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DIGITAL RIGHTS : ANTI-PIRACY PROTECTION; EXCEPTIONS FOR TEACHING AND RESEARCH


Report published on 3 July 2003


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I) Digital rights management systems and anti-piracy protection

1 - State of the art and characteristics of digital rights management systems and anti-piracy protection

a) Review

A review of digital rights management systems and technical devices for controlling private copies did not secure the unanimous conviction that these technologies offer the degree of security claimed by their promoters.

Although protecting digital works is an obstacle to copying them, none of the available systems to date prevent capture of the analog signal at electronic circuit level, and hence reproduction in this way.

Moreover, one possible consequence of the rights management systems that already exist or are being developed is exploitation of a legitimate purchaser's personal information that goes beyond the purpose for which it is gathered. Open and inspectable systems that guarantee against any technical possibility of abusive exploitation of personal information could be designed. Certain manufacturers, some of them French, are working on them.

b) Positions exprimées

Everyone agrees that content providers should be remunerated, though not without reservations.

i) For some, the risk of an infringement of consumer rights or freedoms resulting from the use of digital rights management systems and anti-piracy protection goes beyond what would be acceptable. They also point out that technical incompatibilities resulting from the use of protective devices has generated protest from consumers who, having legitimately acquired for the right to use a copy of a work, then find themselves unable to use or reproduce it in the way they want, sometimes without even having been informed of that risk before paying for the right in question.

ii) Others underline the need to increase the preventive protection of works in the digital environment, where reproduction resembles instantaneous, large-scale cloning that can cause considerable economic damage, threatening cultural diversity. They also point out that the "copy for private use" exception that legitimate consumers may assert is not in any way a right to make a full and perfect copy of a work, even for strictly personal and private use.

Referring to Article L.122-5-2 of the Intellectual Property Code, which states that the copy for private use exception may be invoked only to make copies "intended to be used for purposes identical to those for which the original work was created", they argue that the possibility of making a copy for private use could not be construed as a right to make a copy by any available means. The fact that rights management and technical protection systems might not be perfect does not mean that they should be disqualified, since their aim is not to eradicate all unauthorised reproduction but to make it more difficult, and to counter industrial copying.

2- The substance of the debate on transposition of EU directive 2001/29/EC of 22 May 2001 on the harmonisation of certain aspects of copyright and related rights in the information society

a) Context

The directive to be transposed requires Member States to introduce legislation that makes it illegal to circumvent technological protection measures, ensures compliance and creates balanced conditions for guaranteeing users' rights. The standards for such protection measures will also be determined in an international framework.

b) Positions expressed

i) Some argue that the purpose of legislation is to protect authors and the public, not to ensure the continuing existence of business models and value chains if they are called into question by technical advances or competitors. According to this argument, as information and communication technologies considerably reduce the cost of access to digital works, they can change the conditions for producing, promoting and distributing them. In that case, the legitimate protection of copyright should not be used as a smokescreen for attempts to hold back changes in distribution methods and costs, which are not proper matters for legislation.

In that case it would be best to make haste slowly, as it were, so as to observe the emergence of new types of behaviour, new economic and creative approaches, and the outcomes of the many experiments in progress.

ii)Others point out that, in economic terms, counterfeiting constitutes unfair competition based on the non-remuneration of authors, and that on the contrary the purpose of anti fraud measures is to protect all possible lawful business models.

In that respect, they argue, unjustified restrictions on the use of digital rights management systems and anti-piracy technological measures could provide grounds for successful action before trade and EU authorities.


iii-1) For a third category, if a faultless system for remunerating beneficiaries is not possible, dues on digital distribution channels should be introduced, the proceeds going to a fund to remunerate beneficiaries.

iii-2) The network operators have indicated that they are firmly opposed to such a measure, arguing that it would contradict Article 5.1 of the EU copyright directive.


II) The "fair use" exception when works are used for teaching or research purposes

a) Context

On transposition of EU directive 2001/29/EC of 22 May 2001 on the harmonisation of certain aspects of copyright and related rights in the information society, an extension of existing agreements concerning the use of photocopies was envisaged for digital works of all types (sound and image, still or animated), which are likely to be increasingly widely used in teaching and research.

Certain European countries (common law countries plus Germany and Spain) have introduced this extension in the form of a "fair use" exception to the exclusive right of reproduction.

It may be argued that the attractive financial conditions offered by English-language publishers outside their domestic market are possible because their content has already paid for itself on its original market. The US accounts for over 50% of world spending on higher education. A wide-ranging fair use exception, as urged by consortia of American university libraries, is economically possible in such a context.

In developed countries where a fair use exception exists, a number of concomitant factors also exist. For example, students are instructed to buy books, library acquisitions budgets in the US, the UK and Germany are proportionately two to three times higher than those of French universities, a larger proportion of GDP is devoted to higher education (Spain), and the cost of studying is much higher.


b) Issues and analyses :

The continuing influence of French research, education and artistic creation depends on the good health of economic players in the French publishing and audiovisual sectors and on ease of access to knowledge and French-language works for students and researchers in France and elsewhere.

The level of authors' remuneration contributes to the vigour of artistic creation and the production of knowledge.

Distance and on-line learning, especially in higher education, takes place in a context of global competition.

The administrative and operational costs of enforcing a right relating to the remuneration of beneficiaries in an educational and research environment must neither be prohibitive in relation to the amounts collected nor significantly curtail the possibilities offered by digital technology.

New avenues are opening up with regard to distance learning, especially with the creation of virtual campuses and the development of on-line education.

The current level of acquisitions budgets (digital and physical) for libraries and documentation centres in French educational and research establishments does not allow them to compete with English-language universities.

c) Positions

i) Some, especially the beneficiaries, oppose the principle of an across-the-board fair use exception, which they condemn as expropriatory. Such an exception would be inappropriate for the development of applications and economically intolerable for rightholders. If university publishing was not remunerated, they argue, the French branch, already under serious threat, would cease to exist. They support the introduction of agreements, under the aegis of the Ministry for Culture and Communication and the Ministry for Youth, Education and Research, involving the national publishers' organisation in particular.

ii) Others strongly recommend the introduction of a fair use exception, arguing that the French university system would be under threat if the current provisions of the Intellectual Property Code were applied. Such an exception would not of course be introduced without a quid pro quo for the authors.

To back up their argument, the supporters of the fair use exception point to:
- the particularly heavy administrative burden (declaration procedure, identification of often numerous beneficiaries, etc.);
- the additional financial cost, which would then be a handicap for research and the preservation of teaching in French.

An evaluation of the financial impact if the current rules were strictly applied in research and teaching, and a comparison with European systems where a fair use exception exists (Germany, Spain, etc.), could give an idea of the admissible financial cost so that French educational and research institutions, especially those that have already started or are contemplating an on-line activity, are not penalised in relation to their counterparts in other countries.


Done at Paris, 3 July 2003

By the Secretary-General :


JEAN MICHEL HUBERT


CSTI Members on 26 june 2003

M. Jean-François ABRAMATIC, M. Bruno BONNELL, M. Thierry BRETON, M. Bernard CHARLÈS, M. Michel DAHAN, M. Jean-Jacques DAMLAMIAN, M. Éric DELEVAQUE, M. Stéphane DOTTELONDE, M. Jean Pierre GLOTON, M. Claude GUÉGUEN, M. Paul HERMELIN, M. Jean-Marie HULLOT, M. Francis JUTAND, M. Daniel KAPLAN, M. Arnaud LAGARDÈRE, M. Bernard LARROUTUROU, M. Jacques Le MAROIS, Mme Anne-Sophie PASTEL, M. Pasquale PISTORIO, M. Jacques STERN, M. Serge TCHURUK, Mme Agnès TOURAINE, M. Martin VIAL.

 
 
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