Tag Archives: record labels
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Licensing deal with IP rights group ends YouTube blackout in Germany – “no more red faces”

Tens of thousands of recording artists and musicians in Germany will be receiving payment for their content under the terms of agreement struck last week between YouTube and GEMA, Germany’s leading royalty collection group.

The deal will end a seven-year YouTube ban in Germany, which had previously blocked access to the streaming site over non-payment of performance royalties. It is unclear if the pact is a harbinger of things to come in the ongoing battle between streaming sites, search engines and content providers, such as musicians, or if it includes published works, like books and photographs.

Resolution of the dispute, reports The New York Times, comes “with European officials revamping the region’s copyright rules to give more power to music labels, publishers and other content producers over the likes of Google, which owns YouTube, and Facebook.”

“We remained true to our position that authors should also get a fair remuneration in the digital age, despite the resistance we met,” Harald Heker, GEMA’s chief executive, said in a statement. He added that the agreement covered future royalties, as well as those accrued over the last seven years.

Blocking alert that German YouTube users will no longer see

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“This is a win for music artists around the world, enabling them to reach new and existing fans in Germany, while also earning money from the advertising on their videos,” YouTube’s Christophe Muller told TorrentFreak, a publication dedicated to bringing the latest news about copyright, privacy, and everything related to filesharing.

TorrentFreak also reports that “Increasingly, music groups are criticizing YouTube for ‘profiting’ from the hard work of artists without paying proper compensations, so it’s not unlikely that similar deals will follow in other countries.”

A prominent L.A.-based producer told IP CloseUp that the deal (which deal? The deals in other countries? “that such deals in other countries”) “appears to be progress,” but Google (which owns YouTube) is too big for the little record companies to fight. “Whenever they try collective action, Google runs to the anti trust authorities.”

Agreement that the Internet has been bad for the music business is not universal. Factors that influence “free” distribution depend on a label’s size, the popularity of its artists and their point-of-view about how best to generate income. Sony has said that impeding YouTube costs the music industry millions of dollars.

One of the people who embraces this positive view of streaming is Edgar Berger, Sony Music’s CEO of international business. In a recent interview he stressed the importance of the Internet, while noting that the increase in Internet sales almost makes up for the decline in physical sales. See a summary of the interview, here.

“There is absolutely nothing to complain about. The Internet is a great stroke of luck for the music industry, or better: the Internet is a blessing for us,” Berger said.

No More Red Faces

“The [GEMA] deal means YouTube will unblock thousands of clips in Germany for the first time in seven years,” wrote Bloomberg News. “When German music fans in the past tried to watch videos of their favorite songs they only got an youtube-sad-face-300x159error message showing a red YouTube sad face with a line saying the content was banned from the portal for copyright reasons.”

The parties did not disclose financial details of the agreement. YouTube has, in the past, struck similar deals with dozens of groups around the world, including one in 2009 with the U.K.’s PRS for Music.

The groups also did not say if YouTube’s familiar sad red face would be replaced with a happy green one.

Image source: theheureka.com

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Digital Downloading Embodies a Growing Culture of IP Piracy

Attitude Toward Content Theft Fuels Free-Riding on Others’ Inventions & Counterfeits of Branded Products

The ease of downloading copyrighted content on a computer or smart phone is at the core of an explosion of IP abuse that also impacts branded goods and patented inventions.

Record labels, film studios and publishing houses are among those most directly affected by copyright infringement on the Internet. But musicians, authors, luxury brands and inventors, and thousands of industry jobs and businesses, also are among those feeling the impact of a rapidly growing culture of free-riders. More than 50 pirate political parties and groups in the U.S. and Europe are a symptom of a much greater disease.

Theft of IP rights has not only become acceptable in some circles, it has become fashionable. It feeds off of the ease of digital file sharing and knock-offs, and affects struggling artists and inventors, as well as businesses of all sizes.

The Court of Public Opinion

In the court of public opinion copyrights and brands have fared poorly. Theft of digitally rendered content and counterfeits is easily achieved and difficult to stop. Patents have not done much better. A cultural disdain for IP rights has emerged, facilitated in part by businesses that stand to profit from free content, look-alike goods and others’ inventions, and end users who don’t give a damn.

“He’s No Robin Hood,” my Intangible Investor column appearing in the current (November) IAM, looks at the broader implications of the acceptance of file sharing. Some excerpts from the article:

“File sharing promotes a culture of piracy that makes it more acceptable to steal branded goods and inventions, as well as content. Big daddy Kim Dotcom is sticking it to all IP holders.    

“Exhibit A for the legitimization of IP theft is Kim Dotcom Schmitz. Dotcom has slyly built himself into a modern folk hero, replete with a mellow “gangsta” style and outsider reputation. (He is a champion gamer and car racer.)

“This larger-than-life, medallion-wearing bad boy looks like he is deserving of a modest scolding and a heath club membership, not 20 years behind bars. That’s what he and his supporters would like you to believe. In fact, his illegal businesses has generated more than 66 million illegal subscribers and has helped to make file sharing acceptable and dismantle the recording industry.”

“Megaupload and the twilight of copyright” by Roger Parloff in Fortune is an extremely timely article that helps to put file sharing into criminal perspective. It illustrates how in the space of twenty years we went from a society where copyright served the needs of emerging artists and authors, as well as businesses, to one where IP is perceived to impede technological innovation and freedom of expression.

This article truly is a must read for anyone interested new ideas or IP rights. It also serves as a wake-up call for patent holders who expect their rights to be upheld.  

Illustration source: techwireasia.com; fortune.com 


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