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Overhype

Overhype

by Mike Masnick


Filed Under:
bogus stats, job loss, piracy, retailers



UK DVD, CD Retailers Give More Bogus Predictions About Lost Jobs Due To Piracy

from the buggy-whips dept

It appears that the latest group to whine and complain about totally bogus "losses" from piracy are CD and DVD retailers in the UK, who have commissioned their own study claiming that 30,000 jobs may be lost to piracy. This is from the UK's Entertainment Retailers Association (ERA), though the group doesn't seem to make any indication of its methodology (its own website doesn't even list the study at this point). However, from what's in the article, it certainly sounds like the usual tricks for presenting bogus stats on piracy. It only counts the changes in one direction, ignores the fact that the shift (not loss) in jobs is due to a variety of factors that go well beyond "piracy," and ignores all of the new jobs created due to the shift to digital distribution of content. But, of course, that doesn't make for nearly as interesting a story... especially when the ERA is teaming up with a bunch of famous actors to whine about how they are too incompetent to learn how to adapt to the changing market. If these folks ran the buggy whip industry a century ago, we'd all still be driving around in horse drawn carriages. Markets change, and it creates new opportunities. Stop whining about the the way things used to be, and focus on taking advantage of all of those new opportunities.

18 Comments | Leave a Comment..

 
Legal Issues

Legal Issues

by Mike Masnick


Filed Under:
guitar hero, lawsuits, patents, retailers, supply chain

Companies:
activision, amazon, gamestop, gibson, kmart, target, toys r us, wal-mart



Gibson Sues More Than Just Activision Over Virtual Music Concert Patent

from the who-else-can-we-sue dept

Remember how Activision had preemptively sued Gibson for a declaratory judgment that it didn't infringe on a really questionable patent concerning a computerized guitar for a "virtual" concert? Well, Gibson has now struck back, and it's not just suing Activision, but almost all the retailers who sell it as well, including Wal-Mart, Target, Kmart, Amazon.com, Toys 'R' Us and GameStop. The idea, clearly, is to have those retailers put pressure on Activision. Update: Wired reports that the lawsuit also covers a bunch of other companies. Basically, Gibson is suing anyone even remotely connected to video games that involve fake guitars.

Of course, there are all sorts of questionable things about this lawsuit. As we pointed out when Activision first sued, Gibson's patent doesn't seem similar to "Guitar Hero" at all. It talks about playing a real concert, with a real guitar (with strings) attached to a head mounted display. Also, as Activision points out, Gibson didn't care about the patent as long as Activision and Gibson had a marketing agreement. They only started calling for patent infringement after the marketing agreement ended. Finally, suing retailers for selling the game is quite sketchy. In fact, the Supreme Court just heard a case looking at whether or not that was legit, and the Justices sounded quite skeptical. Gibson is clearly posturing to try to push for a settlement -- and in the process, showing yet another way to abuse the patent system.

19 Comments | Leave a Comment..

 
News You Could Do Without

News You Could Do Without

by Mike Masnick


Filed Under:
extortion, retailers, shakedowns



RIAA Shakedowns Similar To Big Retailers Shaking Down Suspected Shoplifters

from the not-so-different dept

We've talked in the past about how both DirecTV and the RIAA have used a borderline legal version of a shakedown to get people to pay them money, without them having a chance to defend themselves. The way the process works is simple. They come up with a mere slip of evidence that the person might be guilty, and then send them threatening letters offering not to sue if they merely pay up first. With DirecTV, the company used names of people who had bought smart card writing devices, even though such devices have perfectly legitimate uses beyond pirating satellite TV signals. With the RIAA, obviously, it was through a list of (often questionable) IP addresses. By using this method, many people pay rather than face a lawsuit -- even if they're innocent. They recognize that the cost of a lawsuit is much worse than just paying the settlement charge. In the organized crime world, this is generally known as a shakedown, or if you prefer, extortion. Yet, for some reason, it's legal when these businesses do it.

And, it turns out, the RIAA and DirecTV are not alone in doing so. Perhaps they even learned the practice by watching how big retailers approach shoplifters. Reader Josh sent in a Wall Street Journal article showing how many large retail chain stores are using a very similar process against suspected shoplifters. In the most egregious case, Home Depot detained a guy it thought was stealing drill bits, but dropped the effort after he showed them a receipt. A few weeks later, though, he received a letter demanding $3,000, which was later raised to $6,000. Admittedly, the amount is quite high there as the law firm that handled the case later admitted to a typo in entering the amount -- but the process seems quite similar to the RIAA/DirecTV process. It doesn't matter if the person is guilty or innocent. You just ask them to pay up or threaten them with a lawsuit. The retailers all insist this is a necessary process since shoplifting costs them so much -- but it's hard to see how forcing people to pay up without a chance to defend themselves is ever right, no matter how much shoplifting costs these retailers.

33 Comments | Leave a Comment..

 
Culture

Culture

by Mike Masnick


Filed Under:
drm, recording industry, retailers



Music Retailers Beg Recording Industry To Drop DRM

from the who-is-it-helping? dept

We've already seen more and more musicians tells the recording industry to drop DRM policies that hurt the consumer. And, of course, we know that consumers prefer non-DRM'd music (which sorta goes without saying). Now even music retailers are wondering what the recording industry is thinking. A group of UK retailers have banded together to urge the industry to drop DRM altogether in order to help boost holiday sales this year. Of course, in the past, we've seen the recording industry insist DRM was needed to protect both the artists and the retailers -- but it certainly looks like both are finally realizing what many have said all along: the only thing that DRM "protects" (and it does a piss poor job of it) is the obsolete business model of the record labels.

8 Comments | Leave a Comment..

 
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