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Piracy Benefits Everyone Except the Content Owner. Can Canada Fix This?

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“The vast majority of music consumed on the internet—over 90 percent—is pirated. When music is pirated, the artists don't get paid, but the ISPs, search engines, advertisers, websites and device manufacturers do. They all profit from enabling this pirate activity, while denying any responsibility to pay the people who create the music in the first place. Not only will Bill C-32 fail to fix this, it will actually ensure that these companies never have to pay."

Michael McCarty, President of Canadian publisher Ole.

Sound familiar? In Canada, a Parliamentary Committee is now sifting through Bill C-32, the latest attempt to reform the country's Copyright Act. This is already mired in heavy debate and complexity, and McCarty fears that little will ultimately be done to shift the status quo. In other words, piracy will remain unabated, ISPs will continue to enjoy the riches of free media consumption, and creators will continue to suffer.

But C-32 remains at a formative stage, and therefore, ripe for debate (complete bill here). But the divide between the creative, technology, and access communities remains substantial, potentially dragging out the debate and threatening eventual passage.

So, how to ensure a better ecosystem for all? McCarty—like many others—is critical of provisions related to digital locks, and wants modernized levies instead. That is, surcharges that go beyond CD-Rs and onto MP3 players (and potentially smartphones). These updated private copying statutes would better move the money around, though critics of government levies point to exactly this sort of situation—that is, rapidly shifting technologies that the government inevitably lags behind.

Actually, that is just one component of a complicated bill, and McCarty is joined by a chorus of critics in the creative community. Others share concerns with concepts like 'Notice-on-Notice' requirements for ISPs, for example, which essentially call for user warnings but lack stronger, graduated response provisions. Similarly, C-32 lacks the teeth required to impose statutory damages or shut down infringing sites.

More ahead.

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