Supreme Court rules against P2P file swapping; Piper Jaffray says Apple ‘the primary beneficiary’

“The Supreme Court handed movie studios and record labels a sweeping victory against file-swapping, ruling Monday that peer-to-peer companies such as Grokster could be held responsible for the copyright piracy on their networks,” John Borland reports for CNET News. “In a unanimous decision, the justices ruled companies that build businesses with the active intent of encouraging copyright infringement should be held liable for their customers’ illegal actions.”

Earlier today, before the decision, “Piper Jaffray said iTunes, the online music-download service from Apple Computer, ‘would be the primary beneficiary’ in its category of a Supreme Court decision against peer-to-peer, or P2P, file sharing. Piper Jaffray noted that iTunes has a 70% market share in online music. ‘We believe a decision against P2P file sharing would be positive for online content distribution companies, as a slowdown in P2P activity would likely lead to a pick-up in sales for legitimate online content providers,'” Forbes reports.

Full article here.

60 Comments

  1. The main reason Windows based music services are having trouble is because Windows users are used to stealing software for their computers. They are also used to poor quality software. It is a simple thing to transfer this preference to free, poor quality music from P2P networks. Second best is what the windows world is all about.

    The iTunes, iPod, iTMS trojan horse is slowly opening up their eyes. iTunes is not all about selling iPods or digital music, it’s all about increasing Mac market share.

    That is what this ruling is going to do. It will increase Mac market share.

    Next time you bitch about another iPod article, remember it’s all about Mac market share.

  2. Also annouced today on Macworld.co.uk:

    “Patches issued for critical RealPlayer flaws”

    “The most serious of the bugs, which affects RealPlayers on the Windows, Macintosh and Linux operating systems, takes advantage of a bug in the RealText file format that is used in SMIL (Synchronized Multimedia Integration Language) files, according to Michael Sutton, director of iDefense’s labs.

    “The other RealPlayer flaws could be triggered by malicious code inserted into MP3, AVI, (audio video interleaved) or RM (real media) files, and affect only the Windows version of RealPlayer, according to an advisory issued by RealNetworks.”

    How many people actually use RealPlayer or RealText on OS X?

    That’s going to hurt real bad in the Windows world. Ouch… that’s gonna hurt… especially when the files start hitting the P2P networks.

  3. Hi all,

    IMHO this is a bad decision on the part of the Court. Here’s my reasoning:

    (1) Apple, Sony, and others are in the movie/music business.

    (2) The same companies are also in the electronics business. Are you telling me that Sony no longer wants me to buy their VHS’, VCR’s, or DVR’s… That’s utter nonsense. Does Apple want me to buy a less expensive, smaller capacity iPod because I can’t afford 20,000 songs or whatever… again utter nonsense.

    (3) A lot of the people who use P2P are willing to pay for a quality product but are not willing to dish out their hard earned cash for the stuff that is put out today. A prime example is the DVD set of Star Wars Eps. 4-6. I had to download the 97 editions from Limewire because of all the changes that George Lucas made to the movies on the DVD’s.

    (4) Sometimes there is no other way to get the material. Two examples… Before they came out on DVD, some people did not have access to Star Trek: Enterprise episodes; UPN does not yet exist in all markets. If one is a Star Trek fan, how else is he/she supposed to gain access to the episodes? Also, there are a lot of old phonographs that contain material that is still copywritten, but is not available on CD.

    I could go on forever. But, I need to make sure that my 5000-song library, half of which I bought with my own money, is backed up onto DVD’s.

    Regards,

    newmsubob

  4. newmsubob – get a life!

    You want EP VI – VI, ahhhh BUY THE DVDs!

    You want to watch all those TV shows, I guess you have to wait till they are played on TV? When the DVD’s come out buy them.

    Just because studios haven’t made those shows available for your pampered on-demand lifestyle doesn’t give the public free right to pirate!

    Get a girlfriend theif!

  5. You have to be an idiot to not see the fundamental problem with the ‘free information’ idea. It shares the same problem as communism (as I understand it) where everyone pulls their own weight and in return everyone shares in the common good that everones’ collective efforts will provide. A nice clean world where everone gets along as we race happily toward utopia and world peace.

    The problem is that we are a long way from any of that actually happening. I’d say about 40% of the population will not pull their weight. The concept that the needs of society outweight the needs of the information descoveror has some merit, but saying that commercial music or movies falls in the same catagory as ‘information’ is a stretch. It’s entertainment, and it also a business. It’s not valuable information (for the most part) and it’s not for charity. It’s someones investment that they have made with the plan of getting a return.

    If this concept could work, then the ‘Buy American’ campaign would have all of us in America buying only product made in America. After all, wouldn’t that solve our trade deficit, stop outsourcing and put Wal-Mart out of business (which could only help America’s economy).

  6. Odd Rock,

    Just wait a second… You’re making a lot of assumptions here:

    I explained the problem with Eps. 4-6. I’ve read the reviews and they have been ruined by all of the changes that Mr. Lucas made. Also, at one time, I PURCHASED (or was given as a gift) both the THX and 97 editions on VHS. I got rid of them in anticipation of the DVD’s (my mistake). So in a sense, I already own these downloads. If I should be paying anyone, it is the person/people who digitized these movies so that I can watch them on my laptop.

    I don’t need to be lectured by you about the Star Trek episodes. I have spent almost $1000.00 on Star Trek DVD’s so far and will spend at least that much to complete my collection. When I first went out of state for college, neither UPN nor CBS was airing Star Trek: Enterprise in that market. The university blocked p2p ports. The solution was that my parents had to spend their hard earned time and money to record the episodes at their home and ship VHS’ to me. BTW, I’d have had no problems waiting to watch the episodes during the summer if all of them were actually rerun during the “off-season”. Too bad that UPN doesn’t care about its viewers.

    I’m not a thief… Oh, one more thing… I’ve been going out with the same wonderful girl for 6 years!!!

    Regards,

    newmsubob

  7. newsmsubob,

    I don’t know what univeristy you attend, or what world you come from, but your logic is just totally flawed about what you do and don’t have a right to.

    Also, at one time, I PURCHASED (or was given as a gift) print of the Mona Lisa, but got rid of it in anticipation of the real thing (my mistake). So in a sense, I already own Mr. da Vinci’s work of art.

    I’m afraid not, my friend.

  8. newsmsubob

    i have heard better justifications regarding p2p use from 12 year olds. What do you do at university, wash the dishes ????.

    Yes, i used to own a die cast model of a ferrari, but got rid of it in anticipation of the real thing (my mistake). Need to dash, got to phone ferrari and ask wher my new car is.

    You are pirate/theif, oh and dont tell anyone you use a Mac, you should be ashamed of yourself. However you don’t sound intellegent enough to have worked that out.

    H

  9. ” If I should be paying anyone, it is the person/people who digitized these movies so that I can watch them on my laptop.”

    – newmsubob

    Well, according to your logic, if you buy stolen goods out of the back of a truck, it’s legal. You just said it’s OK to pay the thief for their time in stealing the goods. Too bad about the owner, huh?

  10. How long did we have to wait for Schindler’s List to come out on DVD????? A bloody long time!!! But we waited patiently, so why cant you wait for the Enterprise episodes to come out on DVD!!! whats the rush??? Or do you have to watch them over and over again as soon as possible to satisfy your Trekkie needs????

    MW “chief” as in “oh chief o’brian i love you, i cant get enough of you!!!”

  11. Just for the record:

    “theif” is actually spelled: thief
    you remember — “i” before “e” except after “c”

    so those “you don’t sound intellegent enough . . . ” cracks don’t ring so loudly.

  12. so justified,

    you never spelt anything wrong,

    What do you do for a living, ??? TEACHERS PET, or are just a full time dickhead who wants to be the spelling police

    H

  13. you wrote: “The solution was that my parents had to spend their hard earned time and money to record the episodes at their home and ship VHS’ to me.”

    and who paid for your college education? I hope your parents hard earned money for star trek episodes wasn’t more valuable than your degree. or did you pay for your own college education?

    you’re sense of entitlement is rather sad. you’re argument comes across as a spoiled child.

    there’s more to life than some episodes of star trek.

    grow up.

  14. Hugo,

    Buzz off, kid. It’s obvious from your posts that you just like to type mean things.

    “What do you do at university, wash the dishes ????”
    “You are pirate/theif . . . “
    “you should be ashamed of yourself.”
    “you don’t sound intellegent enough to have worked that out.”
    “are just a full time dickhead . . . “

    You’re a child, and you make no points.

  15. justified

    and pointing out minor spelling mistakes makes you grown up.

    If someone posts stupid comments justifing their theft habits, i think they leave themselves wide open to comments. However you, you just butt into other peoples discussions with your sarcastic comments on other peoples spelling mistakes. Thats also very grown up, well i suppose you need to be grown up to be in the spelling police.

  16. Hi all,

    Alright… most of you obviously think that my reasoning is flawed… let me try to understand yours.

    You’re saying that “my mistake” means that I should purchase the VHS’ again?

    Let’s say that I still owned Star Wars on VHS. Would I be entitled to transfer my personal copy of Star Wars onto my laptop? *Now any of you who have ever dubbed a single audio or videotape need to be careful here… I say that it would be my right as a legal end-user to do that. It would not be my right to sell copies of that digitization for my own profit.

    BTW, I can see the Court’s point regarding making money off copywritten materials. Indeed, I agree with the contention that it is wrong to make money from another person’s work. That is just one of the many reasons that I don’t use Limewire Pro.

    I must also agree with those who have advocated against name calling on this thread. I have had the good manners to agree to disagree with most of you… without resorting to name-calling.

    Regards,

    newmsubob

  17. you have the right to digitize and make copies of anything that you own outright for your own use. but you cannot digitize copyrighted material for resale or to be used illegally (distributed on a p2p). you can even make a mixtape, or mixed cd, to give to a friend, but you cannot do so with anything taken from a p2p service as you didn’t pay for the content. this doesnt’ mean that technology doesn’t allow you to do so, obviously it does; and you do point this out in your post.

  18. Ha! newmsubob is a consumer bot. Lucas forced him to steal because he put out variants of three movies. He believes he owns copyrighted material because he purchased them once in the past. And he was forced to want to steal Star Trek Enterprise episodes because he couldn’t get the show on TV in his market. Must buy! Must consume! If can’t, must steal!

    The entertainment industry loves you newmsubob despite your flawed sense of entitlement.

  19. I agree with both sides. P2P is going out of control… and since the music and video companies never embraced this, they reject it. Same thing with CD’s when they came out. If they want to make things so difficult for people to share files, try to block all of the non- P2P networks that are going to be doing this for years to come. They want control, and thats good… for a while, then they want it to become law, then the money to control it. Its written on the wall. I think its just as useless as keeping the “do not remove” tag on the couch. I am going to be damned if I have to go back into my 5 years of music and expect to show a reciept for each one. Good luck to the New generation of music dwellers. Your going to need it.

  20. newmsubob,

    You surely would be entitled to transfer “your” personal copy of Star Wars onto your laptop.

    And how does the answer to your question relate in the least little bit to you obtaining an illegal copy off a P2P network?

    And of course “your mistake” means that you should purchase the VHS again, otherwise you should be able to walk down the street to your local video store and “take” one off the shelf. Because, that’s what in fact you are doiong.

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