnecessary DRM isn't necessary. It's not blocking any business model. Wasting money fighting for this "analog hole" to be patched won't stop piracy at all. If anything, it will attract more attention to that analog hole, while pissing off more viewers and making it that much harder to get movie fans to want to pay money to see movies. Even if the MPAA prevails, it won't put a dent into unauthorized file sharing. People will figure out how to get around the SOC protection, and once a single copy is out there, it's everywhere. Focusing on stopping file sharing is a lose-lose proposition.

So, please, movie industry, stop pretending you need DRM for your business models. You don't. You never have. And the more you pretend you do, the more trouble you're causing.

Filed Under: business models, drm, movies, mpaa, selectable output control, soc

MPAA Doubletalk On FCC Request To Block DVR Recordings

from the the-mainstream-press-may-believe-you,-but... dept

You may recall back in June we wrote about the MPAA's petition to the FCC to block DVR recordings of certain movies by removing a restriction on "Selectable Output Control" (SOC), allowing it to set rules that forbid recording. What the MPAA is clearly trying to do here is start releasing movies on TV before they're available on DVD, but wants to do so in a way that users won't be able to record on their DVRs (though, they hardly come out and say that). Matthew Lasar has an absolutely hilarious interview with an MPAA representative where the MPAA guy tries to pretend that this has nothing to do with blocking recordings of movies and everything to do with stopping piracy.

"I can't emphasize this enough," Oster finally exclaimed. "We've hit on this a number of times so you might sense some frustration in my voice. 'Recording'—take it off the table. Put it out of your mind. This has nothing to do with recording at all in any way."

"Ok. I guess I'm confused," I replied. "What is selectable output control about then?"

"It's in large part, first and foremost, about the fact that our industry has a multibillion-dollar theft problem, which is that billions and billions of dollar's worth of film content is stolen every year," Oster replied.

"How is it stolen? What's the mechanics of its being stolen?" I asked. "What happens?"

"It comes in many forms," Dean Garfield interjected. "It comes in camcording."

"Did you just say the word 'recording'?" I asked.

"No!" Oster intervened. "He said 'camcording'!"

"But isn't that just basically recording?" I begged.

"No!" Oster insisted. "What we want is to offer consumers high-definition content earlier than they can today. That's what we want to do! We want our studios to have the flexibility to put in place business models that allow them to offer high definition content on demand to the home, earlier than they do now. Period! Full stop!"

Let's translate this for everyone. Basically, the MPAA falsely believes that it has a problem with camcording. It likes to come out with all sorts of bogus stats that don't add up. The truth is that camcorded versions don't keep people from going to the movies, and most movies online have studio quality versions leaked from insiders.

So what does that have to do with SOC? Not much, really. But the MPAA wants to change the release window pattern it currently uses for movies. Rather than theaters, video, PPV, cable TV, it wants to be able to put some movies on TV before they're released to video, hoping that it can charge cable channels a lot for showing them. But, if it does that, it's worried that it will undercut its own business model in the video rental space. So, it falsely believes that it needs this "exemption" from SOC to effectively enable DRM on those movies to prevent them from being recorded. It's the same old mistake, believing that DRM somehow enables new business models when the truth is that DRM only restricts opportunities. The content will still get recorded and released. The effective DRM will do nothing to stop that -- and once the content is out there, it's out there. However, this will be a pain for plenty of legitimate viewers who start wondering why their DVRs don't work properly.

It's not about stopping any kind of piracy. This won't do that. It's not about enabling any new business models or new content. It's about a misguided MPAA which thinks it needs DRM to add yet another way for it to make money while pissing off legitimate users. For that, the FCC should not grant a special exemption.

Filed Under: blocking, business models, drm, dvrs, fcc, mpaa, soc

MPAA Asks FCC To Allow It To Block DVR Recording Of Certain Movies

from the winning-fans-all-over dept

The entertainment industry lobbyists are basically working ever possible angle to get more "control" over its content. We've already seen how they mess with the legislation process and the international treaty process, and now they're trying to use the FCC as well (not for the first time, either). The latest is that the MPAA is asking the FCC to remove certain restrictions that forbid it from blocking the recording of certain movies and from downgrading the ability to record certain movies. Basically, the MPAA is asking the FCC let it make use of "Selectable Output Control" to keep its rapidly disappearing "release windows" business model possible.

As you probably know, the movie business has worked for many years on the model of "release windows," where films first show up in theaters, then at special locations (hotels/airplanes), followed by video, then PPV, cable and finally network TV. This is a legacy of an old business model, where the studio had a lot more control over content -- but it makes less and less sense these days, in a world where people have a lot more options for their entertainment time and money. These "windows" have been shrinking, because that's exactly what the customers demand -- and it actually has worked out well for the studios, because with shorter windows they actually get more benefit from a single advertising campaign plus consumers are happier since they have more options about how they consume the content. But the industry is so focused on these windows, that when anyone dares to upset the norm, they freak out.

The latest situation is because the studios want to keep this totally unnecessary window process in place. So they're asking the FCC to let it either degrade recordings or block recordings of movies if they occur before the movies go to DVD/video rental. The MPAA reasoning behind this is pure bunk, claiming that it would encourage more people to buy HDTVs, speeding up the transition to digital TV. There are multiple inaccuracies in this claim by the studios. First, while HDTV's are digital, one does not need to upgrade to HDTV to switch to digital TV. More importantly, basically, the studios are pretending that it's someone else's fault that they're unwilling to put good HDTV content on TV. They're basically saying "oh, if you let us block copying, then we'll put much more good content on TV." That's hard to believe for a variety of reasons. There's plenty of demand for content on TV, and if the studios aren't willing to put on good content, then others are finding plenty of ways to fill in the gaps.

Furthermore, there's nothing stopping the studios from releasing movies earlier. Claiming that they need this extra copy protection is a myth. The copy protection won't actually stop copies from being made. "Professional" pirates will easily get around the protection schemes. The only people who won't are your average home family user, who the industry is trying to screw over by making them pay over and over again for the same content. Besides, even the FCC knows that the MPAA's argument is incorrect. In its own report, it stated:

"In particular, we are concerned that selectable output control would harm those 'early adopters' whose DTV equipment only has component analog inputs for high definition display, placing these consumers at risk of being completely shut off from the high-definition content they expect to receive."

In other words, for every person that "more HDTV content" encourages to upgrade, you're probably going to get more than one person pissed off that their DVR can't record that content. Hopefully the FCC tells the MPAA that its regulatory power isn't designed to let it prop up an obsolete business model.

Filed Under: copyright, fcc, mpaa, soc
Companies: fcc, mpaa