IPPro Issue 002
IPPro is the go-to industry publication for news, views, and opinion on patent practice, law and management. The fortnightly publication and accompanying website - the only free-to-read intellectual property resource around - cover the full spectrum of IP law globally, including prosecution, litigation, licensing, management and technology.
IPPro is the go-to industry publication for news, views, and opinion on patent practice, law and management. The fortnightly publication and accompanying website - the only free-to-read intellectual property resource around - cover the full spectrum of IP law globally, including prosecution, litigation, licensing, management and technology.
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
Copyright Reform<br />
the Brussels political circle, given that where this has been attempted<br />
already—namely Germany and Spain —it failed spectacularly. Small<br />
publishers and startups are aware of this reality, and are trying to<br />
raise awareness that rather than help the publishing sector, article 11<br />
will only serve to further consolidate the press publishing sector and<br />
stifle competition.<br />
Is the danger of big companies stepping on the smaller companies<br />
reflected across the copyright directive?<br />
fortunes of the press sector. On the contrary, we have clear evidence<br />
from Germany and Spain that it will actually do serious harm.<br />
For instance, under the trial national laws the only online news<br />
aggregator that paid licensing fees in Spain is Upday, which is<br />
partly owned by Axel Springer, and in Germany, where trials were<br />
implemented in 2013, Google has yet to pay a cent, despite the fact<br />
that the so-called ‘lex Google’ was not-so-subtly targeted directly at<br />
major market players.<br />
Pandora’s Box<br />
As the EU continues to make movements on copyright reform with<br />
its copyright directive, Mozilla remains steadfast in its assertions that<br />
such reform could open the Pandora’s Box for copyright. Raegan<br />
MacDonald explains<br />
What is the latest in terms of article 11 of the EU’s Copyright Directive?<br />
The negotiations have devolved into a battle of attrition, as votes<br />
and substantial dialogue on key issues in the draft directive are<br />
repeatedly pushed back. The Parliament’s rapporteur—German<br />
centre-right MEP Axel Voss—has struggled to secure a compromise<br />
with other MEPs on two key elements, namely articles 11 and 13,<br />
which remain incredibly controversial issues. These elements of the<br />
proposal are most likely to have negative long-term implications for<br />
the health of the online ecosystem, including for free expression,<br />
innovation, and creativity.<br />
With respect to Article 11 in particular—the proposal to extend<br />
copyright protection to snippets and links of text, often referred to<br />
as the ‘link tax’—publishers, companies, libraries, and digital rights<br />
activists in Brussels are continuing to highlight the negative impacts<br />
of the proposal.<br />
A particular emphasis has been placed on dispelling the myth that this<br />
proposal is good for the publishing sector. For instance, at a recent<br />
conference in Brussels, Matteo Renzi, the vice-president of the largest<br />
Italian digital publishers association argued passionately that this is<br />
really being driven by major publishers to stamp out their competition.<br />
Unfortunately, many politicians have been easily convinced by the<br />
narrative that the ‘link tax’ is a means of strengthening publishers’<br />
financial position vis-a-vis large companies like Google and<br />
Facebook. It is extremely frustrating this narrative remains credible in<br />
Yes. It’s the same in article 13, which tries to target YouTube and<br />
Facebook, but casts such a wide net, the entire internet as we know<br />
it could be turned upside-down. This is because it would essentially<br />
make most online platforms liable for the actions of their users, in<br />
addition to requiring licence agreements and upload filters. These big<br />
platforms seem to be the only point of reference for the problem that<br />
article 13 is trying to address, but really, YouTube and Facebook are<br />
the only two companies that are going to be able to comply and<br />
survive if article 13 passes. Of course I think their services would end<br />
up looking very different, especially because, for instance, YouTube’s<br />
Content ID system is more effective for audio recordings, whereas<br />
the directive is clearly aimed at a wider body of copyright-protected<br />
works. It will open the Pandora’s Box of different kinds of rights<br />
claims which will require different kinds of filters.<br />
Small companies would be hit the hardest and, unfortunately, there<br />
doesn’t appear to be a payoff for artists and creators. It has never<br />
been clearly explained by the legacy rights holders —the music<br />
industry— how this article will bring the actual creators fairer treatment,<br />
including fair remuneration. The major rightsholders believe they need<br />
this for better ‘bargaining power’. While there may well be a reason to<br />
discuss the interactions between some large platforms and the content<br />
industries, this directive is not the place to do so. The EU is missing the<br />
opportunity of a generation to update a fragmented and dysfunctional<br />
copyright regime.<br />
In your opinion, are there any positives to article 11?<br />
Legally and practically speaking, no. To this day there has not been<br />
any evidence that such a regulatory intervention would improve the<br />
Our perspective is that article<br />
11 will only add more confusion,<br />
undermine media pluralism and access<br />
to information, without any added value<br />
to publishers and the media<br />
Our perspective, which is shared by small and competitive publishers,<br />
digital rights activists, and libraries, is that article 11 will only add more<br />
confusion, undermine media pluralism and access to information,<br />
without any added value to publishers and the media. It’s perplexing<br />
that this attrotius idea remains on the negotiating table, like some sort<br />
of copyright zombie.<br />
Why do you think that article 11 is being pushed forward despite<br />
its failed trials?<br />
For both article 11 and 13 I think, as with most IP debates, it is<br />
about control. You can read it all in the European Commission’s<br />
impact assessment for the copyright directive: the problem framing<br />
is that people don’t buy newspapers and that now there is a whole<br />
generation of individuals who consume news almost exclusively via<br />
digital sources.<br />
There are two ways of looking at this period of digital transformation:<br />
you can think, there is a shift happening—consumer and consumption<br />
patterns are changing—we’re going to have to figure out new business<br />
models and try to take advantage of new opportunities to reach our<br />
audience via digital means, or you can double down on antiquated<br />
business models and try to use regulation to smother market shifts.<br />
EU lawmakers consider themselves to be global regulatory standardsetters—just<br />
look at the GDPR. Unfortunately, articles 11 and 13 of<br />
the Copyright Reform directive could make the EU a global standardsetter<br />
in a new policy field and for all the wrong reasons. In the coming<br />
months we’ll be working hard to ensure copyright in Europe doesn’t<br />
turn back the clock. <strong>IPPro</strong><br />
Raegan MacDonald, head of EU Public Policy, Mozilla<br />
16 <strong>IPPro</strong> The Internet www.ipprotheinternet.com 17