2. Intellectual Property Piracy: Perception and Reality in China, the United
States, and Elsewhere
by Aaron Schwabach
There is a false perception problem in the United States about Intellectual Property (IP) piracy.
The US has a widespread but incorrect perception that IP piracy is primarily a problem in developing countries, especially East Asian countries. This incorrect perception is spread
to the public through mass media & politicians, generally linking piracy to China.
The general public should seek fact and reason.
Developed countries as the real problem.
IP piracy in China and developing countries is less of a problem for US IP holders. The piracy problem in China is mostly the piracy of Chinese generated content, not US IPs.
The real problem is IP Piracy in developed countries.
China Bashing is ignorance.
In the 2008 US presidential election, candidate Hillary Clinton bashed China. –
Domestic piracy costs the US more than piracy in any other individual country.
Measuring piracy is tough.
It’s hard to get reliable information on how much digital piracy actually takes place.
Sometimes there’s no direct economic harm because some downloaders would not have bought the product in the first place.
MPA Study Results.
The MPA ran a study in 2005 and concluded that MPA studios (CWB, Fox, Sony, MGM. The Walt Disney Corporation, Paramount…) lost $6.1 billion to piracy, 80% of it outside the
US.
Their study only considers the number of legitimate movie tickets and DVDs consumers would have bought if pirated ones weren’t available.
2 developed countries- the UK and France, account for over $1.2 billion in losses!
The Canada Problem
The US should be looking at Canada, where half of the world’s pirated movie recordings originate, but our skewed perceptions make us look at developing countries.
3. The Impact of Digital Piracy On Music Sales:
A Cross Country Analysis
By MARK T. BENDER and YONGSHENG WANG
End-User Piracy
End User Piracy is when consumers obtain content for personal enjoyment without a physical transaction taking place.
Digital music piracy is difficult to detect because of the lack of a physical transaction.
Peer to Peer (P2P)
The end of Napster’s illegal wave awoke other P2P networks – Kazaa, Morpheus and Bit Torrent
Technology and Piracy
As technology progresses, digital piracy becomes easier and efficient: computers with CD burners … increased download speeds through widespread broadband
The issue of music piracy developed along side the growth of internet use.
Impact on Musical sales debate
The impact of digital piracy on music sales is disputed.
One side says digital piracy increases sales because consumers can try before they buy, the opposite side says if consumers don’t like it they won’t buy it.
The 1:0.6 ratio
There us a negative correlation between between digital piracy and music sales
It is estimated that a 1% increase in the piracy rate is equal to a 0.6% decrease in music sales.
It will be necessary to rethink the management and nature of the record industry and re-evaluate the business model in order to prevent a further decline in music sales.
4. Getting Up on the Download:
College Students' Motivations for Acquiring Music via the Web
By William Kinnally, Anamarcia Lacayo, Steven McClung and Barry Sapolsky
College Students aged 18-24
College students between the ages of 18 and 24 are the main demographic of users who download music on the internet.
More males download music than females.
This was a study done to understand the gratifications behind music downloading among college students.
Results suggest that the process of downloading music files is an entertaining and convenient way to acquire music.
Methods of Inquiry
Their methods if inquiry in this study were
1. Cultural (music as culture)
2. Commercial (the economic impact of downloading)
3. Legal (copyright protection)
Motives
The main motives for downloading music in order of importance were: for entertainment, to pass time, convenience, economic utility (it’s free), and information seeking.
Love of music doesn’t determine downloading pirated music, but it does the buying of CDs.
Understanding the motives and activities related to downloading provides a foundation for analyzing the subsequent stages in the evolution of IP piracy
5. Citations
Schwabach, A (2008) INTELLECTUAL PROPERTY PIRACY : PERCEPTION AND REALITY IN CHINA,
THE UNITED STATES, AND ELSEWHERE. Journal of intellectual property rights [0971-7544]
yr:2008 vol:13 iss:1 pg:65 -65
Bender, M., & Wang, Y. (2009). THE IMPACT OF DIGITAL PIRACY ON MUSIC SALES: A CROSS-
COUNTRY ANALYSIS. International Social Science Review, 84(3/4), 157-170. Retrieved from
Academic Search Premier database.
http://search.ebscohost.com.proxylib.csueastbay.edu/login.aspx?direct=true&db=aph&AN=4755983
Kinnally,W, Lacayo,A, McClung,S & Sapolsky,B, (2008) GETTING UP ON THE DOWNLOAD:
COLLEGE STUDENTS' MOTIVATIONS FOR ACQUIRING MUSIC VIA THE WEB. New Media Society
Vol10(6): 893–913 [DOI: 10.1177/1461444808096250]
http://nms.sagepub.com/content/10/6/893
6. Citations
Schwabach, A (2008) INTELLECTUAL PROPERTY PIRACY : PERCEPTION AND REALITY IN CHINA,
THE UNITED STATES, AND ELSEWHERE. Journal of intellectual property rights [0971-7544]
yr:2008 vol:13 iss:1 pg:65 -65
Bender, M., & Wang, Y. (2009). THE IMPACT OF DIGITAL PIRACY ON MUSIC SALES: A CROSS-
COUNTRY ANALYSIS. International Social Science Review, 84(3/4), 157-170. Retrieved from
Academic Search Premier database.
http://search.ebscohost.com.proxylib.csueastbay.edu/login.aspx?direct=true&db=aph&AN=4755983
Kinnally,W, Lacayo,A, McClung,S & Sapolsky,B, (2008) GETTING UP ON THE DOWNLOAD:
COLLEGE STUDENTS' MOTIVATIONS FOR ACQUIRING MUSIC VIA THE WEB. New Media Society
Vol10(6): 893–913 [DOI: 10.1177/1461444808096250]
http://nms.sagepub.com/content/10/6/893