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Summary:

UK royalties collector PRS For Music has resurrected the idea ISPs should pay for copyrighted content that their networks transfer without a…

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UK royalties collector PRS For Music has resurrected the idea ISPs should pay for copyrighted content that their networks transfer without authorisation.

In a think paper, its chief economist Will Page writes: “With the introduction of the Digital Economy Act, the harm caused by the problem of piracy has to be measured, and if a problem can be measured it can be priced.” He presents two options…

1) “A dynamic compensation model, akin to the ‘cap and trade’ market for carbon emissions … Operators would face a fee for the transmission of unlicensed media on their networks, though that fee would be reduced in line with reductions in the volume of unlicensed media transmitted…”

2) “Alternatively, there is the ‘positive spillover’ approach, one that converts infringing media to non-infringing by way of a legal agreement … Network operators would
pay … a fee
, and determine for themselves how best to capture the raw value of media on networks. A reduction of such fees might occur as a result of changes in the level of media transmitted that has been directly licensed from rights holders.”

It’s not just a thinkpiece in isolation. PRS For Music tells paidContent:UK: “We support it and think it is something that needs discussion and thought. We

  1. As the co-author on this paper, I simply wanted to say thanks for hitting both sides of the extremes in the conclusion of this paper, points (1) and (2) in your story. The subject matter of this paper is more broad than simply a “levy” on ISPs. In other words, “fee” does not and should not mean “levy” by default.

    The paper is about a range of L-words, and even tries to go beyond L-words towards a wider range of options on the table for serious consideration. Your mileage may vary.

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  2. Cameron_Lead Friday, July 16, 2010

    Interesting ideas. Is it implementable, or simply a Utopian ideal? I think there is a workable model in there somewhere. There’s more on the issue here:
    http://www.themusicvoid.com/2010/07/isp-music-levy-legal-p2p-back-on-royalty-agenda/

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  3. themusicvoid1 Monday, July 19, 2010

    UK royalties collector PRS For Music has resurrected the idea ISPs should pay for copyrighted content that their networks transfer without authorisation.

    http://www.themusicvoid.com/2010/07/isp-music-levy-legal-p2p-back-on-royalty-agenda/

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  4. Can we get away from the hyperbole of the last paragraph? Where are the data to support this claim that 95% of all music consumption is “black-market”? I know the IFPI floated 80% and I’d like to see their supporting data as well. Everyone can make up numbers — where are the data that supports these, how was it gathered and how robust is it?

    Because if it’s correct it’s saying that Florence’s 300,000 units or GaGa’s 1million are only 5% of total sales. I don’t believe it.

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