[spectre] EU: McCreevy swings toward computer lobby on digital rights

[Geert Lovink]

http://euobserver.com/9/22977
McCreevy swings toward computer lobby on digital rights

29.11.2006 - 17:18 CET | By Andrew Rettman

EUOBSERVER / FOCUS - The European Commission's upcoming memo on 
"private copy levies" looks set to come down on the side of computer 
companies instead of artists, single market commissioner Charlie 
McCreevy signalled in a speech at EUobserver's Creative Rights 
conference in Brussels on Wednesday (29 November).

Private copy levies are a system in 20 out of 25 EU member states that
see artists' "collecting societies" or trade unions skim a fee off the
price of any DVD recorder, MP3 player and blank disk sold on the legal
basis these will be used to make unlicensed private copies, with
Brussels set to issue a legal "recommendation" on the issue next month.

"We are concerned that the operation of some current schemes for fair
compensation may be disruptive to trade in the internal market...and
whether full account is being taken of the increased use of
technological means to protect copyrighted works," the commissioner
said, echoing the arguments of computer firms that want the ˆ1.6 billion
a year levies regime scrapped.

"We also feel that greater clarity and accountability in how these funds
are managed and distributed would be greatly in the interests of all
concerned," he added, in what sounds like the computer lobbyists'
portrait of artists' collecting groups as an out-of-date, unprofessional
bunch that stand in the way of a multi-billion euro digital arts
industry.

The commissioner's remark that "where a rightsholder suffers harm as a
result of the private copying exception, they should be compensated"
also recognised one of the central arguments of the computer companies -
that artists' groups have not legally demonstrated that private copies
cause "harm" in line with the 2001 EU copyright directive.

Referring back to an earlier recommendation in October 2005 - that
record labels should be able to get pan-EU digital music licences from
any of the 25 EU member states artists' trade unions instead of separate
licences for each country - Mr McCreevy added that "there are signs that
the recommendation has had a positive effect."

The recommendation - a non-binding legal tool that gives guidance to
stakeholders on what the commission would like to see or may legislate
on in future - has already seen artists' societies in the UK and Germany
break ranks with European colleagues by granting pan-EU licences for
their Anglo-American music repertoire to EMI, one of the world's largest
record labels.

The European Parliament is pushing Mr McCreevy to in future propose a
binding directive on how to manage EU digital rights to take account of
the explosive growth in online music and video sales, but the
commissioner praised the softer "recommendation" approach while
promising to keep the case "under review."

Brussels has soul, too
Mr McCreevy's speech - delivered to over 200 players from all sides of
the spectrum including Yahoo's global head for digital music Robert
Roback and Danish songwriter and artists' rights campaigner Pia Raug -
also addressed artists' fears that giving the market free rein could see
big business push mainstream musical "products" while suffocating
smaller creative outfits.

"I am very sensitive to the cause of cultural diversity and to the
particular needs of small member states and their creative artists," the
former Irish finance minister, known for his free market-oriented
philosophy, stated, citing his respect for artists who "help human
beings make sense of the world" and who "need bread as well as roses to
survive."

But his remarks on "striking a delicate balance" between protecting
cultural diversity and releasing digital market potential took a swipe
at artists' groups worries over big business, saying "There are some who
pit culture against commerce. Who see any change as a zero-sum game.
Such simplistic arguments are as damaging as they are wrong."

The 57-year old commissioner also displayed knowledge of digital jargon
such as "long-tailing" - the practice of putting back catalogues of
music online - and new trends such as free-video website YouTube and the
rise of music and video content on mobile phones, while poking fun at
himself as a man "driven mad by some of the more irritating ring-tones"
downloaded these days.

Artists' trade unions must change
He confessed the pace of change in technology and "new ways to enjoy
content" has left Brussels policy-makers "working hard to keep up" with
the digital "revolution" that is set to see music downloads in Europe
grow into a ˆ3.9 billion market by 2011, when one out of every three
songs bought is predicted to come off the web.

But Mr McCreevy's central message - that Europe should stop "looking on
change with profound suspicion" and that the 150-year old network of
artists' trade unions should be more "open to change" - indicates that
recent pleas from singers like Robin Gibb or flimakers such as Pedro
Almodovar to protect the status quo have not found favour in Brussels.

"Policy-makers have a responsibility to listen to different viewpoints
and to consider matters in the round. But eventually, we have to reach a
point of decision and to act," Mr McCreevy stated.

Owen Espley

Campaigner
Corporate Europe Observatory
De Wittenstraat 25
1052 AK Amsterdam
Netherlands
Tel:+31-20-612-7023
Fax: +31-20-6861208
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Web: www.corporateeurope.org
Skype: owenes

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