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Posts tagged Intellectual Property

Information Technology and "Intellectual Property"

It seems so long ago now, but all the way back at the end of February, I was involved with the successful campaign to get a change of direction on the Lib Dem approach to the controversial "Digital Economy Bill".  One off the things I specifically called for in the spring conference motion was for an urgent policy working party to be established to look into issues around information technology and intellectual property.  So it is good to see that that working party is about to be formed, headed up by one of my co-signatories to the conference motion, now MP for Cambridge, Julian Huppert.  

Personally I am convinced that the current state protected system of "intellectual property" is not only unnecessary but also tends to stifle real competition, concentrating our cultural expenditure on those artists able to persuade one of a few oligarchical media giants to promote their cause.  Just so you know I acknowledge there are different "areas" under the amorphous banner of "intellectual property" and I am here of course talking mostly about "copyright" which is the more controversial area and specifically the issue the Digital Economy Act has tried to encompass.

And I think that the advance of information technology can be seen not so much as a threat, except to that oligarchy, but as an opportunity for more artists to get a more equitable share of that market.  What may today be seen as a facilitator of illegal sharing of the work of a relatively small pool of favoured, published and promoted artists could be transformed into a medium of discovery of all those many currently "undiscovered" creators.

Because let's face it, the overwhelming majority of people in the world with a story to tell or a song to sing are already not well rewarded for their creativity, whilst the favoured few achieve vast economic rents way over and above what they could have dreamed of when they switched from, say, unemployed TEFL teacher or jobbing journalist turned part time lecturer.  

There have been several "business models" for maintaining creative artists.  Many of the classical composers whose music survives today had influential, wealthy and often noble patrons.  Even today, nearly all of last year's Billboard top 40 earning musicians made by far the greater proportion (by which I mean up to 95%) of their large incomes from live performances rather than sales of recorded works.

The Internet makes the former of these a great possibility again.  Think of sites such as "Pledgebank" on which people pledge to do something so long as a certain number of others pledge something else.  This provides a mechanism for releasing creative works by subscription for example.  These modern day "patrons" would perhaps get something exclusive in return for their support while the artist could ensure they make a decent living by tailoring their offer as needed.  Serialisation may become viable and popular again - exclusive access, perhaps behind an Internet "pay wall", for fans wanting to be the first to read, view or listen to a new work - here repackaging and republication could be controlled by contract with the subscribers and in any case would be less worthwhile until the entire series had been released.

If publishers, promoters and media giants want a part of a copyright free world (and they need not be involved - with the technology required to produce artistic works getting more and more ubiquitous, low cost and easy to operate they could get frozen out) they would likely compete with each other to bid for exclusive first day launches and access to artists on promotional tours.  But rather than being able to rely on a "long tail" - since anyone could come along, copy the work and sell it in a different binding or imprint - they would make their money not by copyright farming but by actually working to find more and more undiscovered artists with whom to do exclusive launch deals.

Just because there would be no copyright does not mean that "passing off" would be acceptable.  It would likely still be adjudged fraudulent to present someone else's work as your own, and the risk of discovery and subsequent loss of reputation would be a big risk.  

There is a lot of emotive language used in the debate about copyright; such as that those who think copyright an unjust restriction on purchasers don't care about whether artists can monetise their work.  But let's face it, small, undiscovered artists have little real protection against abuse as it is.  Even if someone is caught breaching copyright, the very fact that the originator is unknown and does not make a lot of money from their work stands against them in claiming lost earnings damages.  Any one of the suggestions above ought to ensure that many more artists, currently not privileged by the support of media giants, would be discovered and be able to make a reasonable income, rather than having a few fat cats and many on the breadline.

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‘Free Market Capitalism’ is an Oxymoron

Kevin Carson on capitalism’s destruction of markets.

17 July 2010 | C4SS

It’s pretty much standard for the chattering classes—both liberal and conservative—to refer to something called ‘our free market system’, also known as ‘free market capitalism’.  To the extent that the right-wingers at Fox and CNBC or on the editorial page of The Wall Street Journal advocate some purer form of “free markets” in contrast to the existing economy, what they mean is essentially the present model of corporate capitalism without the regulatory or welfare state.

But the form taken by the existing capitalist system that we live under owes precious little to free markets.  From its beginnings in the late Middle Ages, it has been shaped by massive and ceaseless intervention and enforcement of privilege—much of it breathtakingly brutal—by the state.  To adapt a phrase from Orwell, the past has been a boot stamping on a human face.

The state played a central role in creating the defining characteristic of capitalism as we know it:  the wage system.  Had free markets been allowed to develop peacefully, with the peasant majorities remaining in control of their land and with free access to the means of subsistence, labor markets would likely have taken a much different form.  Employers would have had to compete with the possibility of self-employment, available to the vast majority of the population.  But thanks to Enclosures and similar land expropriations over a period of several centuries, the majority of the population was turned into a landless proletariat totally dependant on wage labor for its subsistence.

As if this weren’t enough, the British state imposed totalitarian social controls on the working class in the early days of the Industrial Revolution to reduce the bargaining power of labor.  The Laws of Settlement, for example, acted as a sort of internal passport system, forbidding workers to leave their parish of birth in search of better terms of employment without permission.  The Poor Law authorities then came to the rescue of employers in the underpopulated industrial North, by auctioning off laborers—cheaply—from the parish workhouses of London.

Over a period of several centuries the European powers brought most of the Earth under their subjection and imposed similar land expropriations and social controls on the peoples of the Third World, and looted the mineral resources and raw materials of most of the world.

A wide range of thinkers, from the free market anarchist Lysander Spooner to the Marxist Immanuel Wallerstein, have pointed out historic capitalism’s continuities with feudalism.  Capitalism, as a historic system of political economy, was really just an outgrowth of feudalism with markets grafted in and allowed to operate in the interstices to a limited extent.

The state also played a central role in the rise of corporate capitalism from the late 19th century on.  The railroad land grants created a single national market in the U.S., externalizing the costs of long-distance distribution on the taxpayer, and led to industrial firms and markets far larger than would otherwise have existed.  Patent law and assorted regulations passed during the Progressive Era served to cartelize markets under the control of a handful of oligopoly firms.

In the twentieth century, the state played a growing role in absorbing the surplus output of overbuilt industry or guaranteeing an overseas market for it.  The leading industrial sectors were state creations:  the automobile-highway complex, civil aviation, the miliitary-industrial complex and outgrowths like miniaturized electronics and industrial automation.

The neoliberal economy of the past twenty years is overwhelmingly dependent on the draconian enforcement of “intellectual property” law.  The dominant sectors in the corporate global economy—software, entertainment, biotech, pharma, agribusiness, electronics—are all almost entirely dependent for their profits either on “intellectual property” or direct subsidies from the state.  The central function of the U.S. national security state since WWII has been to make the world safe for corporate power through the overthrow of unfriendly governments.

Both the statist right and the statist left, for their own reasons, equate the “free market” to corporate capitalism, and promote the myth that corporate capitalism as we know it is what would naturally have emerged from a free market absent state intervention to prevent it.  The statist right want to defend the legitimacy of big business, and the statist left want to make you think you need them to defend you against big business.

But the exact opposite is true.  Big business has been a creature of the state from the beginning.  And genuinely free markets would operate as dynamite at the foundations of corporate power.

And that’s exactly what those of us on the free market left want to do.

Kevin Carson is a research associate at the Center for a Stateless Society, contemporary mutualist author and individualist anarchist whose written work includes Studies in Mutualist Political Economy and Organization Theory: An Individualist Anarchist Perspective. Mr. Carson has also written for a variety of internet-based journals and blogs, including Just Things, The Art of the Possible, the P2P Foundation and his own Mutualist Blog.


Filed under: Political Science Tagged: anarchism, capitalism, copyright, corporate capitalism, corporatism, freed markets, history, Immanuel Wallerstein, Industrial Revolution, intellectual property, Kevin Carson, libertarian, Lysander Spooner, market-anarchism, media, Newspeak, patents, state capitalism

The Power of Technology and D.I.Y. Against the War on Kids (Video)

Cory Doctorow, co-founding editor at Boing Boing and author spoke with Reason editor Nick Gillespie on the prejudice against children, the impact of offering his books for free and the obsolescence of creative monopoly (5:26):

Mr. Doctorow’s 2008 bestselling novel Little Brother can be downloaded here.

The heroic Michael Bauwens, editor at the P2P Foundation blog, posted the introduction to that work—where Mr. Doctorow discusses technology as a “force for liberation”—here.

Mark Frauenfelder—editor-in-chief at Make magazine, co-founder at Boing Boing and author himself—discussed the  significance of unschooling and the do-it-yourself (D.I.Y.) discovery process on development and education with Ted Balaker at Reason (8:36):


Filed under: Philosophy, Political Science Tagged: Bill Gates, children, copyleft, copyright, Cory Doctorow, Creative Commons, culture, DIY, intellectual property, liberation, libertarian, Mark Frauenfelder, Michael Bauwens, Nick Gillespie, Philosophy, society, Steve Jobs, technology, unschooling

Daily Briefing—12th-13th July 2010

News and views from around the web posted to the Wonderland Wire:


Filed under: Daily Briefing Tagged: Af-Pak War, Afghanistan, Africa, al-Qaeda, al-Qaida, al-Quds, Anand Gopal, Andy Worthington, Annie Shields, AntiWar radio, austerity, blood diamonds, BP, Bradley Manning, Brooklyn, burqa ban, central banking, Clarence Thomas, Costa Rica, Cuba, Cynthia McKinney, Dahr Jamail, David Petraeus, Dean Baker, deficit spending, drug war, East Jerusalem, fiat money, France, Freedom Flotilla, Gareth Porter, Gaza blockade, Gitmo, Glenn Greenwald, gold, Guantanamo Bay, Gulf oil spill, Hamid Karzai, IDF, IMF, India, intellectual property, IP, Iran, Iraq, Iraq Surge, Iraq War, Israel, Jeff Stein, Jonathan Turley, Jordan, Kashmir, Kelley Vlahos, Libya, Mavi Marmara, Nigeria, nuclear weapons, NYPD, Obama Administration, oil, Pakistan, Patrick Cockburn, political prisoners, poverty, Reza Kahlili, Ron Paul, Russia, Scott Horton, Shahram Amiri, social security, Somalia, Stanley McChrystal, Stephan Salisbury, Steve Watson, Taliban, tasers, terrorism, Tom Englehardt, Uganda, UN, Zimbabwe

Pork Copynazis Against Unicorns as ‘New White Meat’

The National Pork Board is going after a website for modifying the trademarked slogan it uses to advertise a product that doesn’t exist: unicorn meat.

Legal representation of The National Pork Board (N.P.B.) issued a ‘cease and desist’ letter to ThinkGeek.com for advertising a fake product as “the new white meat”, one of the site’s web designers posted at its blog. (h/t: Molly Wood and Chris Matyszczyk)

The product, posted earlier this year at ThinkGeek.com’s online store as an April Fool’s joke, is Radiant Farms’ Canned Unicorn Meat. If you’re curious enough to attempt purchasing it, the site notifies you of the joke. Not to mention—unicorns don’t exist.

The 12-page letter is “very well-researched”, “includes screengrabs of the offending item”, according to ThinkGeek, and “they’re not messing around because they invested in the best and brightest legal minds”.

Here’s a photo of the crime scene:

The N.P.B., which claims a trademark on “The Other White Meat”, has planned “to replace its ubiquitous advertising slogan”, Luke Meredith reported this month at the Associated Press.

The site released a public apology to the N.P.B. June 21 [.pdf].

“It was never our intention to cause a national crisis and misguide American citizens regarding the differences between the pig and the unicorn,” GeekNet president and chief executive Scott Kauffman said. “In fact, ThinkGeek‘s uncanned unicorn meat is quite sparkly, a bit red, and not approved by an government entity.”

As part of their apology for such a societal crime, the site will take $10 off of all orders over $40 if customers use the promo code “PORKBOARD” at checkout. The offer is good through June 30.

In 2007, the N.P.B. sent a similar letter to a beastfeeding advocacy site for selling T-shirts reading, “the Other White Milk”. “ThinkGeek says it’s confident that its use of the slogan is protected as parody by fair-use laws.” Dan Eggen reported at The Washington Post. “Either that, or by the unicorns.”

The N.P.B. stated that it’s aware unicorns don’t exist and acknowledge the humor, but are threatening civil action. TechDirt aptly noted that “only in cases where the mark is actually likely to cause confusion or is not used in a manner that is clearly fair use (such as a parody, as in this case). So, like unicorns, the NPB’s claim that they had to send this cease-and-desist is nothing more than a myth.”

As ridiculous as this legal action is, it’s justified by U.S. copyright law. There is no way to modify copyright law to nullify a potential claim by the N.P.B. without abolishing copyright law. The question isn’t about who was the first to combine certain words to sell meat, according to government documents. The question is: who owns words?

This question is at the heart of scrutinizing ‘intellectual property’ constructs to every degree. Until copynazis to meet a burden of proof to justify using force to prevent the communal usage of words, patterns, ideas in transforming their justly owned property, the laws they want enforce ought not exist.

The copynazis should have to cease and desist.


Filed under: National News Tagged: Canned Unicorn Meat, Chris Matyszczyk, copyright, fair use, GeekNet, intellectual property, IP, libertarian, Luke Meredith, market-anarchism, Molly Wood, National Pork Board, NPB, property rights, Scott Kauffman, ThinkGeek.com, trademark, US

Daily Briefing—3rd June 2010

News and views from around the web posted to the Wonderland Wire:


Filed under: Daily Briefing Tagged: ACTA, Afghanistan, Africa, African Union, airstrikes, al-Qaeda, al-Qaida, anti-Statism, Ban Ki-moon, Bilderberg, BP, Britain, Butler Shaffer, campaign contributions, Charlie Skelton, Child Victims Act, China, Chris Guiness, CIA, civil disobedience, Congo, Congressional Black Caucus, corporatism, CrossTalk, Debrahlee Lorenzana, DPRK, drones, drug war, East Jerusalem, economic crisis, Freedom Flotilla, Gaza, Gaza blockade, Gitmo, Glenn Greenwald, Goldman Sachs, Greece bailout, Gregg Carlstrom, Guantanamo Bay, Gulf oil spill, Haiti, Halliburton, Hamas, healthcare reform, HR 5444, Hugo Chavez, ICC, IDF, immigration, India, intellectual property, Ira Chernus, Israel, IWW, Japan, Joe Brewer, John Byrne, John Pilger, Jonathan Turley, Ken Salazar, Kyrgyzstan, labor unions, Liberia, libertarian, Matthew Abraham, Mavi Marmara, mission to Mars, Mitchell Barak, Monsanto, NASA, Noam Chimsky, Norman Finkelstein, North Korea, ObamaCare, Office of Congressional Ethics, Palestine-Israel, Peter LaVelle, propganda model, Rahm Emanuel, Rod Blagojevich, Ron Paul, SCOTUS, settlements, silver, Somalia, South Africa, South Korea, Starbucks, Stephen Walt, torture, Turkey, UK, UN, UNRWA, US Mint, Valerie Jarrett, Venezuela, War on Terror, West Bank, William Fisher, Yousef Munayyer, YouTube, Yukio Hatoyama

Weekend Briefing—21st-22nd May 2010

News and views from around the web posted to the Wonderland Wire:


Filed under: Daily Briefing Tagged: Af-Pak War, Afghanistan, agorism, Bagram Air Base, BP, Chicago, Chicago Police, China, Coach, constitutional rights, DPRK, drug war, economic sanctions, Felipe Calderon, foreign aid, Freedom Flotilla, Gaza, Gaza blockade, Gulf oil spill, habeas corpus, indefinite detention, intellectual property, Iran, Iraq, Iraq War, Jason Ditz, Jon Burge, Kandahar Surge, Liliana Segura, Mexico, military industrial complex, missile defense, NATO, North Korea, Patrick Buchanan, South Korea, Taliban, UN Security Council, UNASUR, UNSC

Daily Briefing—18th-19th May 2010

News and views from around the web posted to the Wonderland Wire:

[No briefing yesterday because General David Petraeus, commander of CENTCOM, was speaking to The Council and we were both in attendance there and other networking events.]


Filed under: Daily Briefing Tagged: 3g, Abdolmalek Rigi, Abu Zubaydah, Afghanistan, airstrikes, Al Jazeera, Alan Dershowitz, Amnesty International, Amy Goodman, Andy Worthington, Bahrain, banking, black jails, BP, Brazil, BRIC, broadband, CACI, Charles johnson, China, CIA, copyright lawsuits, corporatism, David Kravets, David Petraeus, DIA, DPRK, drones, economic sanctions, Egypt, Eli Clifton, Faisal Shahzad, FBI, Gaza, Gaza blockade, Goldman Sachs, Greece, Guantanamo Bay, Gulf oil spill, Hamid Karzai, Hosni Mubarak, human rights, immigration, indefinite detention, India, infrastructure, intellectual property, Iraq, Israel, Jason Ditz, Joe Biden, Jundallah, Justin Raimondo, Kashmir, Kathy Kelly, Leon Panetta, limited liability, Mexico, military industrial complex, munipcal bonds, NATO, Noam Chomsky, North Korea, NSA, Obama, Obama Administration, Pakistan, Paul Krugman, police brutality, privacy, public opinion, Rad Geek, Red Shirts, RIAA, Russia, San Fransisco, ShoreBank, South Korea, squatter movement, Stephen Walt, terrorism, Thai protests, Thailand, Times Square bomb, Turkey, UN, US debt, Venzuela, Vladmir Putin, WMDs, Zimbabwe

US judge kills LimeWire, used by 60% of music pirates

A few days ago, a US district court judge ruled against LimeWire, effectively forcing the company to fold its extremely popular filesharing product:

While Wood's decision won't come close to killing online piracy--there's still BitTorrent and plenty of other ways to share files--she likely has scuttled a peer-to-peer service used by nearly 60 percent of the people who download songs. She also may have ushered out the era of large, well-funded file-sharing services, at least the kind that help distribute mostly copyright-infringing content. By making Gorton personally liable for damages, Wood served notice that operating these kinds of businesses is now a very risky financial endeavor. If the RIAA gets its way, Gorton, Lime Wire, and Lime Group will collectively be responsible for paying damages of $450 million.

BitTorrent is still the major player in the filesharing game, with the protocol carrying about half of all internet data. It's harder to use than LimeWire and other standalone filesharing applications (especially to download individual songs), but it's possible that the death of LimeWire will spur either easier-to-use BT clients, or broader consumer knowledge about how to use BitTorrent as is. And once consumers learn to use BitTorrent to download albums, it's only a short step to video piracy, BitTorrent's niche, which has the potential to be much more disruptive.

The seen and the unseen

The Chamber of Commerce's Mark Espers is bemoaning the fact that some people may get high-quality sports merchandise from unlicensed vendors at a fraction of the inflated prices of official league-sponsored gear.

That those foolish enough to buy sports jerseys can now do so without first taking out a loan is a tragedy, we are told:
NFL licensed merchandise—such as men’s jerseys—can sell for anywhere from $80 on up.  Thus, a price tag of half that much for a seemingly flawless replication seems like a steal for any fan—which is exactly what it is. Each year, as counterfeit vendors make their way to the playoff games to hawk NFL merchandise, the problem of fakes not only gets worse, it gets more sophisticated. Counterfeit jerseys, caps, and other paraphernalia are often mixed in with the real ones, and even the merchant may not know they're selling a fake. A closer look at some merchandise and the subtle discrepancies should become clear: the color is off, the stitching is sloppy, or sometimes players’ names are misspelled.
That counterfeiters are getting "more sophisticated" to the point that even merchant's can't tell the difference suggests they are improving quality. And if the NFL wasn't using the state to forbid any unlicensed dealers from selling clothing with a team's logo, more respectable merchants would be in the business with even better quality control.
Counterfeiting costs U.S. businesses hundreds of millions in lost sales each year.  Indeed, the Customs and Border Protection service last year seized 14,841 shipments of counterfeit goods with a domestic value of $260.7 million---and this is only the stuff they caught!  All of this counterfeiting leads to job losses ranging from the workers who make the products, to those that package, market, distribute, and sell them.  The NFL and its franchises are surely affected as well, especially given the League’s popularity with the American people. 
Counterfeiting may cost jobs for companies involved in selling official merchandise, but there's no evidence it affects overall employment -- to the contrary, more counterfeiters are certainly employed, and somebody is making the t-shirts they sell. And just because less money may be going to rich NFL owners -- royalties making up much of the price of NFL merchandise -- that doesn't mean there's less money in the economy overall. Saving $60 bucks on a Saints jersey means $60 bucks can be spent elsewhere, like on an overpriced beer or hot dog. Indeed, intellectual property boosts the costs of many consumer goods, diverting resources to padding the pockets of already-rich executives that could have been put to more productive uses.
And in today’s Internet era, sales of counterfeit goods are not just happening on street corners, back alley stores, or outside stadiums, it is occurring in increasingly higher numbers online, and in ways that fool consumers into thinking these goods are the real thing.
So counterfeit gear is indistinguishable from its much more expensive competition? Sounds like consumers win. Remember, though, the chamber represents businesses.
Intellectual property theft—through counterfeiting—is NOT a victimless crime. Not only do these crimes eat away at our economy with job losses, but those involved in these crimes are often directly linked to organized crime in one way or another.
Name something a crime and it should come as no surprise that it is criminals that engage in it. Prohibition beget bootleggers, just as intellectual property laws beget "counterfeiters", whose only crime is making affordable merchandise without paying a state-enforced stipend to some already wealthy copyright-holder; that some counterfeiter uses the Miami Dolphins logo does not preclude the creator or "owner" of that design to use it themselves.

And since we're on the subject of organized crime, how again were mobsters pushed out of the booze business? Alcohol was legalized. There's probably a lesson there.

First, the feverish conclusion:
Counterfeiting is a serious global problem that costs tens of thousands of American jobs each year, and eats away at our economic growth and vibrancy.  The only way to fight back is through stringent enforcement and consumer awareness.  So as we watch the game on Sunday, there will be a lot of activity going on behind the scenes that you’ll never see on instant replay. The cracking down on counterfeiting is just one step in stopping this illegal activity. Increased vigilance from law enforcement all the way to Congress and the White House is needed if we are to deal a serious blow to this detriment to our economy. And lastly, if you’re at the game this weekend or online in the coming weeks, and the price of that NFL cap or jersey seems too good to be true, it’s probably a fake; please don’t buy it, somebody’s job may depend on it.
Intellectual property laws safeguard our nation's "vibrancy"? Tell that to any hip-hop artist trying to clear a sample, or someone trying to use an NFL logo in a way that may not appeal to the near-dead white dudes that make up the league's leadership.

For those that don't speak chamber, Esper's basically saying: keep doing the same thing, U.S. government -- blustery rhetoric coupled with heavy-handed enforcement -- just do it harder. And you, Mr. and Mrs. Consumer, forgo that good deal and additional cash you could have spent (or saved? Nah, this is America) elsewhere, and give more of your money to the filthy rich members of the Chamber of Commerce. Or a puppy gets it.