The age-old dispute (well it certainly feels like it) over illegal music downloading – despite years of legal wrangling, scaremongering lawsuits, Napster, Limewire and all the rest of it, there is still a huge amount of work remaining to be done before all the various interested parties here are satisfied. However, there is now talk in Westminster of introducing a new solution which might ’solve the problem’ (if only things were so simple). So question is what is it – and could it work?
The premise is fairly simple – driven by a direct reconfiguration of responsibilities and re-direction of revenue streams. Basically ISP’s would be made liable for illegal file-sharing, but in return for accepting this burden (and incentive to help combat the problem), would also receive a share of profits from legal music download sales. The plan is being proposed by the Department for Business, Enterprise and Regulatory Reform (BERR), and will be published in detail in January. But even now a few issues strike me about the whole idea…
First of all – is this to be mandatory for all ISPs, and if so can the government actually enforce such a move if ISPs object? (having a choice system simply won’t work as then you’d have a situation whereby those in the mood for illegal downloading would naturally flock to the ISPs who chose not to accept the scheme). Therefore if this is to work then it has to be industry standard accross the board.
Now, the ‘carrot and stick’ approach (as this has been described) is all very well and good if the carrot is big enough and near enough to do the job. But considering the sheer scale and extent of illegal music downloading, I fancy ISPs are going to be hugely wary of accepting any serious legal responsibility, without a highly significant financial incentive. The issue is whether iTunes and all the rest of the online music stores reckon they can give up enough revenue to make ISPs go for it, without angering shareholders and damaging profits.
In short it seems BERR will have to convince all ISPs that this is a good idea (going against their collective industry wishes would be difficult if not verging on impossible) and this can only be done if the financial rewards are significant enough. Considering the risks and drawbacks for ISPs, the carrot is going to have to be pretty huge if they are to go for it. Are those who are currently making money from legal music downloads bothered enough to enlist the help of such expensive allies?
Dejan Levi