c&t 2010 opening remarks - bill rosenblatt

Copyright and Technology 20102010

June 17, 2010June 17, 2010

GiantStepsMedia Technology Strategies© 2010 1

Opening RemarksOpening Remarks

Bill RosenblattBill RosenblattGiantStepsGiantSteps Media Technology StrategiesMedia Technology Strategies

i t t ti t t twww.giantstepsmts.comwww.giantstepsmts.com

[email protected]@giantstepsmts.com

+1 212 956 1045+1 212 956 1045


+1 212 956 1045+1 212 956 1045

www.giantstepsmts.comwww.giantstepsmts.com


Copyright and Technology

www.copyrightandtechnology.comwww.copyrightandtechnology.com


www.gothammediaventures.comwww.gothammediaventures.com


What Are We Discussing Today?What Are We Discussing Today?


Interface between Copyright and Interface between Copyright and T h lT h lTechnologyTechnology

Digital technology used to make and distribute copies Digital technology used to make and distribute copies Digital technology used to make and distribute copies Digital technology used to make and distribute copies at virtually no costat virtually no cost

C i ht i d t h h d i ll C i ht i d t h h d i ll Copyright industry has had various responses, all Copyright industry has had various responses, all interrelated:interrelated:

L lL l–– LegalLegal–– TechnologicalTechnological–– Economic Economic Economic Economic –– EducationEducation


Technologies to Affect CopyrightTechnologies to Affect Copyright

Content access controlContent access controlContent access controlContent access control–– DRMDRM

Content identificationContent identificationContent identificationContent identification–– FilteringFiltering–– License managementLicense managementLicense managementLicense management


Legal Legal Concepts that Concepts that Affect These Affect These T h l iT h l iTechnologiesTechnologies

Fair UseFair UseFair UseFair Use

Secondary Secondary infringement liabilityinfringement liability

Network service provider liabilityNetwork service provider liability

AnticircumventionAnticircumvention legislationlegislationgg

Blanket Blanket licensing of contentlicensing of content


TechnologiesTechnologies


Digital Rights ManagementDigital Rights Management


DRM is a troubled technologyDRM is a troubled technology……

Why?Why?


Factors Factors Inhibiting DRM Inhibiting DRM Success*Success*

Market: Market: Architecture: Architecture: Market: Market: –– Economic incentives Economic incentives

misalignedmisaligned

Architecture: Architecture: –– Technological innovation Technological innovation

hamperedhampered–– Commercial content must Commercial content must

compete with free/illegalcompete with free/illegal

Norms: Norms: Laws:Laws: Norms: Norms: –– Users donUsers don’’t see value in t see value in

choices of offerschoices of offers

Laws:Laws:–– Laws not amenable to Laws not amenable to

technological implementationtechnological implementation–– Norms distorted by Norms distorted by

architecture (technology)architecture (technology)


*based on L. *based on L. LessigLessig, , Code and Other Laws of CyberspaceCode and Other Laws of Cyberspace, 1999, pp. 88, 1999, pp. 88--9090

Economic Incentives MisalignedEconomic Incentives Misaligned

Content owners demand DRM but rarely pay for itContent owners demand DRM but rarely pay for itContent owners demand DRM but rarely pay for itContent owners demand DRM but rarely pay for it

Device makers and network operators use it to suit Device makers and network operators use it to suit th i th i their own purposestheir own purposes

Consumers have Consumers have only only indirect market indirect market influenceinfluence


Consumers DonConsumers Don’’t See Value in Choices t See Value in Choices f Offf Offof Offersof Offers

Expensive to educate users on unfamiliar offeringsExpensive to educate users on unfamiliar offeringsExpensive to educate users on unfamiliar offeringsExpensive to educate users on unfamiliar offerings–– Apple had huge budget to educate about unbundled albumsApple had huge budget to educate about unbundled albums–– But Rhapsody Napster etc But Rhapsody Napster etc havenhaven’’t educated t educated sufficiently sufficiently But Rhapsody, Napster, etc. But Rhapsody, Napster, etc. havenhaven t educated t educated sufficiently sufficiently

about subscription servicesabout subscription services

Meanwhile consumers focused on offline models:Meanwhile consumers focused on offline models:Meanwhile, consumers focused on offline models:Meanwhile, consumers focused on offline models:–– Perception to be fought: Perception to be fought:

•• Pay (purchase) must mean ownership; Pay (purchase) must mean ownership; y (p ) p;y (p ) p;

•• Free must mean Free must mean radio radio or broadcast TVor broadcast TV; ;

•• Therefore Therefore ““free ownershipfree ownership”” must be the only real improvementmust be the only real improvement


Users Influenced towards Infringing Users Influenced towards Infringing B h iB h iBehaviorBehavior

Definition of DRM commandeered by the pressDefinition of DRM commandeered by the pressDefinition of DRM commandeered by the pressDefinition of DRM commandeered by the press–– Narrower than original definitionsNarrower than original definitions–– Yet broadened to apply to any technology that restricts user Yet broadened to apply to any technology that restricts user Yet broadened to apply to any technology that restricts user Yet broadened to apply to any technology that restricts user

behavior in any way*behavior in any way*

Notion that DRM == Big Media == EvilNotion that DRM == Big Media == EvilNotion that DRM Big Media EvilNotion that DRM Big Media Evil

Romanticism & rationalization of hacker/pirate ethicRomanticism & rationalization of hacker/pirate ethic

GiantStepsMedia Technology Strategies© 2010 16 *See C. Doctorow, boingboing.net*See C. Doctorow, boingboing.net

Technological Innovation HamperedTechnological Innovation Hampered

Lack of revenue for DRM vendorsLack of revenue for DRM vendorsLack of revenue for DRM vendorsLack of revenue for DRM vendors

Venture capital scared offVenture capital scared offB d B d –– Bad pressBad press

–– NonNon--sexy topicsexy topic

R h d ffR h d ffResearchers scared offResearchers scared off–– RIAA actions against Prof. Ed Felten in 1999RIAA actions against Prof. Ed Felten in 1999

DRM research DRM research ““politically incorrectpolitically incorrect”” in USin US–– DRM research DRM research politically incorrectpolitically incorrect in USin US(not so much in Europe and Asia)(not so much in Europe and Asia)


Laws Not Amenable to Laws Not Amenable to T h l i l I l t tiT h l i l I l t tiTechnological ImplementationTechnological Implementation

Fair Use laws Fair Use laws not amenable to automationnot amenable to automation Fair Use laws Fair Use laws not amenable to automationnot amenable to automation

Privacy and due process are important but become obstaclesPrivacy and due process are important but become obstacles

AnticircumventionAnticircumvention laws reduce incentive to develop effective laws reduce incentive to develop effective AnticircumventionAnticircumvention laws reduce incentive to develop effective laws reduce incentive to develop effective technologiestechnologies–– Liability solely on the hackerLiability solely on the hackery yy y–– Effectiveness of TPM/DRM irrelevant to applicability of law Effectiveness of TPM/DRM irrelevant to applicability of law

(per (per Universal v Universal v ReimerdesReimerdes, 2000, 2000))


SoSo…… Is DRM Dead?Is DRM Dead?


Is DRM Dead?Is DRM Dead?

Short answer: noShort answer: noShort answer: no.Short answer: no.


Is DRM Dead?Is DRM Dead?

Slightly longer answer: Slightly longer answer: Slightly longer answer: Slightly longer answer: Only for Only for permanent Internet music downloadspermanent Internet music downloads..


Will DRM Die?Will DRM Die?

Not where it enables new business models rather than Not where it enables new business models rather than Not where it enables new business models rather than Not where it enables new business models rather than tries to emulate old ones.tries to emulate old ones.

E lE lExamples:Examples:–– Buy single songs instead of albums: iTunes (originally)Buy single songs instead of albums: iTunes (originally)

Subscription services for music: Subscription services for music: –– Subscription services for music: Subscription services for music: Rhapsody, Napster, MOG*, Rhapsody, Napster, MOG*, RdioRdio*, *, SpotifySpotify Premium*Premium*

–– Subsidized ecosystems with Subsidized ecosystems with ““freefree”” content:content:Subsidized ecosystems with Subsidized ecosystems with freefree content:content:Nokia Comes With Music, Play Now Plus, Beyond OblivionNokia Comes With Music, Play Now Plus, Beyond Oblivion

–– Library eLibrary e--book lending: Overdrivebook lending: Overdrive

GiantStepsMedia Technology Strategies© 2010 22 *Yes they do *Yes they do –– just donjust don’’t call it t call it ““DRMDRM””

State of DRM TodayState of DRM Today

MultiMulti--platform DRM technologiesplatform DRM technologies EE--book DRMsbook DRMs MultiMulti platform DRM technologiesplatform DRM technologies–– Marlin (Intertrust)Marlin (Intertrust)–– OMA DRM 2.1 (Open Mobile OMA DRM 2.1 (Open Mobile

Alliance)Alliance)

EE book DRMsbook DRMs–– Amazon Amazon

(Kindle & Kindle apps)(Kindle & Kindle apps)–– Adobe Content Server Adobe Content Server Alliance)Alliance)

–– PlayReadyPlayReady (Microsoft)(Microsoft)

Video DRMsVideo DRMsAdobe Flash AccessAdobe Flash Access

Adobe Content Server Adobe Content Server (most others)(most others)

Other proprietary DRMsOther proprietary DRMsApple Apple FairPlayFairPlay–– Adobe Flash AccessAdobe Flash Access

–– WidevineWidevine–– DivXDivX (Sonic)(Sonic)–– AACS/BD+ (AACS/BD+ (BluBlu--ray)ray)

–– Apple Apple FairPlayFairPlay–– Subscription music servicesSubscription music services

GamingGamingS ROMS ROM (S )(S )AACS/BD (AACS/BD (BluBlu ray)ray) –– SecuROMSecuROM (Sony)(Sony)

–– StarForceStarForce–– ByteShieldByteShield

TryMediaTryMedia ((RealNetworksRealNetworks))


–– TryMediaTryMedia ((RealNetworksRealNetworks))

Content IdentificationContent Identification


Techniques for Identifying ContentTechniques for Identifying Content

WatermarkingWatermarkingWatermarkingWatermarking

Fingerprinting Fingerprinting


WatermarkingWatermarking

Inserting/embedding data into Inserting/embedding data into ““noisenoise”” portions of portions of Inserting/embedding data into Inserting/embedding data into noisenoise portions of portions of image, audio, or video image, audio, or video signalsignalData Data capacity: typically a few dozen bytescapacity: typically a few dozen bytesData Data capacity: typically a few dozen bytescapacity: typically a few dozen bytesTechnology Technology appeared in midappeared in mid--toto--late 1990slate 1990s

–– First for digital imagesFirst for digital imagesFirst for digital imagesFirst for digital images–– Audio and video laterAudio and video later

Trade association Trade association est. 2006est. 2006: Digital Watermarking : Digital Watermarking g gg gAlliance Alliance


Evaluating WatermarksEvaluating Watermarks

UndetectabilityUndetectability UndetectabilityUndetectability–– How little it detracts from userHow little it detracts from user’’s experiences experience

RobustnessRobustnessff–– How well it survives copying to lowerHow well it survives copying to lower--resolution or analog resolution or analog formatformat

CapacityCapacity–– How much data it can How much data it can hold (typically a few dozen bytes)hold (typically a few dozen bytes)How much data it can How much data it can hold (typically a few dozen bytes)hold (typically a few dozen bytes)

SecuritySecurity–– How resistant to attempts to alter or eraseHow resistant to attempts to alter or erase

EfficiencyEfficiency–– How fast insertion and extractionHow fast insertion and extraction


FingerprintingFingerprinting

Examining content to determine its identityExamining content to determine its identityExamining content to determine its identityExamining content to determine its identity–– Compute a set of numbers (Compute a set of numbers (““fingerprintsfingerprints””))–– Look up in database, see if thereLook up in database, see if there’’s a matchs a match

Based on mathematical concept of hashingBased on mathematical concept of hashing–– But allows for different files that look/sound the But allows for different files that look/sound the samesame

C t f t i t f tiC t f t i t f ti–– Can compensate for certain transformations:Can compensate for certain transformations:excerpting, cropping, audio distortion, etc.excerpting, cropping, audio distortion, etc.


History of Fingerprinting History of Fingerprinting

1999: First important patents issued1999: First important patents issued1999: First important patents issued1999: First important patents issued2002: Introduced for music during Napster litigation2002: Introduced for music during Napster litigation2005: Major record co2005: Major record co’’s approve for P2P servicess approve for P2P services2005: Major record co2005: Major record co’’s approve for P2P servicess approve for P2P services2006: Video fingerprinting introduced 2006: Video fingerprinting introduced

2007 2007 T fT f (A b ) d d b AP(A b ) d d b AP2007: 2007: ““Text fingerprintingText fingerprinting”” (Attributor) adopted by AP(Attributor) adopted by AP


Evaluating Fingerprinting TechnologiesEvaluating Fingerprinting Technologies

AccuracyAccuracy RobustnessRobustness AccuracyAccuracy–– False positivesFalse positives–– False negativesFalse negatives

RobustnessRobustness–– Imperviousness to content Imperviousness to content

transformations:transformations:

EfficiencyEfficiency–– Calculation speedCalculation speed

Ability to register live content Ability to register live content

format changes, format changes, display display rate changes, rate changes, deliberate distortionsdeliberate distortions–– Ability to register live content Ability to register live content

in real timein real time–– Lookup speedLookup speed

Content databaseContent database–– Catalog Catalog size & size &

–– Fingerprint Fingerprint sizesize comprehensivenesscomprehensiveness


Content Identification Content Identification B i B i B fitB fitBusiness Business BenefitsBenefits

Detecting and deterring unauthorized useDetecting and deterring unauthorized useDetecting and deterring unauthorized useDetecting and deterring unauthorized use

Increasing Internet ad revenueIncreasing Internet ad revenue

Tracking content usageTracking content usage

Managing assets and integrating systemsManaging assets and integrating systemsg g g g yg g g g y

Monetizing transformational content usesMonetizing transformational content uses


Legal DevelopmentsLegal Developments

……and their Technical Solutionsand their Technical Solutions


Legal DevelopmentsLegal Developments

Network operator liabilityNetwork operator liabilityNetwork operator liabilityNetwork operator liability

““Free ridingFree riding””Blanket licensingBlanket licensing


Network Operator LiabilityNetwork Operator Liability

Secondary liabilitySecondary liabilitySecondary liabilitySecondary liability–– Contributory: aiding and abetting infringementContributory: aiding and abetting infringement–– Vicarious: Vicarious: ““looking the other waylooking the other way”” and benefiting from itand benefiting from itVicarious: Vicarious: looking the other waylooking the other way and benefiting from itand benefiting from it–– Inducement: inducing others to infringe as business modelInducement: inducing others to infringe as business model

DMCA Safe HarborDMCA Safe HarborDMCA Safe HarborDMCA Safe Harbor–– Notice and takedown (512)Notice and takedown (512)

Now: content owners pushing for ISP liabilityNow: content owners pushing for ISP liabilityNow: content owners pushing for ISP liabilityNow: content owners pushing for ISP liability–– Graduated/Progressive Response a/k/a Graduated/Progressive Response a/k/a ““three strikesthree strikes””–– Enacted in France, South Korea, TaiwanEnacted in France, South Korea, Taiwan


, ,, ,

Technical SolutionsTechnical Solutions

FingerprintingFingerprintingFingerprintingFingerprinting

WatermarkingWatermarking

Traffic analysisTraffic analysis


““Free RidingFree Riding””

Monetizing links to copyrighted contentMonetizing links to copyrighted contentMonetizing links to copyrighted contentMonetizing links to copyrighted content

Monetizing content appearing in search resultsMonetizing content appearing in search results

Copying of content (e.g. in blogs) without permissionCopying of content (e.g. in blogs) without permission


Technical SolutionsTechnical Solutions

Fingerprinting & searchFingerprinting & searchFingerprinting & searchFingerprinting & search

Tagging content with Tagging content with ““beaconbeacon”” metatagsmetatags –– AP AP hNewshNews

Tagging content with rules for indexing and search Tagging content with rules for indexing and search results results –– ACAP ACAP


Blanket LicensingBlanket Licensing

Just charge all ISP subscribers a levy for content useJust charge all ISP subscribers a levy for content useJust charge all ISP subscribers a levy for content useJust charge all ISP subscribers a levy for content use

Distribute proceeds to licensorsDistribute proceeds to licensors…… somehowsomehow

Attempted in US on some college campuses for music Attempted in US on some college campuses for music ((ChorussChoruss))

Considered in the Isle of Man (population 80,000)Considered in the Isle of Man (population 80,000)


Technical Solutions Technical Solutions

Fingerprinting for play counting and royalty Fingerprinting for play counting and royalty Fingerprinting for play counting and royalty Fingerprinting for play counting and royalty distributiondistribution

Oth i t h lOth i t h l f bl t i t tf bl t i t tOtherwise none; technologyOtherwise none; technology--free blunt instrumentfree blunt instrument


Conference AgendaConference Agenda


MorningMorning

Keynote: Keynote: Keynote: Keynote: Stanley Stanley PierrePierre--Louis, ViacomLouis, Viacom

Pl S i Pl S i Plenary Session: Plenary Session: Best Best Practices for Monetizing Premium Video Content Practices for Monetizing Premium Video Content ( d b Ad b )( d b Ad b )(sponsored by Adobe)(sponsored by Adobe)


AfternoonAfternoon

Technology TrackTechnology Track Law TrackLaw TrackTechnology TrackTechnology Track New Ecosystems for VideoNew Ecosystems for Video

Content Identification Content Identification

Law TrackLaw Track Progressive ResponseProgressive Response

News Publishing and Fair News Publishing and Fair Content Identification Content Identification TechnologiesTechnologies

What Is the Future of What Is the Future of

News Publishing and Fair News Publishing and Fair Use Use

Policing Copyright: Policing Copyright: What Is the Future of What Is the Future of DRM?DRM?

Policing Copyright: Policing Copyright: Whose Job Is It?Whose Job Is It?


Thanks to our SponsorsThanks to our Sponsors


And finallyAnd finally……


Recommended ReadingRecommended Reading

Jaron Lanier Adrian JohnsJaron Lanier,You Are Not a Gadget

Adrian Johns,Piracy
