The Wall Street Journal Reports on Ad Sponsored Piracy – Mainstream News Outlets Acknowledge Major Problem Effecting Artists And Creators

Yesterday the Wall Street Journal added it’s voice to mainstream news outlets such as The New York Times and The Los Angeles Times reporting on major brand funded ad sponsored piracy.

Another focus is online-ad networks, which media companies say help finance piracy by placing ads on sites that traffic in unauthorized content. A study last summer, commissioned in part by Google, found that 86% of peer-to-peer sharing sites are dependent on advertising for income.

NBC’s special unit said it recently discovered advertisements for Blockbuster and the U.S. Forest Service on cyberlockers that had trafficked in its content without permission. The ads had been supplied through Google’s AdSense, which places ads related to keywords.

Blockbuster said it had “policies and controls” to stop improper ad placement, but called it an “ongoing challenge.” The Ad Council, which handles ads for the Forest Service, said any time its ads ran on questionable sites, it requested that they be taken down immediately.

After a request from NBC, Google removed the ads, said NBC Universal’s Mr. Cotton.

A Google spokeswoman declined to comment on the ads but said that, as a policy, AdSense ads aren’t supposed to be displayed on sites that contain or link to copyright-infringing content. She noted that the company disables “thousands of accounts proactively, as well as at the result of requests.”

Read more here : WSJ – As Pirates Run Rampant, TV Studios Dial Up Pursuit

Artists Rights Watch – Monday March 4, 2013

A Weekly Review of Artists Rights, Copyright and Technology News for Creators from Around The Web.

BILLBOARD:
* ASCAP President Paul Williams, Songwriters Josh Kear, Dan Wilson Make Royalty Case to Congress

As songwriters, we need to ensure that Congress hears our side of the story as they review how digital music royalties are paid. The way it works now, songwriters are being forced to become unwitting investors in unsustainable businesses that undervalue our music.

* Inside the IFPI’s Digital Music Report 2013
* House Representatives Form Creative Rights Caucus

“A number of key Hill leaders are taking an interest in creators’ rights and we hope they will help influence new members about the importance of protecting copyright.”

MUSIC TECH POLICY:
* The Fallacy of “Incremental Revenue” Part 1
* Shocker: Ad Networks Profit from Piracy
* Thom Yorke on Google the Commoditizer
* Sharing is Caring: What is Google’s Position on Data Sharing with Artists?

THE GUARDIAN:
* Thom Yorke: ‘If I can’t enjoy this now, when do I start?’

…the band seemed like evangelists for the revolutionary possibilities of a digital world, self-releasing 2007’s In Rainbows on a pay-what-you-want download. Yorke is a bit more sceptical about all that now.

Having thought they were subverting the corporate music industry with In Rainbows, he now fears they were inadvertently playing into the hands of Apple and Google and the rest. “They have to keep commodifying things to keep the share price up, but in doing so they have made all content, including music and newspapers, worthless, in order to make their billions. And this is what we want? I still think it will be undermined in some way. It doesn’t make sense to me.

DIGITAL MUSIC NEWS:
* An Open Letter to the CEOs of Brands Advertising on Infringing Sites…
* ‘Have Music Sales Finally Hit Bottom?’ (Billboard Asks In 2004…)
* The Industry Isn’t Good at Paying Artists. So I Invented ‘Copper…’
* Citing Burdensome Royalty Costs, Pandora Caps Its Listening Hours…

THE HUFFINGTON POST:
* On Empowering Artists

It is not surprising that the companies (and their surrogates), whose business model largely consists of monetizing the stolen intellectual property of creators, are also proselytizing the virtues of “reforming” copyright. And of course it would be just these websites, ad networks, and search engines that would profit most from the types of “reforms” they suggest.

AD EXCHANGER:
* New Pressure For Networks And Exchanges To Shun Piracy Sites

“It’s difficult to advertise online at scale and not wind up on pirated content, at some point, as you’re buying through various exchange and remnant inventory sources,” Luttrell said.

DAILY PAUL:
* Libertarians Must Stand Together on Copyright

I am a passionate member of the liberty movement. But I do think many libertarians are wrong (the ones I have spoken with), when they A) Believe in market-based capitalism and principles, but B) believe all music, journalism, artistic work, and similar creative content should be “free”, no matter how much time, money, or talent went into them. This is an enormous contradiction, and many do not understand just how far the rabbit hole goes.

HYPEBOT:
* Shazam Drives $300 Million A Year In iTunes, AmazonMP3 Sales

POLITICO:
* Pandora turns up volume on royalties debate

ANDREW ORLOWSKI:
* “The price of nothing”

“All these businesses do is take something digital and reduce the value of it to the value of storage. That’s not particularly smart. Imagine, perhaps, a food market where everything cost a dollar a kilo. Suppliers would soon learn that they needed to produce at 50 cents, or find another way to do business.”

THE ATLANTIC:
* The Enduring Myth of the ‘Free’ Internet

Yes, it is certainly the case that the devices that connect us to search engines, countless websites, social media, and e-mail bring us vast amounts of content for which we do not pay separately. But access to this “free” information on the Internet, as everyone acknowledges as soon as it is pointed out, is not gratis. Monthly charges for broadband Internet service, plus cable television fees and smartphone bills that together comprise the range of household pleasures and obligations as well as work-related communication that are so embedded in our lives amount to hefty sums.

MUSIC WEEK:
* Google streaming could provide ‘biggest route to legal music consumption’

PANDO DAILY:
* What’s good for Silicon Valley might not be good for America

While Silicon Valley hasn’t directly taken away jobs from the media industry in the same way it has from the retail sector, the disruption created by Internet distribution has still resulted in declining financial performance and massive job losses in journalism, television, motion pictures, and the music industry. The tech sector will of course argue that the developments have been beneficial to consumers, but even if we accept that position without debate, it still doesn’t change the fact that a lot of people in the press, media, and entertainment industry have been hurt by Silicon Valley’s success.

TORRENT FREAK:
* U.S. Government Wins Appeal in Kim Dotcom Extradition Battle
* Cablevision Disconnects Persistent Pirates for 24 Hours
* High Court Orders UK ISPs to Block Kickass Torrents, H33T and Fenopy
* Japanese Police Arrest 27 File-Sharers in Nationwide Show of Force
* Comcast Punishes BitTorrent Pirates With Browser Hijack

Music Technology Policy

Now here’s an interesting article in AdExchanger, a site apparently targeting the ad network trade.  (Lest we be accused of speaking of that which we do not have direct knowledge, it’s perhaps best to seek confirmation from a knowledgeable source.)  It is quite remarkable in the blitheness with which it acknowledges that big brands are funding pirates (or what used to be called “rogue sites,” if you remember that one).  To wit:

A big factor in play is that these categories [that is, the piracy categories] toward lead gen[eration] and other performance driven metrics. In other words, they’re inherently less focused on adjacency issues.

Ah, “adjacency issues.”  Of course.  Sounds so insignificant, doesn’t it?  What exactly would constitute focusing on “adjacency issues”?

“I would guess that the CMOs of many companies do not actually understand that they are appearing on some of these sites to the extent that they…

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Having thought they were subverting the corporate music industry with In Rainbows, he now fears they were inadvertently playing into the hands of Apple and Google and the rest.

Music Technology Policy

Radiohead’s Thom Yorke has a striking interview in the Guardian in which he sums up the band’s realizations about what David Lowery calls the “New Boss” reality:

“[Big Tech] have to keep commodifying things to keep the share price up, but in doing so they have made all content, including music and newspapers, worthless, in order to make their billions. And this is what we want? I still think it will be undermined in some way. It doesn’t make sense to me. Anyway, All Watched Over by Machines of Loving Grace. The commodification of human relationships through social networks. Amazing!”

He is, of course, exactly correct.  What does this “commodification” or the Americanized, “commoditization” mean exactly?

In a prescient 2008 book review of Nicholas Carr’s The Google Enigma (entitled “Google the Destroyer“), antitrust scholar Jim DeLong gives an elegant explanation:

Carr’s Google Enigma made a familiar business…

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Conservatives Have A “You Didn’t Write That” Moment: Collectivize Music, Books and Film.

There is a curious and profound difference between how Americans and the rest of the world (ROTW) define the term “liberal”. In the US “liberal” is identified with the left and progressive movement. In the rest of the world it’s identified with the center right and especially those that embrace free markets and market mechanisms. Indeed in the ROTW liberals and libertarians claim many of the same thinkers and philosophers as their own.

If I had to put a label on my political views it would be as a ROTW liberal. Not an American liberal. Yes my views on social issues generally match the Democrats and American liberals (and also genuine libertarians) but I’ve often found myself at odds with other musicians and the music business establishment on economic issues and the role of government. I came to these views gradually over my 30 years in the music business. Not in spite of being in the music business but because I’m in the music business. The overwhelming evidence is that free markets for cultural goods have been spectacularly successful. Countries that do not have market based cultural industries have faired far worse. Yes people bitch and moan that our for-profit market incentivized culture business has produced a lot of pop fluff like Justin Bieber, Avengers movies, Danielle Steele and the Real Housewives franchise. But it also produced Captain Beefheart, Jimmy Hendrix, Black Metal, NWA, The Sex Pistols, Ornette Coleman, David Foster Wallace, Thomas Pynchon, Cormac McCarthy, Eraser Head, The Big Lebowski, The Wire and a host of other profound, edgy or just plain weird cultural goods. The only other nations that can compete with us on quantity and quality also have capitalist market based cultural economies. Meanwhile countries that should have vibrant culture businesses have fallen far behind. Brazil’s once vibrant recording industry has been crushed. Most of Brazil’s stars now rely on music sales outside their own countries. Recently China’s largest record label decided not to release any more albums. In the face of officially sanctioned piracy they gave up. Meanwhile the tiny but very market oriented South Korea has developed the dominant music industry in Asia, right in China’s own backyard.

So it’s a mystery to me why a certain strain of conservative and libertarian is suddenly arguing that we must move away from our wildly successful market based cultural goods system to a “you didn’t write that” sharing economy. Specifically by weakening copyright even further; by pushing works into the (collectivized) public domain very quickly; and to grant exceptions to copyright that essentially collectivize what has been regarded as personal property for hundreds of years.

Most disturbing is many are arguing its all for some sort of ill defined common good. In this case “to spur innovation.” Never mind that by it’s very definition we can’t know what future “innovation” looks like. Once again another example of Washington DC’s would-be policy makers intervening and trying to pick winners. In this case choosing to adjust copyright to help a certain sub-sector of the technology industry, at the expense of another sector of the economy.

I first encountered this notion at the libertarian think tank the Cato Institute in December of 2012 when the affable but wrong Jerry Brito presented his book Copyright Unbalanced: From Incentive to Excess. Brito invited Mitch Glazier of the RIAA and Tom Bell a law professor from Chapman University to speak and debate the issues.

The whole experience was surreal, partly because I had injured my neck a few days before while playing football with my kids and I’d taken a painkiller so I could comfortably sit for the 90 minutes. As a result I had a weird urge to get up and walk around the room hugging people. “I know we’ll never agree, but come on let’s hug it out.”

Fortunately I didn’t as it would have interrupted what seemed like a bit of well planned Kabuki theatre. For instance, seated in the front row was the young RSC (Republican Study Committee) staffer who had “coincidentally” stirred controversy the week before when he released a paper calling for reform of copyright to spur innovation in the DJ remix scene (not joking). And scattered about the room were various other members of the copyleft politburo. The whole thing was about as unscripted as a North Korean May Day parade.

Tom Bell – who I find to be bizarre – held forth on his ideas about copyright for a while, which I thought came off like a Stephen Colbert type parody of a Libertarian. A particular highlight was when he referred to everything that wasn’t books or nautical charts as “Frippery” and undeserving of protection by copyright.

I had to look that up to make sure he really was using a 18th century descriptor and not somehow talking about guitarist Robert Fripp’s solo work. Remember, I’d taken a painkiller.

Regardless every liberal(ROTW) should pay close attention to what Bell is saying. Ultimately he is saying some official somewhere should arbitrarily decide what is deserving of copyright. That is non-frippery. Not whether something is of sufficient originality or the highly specific expression of a creator. Never mind that massive markets exist for these “fripperies.” Never mind that consumers seem to value fripperies over nautical charts. And as far as consumers are concerned the more frippish the frippery the better! (Gangnam Style anyone?) Ultimately Bell asks us to ignore all this and let a bureaucrat somewhere decide whether something is frippery or not. Sounds very un-liberal to me.

Mitch Glazier of the RIAA looked mightily relieved after Bell’s weird performance. And why shouldn’t he? If Bell is the new libertarian face of the collectivize Intellectual Property crowd his job just got considerably easier. For his big hollywood backers now look positively down-to-earth compared to Bell.

But unfortunately the Kool Aid™ drinking is not confined to 18th century powdered wig loving academics. The usually reasonable Jeff John Roberts has apparently joined the Cultural Revolution. In his article “Can Conservatives Break the Copyright Stalemate” he lists as reasonable voices Cory Doctorow and Lawrence Lessig. These are two guys that are barely to the right of Stalin in my opinion.

The copyright debate is not entirely controlled by the ideologues, of course. In the last decade, scholars and journalists (Lawrence Lessig, Bill Patry, Cory Doctorow and Mike Masnick to name a few) have made eloquent arguments about reforming the law.

I had to check to make sure Gigaom wasn’t some www.TheOnion.com  like parody news site after reading this.  Masnick is a sometime-consultant for CCIA and found himself on what Roberts himself described and defended as the “Google Shill” list. Patry is Google’s senior copyright counsel and looks to me to be a distinguished hatchet man for the copyleft. Also it’s unclear in which universe Doctorow (especially) is considered “reasonable” on any matter. This is the guy that harassed a female journalist by posting X-rays of his nether regions simply because he disagreed with her column. (On Flickr with the caption “My hips, for Helienne”—with a small…very small…blacked out spot in the right place.)

But here’s where Roberts really begins to lose it:

To justify this behavior, pirates point to the mendacity of the entertainment industry to say, in effect, that content owners have it coming to them.  There is some validity to this (especially as the industry often shortchanges the artists it purports to stand for) but it doesn’t address the underlying issue: how should we pay content creators?

Really? And which artist asked pirates to go to bat for them? Or Roberts for that matter?

There is some validity to this? So we should dispense with the rule of law and instead start going extra-legal on private companies based on hearsay and speculation? We are gonna start licensing the cyber-mob to go after companies we don’t like because of the rumored details of private contracts they signed with a willing party? Are we gonna start dictating the details of these private contracts under threat of extra-legal punishment? Further I’d like to see Roberts explain his definition of often; cite evidence to back  up the use of the term; and then explain why artists continue to freely line up to be “shortchanged” by record labels.

And why work out a new way to pay content creators when we can objectively conclude the market based copyright system has worked spectacularly well? Think it through: all other solutions rely on non-market based subsidies, government interventions, taxes  or patronage. Do we really want to go down that road? What happens to free speech and creativity when governments or George Soros choose which artists get subsidized? The real liberal (ROTW) solution is to correct the market failure created by piracy not to dispense with the entire market.

Roberts continues to dig the hole deeper:

It’s worth recalling just why the copyright system is so troubled in the first place and and who is responsible. For starters, note that U.S. copyright has ballooned from its original term of 28 years* to the life of the author plus 70 years — meaning a young novelist or songwriter’s work is now likely to stay locked up until the year 2143 or beyond.

The length of copyright is a red herring. If the copyright system is broken, it will remain broken no matter the length of copyright. Companies like Youtube and ad funded pirate sites like http://www.webgalu.com won’t suddenly change their illegal business models because they now don’t have to pay royalties on Cab Calloway recordings from the 1930’s. This is a joke and should be treated accordingly. However I would love to see what “stronger enforcement” looks like and I’d love to hear the justifications for why we can’t have that now?

But what I find most disturbing in this paragraph is Roberts use of the term “locked up”. These songs are not locked up. Anyone is free to use these songs under a compulsory mechanical license under the terms of existing copyright law. As long as the proper royalties are paid these songs are easily re-recorded. Permission is required to license for film, television commercials, or samples, but last time I looked, the world is not falling apart and lots of audiovisual licenses and sample licenses are obtained every day. If this is “locked up” then Roberts might as well argue the false outrage that my Chevrolet Crew Cab 2500 is “locked up”. For people can’t use it without my permission or without compensating me.

Liberals (ROTW) Beware! This is a “you didn’t build that” argument. It is collectivist at heart.

*Ahem. I don’t know what “original term” Roberts refers to, but one 28 year term Roberts could be referring to was under the 1909 Copyright Act which had an initial term of 28 years and could be—and usually was—extended for a second 28 year term. Total 56 years, not 28. Surely Roberts knows this. So he is misleading for starters. And the copyright term didn’t “balloon”—the US adopted the international standard of life plus 50 in the 1976 copyright act and in 1988 signed up (finally) to international copyright treaties so US authors got the same protections as creators from Albania or Zimbabwe (life plus 50 among other things).  The US term was extended in 1998 to life plus 70 in the Bono Act which followed the rule in the EU adopted in 1993.  If the US term “ballooned,” so did the rest of the world.

How Musicians Are (Not) Making Money, and who is… @SFMusicTech w/ East Bay Ray

SF Music Tech is always a great place to get the temperature of the current ideology and trends relating to music and technology. Brian Zisk does a great job of creating an environment for the tech community to explore it’s relationship to music and musicians.

Respect Musicians Choices. Musicians need to get Paid.

Artists should have creative control over their work, their careers and they should be paid fairly. We couldn’t agree more. This sentiment was echoed by Emily White of Whitesmith Entertainment on one panel and was ofter heard repeated during the day. Whenever there was a “shout out” to give props to musicians it was almost always met with universal applause from the audience regardless of the panel topic.

During the day the mantra of how artists deserved respect and payment was heard over and over. Everyone loves musicians. Musicians need to be paid. But some struggled to truly accept this as a universal concept that extended to businesses operating on the internet as well.

We’ve all heard the stories of musicians being exploited by record labels, music publishers, band managers, booking agents, etc. These tales are almost universally met with disgust, as they should be. But when artist exploitation takes the form corporate profiteering on the internet the tech community often recoils into a bit of selective reasoning and double standards.

So let us say this loud and clear about people throwing stones inside of glass houses… any wrong doing of illegally exploiting musicians for corporate profiteering should be unacceptable even it is happening on the internet.

How Musicians Are (Not) Making Money

Kristin Thompson from the Future OF Music Coalition noted that even though there may be many new revenue streams available to musicians, many of them only pay “micro pennies.” The consensus was clear and perhaps best summed up by Incubus manager Steve Rennie who essentially said, “eventually this should all work it self out where musicians can earn professional careers again, but the timing might just be really bad for this generation of musicians, and that’s the luck of the draw in life.” We actually don’t find that to be encouraging.

The irony and the disconnect didn’t take long to surface when East Bay Ray from the Dead Kennedy’s pointed out how exactly musicians don’t get paid from corporately funded music piracy sites when he showed a screenshot from mp3skull providing free downloads of his bands music financed by 1-800 Flowers and Alaska Airlines.

Willful Blindness

Of course those who believe in the exploitation of musicians for the profit of internet businesses had no problem rapidly resorting to name calling when it would be a lot more productive to acknowledge the problem as a detriment to the livelihood of musicians, and seek to work towards a cooperative solution to help musicians get paid.

What about Transparency, Being Open and More Human?

Ray went on to note how the negative effects of these sites create an environment that allows companies like YouTube to operate as an opaque black box. Using the best publicly available information he quickly calculated that YouTube’s 35% payment to artists (versus Itunes and Spotify’s 70%) could be a contributing factor to the 45% decline in professional musicians in the last decade. By Ray’s calculations (here at Digital Music News) the numbers may create a loss of 12,000 middle class musicians.

The Elephant In The Room

Some would like to argue that the revenue these sites are generating is inconsequential. These people seem to have difficulty understanding that if brand sponsored piracy can support 200,000 infringing domians that Google is tracking in it’s transparency report, then there is clearly enough there that musicians should be getting paid.

The real point is that there appears to be plenty of money being made online from the distribution of music, it’s just that the money is not being “shared” with musicians.

200kDomainsTracked

Any honest conversation about compensation to musicians has to address the single largest detriment to the revenue of artists at any level, which are the ad network financed music piracy sites. Ignoring these sites leaves out the most critical variable in evaluating fair and ethical compensation models when over 200,000 sites pay nothing at all to musicians with unlimited access to illegally free inventory. These sites profit from exploiting musicians and paying the musicians nothing.

Any legally licensed, legitimate music tech start up also has to acknowledge that mass scale, enterprise level, commercial infringement of music does NOT create a better environment for innovative entrepreneurs but rather a much more difficult one.

The truth is, there is no new professional middle class of musicians. The grand experiment of the digital utopia has been a massive failure for musicans and everyone at SF Music Tech now knows it. The soft back peddling by most on old hard line positions shows clearly that the reality for professional musicians has gotten worse, not better.

One of the most overheard phrases of the conference was, “we have to do better to get musicians paid.” Indeed, as we have noted here the truth is self evident, if the Internet is working for musicians, why aren’t more musicians working professionally? Not everyone aspires to work a day job, make music as a hobby and allow internet corporations to profit from their labor, illegally.

“Here we are, stuck with all these people who want music for free,” said Dave Allen, founding member of Gang of Four and interactive strategist at the branding agency North. “We have to find a way for musicians to make a living.”

If the tech and internet community are truly interested in getting musicians paid wouldn’t it make sense to start where money is already being made?

Petition to Stop Advertising on Pirate Sites

Please sign the letter in the link below to the CEOs of brands that appear on multiple occasions on infringing sites. Ask them to take a pledge to keep their ads off of illegal sites. Keep in mind that this list is not a comprehensive list of brands that appear on pirate sites.

Click Here : Please Sign The Petition to Stop Advertising on Pirate Sites

An Open Letter to the CEOs of Brands Advertising on Infringing Sites:

We, the undersigned, are just a few of the millions of artists and creators living, working, and creating across the United States. It has come to our attention that your companies are advertising on websites that illegally host or distribute creative content. We want to make you aware of the harm your companies do to independent artists and small businesses when you advertise on these sites.

Advertising on these sites encourages others to exploit our work for economic gain without a return to us. It deprives us of the opportunity to build communities with fans when they visit illegal sites to obtain our work, rather than our sites. It also gives consumers a false sense of security by lending an air of legitimacy to these sites. And, it rewards activities that are illegal.

Advertising on these sites also damages your own brands by association.

We understand that it can be difficult to know where your companies’ ads might end up because of the complexity of online advertising. However, difficult does not mean impossible. It appears that other companies make ad buys in ways that don’t result in their brands being tarnished and our work being exploited.

We ask you to encourage your companies to do the same.

You are in the best position to employ high-quality control standards and to demand the same from the ad networks you use. We encourage your companies to uphold high ethical standards for advertising placement, just as you do in other areas of business.

Please ask your online advertising purchasers to adopt practices like those detailed in the Statement of Best Practices to Address Online Piracy and Counterfeiting, released last year by the Association of National Advertisers, the American Association of Advertising Agencies (4A’s), and the Interactive Advertising Bureau. The practices outlined here, if adopted by major companies like yours, would go a long way towards ensuring a free and fair online marketplace for artists and creators to thrive. A report released by the University of Southern California’s Annenberg Innovation Lab on February 14, 2013, under the direction of Jonathan Taplin, has identified the top ten Ad Networks placing ads on infringing sites. And, according to research and documentation by artists working in tandem with this project, your companies have been identified as brands that repeatedly advertise on infringing websites.

Now that this issue has been brought to your attention, we hope that you will take affirmative steps to address this problem.

Artists Rights Watch – Monday Feb 25, 2013

A Weekly Review of Artists Rights, Copyright and Technology News for Creators from Around The Web.

THE NEW YORK TIMES:
* For Music Industry, a Story of Two Googles

…as long as the search side of Google causes friction with the music industry, its other side — the one that is trying to compete with Apple, Amazon and every other digital music service out there — will face some rough patches.

SF GATE:
* New tune at SF MusicTech Summit

The freewheeling era of file sharing, it appears, is slowly coming to a close as artists begin to assert their rights and tech companies consider business alliances with the creators they once flagrantly ignored.

“Here we are, stuck with all these people who want music for free,” said Dave Allen, founding member of Gang of Four and interactive strategist at the branding agency North. “We have to find a way for musicians to make a living.”

SF WEEKLY:
* SF MusicTech: Dead Kennedys’ East Bay Ray Lashes Out at Internet “Pimps”

“There’s opportunists on the Internet that have taken advantage of the artists,” he said, at one point calling them “pimps.” The slim royalties from streaming services, coupled with the proliferation of free MP3s online, meant the music industry was “selling a free ride on a carnival horse, but they’re starving the carnival horse.”

SOLVEIG
* Recap SF Music Tech Summit XII 2013

REUTERS:
* Content economics, part 1: advertising

TV is still the monster, the elephant: for all the talk of cord-cutting, Americans have clearly voted that, given the choice, they’d much rather have cable TV than broadband internet.

And for web-based publishers, the situation is much, much worse even than this chart makes it look.

SEATTLE WEEKLY:
* The Misplaced Zeal of Aaron Swartz

The late activist’s efforts helped put power and public sympathy into the hands of corporations at the expense of artists, musicians, and the people.

Past and present facilitators of digital piracy like Napster, Audiogalaxy, Grokster, Megaupload, and The Pirate Bay are not misunderstood beacons of freedom of speech. They are digital black-market distributors who never asked artists’ permission to feature their works or paid creators a penny, and whose owners took money for themselves via venture-capital funding, subscription fees, or advertising revenue.

DIGITAL MUSIC NEWS:
* The Pirate Bay Is Actually Suing Someone for Trademark Infringement…
* I’m East Bay Ray. And I Think YouTube Has Forced 12,000 Musicians Out of Work…
* Spotify, Pandora & Google Have a New Problem: The New York Times…

MUSIC ALLY:
* Writing or speaking about streaming music screwing artists? Read these articles first
* Harlem Shake tops Billboard Hot 100 chart thanks to YouTube streams

ALL THINGS D:
* Big Music Says Google Isn’t Cracking Down on Pirate Sites, After All

“We have found no evidence that Google’s policy has had a demonstrable impact on demoting sites with large amounts of piracy.”

THE VERGE:
* Spotify pushing labels to lower costs, open up free service to phones

Spotify, the popular music subscription service, is due to meet in the coming weeks with its major counterparts in the record industry to renew their licensing agreements. The Verge has learned that managers at Spotify are expected to ask for substantial price breaks from the music labels as well as the rights to extend its free pricing tier to mobile devices.

VOX INDIE:
* Smokey the Bear Fuels Piracy’s Fire?
* Google Wants to Pass the Buck on Piracy, but Keep Theirs?

Any progress in severing piracy’s blood supply is a certainly a good thing BUT for Google to claim the company is working to “block funding” of pirate sites–while simultaneously profiting from them–seems more than a tad disingenuous. What about blocking access to funding via their AdSense accounts on YouTube and Blogger? Why focus on Visa and Mastercard when one’s own house is in such disarray?

COPYRIGHT ALLIANCE:
* The vine should suffer, not the artist.

THE CYNICAL MUSICIAN:
* The Limits of Copyright
* Copyright Maximalism

The misapplication tends to be especially apparent in the comments section of TCM, where the strangest things are brought up as examples of what would happen if we let up the good fight against copyright. The fact that they strangely failed to materialise over the 300 years or so that copyright had been in existence prior to 2000 (when it tended to be enforced a good deal better) doesn’t throw those who would put forward such theories.

FORBES:
* Congressman Says He’ll Propose Ban On 3D-Printable Gun Magazines

THE TELEGRAPH UK:
* Google looks to Cut Funds to Illegal Sites
* Google’s Copyright War Rages On

In private, the creative industries argue that Google’s supposed favoured status began in Number 10.

David Cameron’s former director of strategy, Steve Hilton, is married to Rachel Whetstone, head of communications at Google. It handed Ms Whetstone a “hotline” to Number 10, opponents argue. Although the couple now live in California, that hotline is “still hot”, says one source. “But it doesn’t matter anyway, because the damage is done.”

The close relationship between Number 10 and the top brass at Google’s Mountain View headquarters has become the framework for all subsequent discussion, critics say. It was emblematic when, nearly a year ago, Downing Street was apparently so in tune with Google’s thinking that the company’s chairman, Eric Schmidt, and the Chancellor, George Osborne, published a joint leader in The Financial Times.

COMPUTER WORLD:
* A Declaration of the Interdependence of Cyberspace

You allege that government has had no role in the Internet, and for this reason it has no claim to the Internet today, but this accusation is founded on nothing more than ignorance and superstition. Government labs and government-funded research programs gave birth to the Internet’s essential technologies, and government policies continue to guide the development of important Internet innovations today.

SALON:
* Stop pretending cyberspace exists – Treating the Internet as a mythical country makes us dumber

If you’re not convinced by now that the very notion of cyberspace is silly, try substituting “fax” or “telephone” or “telegraph” for “cyber” in words and sentences. The results will be comical. “Activists denounced government criminal surveillance policies for colonizing Fax Space.” “Should Telephone Space be commercialized?” Again, the point is not that telecommunications should not be structured and governed in the public interest, but rather that the debate about the public interest is not well served by the Land of Oz metaphor.

SPIEGEL.DE:
* ‘Liquid Democrazy’: Pirate Party Sinks amid Chaos and Bickering

The Pirate Party has been too busy tearing itself apart, with members fighting leaders, who are bickering among themselves and antagonizing the members too. In just the last two days, party leaders for the states of Baden-Württemberg and Brandenburg have stepped down, citing the negative climate. “The atmosphere is so poisonous, there’s hardly any constructive work taking place anymore,” says Udo Vetter

TORRENT FREAK:
* Former File-Sharing Site Admin Fined 6.4 Million Euros
* Google Refuses to Index Huge Streaming Movie Portal Homepage

THE VOICE OF RUSSIA:
* US to crack down on intellectual property theft

The 141-page document refers to China at least 188 times. Russia is mentioned 45 times, and India is also mentioned.Those cases cited mostly involved employees stealing trade secrets on the job rather than cyber-attacks. US corporate victims of the theft included General Motors, Ford, DuPont, Dow Chemical, Motorola, Boeing and Cargill.

TOP COPYRIGHT BLAWGS

Hypebot Have No Defense of Ad Supported Piracy So They Resort To Name-Calling.

East Bay Ray of The Dead Kennedys  and I had an informal bet going.  Well maybe not a bet,  just a sort of prediction that once Ray spoke against ad supported piracy at SF Music Tech,  the music tech bloggers would start with the usual name calling. 
 
 Sure enough right on cue we see Bruce Houghton’s Hypebot giving Mike Masnick (see the “Google Shill List”) a platform to bash Ray and other  artists. “Whining” “Old” “Grumpy” and “Rant” were some of the unfair and unbalanced terms  that Ray and I predicted they would use in the de rigueur  postSF Music Tech cyber bullying. And they did.
 
This is pretty sad since ending ad supported piracy is a no-brainereven Google and Yahoo! fall over themselves to try to explain their unexplainable connection (see USC Annenberg Innovation Lab report).   Both artists and the legitimate music tech firms are negatively affected by ad supported piracy.  For instance legitimate music streaming services have to compete against these same unlicensed services for ad revenue.   Why the music tech space bloggers fail to grasp this is a mystery.
 
Bruce Houghton also owns the talent agency  Skyline Agency.   This agency tends to have a lot of “Old” and “Grumpy” artists that would probably go on a “Rant” if they were to see that their agency head is tacitly defending this practice.  So we prepared a few screenshots.  
 
Any comment Bruce?  Do you think that this practice is acceptable?  How do our “future” music models like streaming compete with the  guys that don’t pay any royalties to artists?   We’re all ears. 

Pure Prairie League piracy brought to you by BMW.

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Al Stewart By Celestion and zZounds.

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The Smithereens By Priceline

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Grand Funk Railroad By Banana Republic, Amazon and others. 

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