Laura Bertellotti BEYOND COPYRIGHT ECONOMIC ANALYSIS OF COPYRIGHT AND ITS ALTERNATIVES IN THE DIGITAL AGE
OBJECTIVES <ul><li>What is  copyright  ? </li></ul><ul><li>The turning point:  The digital age </li></ul><ul><li>Need to  ...
AN ITALIAN PROBLEM: THE HOMOLAICUS.COM’S CASE www.homolaicus.com NO COMMERCIAL FREE CULTURE 4.740  euro s  for infringemen...
AUTHOR’S LAW WORKS  Artistic   l iterary  dramatic scientific educational  music  sculpture  film  photographic The copyri...
EUROPEAN RIGHTS OF AUTHOR Moral Rights Capital Rights are transferable Duration: 70 years after the death of  author Fathe...
THE EUROPEAN LEGAL PROTECTION NATIONAL      Different for each country  -   C onvention of  Berna  1886 -  TRIPs  agreeme...
Copyright = Legal r emedy  to  the  creativity  market failure  <ul><li>Information as a good </li></ul><ul><li>Balance In...
2.   Trade-off Incentivies / Access <ul><li>Incentives   =  Development of an advantage </li></ul><ul><li>Need to pay the ...
3. Transactions <ul><li>FAIR USE is a concret attempt to reduce transaction cost </li></ul>ECONOMICS Each exchange produce...
THE DIGITAL REVOLUTION CAUSE  D evelopment and dissemination Internet  Technologies data compression  CONSEQUENCES Digital...
Copyright  is now  ANACRONISTIC     It  reflects the needs of a society in which only  a  few had control of cultural pro...
<ul><li>Downoloaded work =  Work NOT SOLD  </li></ul><ul><li>Creates DISINCENTIVES to creation </li></ul>File sharing and ...
MAJORS   Wants : - more  MONOPOLY  of  content to maximize profit  - I ncreasing the duration of copyright  Throught locki...
DRM  Impedes access to protected works through anti-access and anti-copy technical measures  It allows identification of u...
TOWARDS A NEW MODEL COPYRIGHT PUBLIC DOMAIN COPYLEFT COPYLEFT  All rights reversed Originated from an idea by R. Stallmann...
Creative Commons - Some rights reserved    Promotes creative interaction    E ducat es  the public to free and open cult...
CC LICENSES ATTRIBUTION   (by) : Obligation to acknowledge paternity  NO DERIVS   (nd): Prohibiting the alteration and cre...
Common Deed Written  t o  be  understandable to everyone.  Condenses in a nutshell the sense  of the  license Legal Code u...
AN ITALIAN CASE: THE WU MING PROJECT Free movement of knowledge     Sharing     Interaction Anyone can  c opy, reproduce, ...
ECONOMICS OF COPYLEFT Copyleft creats  COMMONS , overcoming 1) privatization of goods and 2) access with private negotiati...
CONCLUSIONS Decrease the duration  of copyright   Adoption of Fair Use  Limitation of DRM systems  List of online subscrib...
H:GIF_a “ He who receives an idea from me, receives instruction himself without lessening mine;  as he who lights his tape...
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Beyond copyright

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Economic analysis of copyright and its alternatives in the digital age.

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  • My work is titled Beyond copyright and it’s a research about an economic...
  • The aim of thsi work is.. We will analyze basically first, then and finally the birth of a need or new copyright system. We try to answer at 2 questions: how... And are...
  • I want to start with an italian case. The operator of this site( no commercial ad following ideals of free culture) Mr Galavotti, have to pay four thousen and seven hundred fourty for infingiment...cuilty of publishing some fotos of famous pictures by artist like klee, picasso... It appens becuase the access to public domain like arts,literature and music.. is denied for not authorized peopole
  • whit the arrival of the digital age all balance has been destroyed . Thaks to... Now we as consequences the...of good. Telematic and informatic allows... And all of this factors caused a big impact on cultural industries...
  • A lor of peole think that file sharing is dangeorus for the cultural industries. But we can see that file sharing can be also a new engine for economic A lot of theories say that a dow..is a work not sold And also file sharig creates disencentives.. But..
  • The format of creative commons licenses in composed by 3 levels to facilitate the user.
  • Beyond copyright

    1. 1. Laura Bertellotti BEYOND COPYRIGHT ECONOMIC ANALYSIS OF COPYRIGHT AND ITS ALTERNATIVES IN THE DIGITAL AGE
    2. 2. OBJECTIVES <ul><li>What is copyright ? </li></ul><ul><li>The turning point: The digital age </li></ul><ul><li>Need to renew the copyright system </li></ul><ul><li>How can we adapt copy r ight to the new context ? </li></ul><ul><li>Are there some alternatives to the current copyright system? </li></ul>The aim of this work is the analysis of copyright evolution from classical conceptions until today.
    3. 3. AN ITALIAN PROBLEM: THE HOMOLAICUS.COM’S CASE www.homolaicus.com NO COMMERCIAL FREE CULTURE 4.740 euro s for infringement of moral and capital rights
    4. 4. AUTHOR’S LAW WORKS Artistic l iterary dramatic scientific educational music sculpture film photographic The copyright law protects the expressive form of intellectual work that are the result of creativity It a utomatically attaches to authors a set of rights at the creation moment
    5. 5. EUROPEAN RIGHTS OF AUTHOR Moral Rights Capital Rights are transferable Duration: 70 years after the death of author Fatherhood Integrity Inedit Playing Execution Representation Dissemination Distribution Serving + Fair Use European author’s rights are not USA Copyright FAIR USE Ability to use, comment, quote portions of works protected by copyright fo r educational or research purposes .
    6. 6. THE EUROPEAN LEGAL PROTECTION NATIONAL  Different for each country - C onvention of Berna 1886 - TRIPs agreements (WTO) 1995 INTERNATIONAL  - Tr eaties: WIPO 1996 - Copyright Act 1976 (USA) - Digital Millenium Copyright Act 1998 (USA) COMMUNITY  - Directive 2001/29/CE 22 may 2001EUCD An articulated and continuously evolving system   More than territoriality   Harmonization
    7. 7. Copyright = Legal r emedy to the creativity market failure <ul><li>Information as a good </li></ul><ul><li>Balance Incentives/ Access </li></ul><ul><li>Transaction </li></ul>Information is a good: Not low Immaterial Intangibile Public Problem : FREE RIDING Solution : temporary Monopoly ECONOMICS
    8. 8. 2. Trade-off Incentivies / Access <ul><li>Incentives = Development of an advantage </li></ul><ul><li>Need to pay the author for: </li></ul><ul><li>Hi s/her creative work re sources used (time, money ..) </li></ul><ul><li>Access = Possibility of utilization </li></ul>Objectives:   Promoting economic efficiency = maximize benefits   I ncreasing of the supply of works   C ontrolling losses resulting from limited access   C ontrolling costs of managing the system of protection ECONOMICS
    9. 9. 3. Transactions <ul><li>FAIR USE is a concret attempt to reduce transaction cost </li></ul>ECONOMICS Each exchange produces transaction COSTS Efficient allocation of good is only in the presence of low transaction costs A lot of a gents involved meaning more transaction costs In Italy for example law recognizes only a single entity responsible for managing rights
    10. 10. THE DIGITAL REVOLUTION CAUSE D evelopment and dissemination Internet Technologies data compression CONSEQUENCES Digitalization Dematerializ ation Del oca lization Disi ntermedation <ul><li>Free Access to content </li></ul><ul><li>Possibility of Sharing and exchanging content </li></ul><ul><li>More Participation </li></ul>Huge i mpact on cultural industries : Speed of movement of content Ease of ex change and copy of works Possibility of playing with equal quality Difficulty of control ing movement Possibility of circumventing legal safeguards Difficulty of rights management Changing mode of knowledge fruition Change in models and market channels Telematic and Informatics allow:
    11. 11. Copyright is now ANACRONISTIC  It reflects the needs of a society in which only a few had control of cultural production technologies Today Copyright has to face s : Free Access to content Overcoming of the classical market models Piracy of content and file-sharing <ul><li>3 . - User tends to obtain in an autonomous way the desired product </li></ul><ul><li>Majors accuse file sharing to be the main threat to the market of creativity. </li></ul><ul><li>Is it true? </li></ul><ul><li>-NO borders </li></ul><ul><li>It is easy to circumvent l aws and obtain protected works </li></ul>2 . - There’s a change in channels and models of market -- User producer and distributor of itself -- No intermediaries CHANGES IN THE DIGITAL AGE
    12. 12. <ul><li>Downoloaded work = Work NOT SOLD </li></ul><ul><li>Creates DISINCENTIVES to creation </li></ul>File sharing and downloading of contents have little impact on sales of works of genius. Indeed they represent an important showcase and promote sales and popularity. File Sharing represent a b enefi t for companies The growth of Spaces, blogs and Internet sites shows that:  economic remuneration is not the key factor that leads to creation I nternet develops new values: fame, social prestige, participation in virtual communities, competition There are new input s to creative work FILE SHARING: the engine of economics
    13. 13. MAJORS Wants : - more MONOPOLY of content to maximize profit - I ncreasing the duration of copyright Throught locking content USERS Follow an i deal of PUBLIC DOMAIN   KNOWLEDGE is F OR ALL   Elimination of barriers imposed on FREE UTILIZATION OF CONTENT VS THE TWO SIDES
    14. 14. DRM Impedes access to protected works through anti-access and anti-copy technical measures It allows identification of users and the construction of their profile It legitimates exclusion from contents of certain individuals at the system discretion . The DRM is considerated by the user as an invasive instrument that affects the freedom of users and violates rights such as privacy and freedom of expression of thought . Need to create a balance  a NEW MODEL DIGITAL RIGHTS MANAGEMENT
    15. 15. TOWARDS A NEW MODEL COPYRIGHT PUBLIC DOMAIN COPYLEFT COPYLEFT All rights reversed Originated from an idea by R. Stallmann For the world of Software Based on Copyright: it implements and renews it. Model of alternative management of copyright based on a licensing system in which the author tells users that the work can be used, widespread and amended freely, while respecting certain conditions So Copyleft licenses become a permit of author The aim is to create a Free Culture in which no longer protected content can circulate freely.
    16. 16. Creative Commons - Some rights reserved  Promotes creative interaction  E ducat es the public to free and open culture  Creat es real containers of knowledge available to the community  Encourages development of new ideas CREATIVE COMMONS: A FLEXIBLE COPYRIGHT N on-profit project Defines a set of licenses that allow the author to grant some of its rights Brings licenses to the laws of various countries Provides the tools for choosing the most appropriate licence
    17. 17. CC LICENSES ATTRIBUTION (by) : Obligation to acknowledge paternity NO DERIVS (nd): Prohibiting the alteration and creation of derivative works NO COMMERCIAL (nc): Prohibiting the use for commercial purposes SHARE ALIKE (sa): literally &quot;share in the same way&quot;, allows the work to be reworked and reused only on condition that all works arising therefrom are distributed with the same license All licenses:   a) Mant ein copyright   b) Valid worldwide;   c) L ast s as copyright related to the work;   d) No revocable.   e) Do not restrict the legal use, the exhaustion of law and freedom 'of expression of others CC Benefits :   1) O ffer s a third choice between C and PD   2) A Free License   3) Elimitates the intermediaries   4) A pplicable to all types of works protected by copyright    5) Flexible system , it leaves authors free to decide how to protect their rights   6) Allows users to know exactly what they can and what they can’t do    7) Creat es open distributed and shar ed projects
    18. 18. Common Deed Written t o be understandable to everyone. Condenses in a nutshell the sense of the license Legal Code understandable to judges and l awyers Represents the genuine legally valid license Digital Code Understandable to browsers and computers System of metadata that facilitates the dissemination and recognition of the work in digital format THE FORMAT OF CC LICENSES 3 LEVELS to facilitate users
    19. 19. AN ITALIAN CASE: THE WU MING PROJECT Free movement of knowledge   Sharing   Interaction Anyone can c opy, reproduce, modify, improve, download without the infrigment of rights, provided that the use is non-commercial. Downloaded work = copy not sold Download works foster sale :   Create interest   Rumors   Showcase 242.000 copie s FREE download online + paper copies in library Distribution of works through CC
    20. 20. ECONOMICS OF COPYLEFT Copyleft creats COMMONS , overcoming 1) privatization of goods and 2) access with private negotiations > Social Benefits < transaction costs (tending to 0) Access : > Flexibility of licenses > Access Incentives : Internet offers a world visibility > Incentives Non-economic Fame, Success, Competition etc... > Supply of works  thaks to possibility of riutilization of contents + DERIVATIVE WORKS
    21. 21. CONCLUSIONS Decrease the duration of copyright Adoption of Fair Use Limitation of DRM systems List of online subscribers to SIAE (ITALY) File sharing not necessarily illegal The rapid evolution of digital technology has profoundly c hanged the relationship between the Society of Information and Culture. Need of a R adical R eview of existing legislation, which harmonise the interests of authors and users. Starting from the premise that a f air compensation to authors is necessary and beneficial, it would be useful to make the following changes:
    22. 22. H:GIF_a “ He who receives an idea from me, receives instruction himself without lessening mine; as he who lights his taper at mine, receives light without darkening me.” Thomas Jefferson

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