MP3.com v RIAA Lee Ha Lucas Mays Alan Tsang

Introduction  Background  Debate over the issues  Application of ethical tests  Possible social consequences  Correspondence between this case and course work  El grande scheme - o

Background Information  Creation of Mp3 technology  Mp3.com founded by Michael Robertson  Beam-It and Instant Listening launched  RIAA sues Mp3.com for blatant copyright infringement in New York*  Mp3.com counter-sues RIAA for defamation and unfair business practices

Stakeholders  Record Industry (Sony, BMG, Time- Warner, EMI)  Mp3.com (stock holders and employees)  Users of Mp3.com and Mp3 technology  Consumers of the record industry  Music Artists  Distributors and Retailers of music

Quick overview of Copyright  Copyright  Fair Use

And on to the DEBATE…. Mp3.com Fair UseFair Use Secure TechnologySecure Technology Free publicityFree publicity Responsibility over users?Responsibility over users? Musicians will make music.Musicians will make music.RIAA Copyright Act 1976Copyright Act 1976 ConsiderationsConsiderations Bypass technologyBypass technology StealingStealing Ethical?Ethical? Less incentive to create musicLess incentive to create music

Ethical Tests  Golden Rule:  What if you were an artist, would you want mp3.com to provide this service?  An established artist?  An emerging artist ?

Another test…  Utilitarian Test  What is the greatest good for society?  If it’s stealing, then it hurts artists and gives them less incentive and we end up with less music  If it’s not stealing, then there is more publicity and the general public have easier access to music

Lessig  The internet is reducing the ability of copyright holders to control their property  Mp3.com is a perfect example of this since it has taken partial sovereignty over the artist’s intellectual property  Could a “trusted systems” model be applied?  Could artists just distribute mp3’s through their site to constitutes and not need a record deal?  Would this destroy the record industry?

Brin  Mp3.com is great criticism for the record industry…”You guys are living in the past and not embracing the possibilities of digital music”  Taught them a lesson – now the industry is trying to move in that area (Universal buying mp3.com)  Widespread availability of mp3’s are holding record companies and artists accountable by giving users choices in the music they listen to  Bad music receives criticism – users can download only good songs  Social T-Cells…musicians need to make good music

El Grande Scheme-o  Mp3 technology needs to be embraced by RIAA rather than trying to stop it  New innovations in business and music  Distribute songs through “trusted systems” –bypass record industry  Widespread distribution of music leading to greater social consequences  Embedded viruses transferred within mp3’s  Unregulated trading of mp3’s could lead to possible trading of other things (bomb schematics, terrorist plans…)  askdfjasdfk