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Germany Mulls A Copyright Levy + VAT For PCs

Willard B. Trophy writes "How does a US$13 plus an extra 16% tax on computers sound? That's what intense lobbying by publishing industry groups has forced the German government to consider. UPI has the story."

523 comments

  1. say it with me now... by DonFinch · · Score: 3, Funny

    ecks-tore-shun

    --
    -- Insert wisdom here:
    1. Re:say it with me now... by Anonymous Coward · · Score: 1, Funny

      Damn, i was sitting here for about 5 minutes trying to figure out what the hell you were saying in anglicized German before i realized what you meant. X-Door-Beautiful? Sounds like a UNIX Windows clone.

    2. Re:say it with me now... by Anonymous Coward · · Score: 1, Insightful

      If the publishing and recording industries are going to take a chunk of cash for all recordable media (Canada) and possible PC's themselves (Germany) then it logically stands to reason that they are giving the thumbs up to freely trading audio/video/textual materials. Now as they are essentially charging everyone for a service that not everyone wants (you don't need to subscibe, just unsubscribe services almost always fail) they had better deliver something, and that something had better be everything that they control available for download, for free, over their bandwidth. Do I like this idea? Not really, but it will be usefull to use in the courts. Either they are charging everyone for a service without asking them to subscribe, or they are accusing all computer users of being guilty without evidence flying in the face of the law (at least in North America). Anyone else here in Canada willing to join a class action lawsuit against the recording industries to reclaim our recordable media taxes?

    3. Re:say it with me now... by arivanov · · Score: 2, Interesting

      Not really. In germany once you have payed the CD levy you are entitled to copy the music left right and center around your household. So if this is linked to prohibition of extortion like CactusShield and such I see no reason why not. PCs are cheap nowdays anyway.

      --
      Baker's Law: Misery no longer loves company. Nowadays it insists on it
      http://www.sigsegv.cx/
    4. Re:say it with me now... by Surak · · Score: 0, Offtopic

      Anyone else here in Canada willing to join a class action lawsuit against the recording industries to reclaim our recordable media taxes?

      Hmmm...I've bought CD recordables in Canada, but I'm a U.S. citizen (I'm 20 mins from the Canadian border) I wonder if I could legally enjoin such a lawsuit?

    5. Re:say it with me now... by Mantrid · · Score: 1

      I've been wondering about the Canadian Tariff-- I saw CD-R's at like $38 for $50 - that's like $0.76 per disc - how much is the tariff itself supposed to be? The tariffs are BS, can't remember the last time I put music on a CD...

    6. Re:say it with me now... by DonFinch · · Score: 1

      Just because a prefab computer is cheap dosent give the german version of the RIAA to call every buyer a theif. Baseball Bats are cheap, would you feel warm and fuzzy about being assumed that you are going to beat the piss out old ladies with it so you pay an obligitory batterered old lady VAT on it? Its like being given a speeding ticket when you purchase a car, instead of when you speed.

      --
      -- Insert wisdom here:
    7. Re:say it with me now... by 11223 · · Score: 1

      Ex Torsion?

      Ex Tore Son?

      Ex Torres Hun?

    8. Re:say it with me now... by Anonymous Coward · · Score: 0

      just for the record : upi dosen't require their corespondents to actually learn german or dosen't have an actual corespondent there - otherwise they would know that 16% is the genneral VAT in germanny. 7% VAT for food and other basics . so the actual abgabe = levy - it is not a TAX , is 13 . such an abgabe is imposed on xerox copies and tapes aswell .frankly i consider it one of my lesser worries compared to the DMCA and comparabel efforts in the EU . linux stalinist may beg to differ on principel .

  2. Hate to tell them this... by dirkdidit · · Score: 5, Interesting

    But computers do have legitimate uses other than music/movie/software piracy. Some people do actually buy legit software to run on their computers and do legit things on them such as writing letters, email, browsing the net.

    I personally think that law is crap but thankfully I don't live in Germany.

  3. Small computer shops by bildstorm · · Score: 4, Insightful

    It sounds like the German government wants all computers to be built by big foreign companies, and not small German shops.

    This level of taxation would cut into the small margin most small shops make. That means no more guys who come up with creative solutions for problems, no more friendly service. Just packages and long queues waiting for some ignoramus at tech support when the thing breaks. (Plus the shipping time.)

    --
    The power of accurate observation is commonly called cynicism by those who have not got it. - G.B. Shaw
    1. Re:Small computer shops by tupps · · Score: 4, Interesting
      I wonder what constitutes a computer? Is it the processor, the motherboard, or all of it stuck together?

      Might be time to start up the 'almost a computer shop' where you sell cases with a mobo, ram, hd, cd drive, nic etc but no CPU, claim it is modern sculpture. Then you set a street cart outside where you can by processors. So people come in, by the computer, err sorry sculpture and then pop out to the street card and buy the proc for the box!

      --
      Go out and get sailing!
    2. Re:Small computer shops by Sycraft-fu · · Score: 1

      Could be legal. Or sell the whole computer, but ship come critical component seperate.

      Peopel do this to get around MS's dumb OEM liscencing. Want to buy an OEM copy of Windows XP (since it's cheaper) but have a computer? Buy it bundled with an IDE cable. Really, companies do that and it's fine.

      I dunno how German courts would see things, but it's entirely possable if the law was past they'd be ok with this. You sell someone a computer but ship the RAM in a seperate box to be user installed.

    3. Re:Small computer shops by Anonymous Coward · · Score: 0

      "Want to buy an OEM copy of Windows XP (since it's cheaper) but have a computer? Buy it bundled with an IDE cable. Really, companies do that and it's fine."

      They used to, anyway. MS got tired of that, and has changed the wording of when OEM licenses can be sold, so that it's only for IIRC CPUs, HDDs, and maybe a few other things. Probably lots of places will still sell it with anything, but they're taking chances, so I think it'll fade out.

    4. Re:Small computer shops by Alsee · · Score: 1

      I wonder what constitutes a computer?

      Almost anything. Have you paid your tinker-tax?

      -

      --
      - - You can't take something off the Internet! That's like trying to take pee out of a swimming pool.
    5. Re:Small computer shops by Anonymous Coward · · Score: 0


      "...no more friendly service. Just packages and long queues waiting for some ignoramus at tech support when the thing breaks."

      Have you ever tried shopping for electronic goods in Germany? This is already the current state, but maybe I'm just the fact that I was spoiled by hundreds of checkout counters and usually friendly (although not very knowledgeable) service in the US.

    6. Re:Small computer shops by DanDwig · · Score: 1

      I'd like to see a the wording on that. It's fairly inexpensive to rip obsolete, even dead proccesors from machines. Here, I'll sell you a 8086 proccesor for 50 cents, would you like an OEM copy of windows XP to go along with it?

    7. Re:Small computer shops by Hoch · · Score: 1

      The cop on the street then yells, "Stop right there and put your hands on your head! I have reason to believe you plan to produce a deriative work of that piece of sculpture." -Hoch

      --
      2*31*37*263
  4. yes, this is practical by trmj · · Score: 5, Interesting

    From the article:

    "Blank magnetic media, especially recordable CDs"

    Yes, because CDs are magnetic...

    But on a more serious note, they are calling everybody who buys a computer a theif. No questioning use. No checking if the computer will even be connected to the internet.

    Everybody. Every man, woman and child. Every office assistant, every student.

    Let's pretend that the computers sold are $700. That's not including the monitor (which is used to see what pirated files you want to download), printer (which is used to print labels for your pirated CDs), or any other peripherals (such as your speakers, used to play the latest pirated Rammestien singles). They get $13 right off the bat. Now, let's add another $112 for the 16%. That means that on a $700 computer, you have to pay an additional $130, not including peripherals / other sales taxes.

    I work at a retail store. We sell about 6 computers per week. Multiply that by the amount of stores in Germany, and that number by $130.

    And the recording industry needs how much more money to pay for the pirated CD sales losses?

    --
    Work sucked, until it became unemployment, when it became slightly more tolerable. -Tet
    1. Re:yes, this is practical by jkabbe · · Score: 1

      The article said value added tax.

      [possible oversimplification]
      So if the cost of components was $400 and you sold the computer for $700 then the 16% VAT would only be applied to the $300 difference.
      [/possible oversimplification]

    2. Re:yes, this is practical by The+AtomicPunk · · Score: 4, Insightful

      This is how it works. Everybody supports banning a few things (murder, theft, etc). This is good.

      Then a few people start getting wacky. We ban a few more things - hemp, alcohol.

      Then guns, model rocket engines, blank CD media.

      We either all stick together and fight all victimless "crimes" and prohibition, or we all lose by the precidents we establish against things we don't like.

    3. Re:yes, this is practical by doktor-hladnjak · · Score: 5, Informative
      Perhaps I'm confused, but speaking as someone living in Germany, it seems to me that we already pay the 16% VAT (MwSt) on computers.

      Maybe they're talking about taxing the levy of $13? As bizarre as this sounds, this seriously wouldn't surprise me.

    4. Re:yes, this is practical by Anonymous Coward · · Score: 0

      It means you paid for it, so you can now finally use your computer to try that music and movie copying thing that everybody in the press has been talking about for all that time now.

    5. Re:yes, this is practical by Anonymous Coward · · Score: 0
      Nobody is banning rocket engines. That was just the usual illiteracy on the part of the Slashdot editors.

      There is some ambiguity as to whether new legislation regulating the shipment of explosives applies to rocket engines, and shippers are avoiding them until it's clarified, but there is no, zero, nada campaign specifically agianst them.

    6. Re:yes, this is practical by unitron · · Score: 1

      If they're defining the markup as "added value" then we're already deep into Orwell country even before we get to the part about being fined and taxed to compensate the victims of a crime of which you haven't been convicted by due process of law and of which you haven't been given any chance to prove your innocence.

      --

      I see even classic Slashdot is now pretty much unusable on dial up anymore.

    7. Re:yes, this is practical by Tel5tar · · Score: 1

      They get $13 right off the bat. Now, let's add another $112 for the 16%. That means that on a $700 computer, you have to pay an additional $130, not including peripherals / other sales taxes.

      16% is the default VAT that will be applied to the $13 as well, so actually have to pay around $15. The VG Wort will not get 16% of the price you're paying for your new PC.

    8. Re:yes, this is practical by stratjakt · · Score: 2, Insightful

      they are calling everybody who buys a computer a theif.

      No, they're saying everybody who buys a computer should help pay back what the thieves take. That's the type of altruistic governments form in socialist countries.

      It's not a flame or anything, it's the same in Canada.

      They just dont think it's fair that the 'victims' of theft should have to bear the cost of 'societies' problem.

      Or punish everyone for the crimes of a few, depending on how you look at it.

      --
      I don't need no instructions to know how to rock!!!!
    9. Re:yes, this is practical by Anonymous Coward · · Score: 0

      I think that there i a great misunderstanding of the price and the tax.
      The computers are sold with the universal VAT 16%.
      The wording in the article is not that clear but it is talking about (13$ + VAT 16%). Not aditional 16% for the computer itself.

    10. Re:yes, this is practical by emh0 · · Score: 1

      The description was not very clear - German MwSt (VAT/sales tax/whatever its called in your country) is 16%. This is charged on everything (including computers) and goes to the government. The copyright levy they're talking about here is ~ US$13 + VAT (i.e. the copyright levy is added before VAT is calculated, so the extra cost to the customer is ~US$15, with $13 going to whoever bribes the politicians and the ~$2 going to the government).

    11. Re:yes, this is practical by cow-orker · · Score: 1

      Actually "$13 + 16%VAT" means 16% of $13, giving a total of $15 per computer, not $130. Given that private copying is legal in Germany exactly because copying machines and blank are taxed, I come to find that quite reasonable. Also nobody is called a thief, instead by buying a copying machine you also buy the right to actually make copies for private use. What's new is that the computer is considered a copying machine.

      However, the situation is not as nice as that sounds. Even if we pay for the right to copy there is no way to enforce that right. More and more audio cds are sold with copy protection, despite the fact that we already pay for the copies we can no longer make.

  5. Guilty? by sPaKr · · Score: 5, Funny

    Im so glad I live in a country where Im innocent until proven guilt by a court of my peers.

    errr... Im sorry Mr Ashcroft, your right.. I was having evil thoughts, Im guilty of thought crime. Yes we are at war with the people from the east.

    1. Re:Guilty? by jkabbe · · Score: 1

      Or....

      This has been an unauthorized dream sequence.

    2. Re:Guilty? by DASHSL0T · · Score: 1

      Sigh, that was last year. Now we're at war with Eurasia.

      --
      Freedom Is Universal
      Linux-Universe
    3. Re:Guilty? by Anonymous Coward · · Score: 0

      Hey, genius, this story is about GERMANY! That's AN ENTIRELY DIFFERENT COUNTRY!

    4. Re:Guilty? by Anonymous Coward · · Score: 0

      Heh. Except that the US has such a levy on blank media.

    5. Re:Guilty? by remoford · · Score: 1

      We have always been at war with eurasia. Now off you go to be beaten until you remember it so.

    6. Re:Guilty? by Anonymous Coward · · Score: 0

      Only on the "music" CD-R's, not on the "data" CD-R's.

      Physically, there's no difference between the two.

  6. they don't care. by twitter · · Score: 3, Interesting

    It's a large step toward the end of free personal computing. You have to register your computer to pay this tax, right? If you don't pay your tax, you lose your computer or some other fine occurs. To make sure you paid your tax, the computer has to be identifiable. There you have it - no computing without a license. It comes in small steps. Evil, very evil. It's not about the money, it's about control and much larger money that will be lost by certian entrenched intrests when control is lost.

    --

    Friends don't help friends install M$ junk.

    1. Re:they don't care. by odin53 · · Score: 3, Informative

      Why would you have to register the computer? It's called a "copyright levy" in the article, and a "levy" is "levied" at sale. Thus, it's just added onto the price (like a sales tax) when you buy it. Not that I support such a tax in any way -- it's just like the horrible additional tax in some countries (like Canada) levied on CD-Rs and other kinds of recordable media.

    2. Re:they don't care. by Twirlip+of+the+Mists · · Score: 1

      It's a large step toward the end of free personal computing.

      As I said in some other context: the "slippery slope" argument was old when the first caveman used it against another caveman to explain why cave paintings were a bad idea.

      This isn't "a large step" toward anything. It's just an idea. Maybe it's a good idea, maybe it's a bad idea. If you want to argue that it's a bad idea, then by all means do so. But saying that this idea inevitably leads to something else, and that something else would be bad... that's just bogus.

      --

      I write in my journal
    3. Re:they don't care. by Anonymous Coward · · Score: 2, Interesting

      The copying levy on Canadian blank media is equivalent to a license to copy software and music. It sounds like Germany is going to cost a lot more to get that blanket license than Canada charges.

    4. Re:they don't care. by The+Bungi · · Score: 0, Flamebait

      Twitter thinks we're talking about Microsoft. And he's off his meds again, nach.

    5. Re:they don't care. by Uwe+Barschell · · Score: 1

      But its the thin end of the wedge, the beginning of the end! Were all doomed; the other caveman told me so! ;) Seriously, I think this is a good idea.

      There are some things which provide benefits to some at the expense of others, but are difficult to control directly. Pollution and copyright violations are examples of such things.

      Some of us try to avoid contributing to these problems to the extent that we can, but what can be done about those who have no concern for the damage they are doing to others? The only force capable of redressing this is the state, and even its power is limited in the modern age. In order for policies of this kind to be truly effective, international coördination through institutions like the EU, WTO and UN is necessary. National laws are, however, a good first step.

      The biggest problem with policies of this kind (whether dealing with pollution or with copyright violations) is the potential negative impact on economic activity, at least in the short run. In the long run, it is a question for theorists, but I am behind those who believe strong enforcement of IP laws leads to the production of more useful IP, and is therefore good.

      A second problem is how to ensure the estimates of who should pay and who should receive compensation are accurate. Naturally the transfers can never be perfectly accurate, but a moderate degree of accuracy is necessary if the scheme is to have any value.

    6. Re:they don't care. by sfe_software · · Score: 4, Insightful

      As I said in some other context: the "slippery slope" argument was old when the first caveman used it against another caveman to explain why cave paintings were a bad idea.

      Why is this argument so bad?

      Ever hear the story about boiling a frog? Basically, you can boil a frog, and he won't complain, as long as you increase the temperature slowly. Being a cold-blooded animal, frogs only notice temperature changes, not absolute temperatures. So a frog will happily stay in the water while you boil him to death, provided you increase the temperature in small increments.

      Windows Product Activation is a small step. TCPA -- itself quite harmless -- is a small step. MS introduces Palladium et al, and it seems to be a small step from activation and TCPA.

      Next thing you know, we're not only registering our copy of Windows, we're providing information to verify that we are only using one copy.

      Paying an extra tax on blank CDs is bullshit in my opinion. I'm not sure, but I think there is such a "levy" in the US either on CDs, burners, or both. I just picked up a new burner and a 50-pack of CDs today. You know what I have planned for them? Software backups, and fair-use compilations of my favorite songs for the car (from, obviously, legitimately purchased CDs).

      I know many, many people who purchase a computer and have no intention of committing piracy, of software or music. I don't know what the situation is in Germany, but I'm sure it's similar, anyway -- I'm sure there are people who buy computers for other purposes.

      Here's the problem. If everyone -- and I mean *everyone* -- is violating some particular law, then that law needs to be revisited. Obviously that law isn't for the good of the people, if the people themselves are violating it. So the solution is to change the law -- NOT to tax everyone who is violating it.

      If the laws in the US were changed so that copyrights actually expired in a reasonable amount of time -- thus making copyright laws actually useful again -- I think things would be okay.

      I'm sure Germany's situation would be similar...

      --
      NGWave - Fast Sound Editor for Windows
    7. Re:they don't care. by Uwe+Barschell · · Score: 1
      Why is this argument so bad?

      Ever hear the story about boiling a frog? Basically, you can boil a frog, and he won't complain, as long as you increase the temperature slowly. Being a cold-blooded animal, frogs only notice temperature changes, not absolute temperatures. So a frog will happily stay in the water while you boil him to death, provided you increase the temperature in small increments.

      Perhaps the point is that not every frog that is put into water is being slowly boiled. It is not therefore a useful argument to claim that a frog is being slowly boiled simply because it has been put into water. If, however, this is taking place in a kitchen, and a chef is the one who is putting the frog into the water, the frog may have reason to be concerned.

    8. Re:they don't care. by Twirlip+of+the+Mists · · Score: 3, Informative

      Why is this argument so bad?

      Because it falsely assumes inevitability.

      Basically the slippery slope argument works like this: let X be some proposed change to the status quo. I don't like X; I don't want X to be adopted. Rather than arguing that X is bad, though, I argue that X will lead inevitably to Y, Y being something that is universally accepted as bad. See the trick? I didn't actually say anything about X at all, except to associate it with Y, and arguing that Y is bad is trivial because everybody already agrees that it is. I don't even have to establish that X inevitably leads to Y; if I'm sufficiently savvy, I can just assume that my audience already knows that X leads to Y.

      You recognize a slippery slope argument by taking a step back and asking yourself a few questions. First of all, is it even possible that X might, by itself, lead to Y? Or would it be necessary for other, substantial changes to the status quo to occur for Y to happen? Most slippery slope arguments fail right here. Let's try it out.

      Twitter said, "It's a large step toward the end of free personal computing." If you excise the word "large," because it has no meaning in this context, the statement in and of itself is true. Making it impossible for you to use your computer for one thing is indeed a step toward absolute control over what you can and can't do with your computer.

      (Is it necessary for you to have absolute control over your computer? Twitter dodges this important question.)

      Twitter's implication, though, is that one restriction will inevitably lead to absolute control. Let's apply our test here. Is it possible for making it either illegal or impossible for computer users to do one illegal thing with their computer to lead to absolute control over what users can do with their computers? Or would it be necessary for other, substantial changes to occur in order to institute that total control?

      Obviously the answer is "no." It is not possible for one restriction to turn into absolute control without lots of other changes to the status quo. So right there the slippery slope argument fails.

      In other words, while it is possible that we might go to sleep tonight having accepted one restriction and wake up tomorrow in a totalitarian police state, it's also possible that we might all wake up to find chocolate bunnies under our pillows in the morning. Unless some pretty drastic things happen, neither one is going to occur.

      The boil-a-frog variation is basically the same as the slippery slope argument, only with the extra rhetorical spice of implied malicious intent on the part of an unseen actor. "They're boiling us, folks! It's happening slow, so we don't notice it, but they're boiling us! Jump for your lives!"

      In other words, my dear friend, the whole line of reasoning is day-old bullshit, and it stinks.

      Here's the problem. If everyone -- and I mean *everyone* -- is violating some particular law, then that law needs to be revisited. Obviously that law isn't for the good of the people, if the people themselves are violating it.

      Not all laws exist for the good of the people. Some laws exist for a different good, but people must still obey them.

      Look at it this way. The penalty for speeding is very minor-- a small fine-- and the likelihood of getting caught is low. The penalty for shoplifting is more serious, and the likelihood of getting caught is higher. The penalty for bankrobbing is very severe, and getting caught is a virtual certainty.

      Hardly anyone robs banks, some people shoplift, and virtually everyone speeds.

      We can address the problem of widespread casual piracy by making the penalty for doing so severe, and the likelihood of getting caught high. Say, if the fine for downloading a copyrighted MP3 were $10,000, and the odds of getting caught were 50/50.

      --

      I write in my journal
    9. Re:they don't care. by Guppy06 · · Score: 1

      "Thus, it's just added onto the price (like a sales tax) when you buy it."

      Unless it was imported illegally. Such things happen.

    10. Re:they don't care. by Rolo+Tomasi · · Score: 1
      Paying an extra tax on blank CDs is bullshit in my opinion. I'm not sure, but I think there is such a "levy" in the US either on CDs, burners, or both. I just picked up a new burner and a 50-pack of CDs today. You know what I have planned for them? Software backups, and fair-use compilations of my favorite songs for the car (from, obviously, legitimately purchased CDs).

      See it this way: whether you like it or not, the content/media industry has an influence on politics through their lobbyists and probably through some other means as well. They want laws passed that protect them from the changes that The Internet has brought upon our society. One way would be to pass a law such as the DMCA that forbids to circumvent copy protection, the other would be some kind of tax on CD-Rs, burners, hard disks and such. I don't want either, but the latter seems the lesser evil to me.

      --
      Did you know you can fertilize your lawn with used motor oil?
    11. Re:they don't care. by jhunsake · · Score: 1

      Mod this genius up! Then mod this down, you fucks.

    12. Re:they don't care. by jhunsake · · Score: 0, Flamebait

      You're a fucking moron.

    13. Re:they don't care. by JimDabell · · Score: 1

      What sale are you talking about? Does the tax apply when I buy a hard drive? A CPU? Or just a complete system? Because it sounds like they either require registration, or everybody will be getting their geek friends to build their computers from scratch to avoid the tax.

    14. Re:they don't care. by gilesjuk · · Score: 1

      Given that the German economy is very depressed, this is a bad time to be enforcing it.

      If they were really daring they would only apply the tax to computers assembled outside of Germany. This wouldn't please Dell etc.. though.

    15. Re:they don't care. by hkmwbz · · Score: 1
      "Hardly anyone robs banks, some people shoplift, and virtually everyone speeds."
      Whoa! Hold on there! In no way have you proven that higher penalties lead to fewer crimes! In fact, hasn't research shown that this is not the case at all?

      Why do you think the penalties are less severe for shoplifting and speeding? Because they are not as serious as robbing a bank! You say that "virtually everyone speeds", yet the number of traffic accidents is very low compared to this. Right? So, speeding does not seem like a big thing to most people. The result is that the penalties are low. Shoplifting. You are stealing something, often in smaller amounts, and no one gets hurt. So the penalties are smaller.

      But a bank robbery! You steal huge amounts of money, and you leave emotional scars in your victims. The people behind the counter are human beings, you know. So the penalty is higher.

      This seems very logical and simple to me. But you actually want copyright infringements by individuals to be considered to be on the same level as serious crimes where people actually get hurt in some way or where huge sums are lost?

      So if I download some illegal songs to my PC, I should be fined as if I had done something really serious?

      Wow...

      "We can address the problem of widespread casual piracy by making the penalty for doing so severe, and the likelihood of getting caught high."
      I cannot see that you have actually proven that this is the case with your post. You have, however, turned everything upside-down, and in a way you are actually claiming that the penalty for the crime was decided on before people started committing the crime!

      Surely, you understand that the laws were made according to how serious the crime is?

      Look, if high penalties would keep people from breaking the law, why don't we treat all crimes equally and give everyone the same punishment no matter how serious or insignificant the crime is?

      Do you see what I'm saying?

      --
      Clever signature text goes here.
    16. Re:they don't care. by stinky+wizzleteats · · Score: 1

      That's an extremely good argument, but I don't agree that it applies to this topic.

      What if X is itself the act of crossing a boundary in terms of public policy? No one has, to date, thought of computers in terms of a vice. Excise taxes, which is what this levy is, are used by governments to economically discourage acitivities deemed "bad", such as drinking, smoking, and using gasoline. What the Germans are doing represents the first recognition by the powers that be that a computers are inherently bad and that fines for their use must be collected before the fact so that a socioeconomic barrier can be established against their popular use. At the risk of making the X-Y leap, I think the Internet pretty much proves that this essentially represents an excise tax on the free exchange of information (a.k.a. "free speech"). This is really no different from the intent behind gun licensing fees. Thing == bad, therefore, license and fee the Thing so that fewer people can get Thing, starting with the poor.

      That you may not feel less free in your personal daily life is really irrelevant, and your examples of questioning the situation are more an exercise in positive thinking than reasoned analysis of the problem. True, jack booted thugs are not watching you use your computer at gunpoint. Confiscations have not yet begun. And at one point, it was illegal to use a social security number for identity purposes.

    17. Re:they don't care. by Mr.+Shiny+And+New · · Score: 1

      Exactly. And in this case, it's the copyright groups who are the chefs; they are always trying to raise the water temperature.

      Personally, I'd rather pay a flat fee (i.e. levy) on my copyright infringement equipment and be given free-reign to copy whatever I want. I just don't want the copyright associactions to have it both ways: you have to pay to buy the album AND you have to pay to copy the album, which is illegal, so you can't copy the album. I don't want to pay twice, that's all. And I certainly don't want to pay (a levy) to be allowed to copy stuff, while being unable to copy stuff due to copy protection schemes that degrade my music/movie/whatever experience.

    18. Re:they don't care. by Anonymous Coward · · Score: 0

      ...computers have serial numbers, CD-R's don't.

    19. Re:they don't care. by starman43 · · Score: 1

      Why? Because it's Germany, damn it! Here in Germany, you have to register your televison and stereo systems. You then pay an annual fee for the luxury of not listening to the radio, or the luxury of not watching some of the worst tv programming the world has to see. Here in Germany, they want to tax the cheap airlines. Why? They need to make it less attractive to those who would have otherwise used the train. The money that they collect from these taxes would be used to subsidise a failing rail system. Germany is probably the tax capitol of the world and it is getting worse everyday.

    20. Re:they don't care. by Tony · · Score: 1

      Because it falsely assumes inevitability.

      It doesn't assume inevitability, it assumes precedence. This levy sets a terrible precedent. The first copyright extension act was hard to push through here in the states; later, copyright extension became easier, because of the precedent.

      Or, as they say in the military, killing your first enemy is the hardest. After that, it gets a lot easier.

      The "slippery slope" argument is shorthand for the concept of the wedge. When you see a self-serving agenda that starts with a small change, you can assume you are seeing the blade of the wedge. The purpose of the self-serving agenda is not going away.

      The hardest freedom to kill is the first; after that, it becomes a lot easier.

      --
      Microsoft is to software what Budweiser is to beer.
    21. Re:they don't care. by odin53 · · Score: 1

      I seriously doubt that "everybody" would do this. Before any discussion of Internet sales taxes, did "everybody" buy their computers (or anything else, for that matter) online, to avoid sales taxes? Certainly not. It's just a matter of convenience. With respect to your comment, it sounds like the levy will be on whole systems. People will buy whole computers for myriad reasons, including just because they don't want to deal with getting someone to build a computer for them, or because they don't know anyone who knows how to do it.

      You're right that there will be people trying to avoid the levy. But it sounds like a sales tax, which people all over the world try their best to avoid. Despite this, you don't see countries requiring registration of goods because of sales tax avoidance.

      Now, if it's actually not a levy but rather a more complicated form of tax, then I could see registration being a (remote) possibility...

    22. Re:they don't care. by Hognoxious · · Score: 1
      It's a large step toward the end of free personal computing.
      That would be a large goosestep, ja?
      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
    23. Re:they don't care. by Hognoxious · · Score: 1
      everybody will be getting their geek friends to build their computers from scratch to avoid the tax
      Well at least it might do something for the Arbeitslos figures.
      Someone remind me (or better yet tell that muppet Schroeder), why is unemployment so high in Germany these days?
      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
    24. Re:they don't care. by Anonymous Coward · · Score: 0

      "Excise taxes, which is what this levy is" -no it is not a tax and certainly not an exise one that would be a genußmittelsteuer - the levy is only collected by the state not kept . but what is a small fact to a person with such high principels .

    25. Re:they don't care. by Hognoxious · · Score: 1
      Germany is probably the tax capitol of the world and it is getting worse everyday.
      It seems to me everyone knew what Shroeder was like, yet they still elected him. I'm intrigued to know why.

      Wouldn't be the first time the Krauts have made a bad choice of leader though, would it?
      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
    26. Re:they don't care. by Hognoxious · · Score: 1
      If, however, this is taking place in a kitchen, and a chef is the one who is putting the frog into the water, the frog may have reason to be concerned.
      If the chef is a frog, he should be very concerned.
      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
    27. Re:they don't care. by Hognoxious · · Score: 1
      As I said in some other context: the "slippery slope" argument was old when the first caveman used it against another caveman to explain why cave paintings were a bad idea.
      The problem arose when the cave artist demanded a levy of two mammothskins from everyone within ten daywalks of the cave, just in case they saw his pictures. Including the mog-ur, who is blind.
      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
  7. FANTASTIC (yes I'm serious). by Eric_Cartman_South_P · · Score: 4, Insightful
    If I am forced to pay for things you think I plan to steal, then I should have every right to take those things because it is now paid for and no longer theft.

    Otherwise, don't charge me for PreCrime(TM).

    1. Re:FANTASTIC (yes I'm serious). by Anonymous Coward · · Score: 0
      (Score -1 Redundant)

      Don't be re-donk-u-lous mods - drop this copy cat down into oblivion for being a greasy mexican.

    2. Re:FANTASTIC (yes I'm serious). by Uberbah · · Score: 1

      ...except that it never was theft to begin with. Copyright infringement yes, theft no.

  8. How are they levied? by neuph · · Score: 2, Interesting

    Are these fees going to be levied on a pre-manufactured machine as a whole? Or on just processors? Would you be able to circumvent this by building your own PC?

  9. Why Don't We Tax... by polv0 · · Score: 3, Funny
    Why Don't We Tax...

    Blank paper - 40% of all kiddie porn drawings are drawn with crayon on blank paper!
    Fresh air - 30% of all traffic violations are commited while breathing fresh air! (the remainder occur in LA)
    Unused sperm - 99% of all unborn children die in plastic sheaths and on bathroom walls!
    Blank CD sales??? WTF would you do that?
    1. Re:Why Don't We Tax... by Anonymous Coward · · Score: 0

      Unused sperm - 99% of all unborn children die... on bathroom walls!

      wtf ?

      on the wall, dude? ewww

    2. Re:Why Don't We Tax... by Anonymous Coward · · Score: 0

      or just every human being for just being there possibly making crimes.

  10. Per computer? by Ioldanach · · Score: 5, Interesting

    So, what makes the item a computer? If someone goes into a different store to buy each part and assembles a computer, which store do they get charged the extra $13 at? The one they bought the cpu at? Well, that could be an upgrade. So could a new motherboard. In fact, the only thing I think they could use their tenuous logic to justify would be a hard drive. In that case, what if I build a computer with two drives?

    Aside from the logic problem of defining what part should be taxed as the computer, this ignores, for example, servers. Do people installing servers at an ISP get to ask for their $13 back for every box they build to serve, say, the billing system or internal database? Who tracks that?

    Finally, I find the article's mention of precedent interesting. The article mentions that none of the money collected to date in Canada has yet to get to the members its supposed to go to.

    While the article has a decided tilt and is certainly not unbiased reporting, I find the collective sum to be appalling, and hope the measure gets a sound thrashing, along with whoever proposed it.

    1. Re:Per computer? by Gyorg_Lavode · · Score: 1

      Better yet! I can decrease the cost of the computers I sell by $13 by selling them without the CPU and requiring people to buy the cpu separate. Of course I have free instillation. And, in fact, I seel HP's but without the CPU. and I only offer one choise of CPU, (the one that came with the computer), that I will install for free. And, as it turns out, if you buy them both at the same time, the cpu just happens to already be in the computer so there really is no installation.

      --
      I do security
    2. Re:Per computer? by Anonymous Coward · · Score: 0

      The real quiestion is what do you pay when you get your new supercompuer.

      $1M computer, $160000 in tax please.

      If there is a upper limit on server pricing, ie just desktops only. What about when you get a new 'cheep' multi desktop system?

    3. Re:Per computer? by reverseengineer · · Score: 2, Funny

      In fact, the only thing I think they could use their tenuous logic to justify would be a hard drive. In that case, what if I build a computer with two drives?

      Two hard drives? Of course you should get taxed twice- the only possible reason you'd need that much storage is to steal twice as much music!

      --
      "FDA staff reviewers expressed concern about the number of patients who were left out of the study because they died."
    4. Re:Per computer? by Anonymous Coward · · Score: 0

      And of course, one large hard drive is the equivalent of at least two standard hard drives, also required an additional levy.

  11. Why didn't we think of this? by jkabbe · · Score: 1

    What better way to jump start the economy then to impose a tax and divert the money to...oh...nothing useful.

  12. From the article: by epiphani · · Score: 2, Insightful
    According to Wired, the Canadian Private Copying Collective, the music industry trade group, has proposed "new levies to be applied to any device that can store music, such as removable hard drives, recordable DVDs, Compact Flash memory cards and MP3 players."
    The aforementioned Canadian collective has yet to distribute to its members even one tax dollar of the tens of millions it inexplicably hoards.

    Well, since the industry has proposed these new levies, and they havent been implemented, it makes a fair bit of sense that nobody's recieved money from it yet.

    --
    .
    1. Re:From the article: by Anonymous Coward · · Score: 0

      The aforementioned Canadian collective has yet to distribute to its members even one tax dollar of the tens of millions it inexplicably hoards.

      Well, since the industry has proposed these new levies, and they havent been implemented, it makes a fair bit of sense that nobody's recieved money from it yet.


      They are proposing NEW additional levies on anything with a hard disk or flash storage. There are high EXISTING levies on CD-R and other blank media. They rake in millions. And like most large unaccountable bureaucracies, they have given ZERO back to the content producers that the system is supposed to support.

      Of course, in return for the levy, I have the right to copy CDs for personal use. It's a right I use often. Burn baby, burn!

      The content producers lose twice since I now make legal copies and don't buy their overpriced stuff, and they get no compensation to make up for it.

    2. Re:From the article: by surprise_audit · · Score: 3, Insightful
      I think you missed the point - The Canadian Private Copying Collective is already hoarding tens of millions of dollars, apparently collected in some manner for the reimbursement of copyright holders who have lost money to pirates. The "inexplicably hoards" part is a direct accusation that they are deliberately not forking over the cash.

      And now they're proposing yet more legislation to levy further "taxes for the poor starving musicians and movie stars". Given that they've so far failed to distribute previous levies, why would anyone have confidence that further levies would be distributed, but would rather go towards someone's retirement fund (or whatever)??

    3. Re:From the article: by John+Hasler · · Score: 1

      They've had such a levy on blank CDRs for years.

      --
      Warning: this article may contain humor, sarcasm, parody, and perhaps even irony. Read at your own risk.
    4. Re:From the article: by Requiem · · Score: 1

      The Canadian Copyright Act already permits you this; it's in the section under fair use.

    5. Re:From the article: by Ioldanach · · Score: 2, Insightful
      According to Wired, the Canadian Private Copying Collective, the music industry trade group, has proposed "new levies to be applied to any device that can store music, such as removable hard drives, recordable DVDs, Compact Flash memory cards and MP3 players."
      The aforementioned Canadian collective has yet to distribute to its members even one tax dollar of the tens of millions it inexplicably hoards.

      Well, since the industry has proposed these new levies, and they havent been implemented, it makes a fair bit of sense that nobody's recieved money from it yet.

      Just from the first page of a quick google search, I see on this page, about the levy...

      In 2000 a levy was introduced on blank media in Canada to compensate music artists for lost royalties due to the copying of music by individuals. The levy is paid by the Manufacturers and Importers of Blank media in Canada to the CPCC (Canadian Private Copying Collective). The CPCC then distributes the monies collected (minus administration fees) to registered artists. The Copyright Board sets the rates, but does not collect them. They issued a FAQ in 1999 about the Levy.

      The CPCC has proposed substantially higher rates for the levy in 2003 and asked it be applied to a larger range of media (see chart below)

      Therefore (as I expected) there is already a levy in place that has yet to get money to its members, even though money has been collected for at least 2 years now. This is the lack of distribution mentioned, and the poor precedent set.

    6. Re:From the article: by shepd · · Score: 1

      Uhhh, I think he means making copies of other's CDs...

      --
      If you could be told what you can see or read, then it follows that you could be told what to say or think - BoC
    7. Re:From the article: by perp · · Score: 1

      According to the CPCC's website, they have started distributing the money. Are you out of date or do you think they are lying?

      For the record, as an Canadian independant musician and copyright holder, I am none too thrilled with this "tax the blank media" approach. I pay extra for every blank CD I buy for both legal music copies and data backup and I think that it will be a cold day in Hell before my little bar band will see dime one of this blank media tax from SOCAN.

      --
      There are two kinds of sysadmins: paranoids and losers. I'm both kinds.
    8. Re:From the article: by satterth · · Score: 1

      They have to pay for the gun registry somehow.

      --
      Being called a dork on Slashdot must be like being called the retard in special ed.
    9. Re:From the article: by surprise_audit · · Score: 1
      I was just quoting the original article, on the assumption that they knew what the hell they were talking about. Not an unreasonable assumption, because if they're wrong, it's libellous and actionable...

      If they truly are distributing the money to the people for whom they are supposedly collecting it, then more power to them. I also truly hope that you get whatever slice you are due.

  13. Yes, however. by Inoshiro · · Score: 3, Insightful

    Everyone pays when people steal. You might not steal, but you have to pay for it. When something is stolen from a store, the company has 2 choices: take a loss (maybe go out of business), or pass on the costs.

    The same thing happens with insurance. Are you contemplating insurance fraud? You are making everyone else's premiums go up when you do it.

    So even if computers have legit uses, and even if you don't break the law, there are enough people out there misusing computers and breaking the law that bottoms lines are being affected. Naturally, businesses don't like this and are working to change it. The only way you can do anything useful about it is prove that the loss is negligible, and to stop illegal copying.

    --
    --
    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    1. Re:Yes, however. by haxy · · Score: 2, Insightful

      But if I pay the piracy tax... doesn't that mean...

    2. Re:Yes, however. by CashCarSTAR · · Score: 5, Insightful

      That is a common load of bullshit.

      Why?

      Because business is not about a break-even point.

      It is about making profit. Lots and lots of profit. That theory stands if companies are looking to reach a break-even point. If they are selling at cost, they need to add on the part that is lost to break even.

      I am not saying that stealing is somehow moral. However, the idea that it has any effect on prices is simply hogwash. Businesses charge what the public is willing to pay, not what they have to.

    3. Re:Yes, however. by Daytona955i · · Score: 2, Interesting

      Very good point, something many people don't realize. However, what they are posing is a double-whammy. First they jack up the price of movies, games, cds, etc... then they turn around and tax you. You don't pay an insurance tax when you buy your car just because not everyone has insurance, do you? That's essentially what is being proposed.
      -Chris

    4. Re:Yes, however. by sir99 · · Score: 3, Insightful

      An organization passing its losses onto the consumer is different from the government doing it on their behalf. Criminals should be punished. Everyone else should not be. These industries should pressure the government to improve enforcement rather than trying to make everyone pay for the misdeeds of a few. In any case, the copyright infringement tax is in pursuit of implausible losses.

      --
      The ocean parts and the meteors come down
      Laid out in amber, baby.
    5. Re:Yes, however. by unitron · · Score: 1
      "You don't pay an insurance tax when you buy your car just because not everyone has insurance, do you?"

      No, they wait until you go to buy insurance for that car and then they make you pay for "uninsured motorists coverage".

      --

      I see even classic Slashdot is now pretty much unusable on dial up anymore.

    6. Re:Yes, however. by Planesdragon · · Score: 3, Informative

      I am not saying that stealing is somehow moral. However, the idea that it has any effect on prices is simply hogwash. Businesses charge what the public is willing to pay, not what they have to.

      Businesses charge what gets them the most profit. If thefts go up, they increase costs to cover the lost sales--and if thefts drop and sales drop faster, they lower prices to get the profit margin back.

      There is always someone who will buy something for any price point,but the slimmer the margin, the more people buy it. The game in business is finding the sweet spot where you get the most profit from the right sales volume / margin markup ratio. Shrinkage does throw this off, and you're a fool to think that it doesn't.

    7. Re:Yes, however. by Tuxinatorium · · Score: 1

      But, unlike cars and physical goods, IP, books, and music are infinitely reproduceable electronicallyu with a negligible marginal cost. That shifts the ideal "sweet spot" down significantly. Apparently companies haven't cought on to that yet.

    8. Re:Yes, however. by frankthechicken · · Score: 1

      But if I pay the piracy tax... doesn't that mean...

      Mmm, reminds me of Terry Pratchett's Ankh-Morpork scheme, pay a fee to the theives and they won't burgle you, and you get the bonus of a novelty cutlery set.

      Except this one seems to work in reverse . . . An interesting and novel concept.

    9. Re:Yes, however. by CashCarSTAR · · Score: 1

      It doesn't, most times...and I'm no fool.

      Does it throw that estimate off? Sure. Of course it does. Does it affect the price you pay? In most cases, of course not!

      If thefts decrease, they just keep the price the same, and pocket the additional profits. Theoretically, it could affect the price you are paying, if the pricing and profit margin are slim enough, but in most cases, this is hardly the case.

      The other side is that there is added room for competition with more profit. This is true, but I seriously doubt that most companies will be that cutthroat to lower their margains to a point where it matters for the consumer, price wise.

      Such "theft" as this thread is talking about is actually a crucial part of bringing the v/m ratio back down to where it is better for the consumer. The black/grey market is a rarely-acknowledged but very important part of this cycle.

    10. Re:Yes, however. by Yo+Grark · · Score: 1

      AHEM, around these parts everyone has insurance. Mandatory.

      More over, every time a car is sold or transferred, a tax is paid, I just had to pay $500.00 in tax on the $1.00 purchase of a car.

      Can't wait til I run the world, things will be different.

      Yo Grark
      Canadian Bred with American Buttering

      --
      Canadian Bred with American Buttering
    11. Re:Yes, however. by shimmin · · Score: 1

      Let's suppose you've found the sweet spot where increasing price further actually decreases profit because the number of customers willing to pay that price decreases faster than the price increases. Now, some of your customers decide to obtain your product via other channels. Which way does the sweet spot shift? One answer is that the customers who obtain the product via other means are the ones who were least willing to pay for it, and so you can get away with charging more because the remaining paying customers are, on average, willing to pay more. Another answer is that if you lower your price, some of those customers who obtain your product via other means may be willing to buy legitimately at the lower price, and so the number of customers you win back may justify lowering the price. The actual answer depends on which of these two effects are more important in any given situation. But if the correct answer is to raise prices, it has nothing to do with making up for lost revenues; it just means that you can get away with raising prices because the fraction of the market that pays is the same fraction that is willing to pay more. Or, think about it this way. The marginal cost is unaffected by black-market product channels. (As opposed to shoplifting, which does increase marginal cost, because you have to produce more than 1 unit to get 1 unit to the customer.) So the price depends on marginal revenue, which is affected by alternate product channels in complex ways. The black market might indeed make prices rise. But if it does, it's only because the price-conscious segment of the market has withdrawn from the marketplace.

    12. Re:Yes, however. by cyril3 · · Score: 1
      This whole "marginal cost is low or even zero" excuse is rubbish isn't it. It would only be relevant if you personally having an extra copy made. The marginal cost (which would generally include only material, distribution and selling expenses) would be lower than the average cost because development costs etc are covered by the ordinary sales volume.

      To the extent that what you do reduces the ordinary volume of sales on which the record company has based its expected profit then each non-sold CD has the effect of reducing their net profit by the whole of the CD price not just the marginal cost.

      That's like arguing that after he made a loss of $800M on the first copy of WinXP M$ is making 100% profit on every copy they sell. or the first copy of the new REM album is going to cost them $1m but after that they are just ripping us off for $20 or whatever.

    13. Re:Yes, however. by boaworm · · Score: 2, Insightful
      You are right on the spot. If you do pay the tax, then you must also be allowed to download music.

      Either it has to be legal to download at a cost, and then the issue is from where those money comes (PC Purchases, CD-R Tax, CD Price, Concerts or whatever).

      OR it is ILLEGAL to make and download illegal copies, and in that case it is a crime that should be punishable through courts. This is the case now, but in some strange way, the Music industri think it has the right to make a certain amount of money from every citizen, regardless of s/he wishes to buy their records or not.

      Really bizarre actually... To conclude.. either I pay the tax and then i'm free to download whatever music I want (like a one time fee for all the music you want), OR i continue to pay per album/song as I do now. But i wont do both.. no way

      --
      Probable impossibilities are to be preferred to improbable possibilities.
      Aristotele
    14. Re:Yes, however. by cyril3 · · Score: 1
      Such "theft" as this thread is talking about is actually a crucial part of bringing the v/m ratio back down to where it is better for the consumer

      Are you suggesting that "theft" is useful in that it keeps prices down for the consumer. Is this a general rule or only applicable where the original prices are inflated because of over-estimates of theft.

      Why do you assume that the record company's complaints are intended to reduce theft below what they expected. I would have assumed that they are finding that the level of theft is higher than they anticipated We are always being told that they haven't understood the internet and its effect on their business model. Why would I think that the misunderstanding was an over-estimate of the potential damage. In that case your point is invalid.

      The grey market exists because the same product is sold in different markets at different prices. Grey market is arbitrage. The reason why prices are different is because generally one market is poorer than the other. Manufacturers can sell into those poorer markets at a lower price because the home markets supporet the low price. If that low price is sent back to the home market by intermediaries that will canabalize sales of the higher profit home market sales and lower the overall profit of the product. These losses will be made up by higher prices overall in later products.

      To think that it doesn't operate basically like this or that this is a good thing as a rule misses the point of the market economy.

    15. Re:Yes, however. by JimDabell · · Score: 1

      Everyone pays when people steal. You might not steal, but you have to pay for it. When something is stolen from a store, the company has 2 choices: take a loss (maybe go out of business), or pass on the costs.

      Yes, but if you think this applies to this situation, you are sorely mistaken. You know why? Copyright infringement is not theft. The RIAA constantly goes on about "stealing music", but unless you are walking out of a shop with something you haven't paid for, it's not stealing.

      Why does this mean your point is invalid? Because there is no loss. If I download one song without paying, the record companies don't lose any money. If I download a hundred songs without paying, the record companies don't lose any money. If I download a million songs without paying, the record companies don't lose any money.

      If somebody walks out of a shop with something they haven't paid for, the shop has had property stolen, and they need to pay to replace it. The money has to come from somewhere, I agree. The same is not true of copyright infringement.

    16. Re:Yes, however. by malkavian · · Score: 1

      *Cough* So, by your arguments there, practicing insurance fraud would make the price of a tub of ice cream more expensive, without affecting the price of insurance.
      How strange..
      If it were a case of a goodly many computers being stolen from the factory, or something weird happened to increase the fail rate at manufacture, then, sure, the price of PCs would climb. That, indeed, is just business..
      However, one business claims, without hard evidence to back it up that one business, in a completely different market segment, affects it's profits. And for this, lobbies to put a levvy, payable to it, on that other business..
      It would be very similar to a car construction company saying that road construction companies made roads of lesser quality, meaning that they had to spend more per car, as bits wore out more quickly, losing them money, as they just have to keep the price constant.. Then lobbying the government to get every construction company to pay them a fixed fee, plus a percentage of the cost of the road, for every mile of road built.
      What the don't take into account is that the (allegedly) rougher roads lead to people buying better bits for their cars anyway, and more repeat custom (just as exposure to new music actually seems to lead to more sales.. I know I've bought a lot of music I wouldn't have ever known about, if someone hadn't played it for me/lent me a disk/whatever).
      All they see, is the chance to get a gib wadge of hard cash, gouged from another company, for doing nothing apart from pointing an accusing finger.
      It saddens me to see so many companies these days not concentrating on making a good, solid product that people want, and instead expecting to make money just by pointing fingers and accusing other people of being not nice, and not getting off their collective arses to do anything that makes people want to buy their own product..

      Just my frustrated tuppence,

      Malk

    17. Re:Yes, however. by CashCarSTAR · · Score: 1

      That is assuming that they are not charging the ideal price to begin with. A worry about black market activity seems valid, but it would seem to me that should only move that ideal price down, not up. (More people wanting the good but not willing to pay full price for it).

      That is the point I think. Most companies ARE charging the right price for them already. Just because they SAY that shrinkage increases prices, that is no reason to believe them! It is an excuse for high prices, nothing more.

    18. Re:Yes, however. by arkanes · · Score: 1
      You're only actually decreasing your profit if you would have bought the product. Again, this doesn't excuse piracy, but it does mean that the actual losses to piracy are much, much smaller than the number of pirated copies. I have a fair amount of cracked software - some of it's demo versions I've cracked because I like to evaluate full functionality, some of it's stuf I downloaded just to look at, and a VERY small percentage of it is software that I needed and use but didn't feel like paying for. That small percentage is the only part I actually "stole" - as in, took something of value from someone who was entitled to it (And, for what it's worth, I do like to pay for it, it was more a decision based on convenience and tight funds, and I have every intention of paying for them as time goes on. I know it's still illegal, but I'm trying to assuage my conscience here.)

      Now, as for the tax - I'm not German, but if I was, I'd be pissed. I'm still pissed over the blank media tax - basically, it's government support for the industry. It's abhorrent, because the public doesn't get any value from this - it's just throwing money away. We could just give it away on street corners and it would be a better use of it. Now, if you actually get something BACK for the tax, like limits on what copy protection can and cannot do (not being able to interfere with error correction would be a good start. Fuck off, SafeDisc!), maybe some clarification on legally black but morally light grey areas like abandonware and "24 hour rule", then I could see it. Heck, if it meant the end of safedisc, I'd almost pay it with a smile.

    19. Re:Yes, however. by Gannoc · · Score: 1
      Businesses charge what gets them the most profit. If thefts go up, they increase costs to cover the lost sales--and if thefts drop and sales drop faster, they lower prices to get the profit margin back.

      No, thats incorrect. Businesses charge the exact amount that will earn them the most profit, no matter if that means selling a cookie for 1 million dollars to one person, or selling a million cookies for 1 dollar each to a million people.

      How much they lose in theft is completely irrelevant. Even if they didn't lose the money via theft, they'd still keep the prices as high (or low) as they are now, because obviously people are buying them.

      Again, i'm not saying stealing is OK; i'm saying that the whole "Our prices are high because of thieves" is a load of crap. Its one of those corporate lies.

    20. Re:Yes, however. by Anonymous Coward · · Score: 0

      aha...but it is not the computersellers that want the prices go up. It is publishers of other materials.

      It's like supermarkets wanting to increase the price of jackets with deep pockets. Because you can hide and steal candy with them.

    21. Re:Yes, however. by Anonymous Coward · · Score: 0

      Businesses charge what gets them the most profit. If thefts go up, they increase costs to cover the lost sales--and if thefts drop and sales drop faster, they lower prices to get the profit margin back.

      No they don't. Music and games cds prices can only rize never the other way around (unless it's old).
      That makes music industrie's buisiness completly diferent from your greengrocer's store, especialy when you think their loss can easely be repaired by making more cds wich doesen't add more costs to their initial investment...

    22. Re:Yes, however. by yogi · · Score: 2, Funny
      This argument doesn't apply in the case of a computer tax:

      You steal from goods from the store, the store puts up prices on the goods.

      You steal from the Insurance company, the Insurance Company puts up insurance prices

      You "steal" music from the Record Companies, the government puts up PC prices



      The argument doesn't follow.

    23. Re:Yes, however. by Daytona955i · · Score: 1

      Yeah, insurance is madatory here too. It's also illegal to buy/sell drugs, pirate software, kill someone, etc... Does that mean it doesn't happen? In PA it is a big problem, especially in Philadelphia. They are trying to fix it but it is still a problem. Besides not having insurance, insurance fraud is a big deal too... yeah, I'm sure you had a brand new TV in your car...

      The tax you just paid on your car doesn't go to the insurance companies. I don't know how it is in Canada but in the US we mainly pay a registration fee. The taxes on a new car go to the government just like when I buy a new TV or stereo or something. This is equivalent to the VAT tax in the EU. We also pay to register the car and get our license plates. However, none of this goes to the insurance companies. If I buy a computer, I will pay tax on it. (unless I buy it online and it's out of state) However, I don't pay a tax to RIAA/MPAA just like when I buy a car, none of the tax goes to the insurance company.
      -Chris

    24. Re:Yes, however. by Llurien · · Score: 1

      Hmm, I notice one big difference between both your examples and the situation we are talking about here. Does the store have a deal with the government that they get the proceeds of some tax to compensate them for their losses ? Do you have to pay some added tax every time you buy a car to compensate the insurance companies for every time you wreck it on purpose to collect the insurance ? I didn't think so.

      The point is, both the store and the insurance company have to take measures themselves to ensure not too many people steal from them. Otherwise they will have to raise prices, and people will go to the competition that has found a way to limit the stealing problem.

      Allowing a levy on other stuff to compensate record companies is basically the same as saying: produce whatever crap you like, doesn't matter, you're still getting paid every time somebody somewhere buys a computer. Doesn't really sound like a good idea, does it ?

    25. Re:Yes, however. by Sloppy · · Score: 1
      Interesting way of looking at things.

      But I don't see why their problem should be my problem. Are we going to systematically spread all injustices over the whole population? Whenever anyone takes a loss, should we all have to band together and pitch in?

      Maybe in socialist Germany that makes sense. Germans will have to face the fact that all music, no matter who is listening to it, must be paid for, and listening to music will become a "right." So just as German taxpayers now pay for actresses to get boob jobs on the government's health plan, all Germans will pay for all music. And if you're paying for it, then you might as well exploit it and get your fair share. And if everyone thinks that logically, then the amount that needs to be paid increases, and everyone needs to leech more, and ... God, socialism sucks.

      There are some other annoying aspects to this as well. The big one is that the levy will almost certainly not be given to the correct parties. Nobody knows whose copyrights are being infringed or in what proportions. Giving the levy to some arbitrary industry consortium, stinks of corruption.

      --
      As copyright owner of this comment, I authorize everyone to defeat any technological measure which limits access to it.
    26. Re:Yes, however. by Planesdragon · · Score: 1

      Businesses charge the exact amount that will earn them the most profit

      You mean "that they think will get them the most profit." Businesses are hardly universally correct.

      How much they lose in theft is completely irrelevant.

      No more or less irrelevant than the cost the goods that they're selling, their taxes, their rent, and how much they have to pay their employees.

      Shrinkage--be it from theft or simple destruction of goods--is an expense, and every expense changes the location of the "sweet spot" which maximizes profits.

      Again, i'm not saying stealing is OK; i'm saying that the whole "Our prices are high because of thieves" is a load of crap. Its one of those corporate lies.

      Like most "big lies", it's not. It's an exaggeration, but not a lie.

      And, for the record, I don't recall RIAA ever saying "our prices are high because of theft." I've heard "copyright piracy is costing us money" and "our prices are high because we lose a lot of money", but the second statement has always been more about failed bands than theft.

    27. Re:Yes, however. by ax_42 · · Score: 1

      Please try to have at least a basic understanding of economics before trying to (mis)educate your fellow readers.

      Yes, business is about making a profit. But that word "profit" I just used has a very special definition in a market, namely it is the price of entrepreneurship.

      As a businessman, you have inputs into your business which all cost money and which need to be paid for. These are called economic factors and are typically land (paid for with rent) and labour (paid for with wages). I'm sure you agree that it is fair that land and labour should be paid for (otherwise, I'll be glad to receive your salary for the work you do).

      Another economic factor is entrepreneurship --- the will and energy to take the risk and run the business. Why should this be free? It usually isn't, and it is paid for by profit.

      If someone is making huge profits from something, then (barring some form of monopoly, which could also be due to patents or legislation) someone else is going to say "Cool. Easy way to make money" and also do it. This is known as the free market and it will drive the prices down until the price the consumer pays is equal to the cost of selling the good (which is wages+rent+entrepreneurship).

      Some sellers might at some point decide that, although they are covering wages and rent, they are not getting the return they require (ie. they are not getting paid enough for their spirit of free enterprise) and leave the market.

      Any ECO101 textbook should serve as a handy reference to all of this.

      Ciao
      ax_42

    28. Re:Yes, however. by Anonymous Coward · · Score: 0

      "and if thefts drop and sales drop faster, they lower prices to get the profit margin back."

      And herein lies the biggest crock of horseshit the industries like to state over and over. I have NEVER seen prices drop on a product due to "reduced theft" of it. Look at Gamecube games. Pretty much no piracy there, except maybe some hard core folks, but that's probably less than 0.1% of their customers. Are the games any cheaper? Hell no! They're still $80CDN around here, same price as PS2/X-Box games.

      You see, companies LOVE their high profit margins, and nothing's going to take that away from them, unless it means the difference between going out of busines and staying around. If theft goes down and profit margins go up, they generally won't admit to it, and will just continue to reap the rewards.

      I refuse to pay $80 for a game or $20 for a music CD. I wait until the price drops to $20 for a game or $10 for a CD before I even consider picking it up. Companies don't like that? Well fuck 'em.

  14. Middlemen by Blue+Stone · · Score: 1

    OOH! I just loved this:

    "In essence, copyright is a temporary monopoly on creative work granted to the authors, publishers and distributors of such products. It is intended to compensate them for their efforts and encourage them to continue to create. Yet, the disintermediation brought on by digital technologies threatens to link author and public directly, cutting out traditional content brokers such as record companies or publishers.

    "This is the crux of the battle royal. Middlemen are attempting -- in vain -- to sustain their dying and increasingly parasitic industries and refusing to adapt and re-invent themselves. Everyone else watches in amazement and dismay the consequences of this grand folly: innovation is thwarted, consumers penalized, access to works of art, literature and research constrained."


    That's a lovely summation, IMO.

    Anyway, Germany gets computers without VAT??????
    Lucky bastards! In the UK we pay 17.4% VAT on PCs, and always have.
    The copyright levvy, sounds good to me, though:

    "Here's your 35 quid, now fuck off and quit yer whining." :)

    --
    Corporation, n. An ingenious device for obtaining individual profit without individual responsibility. - Ambrose Bierce
    1. Re:Middlemen by Twirlip+of+the+Mists · · Score: 1, Flamebait

      That's a lovely summation, IMO.

      It's a horrible summation. It ignores the fact that content brokers are only one of the parties affected by piracy.

      Look, let's assume that all record companies, for example, evaporate tomorrow. "This Internet thing has really busted our asses," they say, "and we've all decided to move to the country and take up fishing." Suddenly people who want to make a living making music have to distribute their recordings themselves. No big deal; instead of manufacturing and distributing CD's through retail channels, they'll just sell their MP3's over their web sites.

      Do you think piracy is going to go away? Do you think that just because the content brokers are out of business, people will decide to give up Kazaa and other pirate-to-pirate (P2P) tools and start paying for their music again? Do you think college kids are going to stop sharing their music collections with anybody who wants to copy them?

      Of course not. People don't pirate music because they hate record companies. People pirate music because they want something for nothing. And unless we completely destroy the music economy-- indeed, the media economy as a whole-- that's not going to change.

      The problem of digital piracy doesn't just affect the content brokers. They're the ones who are taking it in the shorts, yes, but if they weren't around, it would be the artists who get screwed by it. Blaming the brokers just pushes the problem off on somebody that you don't like.

      --

      I write in my journal
    2. Re:Middlemen by PerryMason · · Score: 1

      Do you think piracy is going to go away? Do you think that just because the content brokers are out of business, people will decide to give up Kazaa and other pirate-to-pirate (P2P) tools and start paying for their music again? Do you think college kids are going to stop sharing their music collections with anybody who wants to copy them?

      No they aren't, so the point is that with it being so easy for an acceptable pirate to be created, we should look at ways of making the initial music making process cheaper. This way the loss over investment is much less.

      Congruent with technology making it easier to pirate music, we have also obtained the ability to make music of an acceptable quality cheaply. (Hell that fact that people are happy to have all their music as MP3s indicates that you dont need to record to 2" in an awesome room with Neumann U87s)

      What is needed now is for new industries to develop that are based around distributing the music that's been made cheaply, rather than making music that costs a lot, then promoting the fuck out of it by paying radio stations to play it.

      The only reason this doesn't happen is that the record companies have a vested interest in preventing it. ie They make money (and a lot of it) out of having the industry as is. They certainly wouldn't make as much money by being in distribution.

      The only reason that we pay the amount we do for CDs is so that the record industry bohemoths can carry on as they do. You and I pay extra for every CD so that the company can pay a few million dollars to radio stations so they'll play Avril bloody Levigne.

      Now if on the other hand, musicians made their music on the relative cheap, signed distribution deals only, they could then sell their work at a fraction of the cost; more people would buy CDs and the music industry is saved.

      Sure its a simple analysis, but why should we be protecting industries that are clearly being oustripped by technological change. If the ice carriers and sanitation men had bought politicians like the record industry have today, we might still be without refrigerators and shitting in a bucket. Technology changes things, and until recently, we were happy to let business change with it. Nowadays its sufficient to buy a few pollies and legislate for your own existence.

      --
      "I'm tired of all this 'Aren't humanity great' bullshit. We're a virus with shoes" - Bill Hicks
    3. Re:Middlemen by vrmlguy · · Score: 2, Insightful
      Nice theory, but it's unsupported by the facts. For starters, see Cory Doctorow's Down and Out in the Magic Kingdom. Then look at these:

      Janis Ian's experiences
      Advice for the aspiring musician
      Baen Free Library

      --
      Nothing for 6-digit uids?
    4. Re:Middlemen by Blue+Stone · · Score: 1

      Of course, you're right. Just because the middle-men "parasites" disappear, doesn't mean that the free distribution of copyright works will.

      "People don't pirate music because they hate record companies. People pirate music because they want something for nothing."

      Actually, I think that people freely copy and distribute music because they can.
      The technology has enabled this. Copyright's strength was based in a large part on control of the means of copying and dissemination, and the genie, as they say, has fled it's bottle.

      I think imagining that the entire media economy is going to be destroyed by what's going on is stretching things significantly. But some things are going to change, and why shouldn't they?

      How were things before the ability to mass produce music?
      Huge profits for music corporations or artists is not the baseline, and it may be that thinking things are so, is what is leading to a lot of wailing, and gnashing of teeth.
      Maybe it will destroy them, maybe it won't.
      Things appear and disappear, are created and are destroyed all the time, and always have been.

      Why should the music biz, at it now is, be immune from the vagaries of time and change, when whole empires and civilizations aren't?

      --
      Corporation, n. An ingenious device for obtaining individual profit without individual responsibility. - Ambrose Bierce
    5. Re:Middlemen by Blue+Stone · · Score: 1

      "I think the article was just saying that the $13 levy would attract VAT, not that computers are currently sold VAT-free."

      You're right. It would have been clearer if the author had written the vat reference in brackets.

      --
      Corporation, n. An ingenious device for obtaining individual profit without individual responsibility. - Ambrose Bierce
    6. Re:Middlemen by Anonymous Coward · · Score: 0

      Real muscians make thier money WORKING for it by playing shows. Recorded music should become a marketing tool itself for advertising touring bands. Here is an example->Phish. Their last album was done in one day, and if it sells millions of copies they will make millions for ONE day of work. This is absurd! Meanwhile, they make millions by touring and collecting on the shows they perform. Seems everyone else has to work every day to earn, why are they exempt? I'm done bitchin now.

    7. Re:Middlemen by Minna+Kirai · · Score: 3, Insightful
      Do you think piracy is going to go away? Do you think that just because the content brokers are out of business, people will decide to give up Kazaa and other pirate-to-pirate (P2P) tools and start paying for their music again? Do you think college kids are going to stop sharing their music collections with anybody who wants to copy them?

      Piracy won't be effected. But eliminating the middlemen may significantly reduce copyright infringment. (Word choice clouds the debate. Not just "piracy"- things like "evaporate" polarizes something that's really a continuum. No crime can be eliminated completely, but that's not required)

      Copyright infringment has more and more complex motivations than wanting something for nothing:
      • "Want something for negligibly cheap"
      • "Want it now, without driving downtown to Best Buy"
      • "Want it soon, without waiting for the publisher to get around to a New Zealand release"
      • "Want the good songs and not the album filler"
      • "Want the convenience of my own mix on my own media"
      • "Prefers to rely on self or peers to judge music quality- don't want to fund advertisers and playola to influence me"


      (Additionally, getting music off P2P isn't "something for nothing"- it's not completely free- it takes some investment of time and effort to find these things and download them. Only worth pennies, maybe, but they "pay" something, just like we "pay" to watch TV by the time wasted in commercials)

      Focusing on the thought process of the representative college student:
      An album of 10 songs often costs more than $1.50 each. Only a minority of that cash goes to recording/editing costs and compensating the musicians- most of it goes to publisher, for marketing and profit. College students aren't fond of those bland men with ties, and are less inclined to give money than if it was going more directly to the artist.

      If each song cost $0.50 or $0.75 (reasonable I think, if advertising and distribution is taken out), then we might come to an equilibrium where it's not fear of law enforcement that makes students pay for their music, but peer pressure. If the cost is reduced, and convenience is increased (with something like micropayments, prehaps), and purchasers feel the money is going straight to the musician (with whom they often feel an emotional bond), then the incentive to "pirate" is much reduced, and the personal guilt from violations is increased. ("Oh my god, I stole like $2.50 from Jewel. I am SO lame! I'll click those 3 payment buttons right now")

      Consumers will have much less motivation to load files onto P2P if they're already available for quick download elsewhere. Student roommates won't view duplicating a CD as striking a blow against the establishment. Courtney Love won't proclaim that the labels are robbing her, but instead might remind listeners to double-click the tip jar.

      Voluntary compliance is not impossible. I can't claim it will happen, but neither can anyone else prove it won't.

      (An additional benefit to the entire culture might be that, with publishing house's ad budgets devastated, popular music will become more varied. There could be less winner-take-all homogenization. Maybe, thousands of musicians will earn $70,000 per year, instead of hundreds getting $millions and the rest washing dishes as day jobs.)
    8. Re:Middlemen by Minna+Kirai · · Score: 1

      Nice theory, but it's unsupported by the facts. For starters, see Cory Doctorow's Down and Out in the Magic Kingdom.

      Please don't say that theories need factual support and then link to a science fiction story...

      It doesn't make the argument any more credible. That story is based on the idea that physical property has become so cheap as to be free- so it takes a big stretch to apply it's conclusions to the modern world.

    9. Re:Middlemen by Minna+Kirai · · Score: 1

      Real muscians make thier money WORKING for it by playing shows. Recorded music should become a marketing tool itself for advertising touring bands.

      The skills required to give a good show and to record a good song aren't 100% equivalent.

      There are some musicians who may compose beautiful things in their studios, but can't play in front of a crowd to save their lives. Should they be denied compensation for the music?

      On the other hand, there are some (Britney Spears, it is rumored) who can't really sing or compose at all, but have a great stage presence and dancing ability, and can pay for electronics to create the music...

    10. Re:Middlemen by Reziac · · Score: 1

      Before assuming that content creators, notably in music, are affected by anything other than usorious contracts, may I suggest reading http://www.negativland.com/albini.html

      --
      ~REZ~ #43301. Who'd fake being me anyway?
    11. Re:Middlemen by mpe · · Score: 1

      Do you think piracy is going to go away? Do you think that just because the content brokers are out of business, people will decide to give up Kazaa and other pirate-to-pirate (P2P) tools and start paying for their music again?

      Without the middlemen taking their cut the actual creator has to sell far fewer copies in order to make a decent living.
      Nothing demands that they only sell pre recorded music, they can tour, play gigs, sell t-shirts.
      No requirement that people must make a living from making music anyway. For plenty of musicians it's a hobby. Making music and playing gigs is what they do to get away from their "day job". If music can cover the costs of their instraments and get a bit of spare cash that's welcome, but it isn't what motivated them in the first place.

      Do you think college kids are going to stop sharing their music collections with anybody who wants to copy them?

      They are more likely to pay the artist 50 cents a song than pay 20-30 euros for a CD where they only like a few of the songs (and the artist only gets 5 cents from anyway).

    12. Re:Middlemen by mpe · · Score: 1

      Huge profits for music corporations or artists is not the baseline,

      Whilst the music company may make huge profits it certainly isn't the majority of artists. Even supposedly "sucessful" artists have wound up bankrupt, insane or even in early graves.

      Why should the music biz, at it now is, be immune from the vagaries of time and change, when whole empires and civilizations aren't?

      The multinational music publishing industry isn't even all there is to the "music biz" anyway.

    13. Re:Middlemen by mpe · · Score: 2, Interesting

      There are some musicians who may compose beautiful things in their studios, but can't play in front of a crowd to save their lives. Should they be denied compensation for the music?

      They should be paid a fair price for the work they actually do. Touring is more likely to comprise a full time job than doing only studio recordings.

    14. Re:Middlemen by Minna+Kirai · · Score: 1

      A "fair price" doesn't mean getting paid by the amount of time or effort put in- it should be the results that matter.

      A musician who only produces records entertains some people, and she should get paid for it. A touring musician, too, reaches more people through recordings than by the limited attendence in stadiums.

      And, studio recording is a full time job- for somebody. If the "musician" just spends 2 days singing music that has been written, arranged, and accompanied by someone else, though, it's not her who's doing the job. But somebody's working, and needs to be paid.

      (Note that I agree that major musicians should not earn as much as they do today from recordings, and that those who want more money should do live shows. But making shows their only means of income just isn't fair.)

    15. Re:Middlemen by mpe · · Score: 1

      A "fair price" doesn't mean getting paid by the amount of time or effort put in- it should be the results that matter.

      Why should the results matter? Should the person who layed a floor get paid according to the number of people who later walk on it? Should the designer of part of an airliner get paid x amount per passenger?

      And, studio recording is a full time job- for somebody. If the "musician" just spends 2 days singing music that has been written, arranged, and accompanied by someone else, though, it's not her who's doing the job. But somebody's working, and needs to be paid.

      Considerably more work (and people needing paying) is likely to be involved with even a fairly small concert. PA systems do not magically set themselves up or magically pack themselves away at the end. There is an audience who need to be looked after, kept safe and secure.

      Note that I agree that major musicians should not earn as much as they do today from recordings, and that those who want more money should do live shows. But making shows their only means of income just isn't fair.

      If they can't make a living from music recordings then maybe they should do something else with their lives.

    16. Re:Middlemen by Minna+Kirai · · Score: 1

      Why should the results matter? Should the person who layed a floor get paid according to the number of people who later walk on it? Should the designer of part of an airliner get paid x amount per passenger?

      That hardly even bears answering. Everyone who's been alive in the 20th century should already know this, so I'll be brief:

      Results should matter so that marketplace incentives can work. This is the foundation of capitalism (paid according to the value of what you do) vs "communism" (paid as long as you tried your best).

      In the cases of floor tilers and aircraft designers- yes!, they should be paid according to the number of people who will benefit from their work. (In a competitive industry, of course, there will be a negative compensation pressure from other people offering to do the work).

      If I build or design something that no one will ever use, I don't deserve any money at all. The more people that want to use it, the more cash I can ask for before agreeing to the job. The is the fundamental reason that free markets can be more efficient than central planning, because people doing a useless job automatically won't get paid.

    17. Re:Middlemen by vrmlguy · · Score: 1

      You apparently didn't follow the link. The link didn't lead to the story, it pointed to a discussion of the story's release under the Creative Commons license. Cory Doctorow didn't just write a story about a principle, he applied that principle to the publication of the story. He hoped to increase sales by getting "word of mouth" publicity via the simultaneous release of an electronic version of the story. Cory Doctorow not only professes disagreement with the original post's premise, he demonstrates that the premise is faulty.

      --
      Nothing for 6-digit uids?
    18. Re:Middlemen by mpe · · Score: 1

      In the cases of floor tilers and aircraft designers- yes!, they should be paid according to the number of people who will benefit from their work.

      By that logic the people who worked on aircraft such as the XB-70 and TSR2 should never have been paid anything. With the designers on the Antanov 225 only getting any money for work they did nearly 20 years ago.If I build or design something that no one will ever use, I don't deserve any money at all.

      Just because something is usless does not mean that no-one will buy it...

      I don't deserve any money at all.

      Even if you did it at the request of your employer or persuaded someone to pay you for it.

      The more people that want to use it, the more cash I can ask for before agreeing to the job.

      The operative word is "before". But no-one knows they actual value of the work until it is done.

      The is the fundamental reason that free markets can be more efficient than central planning, because people doing a useless job automatically won't get paid.

      How is this efficent? You don't know how much anything costs until long after the event. Also there is a need to keep paying people for work they did decades ago (or even their grandparents did decades ago.)

    19. Re:Middlemen by Minna+Kirai · · Score: 1

      You apparently didn't follow the link. The link didn't lead to the story,

      I just clicked it again, and it certainly leads to the homepage of the story. There are many related news articles there, but they change constantly. If you had wanted to focus on a specific item, you should've done something like this. Also, you should've labeled it with text like "this story about D&OitMK", not just "Doctorow's Down and Out in the Magic Kingdom".

      he demonstrates that the premise is faulty.

      It's still not a strong demonstration that traditional publishers' business models are not the most profitable ones.

      For one thing, the story refers to 50,000 downloads. 50,000 free downloads, not paid ones. If he's a true artist, who just wants to get his vision out, that's fine. But unfortunately, most "artistic" work today is to satisfy commercial motives. Unpaid distribution doesn't help them.

      For a second thing, he got "word of mouth" publicity because what he did was different and strange. Being unique always has publicity value- "Ben & Jerry" ice cream corporation, for instance, spins their charitable stance into major advertising leverage. But that only works because few other corporations take such a stance. It's not a scalable business technique; it only works for a few people.

      For a third thing, if Doctorow did earn any money from the publicity (increased sales for the slender, dead-tree version), then that effect cannot be expected to keep working in the future. Today, paper books are more convenient reading for most people. As technology marches on, we'll all get PDAs with 600x800 screens and 15 hour battery lives. Or Kinko's will offer to print a bound paperback for $4.50. Any effects based on "the free version is like advertising for the paid one" will only last until technology improves so that digital copies are easier to use than physical ones.

      Now, backing away from this specific example: alternative business models (less reliant on copyrights) for publishers are viable, but they won't be as profitable as the current ones. Average publishers won't have an incentive to switch over unless they're forced to (prehaps by a legislative weakening of copyright laws, or a refusal to punish violators)

    20. Re:Middlemen by Minna+Kirai · · Score: 1

      By that logic the people who worked on aircraft such as the XB-70 and TSR2 should never have been paid anything.

      No. Somebody did benefit, or thought he would, even if he didn't travel the world on it (learning new technology is a benefit). And if there really was no benefit at all to the creation of those aircraft, then the guy's shouldn't have been paid, and they shouldn't have done the work.

      Humans are not omniscient. They don't magically know how much value a particular action creates. All actions taken by any mortal human are according to percieved truth, not a mysterious "actual truth". The distinction you make between two kinds of knowledge is useless, because people can only ever act on an approximation of true value.

      How is this efficent?

      Learn the definition of that word. Efficiency is the ratio of outputs to inputs.
      Efficiency = Output / Input
      If you pay workers according to outputs (capitalism), efficiency is pushed upwards (the number on top gets bigger). If workers are paid according to input- the amount of time or effort they put in- then their incentive is to increase the number on the bottom, which makes the ratio less.

      See? Don't consider this just theoretical, fifth-grade arithmetic either. Just look at a newspaper from 1989- contrary to what Reagan would have you believe, the USSR collapsed because of this kind of inefficiency.

      Capitalism's focus on percieved value rather than actual does lead to negative situations, like Coca-Cola earning more because they've tricked consumers into believing their product is better than another- (the ultimate salesman, after all, "can sell ice to Intuits"). But, compared to "communism" (especially as it was implemented in the 20th century), those problems are smaller and more restricted in scope. Individuals who make stupid decisions quickly suffer- a collective making the same mistakes feels the pain later, but more strongly.

  15. interesting by Maditude · · Score: 1

    Wow, that is incredible. 16% VAT? Because the new computer could *possibly* be used for copyright violations? What a crock...

    1. Re:interesting by v_1_r_u_5 · · Score: 1

      You pay your law enforcement agencies for their time because you could 'possibly' commit a crime.

    2. Re:interesting by jkabbe · · Score: 1

      Any new computer could also be used to launder money, so you should pay a criminal fine (let's say 16% of $1,000,000) and distribute kiddy porn, so you should go to jail for a few years ....

      but hey, then that baby's yours and you can do what you want with it
      (ooh, maybe bad choice of words :)

    3. Re:interesting by Anonymous Coward · · Score: 0

      16% VAT is standard on ANYTHING you buy in Germany, not just specifically on computers. It's been like that for years. On a note, they're thinking about rising VAT to 18% sometime soon. Greedy bastards.

    4. Re:interesting by christoph_s · · Score: 1

      this has been said before: in germany, (practically) everything already has 16% VAT. this includes computers. the mentioned 16% is probably going on top of the levy.

  16. Is this the right approach? by m00nun1t · · Score: 3, Interesting

    These ideas obviously aren't new - I understand Canada has a "tax" on blank CDRs and other countries have similar laws in place or under consideration - although this German proposal is quite extreme.

    However, you have to question the fundamental motivation of the various industry associations. Should their motivation be to maintain/replace revenue from new streams (the path they seem to have chosen), to generate new forms of revenue (online music sales being the most obvious), or to make sure they get what they are due from their current streams (antipiracy).

    It seems the option they have taken is the one of least benefit to the users. As someone who pays for CDs, I am paying a "tax" to subsidise the pirates. And I get nothing new for the money - I am just unwillingly propping up their obsolete business model.

    Seems poorly thought out to me.

    1. Re:Is this the right approach? by jkabbe · · Score: 1

      Did you "understand" this from reading the article or did you come up with that on your own? LOL

    2. Re:Is this the right approach? by Anonymous Coward · · Score: 0

      bluhgghg.. that tax has been struck down how many times now in the last 4 years?.. it will never be passed, I'm so fucking sick of hearing about it

    3. Re:Is this the right approach? by shepd · · Score: 1

      Uhhh, which tax has been struck down? The German or Canadian one? The German one seems pretty new to me, the Canadian one would be about 4 years old, so I'll have to assume the Canadian tax.

      The current tax (it's called a levy for whatever reason), which is implemented in Canada, as of a couple of years ago, is $0.21 per CD, whether you think it exists or not.

      However, we do get a benefit for the tax: Citizens are now allowed to create a CD library, where CDs can be lent to people, and the people borrowing these CDs may make copies of them for themselves (legally) before returning them. I really hope this happens sometime soon -- it seems like an easy way to make some profit, if done properly! Think VHS Village and BETA Barn, but filled with CDs instead. Yes, most CDs say you can't rent them, but it's a job for a lawyer to see if that holds water now this law has been passed. It seems to be relatively legal considering the amount of stores selling used CDs.

      We are also now allowed to create CD copying chains, whereby a disc is passed from user to user and copied each time.

      [ Seems like a worthy moneymaker for myself! :-) Maybe I should keep my mouth shut on this idea... ]

      Before you do this, you might want to read the law for yourself and possibly consult a lawyer. ;-)

      --
      If you could be told what you can see or read, then it follows that you could be told what to say or think - BoC
    4. Re:Is this the right approach? by TC+(WC) · · Score: 1

      These ideas obviously aren't new - I understand Canada has a "tax" on blank CDRs and other countries have similar laws in place or under consideration - although this German proposal is quite extreme.

      Why, exactly, is tax in quotations? That doesn't begin to make a lick of sense. Anyway, technically, it's a levy.

      It seems the option they have taken is the one of least benefit to the users. As someone who pays for CDs, I am paying a "tax" to subsidise the pirates. And I get nothing new for the money - I am just unwillingly propping up their obsolete business model.

      I actually like the Canadian model, as you do get something in return. I have to pay a small levy on CDs and I can then legitimately copy any music I'd like for personal use. I can't redistribute this in any way, however. This causes fun twists like being able to legally be handed a friend's CD and a CDR that they've purchased, then use their computer to copy the CD. This CDR can then be taken and used by you. Your friend can also copy the CDR and then give you the original. If your friend burns to the CDR, with you standing there, and gives you the CDR, it's now illegal. As long as you're the one who copies it, it doesn't matter where the original came from.

      I don't, however, agree with the way the rules for being eligable to recieve a refund are set up, nor the way the money is managed. I also think the amount in the more recent proposals are ludicrous.

    5. Re:Is this the right approach? by Anonymous Coward · · Score: 0

      Yes, Canada has had a blank media "tax" in place for a while to help reimburse copyright holders for losses due to private personal copying.

      1999 Private Copying Tariffs

      23.3 audio cassettes 40 mins. or more in length
      5.2 blank CD-R/W media
      60.8 blank CD-R Audi, CD-RW Audio and MiniDiscs

      2000 Private Copying Tariffs

      29 blank audio cassettes of 40 mins. or more in length
      21 blank CD-R, CD-RW media
      77 blank CD-R Audio, CD-RW Audio and MiniDiscs

      The proposed 2003 and 2004 Private Copying Tariffs

      60 each blank audio cassette of 40 mins. or more in length
      59 blank CD-R, CD-RW or any other recordable or rewritable compact disc of 100MB or more storage capacity
      $1.23 each CD-R Audio, CD-RW Audio or MiniDisc
      0.8 each megabyte of removable memory cards, flash memory cards and removable micro drives
      $2.27 each DVD-R, DVD-RW, DVD+RW, DVD+R, DVD-RAM
      2.1 each megabyte non-removable memory in MP3 player or similar device intended to record and play music
      $21 for each gigabyte or memory non-removable hard drive in an MP3 player or similar device.

      This means that a 20GB Apple iPod will now cost an extra $420CDN!!

      Right now, a 20GB iPod goes for ~$750-$799CDN.

  17. The German pre-emptive strike by frankthechicken · · Score: 1

    The money will be used to reimburse copyright holders -- artists, performers, recording companies, publishers and movie studios -- for unauthorized copying thought to weigh adversely on sales.

    Well I hope some of it also goes to Microsoft, for my illegitamate copy of Office.

    Or does this tax just go to those whose products are not primarily aimed at being used through a computer? If so, surely the most legitamate tax position would be the internet or (as has already been done) recorable media. It seems daft to attack something just because it might be a threat, or is this Germanys answer to a pre-emptive strike?

    1. Re:The German pre-emptive strike by EvilNTUser · · Score: 1

      That's actually a valid point... If to anyone, this money should go to Microsoft. It's probably suffering huge losses* because of piracy. And what about all the shareware authors? Why aren't they compensated?

      Oh, right, I forgot... Shareware authors don't have any powe^H^H^H^H money and MS actually has business sense. Go RIAA!

      *where losses are the dynamic, RIAA-type losses. Like for example how I own the equivalent of 16 Pentium 100 class computers.

      --
      My Sig: SEGV
    2. Re:The German pre-emptive strike by The+Bungi · · Score: 3, Funny
      illegitamate copy of Office.

      Even illegat... uh, illeget... uh, pirot... uh, w4r3z3d copies of Office include a spell checker. Give it a try.

    3. Re:The German pre-emptive strike by Anonymous Coward · · Score: 0

      Mmm, an interesting point, now let us just check some other previous posts . . .

      Twitter thinks we're talking about Microsoft. And he's off his meds again, nach.

      Hey, get your granpa a Slashdot account. He'd be a great fanboy.

      I've got about 200 CDs, but I rearely buy boxed sets or "greatest hits". Pink Floyd, Depeche Mode and The Cure are the three bands I do collect religiously. Everything else is pick and choose.

      Copy of Open Office perhaps?

    4. Re:The German pre-emptive strike by The+Bungi · · Score: 0, Flamebait
      You went through an entire day of my posts to make your point? I love it! You must be the hukked on fonikz guy!

      Actually, how 'bout you send me an email address? That way you can check 'em before I post 'em!

  18. It won't likely happen by argoff · · Score: 1

    There are many people who believe that the entire purpose of the internet is to leverage their copyright holdings for unlimited controll and profit. With information, and those who believe in DRM - it is eaither an all or nothing game - they will not give up controll to some govt collection agency, and that game will lielky be first played out to the end from the USA because that's where the forefront of the transformation to the information age is still happening, and that's where the biggest current potential for profit still is.

    Renember, information is so easy to manipulate and process, that there can't be much middle ground. Either all of it has to be free, or none of it. Either they will have controll, or they won't. There is no middle ground.

  19. So does this mean... by pongo000 · · Score: 1

    ...that once I pay my tax, levy, VAT, pre-emptive fine, or whatever it's called, I'm now legal to pirate anything I want? Sounds like a good deal to me. Will I get immunity from prosecution as well?

    1. Re:So does this mean... by Anonymous Coward · · Score: 0
      Well, did you pay the tax and fee for the piracy?

      If I paid for something, I sure would have no ethical problems with taking what I paid for.

      Otherwise, you paid for something and did not get compensated. Wasn't that supposed to be illegal? I thought they had a name for things like this.. something like robbery or extortion.

      I would go on under my username, but I am redundant here. I want to second Pongo's post, as when I read the header, that idea was the first thing that popped up in my mind, but when I read through the list, Pongo beat me to it.

    2. Re:So does this mean... by Locky · · Score: 1

      Supermarkets 'tax' their goods to counter against shoplifting, Could you justify stealing from them too?

    3. Re:So does this mean... by Anonymous Coward · · Score: 0

      No, but it's not the government that is imposing the tax, it's the supermarket. If the music industry wants to raise prices to counteract the cost of piracy, that's fine. That would be the same thing the supermarket is doing.

      This is similar to taxing paper because people might use it to copy a book. Or adding a tax on knives because people use them to break the law. It's stupid, and we as citizens shouldn't have to put up with it.

    4. Re:So does this mean... by ShadowDrake · · Score: 1

      There is a difference between: A store that can keep records of what inventory is lost, and indeed, will likely repurchase the inventory. Moreover, the store itself is the one who is the legitimate loser here. and A government body expected to dole out the skimmed riches to media concerns whose numbers are pulled so freshly out of their serial outputs that you can smell them, and who haven't had a particularly good history of distributing funds to those who were the actual victims of the 'theft'.

      --
      It's just like a fascist dictatorship, without the punctual rail service!
    5. Re:So does this mean... by Graspee_Leemoor · · Score: 1

      " Supermarkets 'tax' their goods to counter against shoplifting, Could you justify stealing from them too?"

      If this is true, then yes.

      graspee

  20. Someone has to say it by The+Bungi · · Score: 3, Funny
    All those times the euro trash bois post their AC flamebait to the tune of

    you americans are so pathetic while we here in Germany|Sweden|France|Belguim|Whatever we anjoy very many freedoms and the DMCA* has no powerful and everything is wonderful and blah blah blah.. [sic]

    Mwahahahaha.

    Now back to our regular schedule.

    .

    .

    .

    * 'DMCA' used as a placeholder. Replace with favorite law, tax, levy, weird burden or policy that exists because of commercial pressures from Big Media

    1. Re:Someone has to say it by steve_l · · Score: 3, Interesting

      We all share a common enemy: the RIAA/MPAA consortium.

      Every country is at risk from these pressure groups. What is worse, the government's urges make copyright laws consistent across continents threatens us, because they always move them upwards, dont they. EU is looking at the DMCA, the UK raised its copyright duration from 50 to 70 years to be consistent with europe, ....etc etc.

      My fear about this tax is the precedent: why not tax ISPs next. Everyone knows 73% of all network traffic is pirate music :)

    2. Re:Someone has to say it by lpontiac · · Score: 1
      All those times the euro trash bois post their AC flamebait to the tune of you americans are so pathetic while we here in Germany|Sweden|France|Belguim|Whatever we anjoy very many freedoms and the DMCA* has no powerful and everything is wonderful and blah blah blah.. [sic]

      Of course, this is just a proposal for thinking about some future laws that probably won't happen (how often is this sort of idea floated and then forgotten about?), wheras the DMCA is law in the US right now.

    3. Re:Someone has to say it by Anonymous Coward · · Score: 0

      Hahaha! That was one of the most hilarious things I've ever heard on /.

    4. Re:Someone has to say it by dalran · · Score: 1

      Well, to be fair.

      The US may be leading the way with DMCA et al, but European politician are not far behind and in many cases ahead when it comes to silly regulations.

      The "problem" is that the lobby groups are the same and they share the same interests whether in the US or in Sweden (and here the CD "tax" was recently doubled, and sales taxes are 25% yes twenty-five no forgotten decimal points in there) So.. in conclusion I think we're just as "pathetic" on both sides of the pond, timing may be different but the end result may be much the same. There's no escape :-(

      Now, the remaining question is. There must be developing countries with the right attitude that will be able to compete in the future with a completely different perspective on these things. Where are they? What else is there to do?

      What can we do - on both sides of the pond - to counter these trends?

    5. Re:Someone has to say it by Anonymous Coward · · Score: 0

      Gnothi seauton.

  21. One-year mediation effort? by Leeji · · Score: 3, Insightful

    I think I'm missing something here.

    According to the article, "this is the non-binding outcome of a one-year mediation effort by the patent office between VG Wort, Fujitsu Siemens Computers, Germany's largest computer manufacturer and other makers."

    Where does VG Wort, an association of German musicians, composers, etc, get the right to even suggest this? This isn't coming from drunken politicans, this isn't coming from overactive legislation, this is coming from a private agency. What's stopping these computer companies from just thumbing their nose at VG Wort?

    I really do think we need a tariff on clothes though. Without clothes, I would be to embarassed to go to the store and buy music. And when I buy music, I inevitably pirate it on my favourite P2P service. So truly, clothes are the "enabler" in this vast ring of music piracy.

    --
    It all goes downhill from first post ...
  22. overlooked by trmj · · Score: 1

    oops.. my bad.

    I even bought a subscription to see the article early so I could read it over fully just so I wouldn't make stupid mistakes like that.

    and I still missed it. as stated before... oops..

    --
    Work sucked, until it became unemployment, when it became slightly more tolerable. -Tet
  23. VAT by the+eric+conspiracy · · Score: 2, Interesting

    Hmmmm.... isn't something like a 16% VAT pretty much standard in Europe anyway? Surely it's the $13 that is the extra charge.

    1. Re:VAT by janolder · · Score: 2, Insightful
      As a matter of fact, 16% is the rate for all goods and services in Germany already (with few exceptions like books and some basic foods). Not sure where the article's author got his data, he obviously didn't talk to a native German before writing it. This VAT on computers is not a new tax. I used to sell them in Germany before I hastily emigrated to the US to escape the growing socialism and subsequent economic decline, I should know. :-)

      Ayn Rand's Atlas Shrugged is sadly not read a lot back there nor are the concepts understood. And if you don't know what I'm talkig about, go get it and read it. It is an eye-opener in its devastating clarity.

    2. Re:VAT by easter1916 · · Score: 1

      It is indeed an eye-opener in its devastating clarity -- clarity of greed and individualism.

    3. Re:VAT by Anonymous Coward · · Score: 0
      Watch out, here speaks one who produces nothing but covets what isn't his. If a farmer produces 10 tons of grain, what right do you have to walk up to him, hold a torch to his farm, put a gun to his head and demand he hand over 4 tons of his product? Btw, this is exactly what governments do when they impose taxes. Think about what happens to you and your house if you don't pay up.

      Personally, I don't fully share Ayn Rand's extreme views, but we should be very careful about disowning people of what they produce. Disowned people are unhappy people and every percentage point of tax hike will demotivate workers and cause them to produce less. Some amount of taxes is necessary to build roads, police the streets, etc, but everything beyond the bare minimum only feeds ever growing parasitic entities.

  24. Levy on CD's and now PC's by Anonymous Coward · · Score: 0

    Guess that means we can pirate as much music as we want with that many levies!

  25. Where do I sign up? by Anonymous Coward · · Score: 0

    Really, I support this 100%. Because I've published on the internet (and the reading fee for this message is worth $5000 per read) I want my money.

    So.... how do I get my money?

  26. Re:Full Text as AC by zeugma-amp · · Score: 1

    The aforementioned Canadian collective has yet to distribute to its members even one tax dollar of the tens of millions it inexplicably hoards.

    I fuond this to be extremely interesting. Does anyone out there have more details on this? How can this "Canadian Private Copying Collective" get away with collecting millions of tax dollars and then not distribute it as was obviously intended? Sounds like a great scam to get in on! Imagine, the entire federal apparatus that exists to enforce the collections of millions of dollars for you to roll around in at your leisure!

    Much of htat money is probably funnelled back to favored politicians to keep the legislation and tax dollars rolling in.

    What a system! I wouldn't be suprised at all if the same were true of the organizations that get the taxes colelcted on dat, audiotape and CD-audio disks.

    --
    This is an ex-parrot!
  27. Fair Deal by Anonymous Coward · · Score: 1, Interesting

    $13 Bucks and legal napster. Fair deal.

  28. This is ridiculous oppression. by Tuxinatorium · · Score: 3, Insightful

    There are no viable statistics about the frequency of copyright infringement, nor about which titles are copied more than others. (although searching on Bearshare and seeing how many servers it comes up with is a halfway decent estimate of RELATIVE popularity) Therefore, this would be nothing but a random and haphazard charity for an industry that doesn't need or deserve it.

    It would be penalizing EVERYONE on the basis of the industry's absurd projections about how much piracy is costing them. They simply add up the retail price of every unauthorized copy, and call that their "losses" when the obvious fact of the matter is that people download 10-100 times more than they would actually have paid for hard copies of if they hadn't been able to download anything unauthorized. Plus, mp3 downloads have the mixed benefit of providing record albums with free marketing. They actually PAY radio stations to play the songs (not the other way around) as a form of marketing, so how is this so bad? If people really like the album they will buy the whole thing instead of going to the trouble of collecting the low-quality songs individually on Kazaa or Bearshare. Therefore, in effect, the industry's projected losses figures are inflated from their real world losses by a factor of at least 20.

    The fact of the matter is that the reason the industry is only posting meager profits is because their expenses are unnecessarily through the roof. More than 75% of all of their revenue is spent on marketing, lobbying, PR, and other such bullshit that contributes nothing towards actually putting out a good product for a good price. Maybe the RIAA should try the latter for the change.

    1. Re:This is ridiculous oppression. by cyril3 · · Score: 2, Interesting
      Therefore, this would be nothing but a random and haphazard charity for an industry that doesn't need or deserve it.

      I'm sure that between themselves they could allocate the money on some mutually agreeable basis. So don't worry about that as a reason for not getting it in the first place.

      It would be penalizing EVERYONE

      There are lots of ways I pay for the cost of things that I don't use. I either accept the need for them as a general rule or they are so small as to not be worth my while to argue about them.

      on the basis of the industry's absurd projections about how much piracy is costing them. They simply add up the retail price of every unauthorized copy and call that their "losses"

      Is that the case. I've not seen how they get their 'loss' figure but if that is the way then I agree that it is absurd.

      when the obvious fact of the matter is that people download 10-100 times more than they would actually have paid for hard copies of if they hadn't been able to download anything unauthorized.

      Every time I read that point I get more confused as to what it actually means.

      An alternative argument would be that record companies sell music and the downloaders are getting the benefit of the music without paying anything for it. But that opens up the old argument about the validity of copyright per se and we don't want to start that argument again.

      Go to the local record shop with your recorder and instead of listeneing through the headphones jack you recorder in a see what the record store says. I don't think they will understand that you are "only interested in recording the cds you would not have bought anyway so whats the beef".

      Plus, mp3 downloads have the mixed benefit of providing record albums with free marketing.

      I agree that there are some cases where more cds are purchased by individuals after hearing downloads but as you said in respect of the record company claims about statistics I doubt that every downloader has increased their purchasing. I suspect on balance that there has been a drop in overall sales volume.

      They actually PAY radio stations to play the songs (not the other way around) as a form of marketing, so how is this so bad?

      They may pay the radio station but they can work out easily if that payment was worth it by seeing the increase in sales. I think if the recoed companies truly believed that downloading increased sales they might not be so upset. Any evidence that it is beneficial is anecdotal at best.

      If people really like the album they will buy the whole thing instead of going to the trouble of collecting the low-quality songs individually on Kazaa or Bearshare.

      Most rips are of good quality and perfectly useful for casual listening.

      And the argument is usually that we sholudn't have to buy the whole cd just to get one or two songs. This of course avoids entirely the question of which songs on an album are the good ones. If its the single releases then they are already available as singles so there goes that argument.

      And cds these days have so little on them that it is ridiculous. Is it true that the new Linkin Park cd produced at hugh expense and time has about 34 minutes of music on it.

      Therefore, in effect, the industry's projected losses figures are inflated from their real world losses by a factor of at least 20.

      As are you estimates of the benefits of file sharing.

      The fact of the matter is that the reason the industry is only posting meager profits is because their expenses are unnecessarily through the roof. More than 75% of all of their revenue is spent on marketing, lobbying, PR, and other such bullshit that contributes nothing towards actually putting out a good product for a good price. Maybe the RIAA should try the latter for the change.

      And this is the biggest joke of all. The reason why record companies spend so much on marketing is to get t

  29. OK... by E-Rock-23 · · Score: 1

    So, now the media companies are shooting for extra cash added onto PC sales. Granted, this is just in Germany, but let's just assume for a second that it happens here in the US, too.

    So, the extra cash spent on the computer goes to the media companies, right? Right. Does this pay for the right to use our computers as media centers? Or, on top of this extra fee, will they still continue to charge excessive sums for their media?

    If we're shelling out an extra $13 + 16% (or about $173 on your average $1000 PC), I think that should about cover any media useage on our PCs. Somehow, though, I doubt that it'll stop the media corporations from bitching about losing money.

    They need to face the music: They're charging too much for what amounts to 90% crap (Backstreet, *NSuck, Brittany, etc), and people are starting to realize it. Now people have discovered that there are cheaper ways to get the exact music they want, thus not spending cash on the crap the companies want you to buy. So the media companies need a scapegoat to cover their losses. News Flash: Companies lose money every day. They deal with it and adjust. It's called an economy. You can't be a bull all the time. Sure, it'd be great, but that's the nature of the beast. Quit making us pay (over and over again) for what we already own...

    --
    Blog Prophyts - Right On, Man
  30. There's already a levy by Bimkins · · Score: 2, Informative

    We've had one for a year or two now on cd-r media (and audio cassettes, I think). They just wanna expand the hell out of it to include ANYTHING that can hold an mp3. From what I understand, the levy will be based on a $/gb scale. As such, mp3 players with 20gb drives will have a LARGE fine attached to them.

    In all likelyhood, every cent of this levy-tax-thing has gone into the pockets of the collective.

    --



    If you smoke after sex, you're doing it too fast.
  31. Proud to be an American... (karma burning.) by supabeast! · · Score: 0, Insightful

    Things like this make me glad to be an American. Europeans can bitch about us all they want, but even OUR government has not gone this far yet. Take your socialist stupidity and shove it, I'm staying in a nation where I can host Nazi web sites, buy blank CDs for a quarter, and get a dirt-cheap computer without extra taxes.

    U.S.A. 0\\/nZ j00 4||!

    1. Re:Proud to be an American... (karma burning.) by Tidal+Flame · · Score: 1

      Hahahahaha.... You'll keep saying that until you get shot by snipers.

    2. Re:Proud to be an American... (karma burning.) by Anonymous Coward · · Score: 0

      Take a look at the AHRA sometime. It appeased record companies who were complaining about digital audio recorders (clearly legal under the Betamax decision) with SCMS copy protection, recorder tax, and media tax.

      Supposedly we were going to be able to make one generation of digital copies on the crippled recorders, *and* it was going to put an end to record industry threats to sue DAT vendors, etc. into oblivion, *and* we were going to see a lot of prerecorded DAT tapes, etc.

      In actuality, a lot of DVDs cheat on the copy protection bit (NO digital copying allowed), the RIAA sued Diamond over the Rio using the AHRA as the excuse (so much for preventing lawsuits), and most record companies did NOT issue titles on prerecorded DAT/DCC/MiniDisc (the better to try to kill the formats ???).

      By the way, the AHRA was the "thin wedge" used to pry the door wide open for the mandatory Macrovision provisions and the anti-circumvention provisions of the DMCA. You know, the DMCA provisions that a printer manufacturer is now using to attempt to outlaw free-market competition for INK.

    3. Re:Proud to be an American... (karma burning.) by steve_l · · Score: 1

      ok, we'll keep our free health care and speed limits which your SUVs and minivans cant handle, even if you were allowed to :)

      Actually you should feel threatened by this move: if they get away with it in Germany, they will target other countries. Be prepared to resist.

      -steve

      (who considers windows an extra tax on PCs)

    4. Re:Proud to be an American... (karma burning.) by Anonymous Coward · · Score: 0

      BTW, DVD-Audio and Super Audio CD clearly fit into the framework envisioned by the AHRA. Both have "technological protection" that goes far beyond the supposed AHRA "compromise".

      Computers were supposed to be exempt from the AHRA copy protection. Record companies eagerly experiment with coasters designed to break or restrict digital audio extraction on computers.

    5. Re:Proud to be an American... (karma burning.) by Anonymous Coward · · Score: 0

      America isnt a socialist country.

  32. Stupid, stupid, stupid by DarkMan · · Score: 1

    Over the past year or so, we (meaning my academic group) has purchased around 20 000 UKpounds (around $26 000 dollars) of computing equiptment.

    A 16% tax would mean 16% less computing power available. It would mean that 16% less work could get done. It would mean 16% of each grant gets wasted (from the POV of the group funding the reasearch).

    Thank goodness the UK's fighting this one.

    Also, they'd have to define computer. However they do it, I'm quite sure that there's at least one of the boxes I use would fall outside the definition. If it's x86 / PPC only, then looks like everyone will be buying Sun Blade 100's. If it's per CPU, then do we get taxed 4 times for our Alpha? What about if we install one of the cute PC-on-a-PCI card in one of the Suns? Is that a new computer, or not? It's an ASMP box, two CPU (USparcIIe and Celeron), two OS, one hard disc machine.

    And just consider what it would do for a $1 million supercomputer. Or for a 32 node beowulf.

    1. Re:Stupid, stupid, stupid by Anonymous Coward · · Score: 0
      Yes, for an academic to be sooo bad at reading AND understanding an article is indeed stupid.

      There's a 16% VAT on computers in Germany, payable by the end-user.
      That against 17.4% in the UK is not bad.
      So what the F* are you moaning about?

    2. Re:Stupid, stupid, stupid by ecki · · Score: 1

      The 16% tax is the VAT and has nothing to do with the levy. The headline is misleading on that. I'm sure that in the UK, you're well aware of the VAT ;)

  33. I don't believe it! by jsse · · Score: 2, Funny

    How can they one-up on us in passing laws more ridiculous than OURS? We pioneer making laws supressing free-speech and protecting the best of the interests of richies and we won't let this lag behind of other countries, EVER! I'm going to talk to my senator about this.

  34. Re:Full Text as AC by Anonymous Coward · · Score: 0

    because it doesn't exist?

  35. Who is John Galt? by Phredd · · Score: 2, Insightful

    Who is John Galt?

    Phredd

    --
    Phredd - "I have found people tend to take you far less seriously once you start waving your genitals at them..."
    1. Re:Who is John Galt? by Anonymous Coward · · Score: 0

      I wonder how many poeople get that reference.

  36. All this is, is screwing the customer by Dodger73 · · Score: 2, Funny

    This kind of levy has been on any kind of recordable media for as long as I can think back (it's called The GEMA-Gebuehr). The sales price of all audio tapes, DAT tapes, CD-Rs, CD-RWs, etc. etc. includes this added price which is distributed among the recording industry. Note that the artists are actually not seeing a penny of this money.

    So, by levying recordable CDs, they should actually already have their fee to level out the damage done by copying. Now they're proposing to add a second one to computers, cause they can't get their pockets full enough.
    Some people have actually researched and found out that the decline in sales they're reporting is pretty much in harmony with the decline in new releases of music recordings. Surprised? I'm not.

    A side note:
    "Blank magnetic media, especially recordable CDs..."
    That's a new one. The magnetic CD...


    who needs a sig anyway?

    1. Re:All this is, is screwing the customer by Minna+Kirai · · Score: 1

      A side note:
      "Blank magnetic media, especially recordable CDs..."
      That's a new one. The magnetic CD...


      It's an old one. Before the current variety of CDR and CD-RW was created, there were CDs writable with magnetism. They might've been called CD-WORM...

  37. _another_ 16 percent? by cribb · · Score: 1

    prices of computer components are already insanely high here in germany, for example the sharp zaurus sl5500 costs EUR 599 here (yeah, the old 5500, not the 5600). put another 16% and EUR 13 on it, and it'll cost 707 EUR! cool... for that money it would be cheaper to fly to the states and get it from there.

    --
    Hostes alienigieni me abduxerunt. Qui annus est?
    1. Re:_another_ 16 percent? by Phredd · · Score: 1

      Nah...then they'ed get you with a tax to bring it home!!!!

      Bastards.

      --
      Phredd - "I have found people tend to take you far less seriously once you start waving your genitals at them..."
  38. It it is nice to Know by Herkum01 · · Score: 1

    We are finally replacing the government as the one's who tax individuals to corporations. Remember this is progress!

  39. Peter Suber by Door-opening+Fascist · · Score: 1

    This is somewhat off-topic, but I go to the college at which Peter Suber teaches. I have yet to take a course from him, but I have read many of his writings. His website has interesting stuff not only on copyright law but also on computer science and philosophy.

  40. Supercomputers, Mainframes & Servers by Jordy · · Score: 1

    So does this tax apply to high-end business hardware too?

    I'd hate to have to pay an extra $3.2 million for my brand new $20 million supercomputer because someone thought I was going to pirate music instead of model the weather.

    These taxes really are silly. With Canada charging small-time independent musicians a hefty tax for CD media they use to distribute their own works to pay other artists to the US's piracy tax on DATs which are used almost exclusively by the IT world.

    What is next? A per-kbps tax on internet connections because the media industries don't want to sue their own customers?

    --
    The world is neither black nor white nor good nor evil, only many shades of CowboyNeal.
  41. How long until we have no legal backup solution? by techstar25 · · Score: 4, Interesting

    With all the taxes and assorted fees being placed on CD-Rs and presumably DVD-R's, what are we supposed to use for legitimate backup purposes? Will it get to a point where normal people can't afford DVD-R's because the MPAA is afraid they will copy commercial DVD's? CD-R's and DVD-R's are the largest writeable media format for backup right now, but soon we won't be able to use them because of outrageous taxes. I was excited to hear that DVD writers would be available commercially but at this rate, normal folks won't be able to afford media due to taxes.

    I have one more observation. Why don't they tax CD players, which are obviously necessary to listen to the pirated CDs. Computers have so many uses, yet CD players have only one. And what if I buy a Computer with NO CD-Rom drive? What then? How do I then pirate music?
    So many questions, so little karma.

  42. Once upon a time... by djupedal · · Score: 4, Insightful

    There were toll roads...and gates and gatekeepers that charged a fee to cross, lest you incur the wrath of the King. This kind of 'spot tax' led to many things, including graft, corruption and turf wars. Eventually, Kings were replaced by nation states and these scenarios of pay-to-pass were seen to be necessary only to offset costs associated with maintaining roads and bridges.

    Fast forward to this story, and we find a new use...income stream. And we see the resurgence of graft, corruption and turf wars. Ahh, sweet history, how I love to meet you, again and again.

    1. Re:Once upon a time... by Ricwot · · Score: 1

      Unless you live in a country which still has a monarchy, like Britain which has not been corrupted by too many elected leaders, except for the labour party who are getting rid of our precious lords

  43. I'll try again. by twitter · · Score: 1, Troll
    Why would you have to register the computer? It's called a "copyright levy" in the article, and a "levy" is "levied" at sale.

    You register it so you can prove you paid your tax. The implications should be clear, so let me walk you through again. The concept is that you have to pay a tax because it could be used for copyright violation. It's a tax on a press that might be misused. You don't think this will remain a one time thing, do you? Once you have people thinking that they should pay it once, they will pay again and again. Once you have people paying regularly, you have established a licensing system where your computer can be taken for "misuse" and computer freedom is dead.

    --

    Friends don't help friends install M$ junk.

    1. Re:I'll try again. by BitterOak · · Score: 4, Funny
      You register it so you can prove you paid your tax.

      Do you have to register your beer to prove you paid your sales tax on it?

      --
      If I can be modded down for being a troll, can I be modded up for being an orc, or a balrog?
    2. Re:I'll try again. by Anonymous Coward · · Score: 1, Funny

      Yes. In Germany there are beer-detector-vans that drive about looking for anyone drinking unregistered beer. Violators are required to surrender all beer to the men in the vans, who then drink it.

    3. Re:I'll try again. by Reziac · · Score: 1

      I don't think your idea is so farfetched -- once there's a PC Tax on the books, that needs proof of payment, which in turn has to be connected to the individual PC (for people who own more than one), hence registration of each PC. And from there it's a short step to making that an annual use fee ("to offset the cost of digital piracy" of course). Which after the nature of all taxes, *will* go up.

      [One does wonder how they'd handle scratch-built clone systems. A used motherboard here, a dumpster-fodder video card there, a barebones box from one vendor and a hard drive from another... what a can of worms!!]

      In fact, your scenario strikes me as much similar to the British television fee.

      "Once you pay the danegeld, you never get rid of the Dane." -- British proverb (ca.800 A.D.)

      --
      ~REZ~ #43301. Who'd fake being me anyway?
    4. Re:I'll try again. by Kierthos · · Score: 1

      British television fee? Care to explain?

      Kierthos

      --
      Mr. Hu is not a ninja.
    5. Re:I'll try again. by spengler · · Score: 1
      You register it so you can prove you paid your tax.

      Nonsense. In Germany you pay these "Abgaben" (they are no taxes!) with your purchase. This is ages old - you do it for tapes, CD-R, copying machines, VCR's etc. It's nothing new and special.

    6. Re:I'll try again. by 'The+'.$L3mm1ng · · Score: 1

      I can see it coming - no more "IN SOVIET RUSSIA" jokes, now it's "IN GERMANY"...

    7. Re:I'll try again. by balloonhead · · Score: 1
      British BBC was previously a publicly owned company. Everyone requires to have a license for their TV, about £120 a year now, to own one, and in exchange you get access to BBC channels, which have no advertising, and the other 2 'terrestrial' channels (actually, there is another, but it is shit; I'm not including local TV channels which are always shit and very recent).

      Interestingly, even if you don't watch BBC or even have you TV rigged up to an aerial, you have to pay. This seems a little bit of a legal grey area, but to be honest the general quality of BBC material is exceptional compared to the high filler:real stuff on 'commercial' TV. Films with no ads are great. Also, they have to produce a certain ratio of programming (kids stuff, educational, religious or whatever), so it's very inclusive.

      A lot of the best things they have produced (Walking with Dinosaurs 'documentary', The Blue Planet) are huge projects and would never have got off the ground if it was't for the funding structure.

      --
      This idea was invented by Shampoo.
    8. Re:I'll try again. by chrisos · · Score: 1
      "British television fee? Care to explain?"

      I think the reference was to the TV Licensing Fee. Everyone in the UK has to pay the fee if they have a receiver. There is one fee for black and white TVs and another for colour TVs.

      You only need one license per property, and if you have one B&W TV and one colour TV obviously you pay the higher colour license fee. The same applies to video recorders (since you have to license the receiver not the TV). So there are stories of people with VCRs and B&W TVs who have ended up in trouble because they have a B&W license but a colour recediver in their VCR.

      This money is used to fund the BBC, the UKs national TV and radio broadcaster, which is why we have TV channels that have no advert breaks, and supposedly some of the best TV broadcasted anywhere in the world(1).

      AFAIK, the license fee has absolutely nothing to do with copyright, it is just funding for the national broadcaster.

      For more info go here.

      (1) Although IMHO the BBC has really "dumbed down" over the past decade. For evidence of this please see next Wednesday's prime time viewing on BBC1, our great nation's permiere TV channel.
      --
      If nature abhors a vacuum, why isn't there more dust in the world?
    9. Re:I'll try again. by MonkeyDluffy · · Score: 1
      A lot of the best things they have produced (Walking with Dinosaurs 'documentary


      That was co-produced with the Discovery Channel


      I spent a few months in Britain. While there are some good programs, the majority is as much dreck as the typical broadcast network: A few hours a week that you could stomach.


      The best of the BBC gets shown on PBS in the US; that is why many mercans have an overly high opinion of the BBC.


      -MDL

      --
      Happy meals fund terrorism
    10. Re:I'll try again. by SmackCrackandPot · · Score: 1

      The television fee or television license is also charged on anything that can decode video signals, including USB TV receivers, PVR cards and handheld receivers. The cost of the license is around £120/year for a colour TV (black/white TV's used to be cheaper - around 90 pounds). Whenever you buy anything that receives broadcast signals using a credit card, your personal details (name/address) are sent to the TVLA (TV licensing authority). It's a theoretical argument, but if the BBC were to make all channels available via streamed media then every computer would likely have to be licensed. Fortunately, the UK is looking for alternative ways to fund the BBC (not through advertising, though as that would upset ITV). There are even detector vans that are supposed to be able to locate TV sets. I've seen one in England. A normal white van with white on blue text stating the authority. The most noticable feature was four X antennae on each upper corner of the van. Each antennae was about 60cm long from tip to tip. The register had a good article on this: http://www.theregister.co.uk/content/1/14104.html

    11. Re:I'll try again. by balloonhead · · Score: 1
      Yeah, so was Blue Planet. The investment would still have been unfeasible if it wasn't for the licence fee. I got this from the sleeve of my Blue Planet DVD set and I presume they know more about it than me.

      There is still a lot of crap, yes - but I'd say there was more good quality programming (admittedly some of it is stuff, educational, religious and such, that I would personally never watch) than a lot of 'commercial' channels.

      Most importantly though is the lack of ads. I don't mind the odd ad break, two or three times in a film, but having one practically every scene (like Friends, other prime time stuff) is just infuriating.

      --
      This idea was invented by Shampoo.
    12. Re:I'll try again. by stinky+wizzleteats · · Score: 1

      Do you have to register your beer to prove you paid your sales tax on it?

      Does your car have a revenue sticker on it?

    13. Re:I'll try again. by Reziac · · Score: 1

      Not being a Brit I don't have the details to hand, but there, if you have a TV, you're required to pay a certain fee every year for the privilege of using it. Someone who lives there may pipe up with details??

      I know a Brit who never, ever watches TV and fought it til they decided not to charge him after all.

      --
      ~REZ~ #43301. Who'd fake being me anyway?
    14. Re:I'll try again. by Krow10 · · Score: 1
      Blockquoth the poster:
      Do you have to register your beer to prove you paid your sales tax on it?
      Does your car have a revenue sticker on it?
      Only for anually assessed taxes; not for one-time taxes, like sales tax. This copyright tax is a one time levy taken at the time of sale. No special registration required. Not that an additional entertainment distribution industry support tax is a good thing, but it's not quite as Orwellian as registering your printing press.

      -Craig
      --
      Corollary to Clarke's Third Law: Any technology distinguishable from magic is insufficiently advanced.
    15. Re:I'll try again. by WeedMonkey · · Score: 1
      Although IMHO the BBC has really "dumbed down" over the past decade. For evidence of this please see next Wednesday's prime time viewing on BBC1, our great nation's permiere TV channel.

      While I'd agree with you in general (and especially about primetime), they're showing one of the best films ever at 11:45pm. If you've never seen it, watch it.

    16. Re:I'll try again. by TheConfusedOne · · Score: 1

      Well, at least with beer you know what to sign the registration in...

      --
      --- I wish I could hear the soundtrack to my life. That way I'd know when to duck.
    17. Re:I'll try again. by Red+Warrior · · Score: 1

      Yes. In GB, you pay an annual tax in order to have a television. Sometimes, you pay an annual tax just because they think you might have a televeision.

      http://www.reuters.co.uk/newsArticle.jhtml;jsessio nid=YS4TKAHQSQLXGCRBAELCFEY?type=oddlyEnoughNews&s toryID=2350764

      --
      "If, therefore, any be unhappy, let him remember that he is unhappy by reason of himself alone."
      ~Epictetus
    18. Re:I'll try again. by Anonymous Coward · · Score: 0

      Yes. In .in.us, they are trying to force you to register all kegs you buy.

    19. Re:I'll try again. by cayenne8 · · Score: 1

      This sounds suspiciously like the "Cat Detector Van". "......I never seen so many bleedin' aerials....."

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    20. Re:I'll try again. by GreyPoopon · · Score: 1
      You register it so you can prove you paid your tax.

      That's not how it works in Germany. VAT is usually included in the listed prices of things. You MUST pay it regardless of who you are. If you are a tourist from another country, you can have the place where you bought the object provide you with a form that you can use to get back your VAT -- when you leave the country.

      Anyway, there wouldn't be any registration required because EVERYBODY pays. The burden on you is to prove that you SHOULDN'T be required to pay.

      --

      GreyPoopon
      --
      Why is it I can write insightful comments but can't come up with a clever signature?

    21. Re:I'll try again. by general_re · · Score: 1
      A lot of the best things they have produced (Walking with Dinosaurs 'documentary', The Blue Planet) are huge projects and would never have got off the ground if it was't for the funding structure.

      I'll take your word for it, but I feel compelled to point out that neither of those are very good examples to make such a case, as both "Walking With Dinosaurs" and "Blue Planet" were joint productions with the Discovery Channel (US), where DCI kicked in the money and the Beeb contributed "its renowned programme strengths and its long established international reputation as a high-quality public service broadcaster" - as per the fine print on the press release announcing the DCI/BBC joint venture. Plus, both of those have been huge money-makers for the Beeb - think they'll reduce license fees as a result? ;)

      --
      ABSURDITY, n.: A statement or belief manifestly inconsistent with one's own opinion.
  44. The VAT bit by ishmaelflood · · Score: 1

    I think that the VAT applies to the $13, not an additional 16% on the whole computer (which probably has VAT already).

    The relevant sentence can be read either way, but only a very silly journo would put the small number ($13) ahead of the big one ($hundreds).

    1. Re:The VAT bit by Anonymous Coward · · Score: 0

      You are of course correct; VAT at 16% is already charged on every computer (or computer component - HD, motherboard, etc) sold in Germany.

      Since nobody else seems to have figured this out when they read the article, most of the posts here are irrelevant. The actual issue is the $13 levy (plus the extra $2.08 which the government will earn by taxing that levy).

      VAT is simply the European equivalent of US sales tax, and Germany is at the low end of the curve with 16% - although this may increase in the near future, it's got a long way to go before it reaches the VAT levels in Sweden and Denmark, where it's 25%!

      See here for further info.

      What's really interesting about this is that (to some extent) the introduction of such a levy would tend to legitimise the copying of music CDs on a computer - many people will reason that, since they've paid the levy, they are morally entitled to rip some CDs now. Even though this may not be true in a legal sense, I think that the end result of this levy will be to reassure the people who were uncomfortable about copying CDs that it must be OK, since by imposing the levy the German government is sanctioning the use of PCs for this purpose.

  45. Schizoprhenic punishments by Minna+Kirai · · Score: 3, Interesting
    International authorities seem to be heading in 2 different directions for punishing copyright violation:
    • Big Time: Monitor a perpetrator for 7 months, catalog his transfers, monitor his acquaintances, then print out a 20 kilogram indictment and send the US Marshals to seize his hardware and drag him to jail. On plea bargain, multiple charges of theft > $5,000 might become about 1 year of incarceration. (Generalizing)

      The standard of proof is high (or why else did law enforcement work so hard to track him down), and the punishment is severe.

      For-profit "pirates" rate this kind of treatment, and heavy P2P sharers may risk it too (the 0.2% that provides 80% of all files). (In fact, someone with ties to organized crime, fraud, or tax-evasion / money laundering will have many worse things facing him in court. The actual copyright violation is a minor concern for gangsters)

    • Small Fry: Assume that all consumers with the capability to infringe are guilty, and charge them a nominal "levy" to compensate the copyright holders (the top selling "artists", automatically computed). Canada did this for a while with CDR media, now Germany appears to be starting.

      In this case, there is no proof at all, but at least the punishment is so light you can't really call it a "miscarriage of justice". However, these fees simply make some high-tech products seem slightly more expensive, and don't create any disincentive to violate copyrights. In fact, they may encourage it, "But I've already paid!"


    Does anyone else see an opportunity to create an intermediate category of punishment for copyright violators? Not so large that it'll ruin the offender's life, and not so small that people can ignore it entirely. And certainly not unfairly assuming that 100% of the population is guilty.

    How about something of the same magnitude as a traffic violation? Exceeding the speed limit isn't a real crime, as usually nobody was really hurt, so the punishment is light. Copyright violations don't necessarily hurt the "victim" either. So lets treat these things similarly.

    Suppose a police department (I'm ignoring questions about whose jurisdiction applies) assigns an officer to fire up Kazaa, and then fire off "tickets" to the first pageful of people who appear to be sharing something obviously copyrighted to someone else. Fees starting in the $30-$60 range for first offenders.

    A critical point is arbitration should be similar to traffic court too: If you bother to contest it, you probably get off. Allow anyone who claims the police were mistaken to get off with a warning (but in the future they might investigate closely, if he shows up in the list again). Additionally, the police can only send one citation at a time- the can't count multiple uploads on a single day as repeat offenses.

    For this to be possible, of course, an internet service provider would need to give the cops a means of matching IP addresses to people's names. The DMCA is a representative law that would allow this (or a similar law or technical mechanism could).

    Now, I don't approve of the DMCA, but given that it's a law already (and more like it are on the way), I would rather it be used to send out minor fees, than throw people in jail. From the looks of things, the current DMCA is being used by corporations to threaten individuals with big crimes. A government agency threatening people with minor fees has at least an ideal of fairness (plus bureaucratic apathy).

    A couple of official police citations is all it would take to get parents to rein in their teens' file-sharing habits, and that'd stop 50% of copyright infringement right there.

    The Ashcroft DOJ is moving towards more and bigger prosecutions of "cybercrime" like copyright violations. As a compromise, I offer the "traffic ticket" model. It sends a strong message that copyright infringment will not be tolerated, but individuals are protected from excessive or capricious punishment.

    PS. The use of "schizophrenic" in my subject is incorrect psychological terminology. Multiple-Personality Syndrome is a different condition than schizophrenia.
    1. Re:Schizoprhenic punishments by cyril3 · · Score: 1
      Unless you did it to everyone all the time it wouldn't work. Or it would work about as well as speeding fines. ie It wouldn't except in known trap areas. As it is people see speeding tickets as a form of tax or the karma cost of all the other speeding they do.

      Unless people believe that they will likely get caught if they do it or if the potential cost is hugh even if they are less likely to get caught they will weigh the risks and continue doing the thing.

      People speed because most of the time there is no bad result.

      Copyright violation occurs because people don't think its a bad thing.

      If that is the case hugh penalties will be resented (or people will not believe that it could happen to them)but small penalties will be ignored or worse seen as the karma cost of all the other copyright violations they do.

      The record companies can't win this but there will be a lot of pain before they go.

      And after that I predict the end of music if all we have to replace it is filesharing and self produced downloadable tracks from mp3.com or whatever.

    2. Re:Schizoprhenic punishments by Minna+Kirai · · Score: 1

      Unless you did it to everyone all the time it wouldn't work. Or it would work about as well as speeding fines. ie It wouldn't except in known trap areas.

      On the contrary- speeding tickets do work. They don't stop a small fraction of people from going much above the limit (unless they think a cop is nearby), and they don't stop the majority of people from going a little above the limit- but that's good enough.

      They keep speeding down to a reasonable, safe level, reducing danger to the bulk of society. In US terms, nobody drives 120mph (would surely get caught), and most people won't drive 80mph either (might possibly get caught).

      For an offense like copyright violation, it might be sufficient to stop only 90% of the cases. 80% of people are fearful of getting stopped, or wish to be percieved as law-abiding (by self, or by peers), and will self-monitor. 10% of people will try to infringe, but get caught.

      And the 10% that's left? That may be an acceptable rate of non-compliance; not enough to harm publishers so their business models fail, and enforcement methods to stop them would probably be more expensive than they're worth.

      People speed because most of the time there is no bad result.
      Copyright violation occurs because people don't think its a bad thing.


      I don't know what you mean there. The public in general are willing to do both those things because they don't believe they're bad. And, they're nearly correct.

      Copyright violation creates a small, non-zero chance that a large corporation's profits will be reduced.
      Speeding creates an even smaller, non-zero chance that an innocent child will be crushed to death.

      Realistically, individual incidents of either kind of infringement cannot be equated to profit reduction or killing, even though they are the inevitable result if the behavior is widespread.

      That's why we have misdemeanors- so the government can take a firm, official stance against a behavior, but not criminalize every offender.

      The amount of harm caused by a copyright violation (say, 1% chance of $10 lost) seems similar to that caused by a speed violation (say, 0.001% chance of lives lost), so they should be punished similarly.

      The record companies can't win this but there will be a lot of pain before they go.
      And after that I predict the end of music ...


      If you think that beginning of music came when the first recording was sold, maybe. I'd be happier if a larger fraction of music produced was for artistic motives, rather than financial ones.

    3. Re:Schizoprhenic punishments by infolib · · Score: 1

      Does anyone else see an opportunity to create an intermediate category of punishment for copyright violators?

      The danish regime is not too far from that. Antipiratgruppen (APG, think RIAA+BSA) placed some files copyrighted by their clients on Kazaa. They logged IP's downloading them, and then confirmed that the files were being shared by the downloaders. Subsequently they subpoenaed IP logs from the ISPs. Downloaders then recieved letters basically saying:
      You have illegally made copyrighted works available through Kazaa/E-donkey. We saw:
      K music albums at $8
      L movies at $27
      N games at $40
      If you do not pay within a week we will sue you for double that.


      The evidence used was log files and screenshots. This created a lot of controversy. For instance about the single mom that was "fined" more than $2k for the downloads of her children. Of course most people just paid up.

      --
      Any sufficiently advanced libertarian utopia is indistinguishable from government.
  46. What do I think? by Orne · · Score: 1

    How does a US$13 plus an extra 16% tax on computers sound?

    That sounds like a certain european country's economy is going down the tubes, and they are looking to tax their way into recovery. Any economist could tell you it's a foolish approach, and will only encourage the current decline in tech.

    I really feel bad for the citizens though, but you know, if you vote these people into power, you get what you vote for. If they really cared, they'd vote the socialists out, but with a 10.5% unemployment rate, that only encourages the class envy that makes them want to tax the "richer" (anyone with $700 who wants a computer). Maybe they should re-evaluate why they support a party so willing to suck money out of their wallets.

  47. Here's a solution... by Sebby · · Score: 1
    Make it law that any of the 'beneficiaries' cannot sue anyone for copyright infringment as long as they're receiving these benefits.

    That should help to offset the "I've already paid for it with this tax" against the "I need to survive off my work" arguments

    --

    AC comments get piped to /dev/null
  48. I wish more people knew...... by nebenfun · · Score: 1

    What a great book....

    nbfn

    1. Re:I wish more people knew...... by Phredd · · Score: 1

      You are right nebenfun...yet very few here will take the time to figure this one out -or- much less read the book.

      --
      Phredd - "I have found people tend to take you far less seriously once you start waving your genitals at them..."
    2. Re:I wish more people knew...... by Anonymous Coward · · Score: 0

      A lot of people don't want to know the truth about John Galt. After all, Objectivism does seem incompatible with the Free Software ideal, even though Free Software balances the rights of developers to sell their work and the rights of users to control the software running on their machines.

    3. Re:I wish more people knew...... by Anonymous Coward · · Score: 0

      After all, Objectivism does seem incompatible with the Free Software ideal

      Objectivism is only compatible with "he who writes the software chooses the license", which the the opposite of what the FSF wants.

  49. Re:similar article by Anonymous Coward · · Score: 0

    This picture is actually more disturbing than homosexuality, although it is closely related. I mean, if you're a filth-pounder, this kind of picture is an aphrodisiac.

  50. A change is needed by Trolling4Dollars · · Score: 1

    The point that the music industry seems to NOT understand is that they could make so much more money by selling music in electronic format. The ridiculous things they are doing to try and recoup the money that they claim to be losing to piracy is not helping them. They would be better off accepting the fact that some numbnuts out there are always going to pirate music, but honest customers will pay. The people who tend to spend a lot on music (like myself) don't want copies. They want the genuine item. DRM or no DRM, people like us are the people who buy the most stuff. The teenies who buy Britney and X-Tina can be suckered into cool "packaging" for their image. If you make an electronic format player with a display on the front that actually displays the album art (no longer locked into the square format that CDs and records have had) then the files will sell like hotcakes. Add "cool" flash animation and you're set with the disposable youth crowd. For serious music collectors, offer the music in a higher bitrate at a higher cost. Believe me, those folks will pay for it readily. But no... those dopes are trying to preserve a dying business model without investigating the possible future models. Oh well, their loss.

  51. Re:MOD PARENT UP by Phredd · · Score: 0, Flamebait

    HERE HERE!!! Everyone likes to bash America...yet they *ALL* line up to get our $$$ by the BILLIONS each year!!!

    It is fun to bash America, yet even more fun to spend our money.

    Biting the hand that feeds you. Ungrateful FUCK!

    --
    Phredd - "I have found people tend to take you far less seriously once you start waving your genitals at them..."
  52. Not fair by Futurepower(R) · · Score: 1

    Treat everyone like a criminal because some people are criminals?

  53. In related news: by Anonymous Coward · · Score: 0

    (after this law is enforced) suddenly 95% of all computer sales are USED computers... If only for 1 hour.

  54. WTF??! by Anonymous Coward · · Score: 0

    How Come every one of my posts says:

    (Score:-1, Troll)
    (Score:-1, Offtopic)
    (Score:-1, Redundant)
    (Score:-1, Flamebait)

    It is because I am black?

  55. Not happening in the US Folks... by Anonymous Coward · · Score: 2, Insightful

    This won't happen in the US for a few simple reason folks.

    1. Any congress person who votes for this is going to have to go back to their district and say that they raised taxes on an item by 16%.

    2. The tech companies such as Dell, IBM, and HP/Compaq also have lobbiests who kill things like this before they even happen. Anybody remember the SPACCCA or whatever it was?

    3. Big businesses all over the US would howl at congress because of this and colleges would probably rebel in the South.

    1. Re:Not happening in the US Folks... by Reziac · · Score: 1

      IIRC, both Dell and HP backed the proposed California "PC recycling fee". Why? I suspect because it would have killed margins for independent clone shops (which presently have a steady 40% of the PC market) and put many of them out of business.

      --
      ~REZ~ #43301. Who'd fake being me anyway?
    2. Re:Not happening in the US Folks... by Anonymous Coward · · Score: 0

      Look - the 16% is on the $13 tax! NOT an extra 13% on the whole computer.

  56. Comment removed by account_deleted · · Score: 1

    Comment removed based on user account deletion

  57. Re:MOD PARENT UP by DASHSL0T · · Score: 1

    Hi Phredd. :-) That whole anonymous posting thing didn't fool me! Ya gotta get up pretty early in the morning to get one past little ole me!!!

    --
    Freedom Is Universal
    Linux-Universe
  58. In England, colour TVs are taxed $15 a month by drfuchs · · Score: 1
    In England (and the rest of the UK) you have to pay a tax of about $15 a month for each colo(u)r TV (and about $4 for black&white). Hard to believe, but true. I'm not sure, but I think this covers the costs of the BBC.

    What if we had a similar tax on TVs and PCs, but now you'd be allowed to legally download and/or record anything you wanted? Let's see: 98% of US households have at least one TV, so let's conservatively estimate that there are 200 million of them, and let's not even count how many PCs there are. So that would be about $3 billion per month or $36 billion a year. In 2002, the music industry sold about $13 billion of CDs while the movie industry sold about $20 billion of DVDs (and only sold $9 billion worth of theater tickets, by the way). Well, $36 is greater than $13+$20, so I'd say we have a deal!

    1. Re:In England, colour TVs are taxed $15 a month by Anonymous Coward · · Score: 1

      it does cover the cost of the BBC... damn well worth it, too.

    2. Re:In England, colour TVs are taxed $15 a month by Graspee_Leemoor · · Score: 1

      " In England (and the rest of the UK) you have to pay a tax of about $15 a month for each colo(u)r TV "

      The tax is not per TV but per household, and old people get one free, so what we do here is grab random old people off the street who are going a bit senile and tell them that they live with us, then take them home- free TV watching!

      By the way, on a more serious note, the TV licencing people supposedly understand that people may use their TVs for playing console games on, watching DVDs etc, and you only have to pay if you "receive" TV programs on the set, though of course it is still grossly unfair that you have to pay to help the BBC make programs when all you want to do is watch satellite channels. It is a monopoly and it should be destroyed.

      Think about it: The law says that if you receive TV signals in any way, whether by sat, cable or RF , you have to pay a private company who collects the money on behalf of the BBC, whether you watch the BBC or not. It's fucking evil!

      graspee

    3. Re:In England, colour TVs are taxed $15 a month by Anonymous Coward · · Score: 0

      In Germany it's worse:

      You pay EUR 16,50 for a TV every month (per household) to finance the public broadcasting companies - regardless of use.

      PS: to add to the discussion about legal private copies in Germany: it is NOT legal to share media via the internet

      Martin

    4. Re:In England, colour TVs are taxed $15 a month by unapersson · · Score: 1

      "In England (and the rest of the UK) you have to pay a tax of about $15 a month for each colo(u)r TV (and about $4 for black&white). Hard to believe, but true. [tvlicensing.co.uk] I'm not sure, but I think this covers the costs of the BBC."

      Not entirely accurate. You pay for *a* TV licence that covers the whole household, not a charge for each seperate television. It is used to fund the BBC so, and in return, the BBC channels (TV, radio, digital) carry no advertising. I think most people are more than happy to pay this to ensure an amount of quality non-commercial content.

    5. Re:In England, colour TVs are taxed $15 a month by Anonymous Coward · · Score: 0

      is it still true that the blind get £1 off a TV License? no, i'm not joking.

      i hope the uk brings in 16% vat on computers since it's already at 17.5% vat, a reduction would be nice.

      fwiw, we already pay 17.5% on everything except books, childrens clothes and anything work related.

      damn taxes. damn them to heck!

  59. And how reliable are the piracy numbers? by surprise_audit · · Score: 1
    According to figures offered by the admittedly biased group, 55 percent of the 486 million blank CDs sold in Germany last year -- about 267 million -- were used for illicit purposes. For every "legal" music CD sold, there are 1.7 "illegal" ones.

    Yet again another instance of someone pulling numbers out of their ass. Or has anyone here actually seen the research that supports these numbers?

    What if other groups used the same logic? Nasa, for example - lobbying for levies to make up for funds lost due to those European Space Agency pirates launching stuff into to orbit cheaper and faster.

    1. Re:And how reliable are the piracy numbers? by Tailhook · · Score: 1

      Yet again another instance of someone pulling numbers out of their ass.

      LOL

      Bingo!

      Or has anyone here actually seen the research that supports these numbers?

      It would take a lot more than having "seen" the results to convince me. Universities, private think tanks and government are bought and paid for whores of whatever faction sponsors them. This passes for "research" in business and politics. If you believe what you are fed by these folks, know that you are a Useful Idiot (tm).

      --
      Maw! Fire up the karma burner!
    2. Re:And how reliable are the piracy numbers? by surprise_audit · · Score: 1
      I'm sorry, I misspoke. I should have said any research ... Research beyond "Hey guys, the toilets are backing up on all the senior execs yachts! Justify us a levy to buy new yachts!" Or golf-carts, limos, airplanes, mistresses, holiday homes, etc...

      It always seems to be: "We made $X billion last year and still haven't met that figure this year. The difference must be due to piracy! We need to soak the punters to make up the difference!"

      Please god, just once, let some Senator or Congressman (or the German equivalent, in this particular case) stand up and ask the lobbyists to prove their assertion that pirates are stealing them blind. It would be so peachy to hear something like this in response:

      "Well, we took a show of hands in the RIAA HQ cafeteria and 3 of the 5 guys surveyed said they had a couple of MP3s. Extrapolating that to a population of around 300million stealing 3 albums per month at $15 each, that's $97Bn dollars!"

    3. Re:And how reliable are the piracy numbers? by Anonymous Coward · · Score: 0

      How about the Christian Coalition demanding a tax to be paid only by atheists, agnostics, and Objectivists to cover the "losses" in donation revenue due to such people being too intelligent to fall for Pat Robertson's bullshit?

  60. While we're making taxes by NotAnotherReboot · · Score: 4, Funny

    Perhaps there should be a 20% tax levied on all computers purchased without Windows. I suggest that this money goes straight to Microsoft, as everyone knows that anyone buying a computer without Windows is really in fact just pirating it.

    1. Re:While we're making taxes by haeger · · Score: 1
      Buying a computer without Windows? How? Where?
      Last time I tried they told me it was impossible. They did offer not to send the media, but I still had to pay for it.

      *sigh*

      .haeger

      --
      You are not entitled to your opinion. You are entitled to your informed opinion. -- Harlan Ellison
  61. FINALLY!!! by macshune · · Score: 1
    Looks like the music industry finally found that new business model they've been looking for!

    Too bad for them this shit will *NEVER* fly in America. We hate taxes. Especially taxes that do nothing more than line the pockets of people who weren't savvy enough to solve their problem from the get-go.

    Yeah, we may be ruled by special interests, but how many people have broadband access on their PC? How many huge companies (that lobby) are dependent on selling computers or computers selling?

    If I can own a TV and a VCR without a license, it had better remain the same with computers.

  62. Announcing... by Kinryuu · · Score: 1

    ... a new 16% VAT on all automobiles. The money raised by the tax will go towards all banks in the country. Since cars are often used by bank robbers when they get away, the banks demand that cars be taxed accordingly.

    Yeah. Makes about as much sense as a screen door on a submarine.

  63. Comment removed by account_deleted · · Score: 1

    Comment removed based on user account deletion

  64. This brings up the question: by Anonymous Coward · · Score: 1, Interesting

    Would legally deaf people have to pay this tax?

    Why, since they can't pirate mp3s?

    1. Re:This brings up the question: by balloonhead · · Score: 1
      Firstly, what the fuck does 'legally' deaf mean? Is that like medically deaf, or even just plain deaf?

      Secondly, why can't they pirate MP3s? There'd be squat point admittedly as they can't hear the damn things, but stop being so prejudiced.

      --
      This idea was invented by Shampoo.
  65. So now it's okay to share files??? by Anonymous Coward · · Score: 0

    I presume if we are going to pay for it, it will now be perfectly legal to swap music and so on? After all, if I've just paid a levy on something, I intend to use it.

  66. Re:How long until we have no legal backup solution by Anonymous Coward · · Score: 0
    And what if I buy a Computer with NO CD-Rom drive? What then? How do I then pirate music?

    Tax floppy drives. Because all those people ripping DVDs onto 3500 floppies is hurting the MPAA so much...

  67. Pay the innocent by gmuslera · · Score: 1
    ... with this, you are guitly, you pay, do or not fileaharing, there is no possibility that you can be innocent and not pay, by definition. All the society pays for what do a maybe small percent of population.

    And where goes this money? To an industry that maybe even a little percent would pay something if not filesharing exist, and prefer to do that instead of solving the real problem, be the high prices, the low revenues to artists, the few alternatives that takes account of possibilities given by technology, etc. Their economy model for that industry is not viable in this times so let put a tax to all so it can survive.

    Next time they'll put another tax on computers so people that use Linux not hurt sales of Microsoft... mmm well, that kind tax exist already, and with the same beneficiary, but this will legalize it more.

  68. Fun with Upgrades by heretic108 · · Score: 1

    You have to register your computer to pay this tax, right? If you don't pay your tax, you lose your computer or some other fine occurs.
    Yes, officer, this is the same computer I registered 8 months ago. Sure, it's got a new motherboard, new RAM, a faster processor, new disks, new cards, case and PSU. And yes, a new monitor, keyboard and mouse. But it's still the same computer!

    --
    -- In the beginning was the WORD, and the WORD was UNSIGNED, and the main(){} was without form and void...
    1. Re:Fun with Upgrades by Kris_J · · Score: 1

      Upgrades are a fun loophole. You could upgrade the same PC forever thanks to the efforts of www.powerleap.com and www.evertech.com.

    2. Re:Fun with Upgrades by me3head · · Score: 1

      Aah, I was wondering if someone would hit on another convenient side benefit to this legislation: the outlawing of upgrades or components (except thos sold to a "licensed builder"). Wouldn't the large computer manufacturers just love it if everyone had to purchase a new computer from them when they needed an upgrade? And of course, selling parts to assemble your own computer would be seen as circumventing the law.

    3. Re:Fun with Upgrades by AlecC · · Score: 1

      How do you define a taxable computer?

      Handhelds? Palm pilots? Cheapo "personal organisers?"? My cars electronic ignition has a "computer" inside. Large can of worms preparing to be opened here.

      Has hard disk? Look for shops selling diskless computers and disks separately, and oferreing to screw them together for you. Will also hit (say) wab servers etc. How many PCs in a Blade server? Lots of CPU/disk/net interfaces, which is all you need to pirate. So each Blade CPU shouls pay levy, shouldn't it?

      --
      Consciousness is an illusion caused by an excess of self consciousness.
    4. Re:Fun with Upgrades by mangu · · Score: 1
      How do you define a taxable computer?


      In this case, the answer seems obvious: any computer that's capable of making a copy of copyrighted works.

  69. How many times must it be said? by phillymjs · · Score: 1

    If have to pay what is essentially a penalty for piracy because the powers that be have presumed me guilty of it, then you're God damned right I'm gonna be pirating shit-- and if I wasn't before, then I'm going to START.

    ~Philly

  70. Playing Devil's Advocate by istartedi · · Score: 1

    If you are a citizen of Cyberia, and there is crime in Cyberia, and all the citizens have enough money to pay the tax, then why not tax everybody the same ammount to pay for police?

    Now, I understand and sympathize with the "if I'm paying for piracy I should be allowed to pirate" argument. However, if they are only charging the equivalent of $13/box, that sounds more like a charge for policing. A charge for "unlimited file sharing" would have to be a lot higher.

    If they made piracy legal, that would be more like:

    The citizens of Cyberia all agree that art is good, so they agree to pay a tax to subsidize all the arts.

    Once again, under those circumstances, the tax would be considerably higher, and achieving the desired results considerably more difficult. Much of the money would end up being spent processing applications from, say... somebody who takes a picture of himself with a bananna peal on his head and bills himself as a "performance artist" so he can get a subsidy check. If you think writing laws to avoid crap like that is easy, think again.

    --
    For all intensive purposes, "whom" is no longer a word. That begs the question, "who cares"?
  71. We could solve all our problems this way! by Anonymous Coward · · Score: 0

    Lets see.. 20% tax on paper, cause maybe someone is photocopying something copyrighted, or printing out an ebook they downloaded. So add printer ink tax in there too. Eh, oh ya, scanner tax too.

    Tax on CD Players too, because I could be playing a burned CD in them. Oh can't forget the sharpie tax, because we all know thats what people label them with.

    We should slap on an additional tax to any store that sells CD burners, computers, and the like, since they are obviously profiting off all this piracy. Can't forget the broadband ISPs. If your a dialup ISP, then maybe we can give them a break.

    And of course none of this would be possible without electricity.

    And then theres all those people out there that don't actually pirate music, but may happen to be listening to pirated music in say, someone car. So besides income tax and all that, we should slap down a 2.5% music tax deducted directly out of your paycheck.

    You think the record industry would properly be compensated then? Sure, but there will still be no shortage of other industries that loose money due to theft and other illegal actions. One day, when everythings perfect, we won't have to worry about actually paying for anything. The government with the help of lobbyists will simply tax us for everything, so the producers are all properly compensated.

  72. Re:FUCK YOU by Anonymous Coward · · Score: 0

    Have you got a link that works in Mozilla I get some weird table problems with this one, still its nice to see their becoming less prejudiced towards us hippies.

  73. Levees on CDN blank media are supposed to go up... by Soko · · Score: 1

    We Canadians have been paying a levee on any recordable media since the year 2000. Only recently, there was a small disbursment from the Canadian Private Copying Collective, with more due soon. As well, the CPCC wants to significanly raise the levee to the point that it's almost not worth recordong your own CDs.

    Interestingly, HP Canada is really opposed to the increase - see this page to learn more. They've formed a group of businesses that have a stake in selling digital media or digital recording devices called the Canadian Coalition for Fair Digital Access - lots of good info on thier site. Pay attention to the links page - it has the latest news on what's up with the CPCC.

    A levee like this will produce simmilar results in Germany - the PC makers will end up at war with the media companies. It's already starting in Canada, as you can see...

    Soko

    --
    "Depression is merely anger without enthusiasm." - Anonymous
  74. One thing that I would like to point out here... by El+Camino+SS · · Score: 0, Flamebait


    Hmmmm... just wanted to check.

    This law is being moved forward to punish all of their PC using citizens that may or may not be breaking a law.

    Conclusion #1: They are enforcing and placing punitive actions on law abiding citizens.

    Yet Germany cannot seem to understand that an A-bomb going off in a city is double plus ungood, and the laws they made to stop him go unenforced.

    Conclusion #2: They are not enforcing and placing punitive actions on a known international lawbreaker, the rules of which they helped make.

    Thank goodness I am not in Germany. I don't think that I could put up with the punishment of innocent citizens, and then their free attitude about known nutjobs and their planet busting weapons.

  75. Because of socialist TV and Radio stations by ehiris · · Score: 0, Troll

    In most of Europe you have to pay tax for being allowed to watch the commercials on the public television and for listening to taxes on public radios. Just owning a TV or radio makes you have to pay the stupid tax.

    Every time I read about things like this I'm more and more happy that I moved to the US.

    1. Re:Because of socialist TV and Radio stations by easter1916 · · Score: 1

      And we're happy you left! You're incoherent.

    2. Re:Because of socialist TV and Radio stations by ehiris · · Score: 1

      And I'm happy you'll keep paying taxes on your TV, radio, and computer next.

    3. Re:Because of socialist TV and Radio stations by easter1916 · · Score: 1

      And you don't? How do you avoid paying sales taxes?

    4. Re:Because of socialist TV and Radio stations by ehiris · · Score: 1

      I don't avoid paying sales taxes but those are not the taxes that I am trying to point out. Germany as other countries in Europe have been funding public TV and public Radio stations out of tax money.

      That would not be so bad if they would be commercial free, which they are not.

    5. Re:Because of socialist TV and Radio stations by easter1916 · · Score: 1

      As with most sweeping statements, this one is only partly true. The BBC, for example, is commercial-free. In Ireland, RTE (the state broadcaster) provides good value for the cost of those taxes. You don't pay the taxes now because you've moved, so why complain about them?

    6. Re:Because of socialist TV and Radio stations by RATBOON · · Score: 1

      you lot did better than me - I couldn't even understand what he was trying to say.

      --
      ---- oh no - it's the RIAA and their $100000000 fine. I'm gonna take that so seriously...
  76. To compensate the poor artists. by rice_burners_suck · · Score: 1
    It is a FACT that all electronic equipment classified under the title "computer" has the following uses, exclusively:
    • Watching movies.
    • Listening to music.
    There are NO other uses for computers. As such, a new branch of International Law should be started immediately to mandate processor utilization meters, similar to electric meters and/or gas meters, for the sole purpose of taxing computer usage in order to compensate multinational corporate content providers (including companies that market media but explicitely excluding so-called artists, who actually create the work) for the fact that ALL copies of content worldwide are pirated and NONE are paid for. The law should further designate three multinational corporations as the recipients of these funds, and all artists and/or other types of content producers will be mandated to sign their copyrights over to these three entities for no compensation whatsoever.

    Initially, the aforementioned tax would be set at $0.0199 USD (similarly to gas stations that charge 2.09+9/10 per gallon of gasoline) per utilized processor cycle, including cycles during which the computer invokes the busy form of waiting, as in an empty loop or during polling for an event.

    Processor idling technologies (such as SpeedStep and/or other energy-saving and/or temperature-reducing technologies, which cause the processor to "sleep" or reduce its clock speed during idle cycles) would be outlawed to maximize profits for the three multinational corporations. Ten percent of the funds would be wire-transferred to terrorists, who shall be mandated by the aforementioned International Law to purchase weapons of mass destruction (as the U.N. is running out of work and might otherwise lay off some of its staff).

    This will have the following advantages:

    • Taxes will be lowered.
    • Individuals will have more discretionary spending money.
    • This will keep the economy strong. (To borrow from California Governor Gray Davis' speech about how he screwed over everyone in the state with regards to their electric bill and then had the nerve to invoke doublespeak when telling everyone how he's keeping the economy strong.)
    • It will save the poor, starving artists who slave over an album for a year only to see it all over the Internet the next day. (Disregarding the fact, of course, that they are required to sign over their copyrights and therefore end up earning less than a garbage truck driver even if the album is a best-selling hit.)
    And last, but certainly not least, the United States Constitution will begin, "We the Multinational Corporations of the United States of America hereby declare that we have the God-given right to eternal, perpetually increasing profits. To achieve these ends..."
  77. Lets see this for what it is by ralphclark · · Score: 1
    It's not meant as a personal insult to the public but as a purely defensive measure. The industries lobbying for this tax are fighting for their very lives, as they see it.

    The advent of digital reproduction and transmission technologies threatens the content industries with extinction in the long run, because they will be unable to maintain monopoly control of the particular content they sell. Once the first copy of something has been sold, it is effectively in the public domain and that's that, regardless of what the law says (because the public have basically demonstrated over and over again that they don't much care for IP protection laws and just don't obey them).

    To restate this in more forward-looking terms: the public want a change in the law, and in a democracy a public that stubbornly resists re-education propaganda must eventually get its own way (even if it takes a long time).

    But to repeal IP copy restriction laws would be inimical to the profitability, and therefore potentially to the bare existence, of the content industries.

    In response those industries want to be partly state funded in order to support their continued existence. It's not possible to ask for this to come out of general taxation for several reasons including a worldwide political trend towards free market economics, and existing international agreements concerning fair trade.

    But a tax on the computer hardware used to rip off their IP is more easily defended. It's really analogous in principle to the UK's TV and radio licencing schemes where a fee is payable by anybody in Britain who owns a radio or TV set, and which is used to fund public sector broadcasting. It's also reminiscent (in a reverse sense) of the "polluter pays" principle being used in some countries to fund environmental cleanup by charging the most tax to industries who make the most mess.

    It's often said that the situation to be faced by the content industries in the near future is similar in some superficial respects to that faced by the buggy whip manufacturing industry which began to disappear early last century when people abandoned horse-drawn buggies for motor cars.

    But it does differ in one very important respect which proponents of IP derestriction don't always appreciate: the world didn't really miss the buggy whip manufacturers because we all had cars. But we might miss a vanished content industry when we find that there is no more big-budget content being produced because it has become no longer possible to make big money doing so.

    Whether you are prepared to buy that argument of course depends on where the best trade-off lies between freedom to copy on the one hand and a continuing supply of new hollywood blockbuster movies and/or expensively produced music recordings with which to feed this copying, on the other.

    This argument says that if we can all get by on a diet of low budget college project/art house movies and raw, cheaply produced music that doesn't need much studio time production, then we can look forward to a future of free copying and no need for these industries to be supported by state-donated or -enforced subsidy. But, it concludes, there will be no more Schwarzenegger movies or Michael Jackson albums.

    I personally think that argument is flawed and that there will still be big-budget content, however it will be funded differently - by embedded advertising and merchandising rather than retail sales. Unfortunately that means this type of mass-market content is doomed to become a caricature of what is now; overhyped, market saturated, blandly tailored for the average palate and merchandised to the point of nausea.

    For those this doesn't suit, we will of course still have our new grassroots culture, word-of-mouth marketed and freely copyable. Quality for the discerning connoiseur! Now... where's my pirated collection of local amateur drama group DVDs? And my bootlegged CD of water-filled soda bottle music recorded live in his kitchen by Fred from next door? Oh there they

  78. Re:How long until we have no legal backup solution by MadCow42 · · Score: 1
    >> . I was excited to hear that DVD writers would be available commercially

    Um... where have you BEEN, man?

    q:]

    MadCow. (sorry... hate to nit-pick, but it's been a slow night!)

    --
    I used to have a sig, but I set it free and it never came back.
  79. Re:How long until we have no legal backup solution by RNLockwood · · Score: 1

    "yet CD players have only one."

    Wrong, CD players (in computers) are often used to load programs and data. I buy hundreds of CD blanks (and now DVD) to archive and distribute code and data. Why should I pay a copywrite tax on that?

    --
    Nate
  80. Tax = Permission? by nurb432 · · Score: 1

    If i pay a special tax that goes to the recording industry, that should mean i can download what ever i want afterwards.

    --
    ---- Booth was a patriot ----
  81. add to that consortium by Trepidity · · Score: 1

    A possible reason Germany is at the forefront of EU countries in these sorts of laws is that the gigantic Bertelsmann AG can is effectively part of that consortium.

  82. Copying != Theft by Anonymous Coward · · Score: 0
    Unauthorized copying is not "theft" or "stealing." Don't flame me or mod me down, argue it with the dictionary: "...every part of the property stolen must be removed, however slightly, from its former position; and it must be, at least momentarily, in the complete possession of the thief." Read it yourself. Copying does not remove the original.


    I'm not saying it's legal, but it's not theft. Don't use the RIAA's vocabulary and doublespeak. Copyright infringement is not "theft" and those who commit it are not "thieves."

  83. Re:How long until we have no legal backup solution by DoorFrame · · Score: 1

    Well, if you bought a computer with no CD drive, you could always download pirated movies, music, books and software. That doesn't require a CD drive and would indeed cost the big corporations money (assuming that if you had been unable to download them, you would have purchased them).

    So, yeah, your logic is kind of flawed there.

  84. Now I see why the slashdotters whine......... by AbRASiON · · Score: 1

    I submitted this 4-6 weeks ago to no avail........

    That is a little frustrating :(

  85. How many bites of the apple? by NewtonsLaw · · Score: 3, Insightful

    Good grief!

    Don't forget that the recording industry is *already* getting a levie from CDR/RW drive sold in Germany.

    Check out this story published by the BBC back in 2001.

    What next I wonder?

    A special tax on speakers because they "might" be used to listen to pirated music?

    A special tax on guitars because 9 out of 10 amateur musicians play copyrighted tunes without paying the relevant performance fee?

    It's just a shame that the recording industry has such deep pockets and politicians the world-over are so willing to accept bribes.

  86. explanation by teske · · Score: 2, Interesting

    Well, it's six o'clock in the morning here in germany, so forgive me if there are any inaccuracies, but I gues I'm the only one still awake here, so I'll try to explain what this is about. (And note that I didn't read the article, my bed is waiting for me.)
    This has nothing to with piracy. It's a way to compensate artists for private copying. (Which isn't piracy.) Well "Privatkopie" is a supeerset of fair use. You can make copies of your CDs for your car, stereo, whatever, but you have also the right to make copies of your CDs and give them to your friends. (I think it was up to 9 friends.)
    You have the right to record radio shows, and copy them for your friends. You can mix your own CDs, and give them to your friends. Well can't think of any more examples.
    This taxes are collected for blank media and devices to copy. So scanner, printer, cd-recorder ...

  87. Due process? by DoofusOfDeath · · Score: 1
    I wonder if in the U.S., such a law could be struck down as either a failure of due process, or as collective punishment.

    Because effectively, it's fining a class of people because some of them might commit a certain crime.

  88. Poor assumptions by M3wThr33 · · Score: 1

    1.7 pirated CDs for each real music CD? ...I get more pissed off each time that they assume that each spindle of CDs I buy goes to music. NOT ONCE of the last 200 CDs I've burned have been made into music CDs. But do they know? Yes. Do they care? No, it gives them leverage to just bundle it all in a giant pirated-cd-bin and sound more compelling.

  89. Re:Consumption fever? by Tailhook · · Score: 1

    Yeah, but if you can afford to own such nice things, you're rich, so it doesn't hurt you. Think of all the underprivileged people who can't. Fun being rich huh?

    --
    Maw! Fire up the karma burner!
  90. this stinks like... by rock_climbing_guy · · Score: 2, Insightful

    This stinks like the tobacco lawsuit that was supposed to fund treating sick people in America who became sick from smoking, but instead, I keep hearing that it's going to make up for budget shortfalls. In other words, it's going to fund, oh, whatever.

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  91. German Tax by Anonymous Coward · · Score: 0

    My question is, what have the Germans produced that even worth stealing? If anything, the Germans should be charging a Tax on French products. Call it the stupidity tax.

    1. Re:German Tax by NotSimilarToOtherNic · · Score: 1

      The "B" in BMW stands for Bavaria, remember?

  92. Tax Guns and Bullets then by Anonymous Coward · · Score: 0

    Well I think that for the hypocracy to be avoided, guns and bullets should be levyed due to the fact that they kill ppl. Especially in the US were ppl buy guns primarily for shooting each other

  93. Ah, the Germans by wytcld · · Score: 0, Flamebait

    Note: They'll support Saddam Husein because they can do business with him. If they owe so much to Saddam, how much more do they owe to Bertelsman for handling crucial war-time propaganda? Ah, the Germans get their revenge on the Americans now, teach them a lesson about trying to remove a dictator, especially one who can be good for business. And isn't it so much better to not let the market decide which artists get supported, but instead to leave that to the government committee which will distribute the funds taken from the computer buyers? Yes, computers - so useful when IBM provided them to count the Jews. But now even the Turkish guest workers can afford them. Better to raise the price.

    --
    "with their freedom lost all virtue lose" - Milton
    1. Re:Ah, the Germans by Anonymous Coward · · Score: 0

      At least we send them no loads of poison gas and antrax to throw on the Iranians in the 80ies. Oh I forgot - Saddam was even than a bad guy, but it was your bad guy against the ayatollahs... get a life!

    2. Re:Ah, the Germans by spengler · · Score: 1

      Oh, please. He was "your" darling only years ago. Ask Mr. Reagan or Mr. Shultz. Forgot who they were? What a pity...
      And, by the way, since there is now a chance(!) to disarm him without killing thousands of civilians or wasting shitloads of money, it should be exploited...
      Why do you in the US almost collectively switch off your brains, when some guy with an IQ below 70 and sponsored by some big oil companies gets to become president...?

    3. Re:Ah, the Germans by forkboy · · Score: 1

      Trust me, the majority of educated and socially aware Americans do not approve of Mr Bush or his war. Remember, the majority of the population here didnt even vote for this guy...we just have a fucked up election process and system of government.

      A couple high level Democrats in Congress are already starting impeachment bills because of this war. Don't assume that we're all behind this man.

      --
      This message brought to you by the Council of People Who Are Sick of Seeing More People.
    4. Re:Ah, the Germans by easter1916 · · Score: 1

      How ironic! Rumsfeld visited Hussein in the 80s, and this visit was a friendly one. WHat does that say about your administration?

  94. Yes, you are suffering the effects of piracy. by Inoshiro · · Score: 1

    And if you then start pirating, it'll just make it worse.

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    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
  95. And? by Inoshiro · · Score: 2, Insightful

    You say one true thing (busineses are built around maximizing profit) and use this to sneak in a bald-faced lie (stealing doesn't affect prices).

    If stealing didn't affect prices, this law wouldn't even be being discussed anywhere.

    When you steal something that cost 2$ to make, even if you think, "I'm only stealing 2$" you're actually stealing the 40$ some guy would've paid to enjoy that game. To think this doesn't affect prices is lunacy.

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    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    1. Re:And? by 91degrees · · Score: 1

      When you steal something that cost 2$ to make, even if you think, "I'm only stealing 2$" you're actually stealing the 40$ some guy would've paid to enjoy that game

      Where does this money go then? Who has lost $40?

    2. Re:And? by amorsen · · Score: 1

      What makes you think another copy will not be produced for $2 and bought for $40 by that guy in the example?

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      Finally! A year of moderation! Ready for 2019?
    3. Re:And? by CashCarSTAR · · Score: 1

      WHY does this effect prices?

      I'm hearing a lot of talk about shifting the p/r ratio upward, but I don't think this does that at all.

      Things are priced, for the most part, to maximize profit, not to make a certain amount of profit using some magical formula. (Expected Profiit/ Units Produced*% of Goods stolen = Price?) Somehow, I don't think so. Goods are priced, (and I'm not even talking IP goods) according to what the most customers are willing to pay.

      Does it fly in the face of common economical thought? Sure does. However, I find that economics falls short because it cannot take human emotions such as greed into account.

    4. Re:And? by Reality+Master+101 · · Score: 1

      Goods are priced, (and I'm not even talking IP goods) according to what the most customers are willing to pay.

      That's correct.

      Does it fly in the face of common economical thought? Sure does.

      No.

      However, I find that economics falls short because it cannot take human emotions such as greed into account.

      Economics is fine; it's your understanding of it that's broken.

      The missing piece is competition. Sellers have incentive to drive prices up, because that increases profit. However, competition among sellers keeps that in check because a consumer will gravitate toward the store with the lower price. So sellers have to continue lowering their prices to remain competitive, if they demand for their products begins to drop. However, they can only go so low -- that's the level of their cost of goods.

      Now, note that theft is part of your cost of goods, and you see why theft influences prices.

      Basic economics education *really* needs to be a required high school subject. It would solve so many problems.

      --
      Sometimes it's best to just let stupid people be stupid.
    5. Re:And? by niom · · Score: 1
      You say one true thing (busineses are built around maximizing profit) and use this to sneak in a bald-faced lie (stealing doesn't affect prices).

      First, unauthorized copying is not the same as stealing, because intellectual property is not the same as physical property. That's why there are different words for each concept. Refering to unauthorized copying as stealing is just propaganda to manipulate people into a greater dislike of unauthorized copying.

      Second, unauthorized copying can affect prices. Everything can affect prices. The point is that the effect of unauthorized copying on prices is indirect, as the prices are primarily determined by the maximum profit achievable by the company (i.e. "what the consumers are willing to pay"), not the manufacturing costs. No company is going to set lower prices than the customers are willing to pay, simply because it happens to be efficient manufacturing its product.

      If stealing didn't affect prices, this law wouldn't even be being discussed anywhere.

      Yeah. Every law is just, as we know. Lobbies do not exist.

      When you steal something that cost 2$ to make, even if you think, "I'm only stealing 2$" you're actually stealing the 40$ some guy would've paid to enjoy that game.

      Huh? You're confusing direct and indirect effects again. The direct effect of unauthorized copying is that someone gets a copy of some intellectual property. There can exist the indirect effect that someone does not buy the intellectual property. I'm sure we all can think of plenty of cases when this indirect effect does not take place.

      If you're opposed to violations of intellectual property, that's fine, but please don't troll Slashdot with the same old *AA propaganda that has already been debunked to extenuation.

      --
      -- Repeat with me: "There is no right to profits".
    6. Re:And? by Uberbah · · Score: 1

      Stealing barely affects prices because comapnies charge what the market will bear. DVD's are cheaper to manufacture, ship and store than VHS and yet cost more. Why? Because studios do some research it and try to hit that magic price point to maximize profits.

      If you want a better example, look at C&C: Tiberian Dawn. When it was released it has something like 6 forms of copy protection on it. In addition to cd checks and new media protections like Safedisk, it was one of the first 80 minute pressed cd's. Guess how much it sold for? Just as much as any other new game.

      If you honestly think that prices would drop if all copyright infringement and actuall stealing were to stop tomorrow, pass me some of what you're smoking!

  96. Get it right! It is not soo much.... by Anonymous Coward · · Score: 0

    That is 15 Euro + 16% VAT, means if you purchase a system for 1000 (excl. VAT) it is now 1015 Euro (excl. VAT). It does *not* mean an extra 16% tax on computers. VAT is 16% in Germany on all goods. Also keep in mind that all displayed prices in Germany must be shown inkl. VAT so in fact PC parts can be even cheaper than in the US.

  97. RIAA and friends. by nrlightfoot · · Score: 1

    "The Canadian Private Copying Collective, the music industry trade group, has proposed new levies to be applied to any device that can store music, such as removable hard drives, recordable DVDs, Compact Flash memory cards and MP3 players." So, you tax the music playing devices so less people have them, and thus less people buy your music. Because if less people buy music, then it's harder to pirate.

    And they wonder why music sales are dropping.

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    what sig?
  98. Could this apply to the PS2? by Anonymous Coward · · Score: 0

    With the added Linux kit, a user could very well make copies to the hard drive, even DVD movies.

    Could Sony's battle to classify their video game systems as computers backfire against them in Germany now?

  99. No. Have you even taken economics? by Inoshiro · · Score: 1

    It changes your profit graphs as follows. In any situation where you creat IP, you have a larger fixed startup cost. This is usually a one-time fee (you negotiate X$ for the right to 100,000 copies of a book). Added on to that is the flexible costs of producing and shipping, which are subject to economies of scale.

    Unlike most physical goods, the fixed startup cost is enough that it is very hard to get into it. Most companies are in debt to some extent to fund their next project (unless they make it really big, and can keep producing new IP at a rate faster than their old funds are used, such as iD software).

    Peter Molyneaux wants gov't support, because Black and White took too long and wasn't bought by enough people. EA may be able to take the write off, since they produce games each year that have profit margins to cover it (NBA Live 200X, etc), but Peter's credibility is ruined, and he can't make more games.

    Just because something is cheap to reproduce, doesn't mean it's cost free. Go run a business for a few years in real life, then talk to me about how exactly it's different. Things cost money.

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  100. You don't understand economics. by Inoshiro · · Score: 1

    "If thefts decrease, they just keep the price the same, and pocket the additional profits. "

    When you decrease theft, you reduce a non-fixed cost. When that happens, the point where the part of the graph that shows your profit being maximized also moves. This means that if theft stopped, and they still charged inflated prices, they'd make less money than if they lowered their prices.

    Honestly, go take an introductory economics class before you spew on Slashdot. You just look like an idiot.

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    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    1. Re:You don't understand economics. by amorsen · · Score: 1

      You are assuming that the market is elastic. As far as I can tell, the market for copyrighted works is very inelastic. If the market was elastic, the producers would be encouraged to lower prices, since they earn the most when the prices are near the variable cost. In an inelastic market, rising prices lead to higher profits.

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      Finally! A year of moderation! Ready for 2019?
  101. Re:How long until we have no legal backup solution by nhaines · · Score: 1

    Because that's not a CD player. That's a CD-ROM drive.

    A CD player is a consumer device that plays music from CDs. Newer, cooler ones also play CD-Rs burned with WMA or MP3 files. The only use of a CD player is to play music.

  102. I'm all for it!... by Anonymous Coward · · Score: 0

    ...if the content providers agree to legislate themselves into a position where they can never, ever take any sort of legal action against anyone who shares any number of copies of their wares for free. Meaning, in more plain English, that if I want to put the sum total of the RIAA member's output on a website, they'd have to say nothing and like it. (Yes, I know this is in Germany, but I'll betcha that we'll be seeing something like this in the United States one of these days)

    Of course, that won't happen. Money-grubbing bastards.

  103. There is a danger. by Inoshiro · · Score: 1

    Granted, there is the danger that this won't be repealed if the piracy levels go down, but that's the job of the politicians to sort out.

    That this has to be talked about in the first place reflects poorly on the morality of some people. "If they can't see that I'm stealing, is it still a crime?"

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    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
  104. The government has to support businesses. by Inoshiro · · Score: 1

    If the government didn't aid businesses sometimes, it could destabilize parts of the economy that they need to stay competitive in the world market.

    This is like saying that you don't need welfare, because everyone should never have hard times. Since this is something that's so hard to enforce, the government's just following the path of least resistance.

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    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    1. Re:The government has to support businesses. by mpe · · Score: 1

      If the government didn't aid businesses sometimes, it could destabilize parts of the economy that they need to stay competitive in the world market.
      This is like saying that you don't need welfare, because everyone should never have hard times.


      Then why can't government simply say they are enguaging in "corporate welfare" for xyz reason?

      Since this is something that's so hard to enforce, the government's just following the path of least resistance.

      That would be to do nothing. If government is going to bail out a specific business or business model they need, IMHO, to justify to their employers. That the consequences of not doing so are likely to be worst than doing nothing.

    2. Re:The government has to support businesses. by sir99 · · Score: 1
      I don't disagree that the government should assist businesses in some cases. In fact, businesses already get a tax break on their losses. If the content companies could actually show a loss from people infringing copyright, then they would get that tax break (I'm guessing they already claim some losses from piracy). So I don't think that filesharing etc. is an acceptable justification for the media tax. Personally, I don't think the government should ever follow the path of least resistance, when that path insinuates, "we're taxing you because we think you'll probably use this product to steal music."

      It's not the corporate welfare that bothers me so much as the implementation.

      --
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      Laid out in amber, baby.
  105. Great... by afidel · · Score: 1

    So now the government is going to force me to subsidize an industry I despise?? This is like robin hood in reverse, the rich multinationals are robbing from everyone who buys a multifunction PC in order to prop up a failing business model with limited social benifits (unlike airlines who infrastructure benifit is obvious). Without this I can easily boycott the music industry simply by failing to buy their products, or by buying similar products from an alternative source (like say buying albums from mp3.com) but with a statute like this in place I support them every time I buy something for my pc, or heck my company is forced to support them when they buy a bunch of servers. What if I was an independant music company trying to start an online presence, why should a large % tax on my equipment go to help my competitors???

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    There are 4 boxes to use in the defense of liberty: soap, ballot, jury, ammo. Use in that order. Starting now.
  106. Re:interesting -- Wrong math. by Anonymous Coward · · Score: 0

    No, it's an extra flat fee. The 16% is the standard VAT in Germany on most commodity purchases. The German VAT is similar to the combination of any local, state, and federal tax you may pay for a purchase in the US.

  107. Ok, When You say "Forced" by Greyfox · · Score: 1
    Do you mean "forced" as in "held them at gunpoint until they considered these taxes," or "forced" as in "gave them an assload of money so they'd consider these taxes"?

    Or to quote Inigo Montoya, "You use that word a lot. I do not think it means what you think it means."

    --

    I'm trying to teach myself to set people on fire with my mind... Is it hot in here?

  108. We could say the same thing about slavery by Convergence · · Score: 1

    Someone else made this point a few weeks ago on slashdot that I paraphrase here:

    The early 1800's southern plantation and the current media economy have a lot of parallels. In both cases, change (the industrial revolution and the computer revolution) greatly changed the economic landscape by efficiency growths of orders of magnitude. Both are entrenched styles of business that are or did fight a war to maintain the status quo. In both cases, the issues extended far beyond the actual issue, to entire industries and ways of life.

    This sort of revolution and change has a history that goes back much farther. For instance, the Gutenberg press made it orders of magnitude cheaper to disseminate knowledge. It destroyed entire ways of life and caused many wars.

    In the case of slavery, slavery was an important part of the economy. Getting rid of it would be wrong, because all those plantation owners put a lot of work into the slaves. Also, the economy would tank without slave labor. And, if you abolished slavery, who would grow cotton? Why, the whole south would just disintigrate. All of the out of work slaves and plantation owners would all just move to the country and take up fishing.

    So, you see, abolishing slavery doesn't affect just the slave owners, it affects everyone in the south. It also affects anyone who buys agricultural products.

    And, like slavery or post-gutenberg europe, there are two choices: draconian control legistlation, which both did try, or to accept that the clock of history cannot be stopped and change must come. It took a war that time, and its taking a war now.

    When things change by orders of magnitude, civilization *must* accept a readjustment. It happened with the Gutenberg press, it happened with the industrial revolution, and its happening now with modern communication mechanism.

    Ultimately, the copyright debate is for control of the communications mechanism, just as the slavery debate was for control of slaves, and as the gutenberg debate was for control of the minds of the populace.

  109. Surprise! The tax exists already! by Korpo · · Score: 1

    Talking about German taxes:

    Everything that is sold in a store already includes a 16 % added value tax (Mehrwertsteuer).

    Only the 13 $ fee is new, and something pretty similar is already collected on VHS recorders or tape recorders to compensate copyright holder for private copying, or copying by schools, etc.

    It's not much of a news item, and it is not very well written!

  110. VAT explained by Anonymous Coward · · Score: 0
    This is about a charge per computer, $13.- equivalent, so probably about EUR. 12.-
    That way your EUR 700.- pre-tax computer becomes a EUR 713.- pre-tax computer.
    Now you add the VAT (16% in Germany?) and you've got the retail price, EUR. 827.08.

  111. sounds good by Herr_Nightingale · · Score: 1

    Soon the Germans will enjoy what we in Canada like to to refer to as "Nazi justice," or, as our American neighbors call it, a royal fucking up the arse.

    Sounds fine to me, really, although anybody who would "steal" German music is likely desperate enough to steal the hardware itself too. Has anything changed since the second world war over there?

  112. Escape by Anonymous Coward · · Score: 0
    And now you're led by a guy called Rumsfeld...

    Great improvement.

  113. PLEASE UPDATE! by NotSimilarToOtherNic · · Score: 2, Informative

    If I am not totally mistaken, the VAT is on the $13. For the rest of the computer, VAT is paid anyways. So basically, this news is non-news. $13 is money, and anyone would prefer not to pay it but for a decent machine $13 is less than increasing the VAT by 1%.

  114. Reason to Pirate by Anonymous Coward · · Score: 0

    So what they're telling us is, "You've already paid, so go ahead and download our music." Imagine how many people will start pirating music simply out of anger.

  115. What is UPI Smoking? by insecuritiez · · Score: 1

    From the artical: "Blank magnetic media, especially recordable CDs, are -- or have been -- taxed in more than 40 countries, including Canada and the United States." In other news millions of Germans are buying keyboards without the ball, instead buying the nifty ones with the red light on the bottom.

  116. They've already lost by Anonymous Coward · · Score: 0

    the legal route is always slow and as commerce multiplies internationally, control is going to be harder to exert.

    i live in the united states, a country at 'war' it's been said by our unelected president and his cabinet of out-of-touch white men.

    there is a war, but it's not about oil (well, it is, but not really), liberation (well, it is), or isreal.

    out on the limb, every time technology advances, society changes. looking at the wheel, agricultural, the automobile, and the airplane, each of these inventions has revolutionized our existence and ability to grow and adapt.

    communication is no different. in 70 years, we have gone from the telegraph and rudimentary telephones to a global interconnected network reaching anyone who can afford to connect. i can check three emails accounts from a mountain in malibu. are my servers working? what's the latest news? what is going on in france right now? text message to my friend in paris. he's going to a club. i should go to a club tonight. and the path diverges instantaneously.

    my thoughts here are the companies are not trying anything new. exploitation and the economic battles waged over "freedom" on the backs of life and choice are not at all new. mr bush and mr blair are not the first to invade another country, france and germany aren't the first to claim peace out of economic goals (look at a map of the countries supporting the war and against it and then look at a map of the euro and the dollar and evaluate all this in the light of iraq moving it's oil currency to the dollar).

    the difference is now the curtain is gone and someone with a handycam anywhere can broadcast the truth. there are a lot of false truths projected, but if you look through the snow, you can see the trees.

    legality is the last dying breathe of any oligarch. when your consumers become hostile providers of your income and you make laws to force them into certain channels you deem safe, you have already lost. the best products go unadvertised and the best laws go unwritten; everyone just knows and respects them. is murder wrong? yes. is stealing wrong yes? is copyright theft wrong? yes. are abusive copyrights wrong? yes. are abusive copyrights prohibiting future innovation wrong? yes. are all abusive copyrights prohibiting future innovation under the umbrella of copyrights? no. So we can see the system being abused for the gain of those who are fighting not to adapt. sorry my friends, mother nature knows best and evolution's worked for a looong time, I don't think your money and governments and laws and police and the rest of your noise will change that.

    sure, they might levy a tax; people might go to jail; innovation might be stifled, but we live in a new time and the rules are changing every day and eventually the rulers will too. Maybe in a year, maybe in five, maybe in a hundred, but the clock is ticking. I would urge all these old white men fighting over financial cocksurity to get out and enjoy the sunlight; there's not future in oppression. the jig is up.

    oh and china? this is a message to you. you can only keep your people in the dark so long. if all these field workers saw the luxuries we have over here, like toilets and clean water, they might not think we were wrong, but might think their leaders are the problem. and cisco can't build any firewall to keep you safe from a billion people who want the blinders taken off.

  117. Film at eleven... by Holger+Spielmann · · Score: 2, Informative
    As a german citizen, I have to tell you this is a very old story.
    1. A VAT (yes, that's the 16%) is applied to all consumer goods in Germany, with a few exceptions like food for which a lower rate of 8% is applied. And yes, it's deductable. A company or a freelancer will get tax returns on the VAT paid.
    2. The 13$ going to the media outlets (don't know the Euro amount) was expected for some years know. Similar fees have to be paid to recording devices and media, like tapes, since really long time ago.
      The only thing that happened was that PCs were recognized as devices capable to make copies of music records.
    This fee is officially meant as a compensation for private copies you are allowed to make, see it as a fair use compensation. And that's were we get to the really interesting point: If the media corps already get compensated for fair use, how can it be legal to implement copy protection schemes in the first place?
  118. More like... by ShieldW0lf · · Score: 1

    ...who is Gail Wynand

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    -1 Uncomfortable Truth
    1. Re:More like... by Anonymous Coward · · Score: 0

      Not quite. If you read The Fountainhead, you'll learn that Wynand was a person who believed that he could be successful by catering to the worst tastes of the masses instead of putting his own tastes first. On the other hand, you could say that there are a lot of Wynands in the art industry (music, books, games, etc) these days. The problem is, most of them don't realise that what they're doing is wrong. Cater to the masses and you enslave yourself to them.

  119. Good to know by r3ddr · · Score: 1

    At least you got now an incentive to copy/backup more of your friends CDs/DVDs/VCDs/whatever...

  120. react! by Wouter+Van+Hemel · · Score: 1


    Where are the consumer-right organisations? Isn't time we organize ourselves (better) to defend our rights against these lobbying corporations? As an individual, you're basically completely powerless against the sheer amount of money of these big companies and the politicians they have on their wagelist...

  121. Understand the history to reason through this by sir_cello · · Score: 1

    It's easy to dismiss this when you are located in another country, but you have to remember that Germany like some other parts of the continent have some history of dealing with copyright in this way. For instance, a surcharge ("tax") is levied on all blank tapes and various other related media, and the surchage is paid to a copyright collecting society which then distributes it to the authors/etc.

    The reasoning behind this was that for a majority of cases (not "all" cases), the blank media would be used to make recordings of copyright works (if you dispute this, I'd like you to think about how you use blank media, and whether most of it has copyright works, albeit for personal consumption). This is not a perfect model, but of all the various possible models, it isn't so bad. Remember also, before you bring "big corporate music world" into it, that these copyright societies represent many individual authors/etc and have a history of dealing with micropayments and handing out royalties to those individuals - which despite some imperfections is not a terribly bad model for ensuring that rightholders are paid for their works.

    So while this seems not very workable, it's not surprising to see where it is coming from: some politics of old media copyright societies trying to get a grab into the digital world.

  122. Wait a minute, it is not that bad by Anonymous Coward · · Score: 1, Informative

    A few misconceptions have surfaced here that I would like to comment on.

    First, the proposed levy is a flat 13$ which would be levied at the point of sale, ie. it would just be included in the advertised price of the computer. (All products sold in Germany include a (federal) 16% Value Added Tax (less for food, books, and a few other things) - even if sold over the internet, btw, so no implicit subsidy of internet B2C commerce).

    As has been pointed out before, there is an organisation (GEMA, "Gesellschaft für musikalische Aufführungs- und mechanische Vervielfältigungsrechte" - yes, we do use long words) that - with authorisation from the state - collects a levy on empty media, such as MC, VC, CDR, etc, as well as concerts, radio broadcasts, etc, as well as other equipments, such as tape recorders and VCRs, and last but not least (dig this) on answering machines and copy paper (so there! no inconsistency here...) (Source: http://www.kassablanca.de/zo/inside/gema/150501gem a01.html - sorry, I don't know how to embed the link, but it's German anyway)

    The collected money is distributed to the authors (ie composers, song writers, editors), mostly for billboard chart music and classical music - not to the musicians, though (unless they are the authors, obviously)!

    (BTW, there are other similar organisations responsible for other content, eg. the GWFF for foreign movies, and the GÜFA for porn (http://www.guefa.de/)
    They levy fees for porn shown at trade fairs, in hotel rooms, etc... Back to music, though:)

    Now, this is some bureaucracy, granted, and it is debated about, but mostly accepted. Why? Well, paradoxically, this generic presumption of guilt is concomitant with much _less_ control and restriction of the individual consumer!

    Fair use:
    By German Urheberrecht, you explicitly have a fairly generous right of fair use: you may make a few (about 7) copies (from a legitimate source, eg a CD you bought) for private use (including use by family and good friends). Others may make the copy for you (eg if they have the equipment) if they don't charge you.
    This covers any format you choose, CD, MP3, cassette, whatever.

    While offering content via P2P is probably illegal (since it is not restricted to family/friends), downloading via P2P is debated, but arguably legal (since it is for private use) - the industry hasn't dared attacking private P2P users in Germany yet, AFAIK.

    Anyway, there is certainly no such outrageous piece of legislation as the DMCA.

    Where
    - was Professor Edward Felton intimidated into not publishing academic research on watermarks?
    - was Dmitry Sklyarov from Elcomsoft (a foreigner, even!) charged for writing software for reading Adobe's Ebook?
    - has a website (2600) been forced to remove information about and links to DECSS?
    - are ISPs being forced to hand out data about customers if the music industry demands so? ... etc....

    Not in Germany. So, if I have to pay an extra 13$ for my 2000$ Powerbook, and an extra 0.12$ for my CD-Rs, but can pretty much do what I want with my (and my friends') music and video, as long as I don't make a business out of it - seems sensible to me, I'll take it.

  123. Time to stop learning German by karlm · · Score: 1

    Germany has sensible crypto laws and a government some what clueful on OSS and monopolistic abuses. They also have some interesting microkernel reserch going on over there. I was just starting to think it would be a good place to go to grad school. If this passes I'm back to the old drawing board.

    --
    Copyright Violation:"theft, piracy"::Anti-Trust Violation:"thermonuclear price terrorism"<-Overly dramatic language.
    1. Re:Time to stop learning German by NotSimilarToOtherNic · · Score: 2, Insightful

      Because you might have to pay $14 dollars more, when you buy a computer??

    2. Re:Time to stop learning German by karlm · · Score: 1
      Because you might have to pay $14 dollars more, when you buy a computer??

      No, becuase it was a joke, an exageration for the sake of humor.

      --
      Copyright Violation:"theft, piracy"::Anti-Trust Violation:"thermonuclear price terrorism"<-Overly dramatic language.
  124. Taxes by arf_barf · · Score: 1

    Hmm, I guess they have a new tactic. Cant get you for copyright violations, then they will get you for tax evasion.

    Btw, if you dont pay taxes in Germany and you get cought, you will get a bigger penalty then if you would have killed somebody :-) (just ask Mrs Graf or Mr Becker)

  125. +5 informative by Anonymous Coward · · Score: 0

    thank you holger.

  126. Re:MOD PARENT UP by Anonymous Coward · · Score: 0

    So what did *you* contribute to European freedom? My guess is, *maybe* your grandfather fought on the beach of Normandy, but you didn't.

    You may reflect yourself in his glory, but in reality you are just a pale shadow of the man he was...

  127. can it be true? by LittleBigLui · · Score: 1

    Unless it was imported illegally.

    Yes, actually doing illegal things allows you to avoid laws.
    Seems like a very novel concept to me. Maybe i should go patent that, for great PROFIT!!

    --
    Free as in mason.
    1. Re:can it be true? by cyril3 · · Score: 1

      I can prove prior art. you owe me many monies.

    2. Re:can it be true? by Anonymous Coward · · Score: 0

      The great thing about Europe though is the concept of open borders, and free trade. So if you're a German consumer, and you don't want to pay this tax...then take your Euros to the Netherlands, or France, or Belgium, and purchase your tax-free PC there. Perfectly legal, and you don't have to declare the purchase or pay the tax on import.

      Silly German media industry. Why won't they die?

    3. Re:can it be true? by Guppy06 · · Score: 1

      "The great thing about Europe though is the concept of open borders,"

      Yeah! Somebody from the UK can just go across the channel, buy a television and... Oh, wait, that's right, the UK won't let you use a television without paying that particular tax, and they have electronic snooping methods to make sure you don't cheat. So much for free and open Europe!

      Could be worse, though. The EU could be trying to force international merchants to collect VAT from EU customers. Oh, wait...

    4. Re:can it be true? by Guppy06 · · Score: 1

      "Yes, actually doing illegal things allows you to avoid laws."

      All I'm doing is pointing out the justification that will be used to require this little tax to be enforced by electronic snooping methods, must like the British do with televisions.

    5. Re:can it be true? by LittleBigLui · · Score: 1

      ahem. i think i must have misunderstood you wrongly. my bad.

      --
      Free as in mason.
    6. Re:can it be true? by Hognoxious · · Score: 1
      Yeah! Somebody from the UK can just go across the channel, buy a television and...
      ... bring it home and it won't work. Different system (Belgium), laughably shite different system (France).
      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
  128. That is no 'extra' 16% tax for copyright by Lars+T. · · Score: 5, Informative
    That is the 'normal' 16% Mehrwertsteuer (VAT) we Germans have to pay on everything (less for some stuff like food). It has nothing to do with the 12 Euro "copyright levy"

    BTW, the VG Wort (and the VG Bild-Kunst (image-art)) claim that this strengthens the right to make a private copy. The hardware-makers protesting this (like HP) would rather use DRM and TCPA. (Article in German

    --

    Lars T.

    To the guy who modded me down from perfect to terrible Karma - Apple haters still suck

    1. Re:That is no 'extra' 16% tax for copyright by tbien · · Score: 1

      I don't think that it will strengthen the right to make private copies. The content provides will use DRM anyway.

    2. Re:That is no 'extra' 16% tax for copyright by Lars+T. · · Score: 2, Interesting

      Unless someone tells the government that you can't make people pay twice for something. So when Germany outlaws DRM and CD copy protection, who will laugh then?

      --

      Lars T.

      To the guy who modded me down from perfect to terrible Karma - Apple haters still suck

    3. Re:That is no 'extra' 16% tax for copyright by tbien · · Score: 1

      And you really think that will happen???

  129. Mmmh. Source ? by aepervius · · Score: 2, Informative

    I mean, such a news would make the ire and anger of the industry I work in. So why this only source is cited and nobody else heard of it here in germany ? I am not even speaking of major media network, but of people in the know and in the industry. So , is thias UIP "source" reputable ?

    --
    C. Sagan : A demon haunted world:
    http://www.amazon.com/gp/product/0345409469/
    visit randi.org
  130. Depends on what the taxation rules mean. by billstewart · · Score: 1
    I think the problem is either the translation or editing of the article - it probably does not mean "the copyright police will charge you 16% of your computer plus $13". It probably means "computers are already too expensive because of the 16% VAT tax, and now the copyright police want to add $13 more graft for themselves", which is much different. It's still annoying and tacky, but it's not economically disruptive like an extra 16% tax would be.

    For 16%, you might see shops selling computers without the CPU and also selling CPUs, and you would definitely see shops selling monitors and printers separately. But if the tax difference is only $13, it's not worth the trouble to avoid it, so computer shops will just give you a free copy of Napster so you can download the music you were forced to pay for.

    --

    Bill Stewart
    New Fast-Compression-only CPR http://preview.tinyurl.com/dy575ks
    1. Re:Depends on what the taxation rules mean. by Pius+II. · · Score: 1

      This is, of course, right. Everything you buy has the 16 % VAT on it, and for computers you'll have to add 13 /$ GEMA-Gebühr. It still sucks, though. This also would still hurt the small shops, because I remember that they wanted to have seperate "Gebühren" for the _parts_ of the computer, i.e. 50 cent per ten GB hard disk, 4 for a CD-R drive or whatever.

    2. Re:Depends on what the taxation rules mean. by ponxx · · Score: 1

      it means they charge you a levy of $13 + 16% VAT on that levy, thus ~ $15 in total. All it points out is that the levy is still subject to VAT.

    3. Re:Depends on what the taxation rules mean. by billstewart · · Score: 1

      I checked with the author, and he confirms that it does just mean they're proposing to add a new 12-euro tax. Of course, there's still the problem of deciding whether the tax applies when you buy the CPU, or the motherboard, or the CD-writer, or the audio card, or some complete package deal, because it would be excessively annoying to have to pay the tax more than once for the same computer merely because you were upgrading components.

      --

      Bill Stewart
      New Fast-Compression-only CPR http://preview.tinyurl.com/dy575ks
  131. Re:How long until we have no legal backup solution by Anonymous Coward · · Score: 0
    CD-R's and DVD-R's are the largest writeable media format for backup right now,


    DDS4 (DAT) tapes hold 20GB each. Unfortunately not as cheap as CDR, and already heavily taxed by the RIAA....
  132. Levy on Audio CDs - A Modest Proposal by billstewart · · Score: 1
    Software authors of the world - Unite! We must take up the power of the Berne Convention and WIPO and throw off the shackles of control from the EEEEEEViLLLL Record Companies by making them pay a bribe (ok, we'll call it a levy) on every Audio CD they sell. After all, those EVIL PIRATES are pretending that they're just selling music, but in fact they're selling computer software delivery systems without paying US a license fee for the software they might be delivering on it.

    SURELY you don't believe people are buying Brittney Spears albums for the SINGING, do you? Obviously the "music" is a front to hide a pirate software distribution system! That $16 CD might have some low-quality music filling space, but it's got enough room to hide an entire $20,000 chip-design CAD system or a $500 integrated development environment or a $0 copy of EMACS on it, and some music CDs have ACTUALLY BEEN OBSERVED IN THE FIELD WITH DATA and SOFTWARE ON THEM, such as jpegs of bands and dancing animated screen savers. One such highly subversive example that EVIL RECORD COMPANIES HAVE ALREADY DEPLOYED is a track by Information Society called "300 8N1" that actually produces ASCII when played to a 300-baud modem.

    --

    Bill Stewart
    New Fast-Compression-only CPR http://preview.tinyurl.com/dy575ks
  133. Re:No. Have you even taken economics? by mpe · · Score: 2, Insightful

    Unlike most physical goods, the fixed startup cost is enough that it is very hard to get into it.

    With many physical goods you have to design not only the goods themselves but also machines and systems to produce those goods. Even where you do have costs like movie sets they don't need to be durable enough for hundreds of thousands of uses.

    Peter Molyneaux wants gov't support, because Black and White took too long and wasn't bought by enough people. EA may be able to take the write off, since they produce games each year that have profit margins to cover it (NBA Live 200X, etc), but Peter's credibility is ruined, and he can't make more games.

    Then either he asks for more credit from his bankers, seeks alternative sources of investment or goes bankrupt. There is no god given right for a business to break even, let alone make a profit.

  134. Re:MOD PARENT UP by jhunsake · · Score: 0, Troll

    Yeah we should have let Germany have France. They might have bred out the French faggotness.

  135. Why should the music industry be the only one? by Kjella · · Score: 1

    According to Wired, the Canadian Private Copying Collective, the music industry trade group, has proposed "new levies to be applied to any device that can store music, such as removable hard drives, recordable DVDs, Compact Flash memory cards and MP3 players."

    I hereby suggest the following new taxes
    -The motion picture tax (DivX)
    -The application tax (ISOs)
    -The games tax (ISOs)
    -The ebook tax (ASCII?)
    -The magazine tax (Scans)

    Also, this tax does not go anywhere far enough. it does not include conventional hard drives that time and time again have been proven to be used for the above stuff. Funny, maybe that would piss off too many corporations.

    Somebody should hit them with a cluebat. Particularly those producing cameras using Compact Flash should file a suit, since all their camera users must pay a tax to this organization. How's that for rediculous tax? Run a full size page ad in a canadian newspaper, with the picture of a camera and the text "To take pictures with this camera, you must pay the CPCC for music piracy". That should get some attention...

    Kjella

    --
    Live today, because you never know what tomorrow brings
  136. No registration by StMM · · Score: 1

    The "Tax" is cashed at the manufacturer. No registration required.

    --
    EOF
  137. Re:MOD PARENT UP by jhunsake · · Score: 1

    Look! It must be true! A French faggot just moderated my post!

  138. EU by Peer · · Score: 2, Interesting

    These taxes make people feel right about downloading music. Why can't we download music music, we payed for it when we bought our computer?

    Since Germany is part of the EU, I think they can purchase computers all over europe without paying the extra tax (that is, is thay don't plan on downloading music with it ;)

  139. And who gets the money? by TheLink · · Score: 1

    Who gets that money?

    Why shouldn't I get it? I create stuff too. Hey maybe if you gave me that money to Joe Schmoe down the street he'd create more useful stuff too.

    Practically like cake manufacturers getting a levy on ovens and recipe books.

    Would they get an increase every time their profits go down?

    What a crap law.

    --
  140. Re:similar article by Anonymous Coward · · Score: 0

    What bothers me the most is the fact that they airbrush out her pussy! As if having a pussy clearly visible is somehow inappropriate?

  141. This is simply protection in the 21st Centuary by Barto · · Score: 1

    This isn't about copyright. This is about failing businesses who want their operations subsidised by the government. In the old days, they pleaded for tarrifs, legal monopolies and subsides. Now they want to tax computers.

    Contrary to some peoples posts, increased costs in production do lead to increased prices. This is because a business will cease to make more profit for additional production quicker. It will then slow down production. This will shift the supply curve, pushing prices up.

    Barto

  142. it really depends... by g4dget · · Score: 1
    There is something quite distasteful about it: basically, it means that a tax on hardware is handed out to a bunch of companies merely by virtue of being big. Keep in mind that a large amount of the content on the web is created by people like you and me, and we aren't going to see a dime of that money.

    Still, one has to be realistic. As an alternative to the DCMA and pervasive DRM, it may well be preferable. Lots of uncompetitive industries get subsidized. Subsidies and handouts to the media industries to have them shut up seem no worse than subsidies and handouts to steel or defense companies. If anything, they are less harmful.

    So, it really depends on the details, as some people in the article also point out.

    Note that blank CDs are already taxed in both the US and Germany (and many other countries) just for this reason.

  143. Great information by rimmon · · Score: 2, Insightful

    As somebody who's living in Germany: There is a 16% VAT on everything for years and years...(the only exception are food and other things you need to survive (sorry geeks, you don't need PCs to survive...)
    And that 13$ fee is discussed for eons (sp?) so nothing to see here, please move along...

  144. It's fine... if: by Anonymous Coward · · Score: 0


    1. the german government then leaves consumers alone (even if the media company pursue them through the legal system).

    2. the media owners accept their internet fait and fade into the sunset if the fail to change and adapt.

  145. Why subsidize a dying industry? by Anonymous Coward · · Score: 0

    better to just kill it off quick.

  146. Duh! by Anonymous Coward · · Score: 0

    "Blank magnetic media, especially recordable CDs, are -- or have been -- taxed in more than 40 countries, including Canada and the United States.
    "

    Yes, those magnetic CDs. Careful you don't have a magnet near them or you'll wipe out all your data.

  147. what a suprise. by denttford · · Score: 1

    I'm supposed to be surprised about this?

    They should also propose a law to tax Jews at a higher rate, because everyone knows they are going to be cheating some Good German down the line and profiting.

    At least one good thing about the EU - expanding eurozone capitalism is bound to cause this to fail - don't like the tax? Buy in the Czech Republic, Poland, etc.

    But it doesn't suprise me that it starts here. Damn glad to be leaving this country come Tuesday after half a year.
    Guten tag. Ich will mein leben zurueck.

    --

    Leben Sie jetzt die Fragen.
  148. Sounds greate to me. by Anonymous Coward · · Score: 0

    My first reaction was I don't pirate copyright material so why should I have to pay.

    But doesn't a charge like this give you some legal rights. They can hardly ask you to pay for something if you have already payed to pirate it?

    So if they do introduce this I will travel to Germany and buy the cheapest PC I can find and bring it home and use it to pirate to my hearts content safe in the knowledge that I have already payed.

  149. my guess by phrantic · · Score: 1

    ....Peter Suber, a prominent advocate of free online scholarship, analyzed the various post-levy scenarios in his FOS blog:
    "What I can't tell is whether the copyright levy on hardware will come with universal permission to copy....


    My Guess is that if this does become law (what colour is the sky in their world though??) , that the proceeds will be used to chase down anyone who is actually caught copying material. I would be very surprised if the paying of this tax and/or levy infers any rights to copy.


    --
    --My sig is bigger than your sig--
  150. It's not "Backstreet Boys"... by Anonymous Coward · · Score: 0

    It's the Backdoor Boys.

  151. We have socialism in America too. by Anonymous Coward · · Score: 0

    Payroll taxes
    Income taxes
    Regulations that violate private property rights
    Redistribution of weath via "welfare" and Socialist Insecurity

    Having a country that's "a little bit socialist" is like being "a little bit pregnant". It can't happen. Either a country is free, where the rights of one individual is bound only by the equal rights of another, or a country is socialist.

  152. Big deal? by radish · · Score: 1


    I mean apart from the principle of the thing, who really cares about e12 extra on the price of a e700-e1000 computer? It's like having to pay for the mouse seperatly or something, I just don't care.

    And before anyone says otherwise, the 16% VAT is already charged, as it is everywhere in europe (although the rate varies slightly). The "+VAT" means the e13 will be subject to VAT, making it actually something like e15.

    --

    ---- Den ene knappen er powerknapp, den andre er Bender voice knapp "Bite My Shiny Metal Ass"

  153. VAT by Anonymous Coward · · Score: 0

    First of all, they already pay 16% VAT on stuff in Germany, so I don't see how this would be piracy-levy-specific. Second of all, stop whining! In Sweden we have 25% VAT :)

  154. $13/Computer? by Anonymous Coward · · Score: 0

    At first, before I read the article, it sounded pretty good actually. A $13 computer, with 16% tax? That's only, like $15 for a computer. I figured, must be a piece of crap, so I read the article and found that the tagline was misleading after all... sigh.

  155. Why not send everybody to jail? by Anonymous Coward · · Score: 0

    Instead of taxes and levies why not jail everybody a couple of days every year because they can't catch all criminals, mp3 downloaders etc??

  156. Greedy Blood Suckers by nigels · · Score: 1

    So, let's get this straight... Copying an audio
    CD to my hard disk is a crime. Just in case I'd
    like to do this, I should pay a tax to greedy
    corporations. But they will still defame me in
    the media, possiblly hack my PC, and possibly
    take me to court. At the same time they tax me,
    and everyone, despite the particular use of each
    PC.

    These greedy blood sucking parasites can't have
    it both ways.

    (No, I didn't read the actual link, the headline
    was enough to make me angry!)

  157. Re: What boiled frog is that? by Uninvited+Guest · · Score: 2

    This "boiled frog" analogy sounds like a variation on the "excluded middle" argument, in Carl Sagan's Baloney Detection Kit. Can you (or anyone) provide a reference to a documented experiment on a frog? I found vague references to "classical physiology experiments" on Google, but nothing more concrete. If there's no current work in this area, perhaps we could persuade someone to perform this experiment and document it. Okay, okay! Stop making that face! Maybe someplace that already serves frog legs, eh?

    --
    Sometimes I worry that I'll develop Alzheimer's disease, but no one will notice.
  158. Invoking Godwin's law for Fun and Profit by finkployd · · Score: 2, Interesting

    You know, Hitler and the Nazis instituted a VAT tax on printing presses....

    Finkployd

    1. Re:Invoking Godwin's law for Fun and Profit by easter1916 · · Score: 1

      So what? Value-Added Tax is levied in all European countries on an almost all goods. It's our equivalent of sales tax.

    2. Re:Invoking Godwin's law for Fun and Profit by easter1916 · · Score: 1

      Bah, never mind... I just read your subject line. Colour me homourless.

  159. Re:No. Have you even taken economics? by Tuxinatorium · · Score: 1

    No shit, sherlock. I didn't say it was cost-free. I said the MARGINAL COST was negligible if they have efficient methods of distribution. When you're dealing with goods with a high marginal cost, the price you're going to have to charge is:

    Marginal Cost + (other costs + profit)/(how many you expect to sell

    And economies of scale may apply to the marginal cost, which would allow the company to make more money by selling more copies at a lower price. Software is the ULTIMATE economy of scale, since the marginal cost is negligible compared to the dollar amount of costs recovered per copy sold (even for packaged games, it's like $2 vs. $30 So if the industry could sell 4 times as many copies at 1/3 the price, they would have 1.33 times the revenue with a much smaller increase in expenses, resulting in a large increase in profits. That kind of thing would never work in an industry where the marginal cost is a significant portion of the price of the product. Economies of scale always have the potential to shift the profit sweet-spot downward, and software/music is the ultimate economy of scale.

  160. How are they going to apportion out the proceeds? by Anonymous Coward · · Score: 0

    What artists are going to get what percentage of the tax (for compensation)?

    Isn't EVERY original work copywritten? Including ALL web pages? Isn't EVERYONE violating copyright when they view a web page?

    That means anyone who has a web page up can claim a part of the tax revenue?

    Copyright is dead. It's over. Trying to enforce it is like trying to enforce a law that gravity doesn't exist.

  161. My piece by eyeball · · Score: 1

    I'm a musician. Sure my music hasn't been sold by major labels, but aren't I still entitled to some of the cash from this (as well as the Canadian and US recordable media levys)?

    --

    _______
    2B1ASK1
  162. Re:similar article by Anonymous Coward · · Score: 0

    That young lady ought to see a doctor.

  163. So let me get this right... by AmbyVoc · · Score: 1
    Businesses charge what gets them the most profit. If thefts go up, they increase costs to cover the lost sales


    As businesses go on covering their 'lost' sales they further provoke piracy since people do not find it smart to buy something they can get for free or at least ten times cheaper. I wonder if pirates are doing the exact same thing and raise prices since it is fairly hard for the Joe Average to get a pirated copy free today unless from p2p services which are mostly slow and unreliable.

    and if thefts drop and sales drop faster, they lower prices to get the profit margin back.


    Umm, let me see, is it even possible to tell the thefts (since piracy really can't be dealt as a theft) have dropped?

    Lowering prices is not likely to happen because record studios are too greedy to admit the sales have dropped because and only because of too high prices.

    - Voice of Ambience -

    --
    - Voice of Ambience -
  164. _Why_ you are a moron by DerFeuervogel · · Score: 1

    While I agree with as jhunsake (81920) said: "You're a fucking moron."



    I will attempt to show you _why_.



    The previous poster wrote:

    Here's the problem. If everyone -- and I mean *everyone* -- is violating some particular law, then that law needs to be revisited. Obviously that law isn't for the good of the people, if the people themselves are violating it.



    To which you responded:

    Not all laws exist for the good of the people. Some laws exist for a different good, but people must still obey them.



    Well in the United states a few years ago an abominable thing called slavery existed by law in some states. That nation was ripped appart for years in an attempt to redress what we now universally discerned as an evil. Laws are made by people. People are capable of making mistakes.
    I postulate that is is your responsibility to disobey laws that you find morally objectionable. You might have to do jail time as a result of that action, but if everyone agrees with you then that effort will be well spent.



    So your "but people must still obey them" attempts to take from people their right to disagree with the status-quo. Anyone who tries to use logical arguments to explain the taking of that right from individuals is indeed a moron.

    1. Re:_Why_ you are a moron by mangu · · Score: 1
      I postulate that is is your responsibility to disobey laws that you find morally objectionable.


      Robert Heinlein expressed this same idea, in "The Moon is a Harsh Mistress": "But I will accept any rules that you feel necessary to your freedom. I am free, no matter what rules surround me. If I find them tolerable, I tolerate them; If I find them too obnoxious, I break them. I am free because I know that I alone am responsible for everything I do."

    2. Re:_Why_ you are a moron by Twirlip+of+the+Mists · · Score: 1

      Well in the United states a few years ago an abominable thing called slavery existed by law in some states.

      Slavery was never supported by law. It was merely not prohibited by law. Those are two entirely different things.

      Oh, and by the way, comparing copyright law and a copyright-related tax to slavery makes you look like a blowhard.

      I postulate that is is your responsibility to disobey laws that you find morally objectionable.

      And I postulate that it is your responsibility to find something more important to get morally uppity about than whether or not you can continue to download free music. Get a sense of perspective.

      --

      I write in my journal
    3. Re:_Why_ you are a moron by Anonymous Coward · · Score: 0

      Isn't it sort of funny that with all our harsh punishments we have by far the highest per-capita incarceration rate? Its thinking like yours that has created the laws causing this. Politicians say "Well, if we make the punishment SO big, nobody'll break the law!"

      Well, guess what. Much of the time, you just end up putting more people in jail. I think this is a pretty strong indication that criminalizing or 'deterring' an enormous part of the population from doing something relatively benign will do nothing to abet behavior, though of course it takes us one step closer to a police state.

    4. Re:_Why_ you are a moron by sputnik73 · · Score: 1
      Not having a law prohibiting a behavior means that that behavior is legal. I don't know what you mean by "supporting" through law, because that idea doesn't really make any sense whatsoever. A behavior is either legal or it is not legal. If there exists legislation which dicates how slave populations should be counted, that seems like a pretty obvious sign that slavery is allowed.

      Now, your trite little comment about "looking like a blowhard" is petty nonsense. What prevents you from having a reasonable discussion? The poster made an attempt at comparing this situation to another one - much more critical - in order to better understand the current situation.

      Finally, your postulation (why don't you just call it a shot at the parent?), is taking a shot at you as well. He cares one way. You care another way. In your eyes, you're both wasting your time, right? Shouldn't you be rallying for peace or helping the homeless instead of posting on Slashdot? Come on, get a sense of perspective.

      [See the error that is your life now?]

    5. Re:_Why_ you are a moron by ahodgson · · Score: 1

      You're not free if you have to break multiple laws every day just to live your life the way you want to. It just takes one bureaucrat to take one small dislike to you and suddenly you can be doing serious time for doing things that never hurt anyone and never could, things that everyone does but for which there is little enforcement except for when convenient.

  165. If you already pay the tax by ACNiel · · Score: 1

    Does that mean you can copy all the music you want.

    I was wondering that about the tax in Canada for CDR's. If they are charging the tax to pay off the recording industry, does that mean you have just paid your royalties?

  166. Is music piracy really so bad? by zackbar · · Score: 1

    If people should be paying for music to which they listen, why are radio stations paid to play music instead of charged?

    Why are some of the most pirated songs also the biggest sellers at the stores?

    1. Re:Is music piracy really so bad? by Anonymous Coward · · Score: 0
      why are radio stations paid to play music


      I'm sorry, you spelled "paid" correctly. I'm afraid I'll have to ask you to leave the Internet, now...

    2. Re:Is music piracy really so bad? by Uwe+Barschell · · Score: 1
      If people should be paying for music to which they listen, why are radio stations paid to play music instead of charged?

      Sorry, I dont know anything about the radio industry. Maybe having a song played on the radio is considered a good way to advertise it. The quality of radio is clearly inferior to the quality of, for example, a CD, so maybe the owners of the music dont care if such a low-quality version is distributed.

      Why are some of the most pirated songs also the biggest sellers at the stores?

      I think the most obvious explanation for this is that songs are popular with those who buy music for the same reason(s) they are popular with those who download music.

      My own concern is less with music than it is with more intellectual forms of IP such as books and software. A book or software application requires much more investment in education/training, time and effort to produce than music, and there is a greater risk that such investments will not be made if piracy severely reduces the potential returns.

    3. Re:Is music piracy really so bad? by general_re · · Score: 1
      If people should be paying for music to which they listen, why are radio stations paid to play music instead of charged?

      Uhhh, they aren't, at least not in the US. ASCAP, BMI, and SESAC all charge radio stations a licensing fee for playing music by the artists they represent.

      --
      ABSURDITY, n.: A statement or belief manifestly inconsistent with one's own opinion.
    4. Re:Is music piracy really so bad? by Hognoxious · · Score: 1
      why are radio stations paid to play music instead of charged
      Yeah, it's the DJs that get paid to plug certain tunes. Ooh look, someone's mailed me a demo disk. Oooh what's this stuffed inside the box...
      --
      Confucius say, "Find worm in apple - bad. Find half a worm - worse."
    5. Re:Is music piracy really so bad? by zackbar · · Score: 1

      Then I suspect that the musicians never see any of the license fees, considering how much artists are hit to promote their music on stations.

      I know it's not just dj's that get paid for promoting music, either. The recording industry has been complaining also about the money they are required to pay to promote music. How does that fit in with these license fees?

      I know there are license fees paid by clubs, bars, and stores that play music, but I suspect that any license fees paid by radio stations is a drop in the bucket of what they get back in fees from the music industry.

    6. Re:Is music piracy really so bad? by zackbar · · Score: 1

      This part of the thread was specific to the music industry rather than software or books.

      mp3's aren't all that great a quality of sound either. There are bands that have found that the "piracy" of the internet was a great way to advertise their sound too. In fact, a whole school of thought exists that believe that the RIAA would have made LESS money if p2p didn't exist.

      After all, they actually cut down on the total number of different new releases quite a bit, yet the sales only dropped somewhat. Prices of album's are still high at $20 when a dvd is only $15.

      Other forms of IP, such as books and software aren't that much different though. I personally don't like reading books on my computer. I prefer to relax on the couch with a good book. Last year, I could download "Witches of Karres" for free, but I wanted a book to hold in my hands to read it. I finally found it used. Finding it online made me remember that I wanted it.

      Software, on the other hand, copy protection has been found for years to not work. In fact, piracy quite possibly has helped advertise software. Where would microsoft be today if they had been pricks about people using the office windows cd to install windows at home? During college 17 years ago, we pirated games all the time. I couldn't afford to buy many, and really couldn't afford to spend money on a game to see how I liked it. Interestingly, after college, when I had money, I bought all kinds of games even though the copy protection wasn't any better. I had no reason to pirate anymore, and the games had me hooked.

      Sure, some piracy will always go on. But trying to stop piracy of a product will actually help kill that product rather than increase revenue long term. Copyprotection only ticks off honest purchasers, and pirates break the copy protection anyway.

  167. Does this give me the right to copy? by javacowboy · · Score: 2, Insightful

    From the article:

    Moreover, the fuzzy nature of the surcharge leaves a lot to be desired. Peter Suber, a prominent advocate of free online scholarship, analyzed the various post-levy scenarios in his FOS blog: "What I can't tell is whether the copyright levy on hardware will come with universal permission to copy. If so, that's a big gain for a small cost ... If the levy does not imply permission to copy, then which copying does it cover?

    "If it covers copying without prior permission, then users will simply stop asking for permission, and convert all copying to pre-paid copying. If it covers copying without pre-payment, then that begs the question: what does the levy pre-pay? (It's not clear) how the plan would continue to distinguish authorized from unauthorized copying."


    This brings up an interesting question. If I pay this surcharge, have I effectively purchased the right to violate copyright laws, and download/burn/rip anything that I want? I mean, if I was a law abiding citizen and refused to illegally copy illegal music, what's to stop me from changing my mind and start to break the law, in retaliation for them assuming that I'm a criminal?

    If before I was buying digital media simply to burn Linux ISOs, back up my harddrive, etc, what's to stop me from deciding to start illegally copying music, now that I have to pay anyway for activities that were previously 100% legal?

    This will only encourage piracy. In fact, this will encourage people to pirate even more, in order to recoup the funds they paid in digital media taxes.

    And I thought governments were stupid....

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    1. Re:Does this give me the right to copy? by satterth · · Score: 1
      Dude, you are reading too far between the lines.

      When you pay the tax/levy you are purchasing the right to be able to backup/copy your own LEGALLY OWNED music cds. You can now listen to your new mixed CD in your car or home stereo. Thats it, nothing more. And no, you are not a criminal yet. If you DO NOT pay the tax/levy, then you DO NOT have the right to make a mixed CD of your LEGALLY OWNED music to listen in your car. Simple isn't it.

      --
      Being called a dork on Slashdot must be like being called the retard in special ed.
    2. Re:Does this give me the right to copy? by tempfile · · Score: 1

      The practice in Germany with devices like copiers, tape recorders etc. has been that a little levy allows you not only to make your own copies - that would be legal also without any levy - but also to record broadcasts, make copies of media you have lent out from a videotheque or even a friend, and give small amounts of copies away for personal use.

      The levy would get PCs as copying devices out of the legal grey area they are currently in. Of course, the industry won't stop lobbying for stricter laws telling the people that all copying is evil and must stop, or everybody will die.

    3. Re:Does this give me the right to copy? by javacowboy · · Score: 1

      Dude, you are reading too far between the lines.

      When you pay the tax/levy you are purchasing the right to be able to backup/copy your own LEGALLY OWNED music cds. You can now listen to your new mixed CD in your car or home stereo. Thats it, nothing more. And no, you are not a criminal yet. If you DO NOT pay the tax/levy, then you DO NOT have the right to make a mixed CD of your LEGALLY OWNED music to listen in your car. Simple isn't it.


      I'm not trying to start an argument, but doesn't the constitution (US or Canada) guarantee me the right of fair use in copyright law? Isn't this like telling me I should be paying for something that I'm getting for free: the right to backup content that I paid for, or transfer it to a different medium? I mean, what's next, asking me to pay for the air I breath?

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    4. Re:Does this give me the right to copy? by satterth · · Score: 1
      I don't know about the USA, but in Canada...

      The Copyright Act came into effect on March 19, 1998. Before then copying any sound recording for almost any purpose infringed copyright. The copyright act now legalizes copying of sound recordings onto recording media for private use. At the same time the levy was introduced on blank media.

      --
      Being called a dork on Slashdot must be like being called the retard in special ed.
    5. Re:Does this give me the right to copy? by Anonymous Coward · · Score: 0

      EXACTLY - finaly 1 person got it - apart from the fact that the 16% VAT has nothing to do with Pc sales at all , but is a general sales tax . 13 thats the amount in question . still the previous poster should get an 5+ for insight - if she is not living in germany. i am therefor it's just common sense to me .

  168. Taking it a step further by TooTechy · · Score: 2, Insightful

    Why not place a tax on tools too. That way people who have their cars stolen can be compensated by the tool manufacturers ;-)

    Seems fair to me!!!

    And... How about a tax on newspapers just in case they get used in a pick pocket crime.

    The list goes on.

  169. Signature Suggestion by Anonymous Coward · · Score: 0


    FROM:
    Jesus of Nazareth did not die so we could enjoy eggs and chocolate bunnies!

    TO:
    Jesus died so we could enjoy eggs and chocolate bunnies! - Cadbury, Inc.

    Your signature needs a little humor, especially when dealing with idoltry and blasphemy. Your signature plainly points out a rediculous custom, while mine makes it fun to make fun of people who blasphemy. It's blasphemy for the blasphemers...

    Give them a taste of thier own medicine, and have fun with it...

    Wise as a Serpent, Harmless as a Dove...

  170. an obvious troll based on the original article by Anonymous Coward · · Score: 0

    the canadians are mulling a tax on anything that can store music....

    1) do we want to pay double the price for PAPER because music can be stored on it ? (what about preprinted paper, because you can doodle music in the margins!) (this proposal should be written on soft paper about 15cm wide... before we have to pay music tax on that too...)

    2) how are they going to tax newborns, since people can obviously store music... ?

    isnt this ridiculious?

    I think I am going to go buy myself a new big hard drive and start pirating for all its worth after these laws pass, since I will be paying taxes to "make up for piracy", I might as well get some benefit fromt he piracy. To this point, All i do is put copies of CD's in my car's changer (with the faceplate sitting next to my stereo, there is no way anyone else can listen to those CD's in the car while I listen to them inside...) (Besides, after having the changer stolen TWICE in one year, you learn fast, esp with insurance reimbursement (they cover the changer, you eat the music cd's since they are personal property and not covered by the car policy)

    yeesh.

  171. Re:How long until we have no legal backup solution by Evil-G · · Score: 1

    In the UK (I don't know about the US) tobacco taxes are ridiculously high. An imported 50g is £3.50 whereas a taxed one is about £9. Perhaps a similar thing may occur with media and there will be "CD smugglers" bringing in cheap CDs from abroad.

  172. Copyright violation is NOT theft. by Jadecristal · · Score: 1

    Copyright violation is not stealing. It's copyright violation. You have not deprived anyone else of physical goods, just some profit that they might have made if you had purchased the copyrighted work rather than making a copy of it.

    Please read the whole comment, and note that from what I just said, this does not make copyright violation any better than stealing, from a legal perspective. They are both violations of the law. The difference is that "piracy" is equated in people's mind with pillage, rape, robbery, and murder - equating "piracy" with copyright violation is exactly what the so-called content industry does, so that rather than consider questioning the law, you back down. Disagreeing with something called "piracy" implies that you might think that pillage, rape, and murder, and everything else that goes along with it, might be something else that you disagree is bad.

    Letting the content industry twist words for the sake of propaganda isn't in our best interest. Propagating their twisting by using their terminology is probably not in our best interest either. Let's call apples apples and oranges oranges, and not compare things that have no relation to each other. "Piracy" is not a good metaphor for copyright violation.

  173. The only truly fair solution... by cwsulliv · · Score: 1

    to the PIRACY (tm) problem insofar as the media producers are concerned is as follows:

    Take the total profits of the media producers for the year prior to Napster being available. Any decrease in profits in subsequent years is obviously due solely to PIRACY (tm).

    Each year, the difference between the pre-Napster year profits and the profits this year is to be fully recovered by a tax on all PC (i.e., Piracy Conspiracy) equipment sold, such tax proceeds to be distributed pro-rata to the media producers (even if they produce nothing at all in the year).

    Bwahahahaha!!!

  174. Re:say it with me now...Socialism by Anonymous Coward · · Score: 0

    Another example of how the socialists never pass up an opportunity to raise taxes.

    I feel sorry for the German people and how they will have to live with another incremental lowering of their standard of living.

    Anybody got any data on the effective tax rate in Germany?

  175. Pay once by gr8_phk · · Score: 1

    So this means you can "pirate" all the free downloads you want since you already paid for them at the time you purchased your PC. Right? As an author, where do I go to get my cut? Oh, your share will probably depend on how many 100 year old titles you have in your archive.

  176. Wormy by Dodger73 · · Score: 1

    I remember some media buzz about WORM (Write Once Read Many, if i recall correctly), but not that they were actually magnetically written. Thanks for the clarification :)

  177. Re:How long until we have no legal backup solution by rangek · · Score: 1
    CD-R's and DVD-R's are the largest writeable media format for backup right now

    Just a little nit pick... My VXA-1 tapes can hold 33GB, and that isn't even the largest tape drive I have seen. So CD-R and DVD-R are not the largest. They are perhaps more convenient for backing up other CD's or DVD's, but are not the only solution. ;)

  178. Re: What boiled frog is that? by sfe_software · · Score: 1

    I'd heard the analogy before, and whether or not it is actually true or has been scientifically proven is irrelevant. It still has some merit as an analogy.

    Searching google (exact terms: "boil a frog" temperature slowly) turns up many, many uses of the analogy, applied to just about any topic. I must be bored today, but I looked at all of the results, and not a single one cited any scientific study or anything.

    Fine. I'll start the water... :p

    Damn. I tried one last place, and found this. Guess it's not true...

    --
    NGWave - Fast Sound Editor for Windows
  179. Over the border by doghouse41 · · Score: 1

    I can just see it now... petrol stations just outside the German border advertising cheap petrol and PC's at 16% off!

  180. The capacity for rationalization is great. by Inoshiro · · Score: 1

    "If I copy something that I didn't create, and don't give money to the people who spent money to create it, I'm not stealing."

    Sorry, I don't follow that logic. This is the Real World logic: "If a customer wants something, they will pay for it and get it. If they don't want it or can't afford it, they don't pay for it and don't get it"

    You can rationalize it as saying there's "no loss" when you copy something without paying for it, but that's a lie. If you really cared about the music, you'd buy using money.

    Stealing is stealing, I don't see why people here seem to think that just because the copy cost is 0, that implies permission to copy everything.

    I'll leave you with another example. " If somebody walks out of a shop with something they haven't paid for, the shop has had property stolen, and they need to pay to replace it. The money has to come from somewhere, I agree. The same is not true of copyright infringement."

    Ok. Say you're some kid, who buys a video game at a store. You go home and copy it. Then you go back to the store and return the game, claiming it doesn't work. You get your money back. Have you stolen something? Why, yes, you have. You've stolen a copy of the software -- a sale that would otherwise have remained a sale. Again, theft is theft. Dressing it up in a little dress doesn't make it any different.

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    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    1. Re:The capacity for rationalization is great. by JimDabell · · Score: 1

      You can rationalize it as saying there's "no loss" when you copy something without paying for it, but that's a lie.

      I'm not rationalising it, and I'm not lying. Theft and copyright infringement are fundamentally different crimes. One deprives the owner of property, which then must be replaced at the owner's expense, one does not.

      Have you stolen something? Why, yes, you have. You've stolen a copy of the software

      No. You've made a copy of the software. The copyright holder didn't possess that copy, and you are not depriving them of it. Notice how I am not justifying it, I'm only talking about the difference between the two crimes.

      a sale that would otherwise have remained a sale.

      Copies do not equate to sales. They are different things - yes, in some cases, a copy is subsitututed for a sale. This still is not theft. It is a reduction in effectiveness of the artificial scarcity put in place by copyright law - a market force erring toward normality.

      Again, theft is theft.

      And copyright infringement is copyright infringement. The two statements are about as meaningful as saying "I'm right because I say I am".

    2. Re:The capacity for rationalization is great. by f0rt0r · · Score: 1

      Let look at the difference between theft and copyright infringement as pertains to its effect on a software vendor.

      The software vendor creates a software package, imprints it on 100 CD's and begins to sell them. So there are 100 CD's in the warehouse that the vendor paid for that he wants to sell for a profit.

      Now, one of the developer's takes a copy the final build of the software home on his laptop and shares it out on Kazaa or some such P2P program. 100 people download and install it.

      There are still 100 CD's sitting in the warehouse waiting to be sold.

      The vendor decides to sell the 100 CD's to a software retail outlet and makes a decent profit. Now there are 100 CD's in the retail outlets waiting to be sold. The vendor has not lost any money.

      A shoplifter stuff 3 CD's from one of the stores and makes it home. The store paid for those CD's but was unable to make a profit off of them, in fact, they took a loss due to the THEFT.

      ok, this was just one scenario. In this case copyright infringement had no affect on sales. Lets say the software vendor needed to produce and sell 10,000 's to make a profit on the software package, but they only sold 9,000. Let's say 10,000 copies of the application were downloaded and 1,000 of those downloaders would have purchased the application if it had not been available for download, and so easy to use ( like weak copy/cdkey protection ).

      Now, in the second case, you may jump out and say "hey! look! they lost money because of copyright infringement!", but no, that is not the case. The vendor miscalculated supply and buying demand his product and produced more than he could sell. It was a risk he understood but decided to stamp out 10,000 cd's anyway.

      Looking at the problem, the vendor later estimates that spending time/money on copy protection would increase the sales by 500, and that including the game manual with the CD ( plus not including any help files with game ) would have increased sales by 250, and finally including an upgrade discount coupon with the CD also would have gotten another 500 sales, putting the profit margin back to where he wanted it.

      I wrote this quickly during lunch, but hopefully it shows the difference between copyright infringment and theft, and why the business lost money. The point of that being is softare companies have to consider and account for copyright infringement when releasing a product, not expect some "software tax" to bail them out. Btw, I am in no way endorsing copyright infringement where the infringers sole reason for copying is to get something that they would normally buy and keep for free.

      Oh, and the retail outlet decided to put all its software in the warehouse and only put empty display boxes on the floor. :)

      --
      I can't afford a sig!
    3. Re:The capacity for rationalization is great. by Inoshiro · · Score: 1

      "I'm not rationalising it, and I'm not lying. Theft and copyright infringement are fundamentally different crimes. One deprives the owner of property, which then must be replaced at the owner's expense, one does not."

      Both deprive the owner of revenue generated by a sale.

      This is the, "it costs 2$ to make, so I'm only taking 2$ from them, not the 10$ it sells for" argument which doesn't work. When you take away a sale, you take away all revenue from that sale over and above your base cost.

      If you have the money for something, you buy it. Otherwise you do without. This is a basic rule of society.

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      Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    4. Re:The capacity for rationalization is great. by JimDabell · · Score: 1

      Both deprive the owner of revenue generated by a sale.

      Not true at all, and putting it in bold doesn't make you any more convincing. There is no right to revenue, you don't own it, it cannot be taken from you. There is no guarantee somebody who infringes on copyright would pay for a legitimate copy.

      This is the, "it costs 2$ to make, so I'm only taking 2$ from them, not the 10$ it sells for" argument which doesn't work.

      No it isn't. That would be if you actually stole a physical item from them. I'm saying that you aren't taking anything from them.

      How can I make it any clearer? Copyright law only gives you an artificial scarcity over your creations. It does not give you the right to profit. That is your responsibility. If somebody infringes on your copyright, it's attacking the artificial scarcity directly.

      Theft, on the other hand, is simply depriving the owner of something. Not an abstract concept, like a sale (which you can't guarantee), but something physical. They are fundamentally different crimes. Calling copyright infringement theft is like calling trespassing "stealing space".

      If you have the money for something, you buy it. Otherwise you do without. This is a basic rule of society.

      Look, can you not read properly? I am not trying to justify copyright infringement.

  181. The point is. by Inoshiro · · Score: 1

    If you have money for something, you buy it.

    If you don't have money for something, you do not buy it. You also don't steal it.

    If you want a game and can't afford it, try out the demo. Go to a friend's place and try it. Etc, etc.

    Don't think that you can steal it and rationalize it by saying, "someone else will now pick up the slack I have created by stealing." because you still stole, and you still cost money to everyone involved in creating and retailing the item.

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    Internet Explorer (n): Another bug -- that is, a feature that can't be turned off -- in Windows.
    1. Re:The point is. by Anonymous Coward · · Score: 0

      There is a small flaw in this business practice however. What if my friend buys and plays a game for a week, gets tired of it, and decides to sell it to me? It's all legal, but the company who produces the game will feel the same effect as if I had pirated the game. They don't get ANY revenue from me, yet I get to play the game.

      In fact, I've purchased my entire PSX game collection second-hand. Seems as long as some money changes hands, it's all legal. Fucked up system we have.

      I'm sure they've tried to make the sale of used IP illegal at some point or another. Thank God they've failed.

  182. I still don't know how people think stealing isn't by Inoshiro · · Score: 1

    The store and other people who made the item lost the money. If you want something, you have to pay for it. That's how economics work. When you steal, you break economics. You cause the profit graphs to shift, you change the costs, etc.

    Even if you don't notice money out of your pocket (which you wouldn't, Mr. Thief), the company would notice its sales are less, and have to compensate for that somehow.

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  183. Yeah, I don't think it's the best solution. by Inoshiro · · Score: 1

    Unfortunately, it's the easiest solution. So everyone who wants to use these tools legitimately suffers because of Pegleg and Redbeard who like to swap warez by the gig.

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  184. Maybe. by Inoshiro · · Score: 1

    Music seems to be fairly inelastic, as does console hardware, but software itself has a decent elasticity.

    Not as many people 60$ want software as people who 30$ want software. I know that part of the resurgance of the Dreamcast in 2001/2002 was the incredible price slashes possible with a console going away. I was able to pick up a collection which currently numbers 41 games. If I see a console game for 30$, I certainly don't have to think as hard about buying it as I do a 60$ one :)

    eBay's a nice model of inelasticity. Try and get Suikoden 2 for less than 140$ CDN. Rabid fanboys keep the price far, far too high for most people, and this suits collectors fine since there's a relative scarcity of the item in question.

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  185. Flawed analogy by Anonymous Coward · · Score: 0

    Your analogy is flawed. Stores raise prices uniformly for theft, not just for people who are wearing hats. It would be more appropriate to liken this to a store charging $3 to every person who walks by the front door and is wearing a hat, whether or not they even go into the store.

    Keep in mind that this will also tax all of those computers that Google uses for its web-crawling, and every computer that Los Alamos puts into its massive computation cluster (modulo location). Now tell us how "fair" it is.

  186. Your analogy is seriously flawed. by Inoshiro · · Score: 1

    This isn't about people buying replaceable parts of higher quality due to wear and tear, this is about people copying things they have no permission to copy. This leads to less creativity and less jobs for people who like to create.

    Staff at Kinko's or other copy centres should not let people walk in and Xerox entire novels. People with home computers should not be copying software they have no permission to. While the first case has external agents ensuring that nothing bad's happening, the second case is left up to the people. Most people will not hesitate to break the law if they think it'll get them something extra.

    Since law makers can't be there to stop them, they are passing the costs on in terms of higher fees for the tools used to break the law (averaged out over sales). Most people who commit crimes use guns, because of this all gun owners must register and have background checks when buying new guns. Every person who copies software uses a computer at some point, so everybody who uses a computer must pay for Pegleg and Redbeard's acts of piracy.

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    1. Re:Your analogy is seriously flawed. by malkavian · · Score: 1

      Ok, so shoes are used in all bank robberies. Lets tax those, and give the proceeds to banks.
      Clothes are worn by people to take staplers from offices. Hey, lets tax those too, and give the proceeds to office suppliers.
      Your assumption that all home users copy software/music illegally is entirely flawed. Some small percentage do. But hey, they're already taxing the CDs... And those proceeds are going to 'make up for lost sales honest!'..
      I disagree with you saying that most people will break the law if they think they'll get something extra...
      I'd say most people would break the law, if the law made no sense.. Most people, I seem to find, won't break the law if it's a sensible one..

      I honestly can't find one sane point in your post.. All people who copy software also eat food, and breathe air.
      So those are tools for the activity.

      Your hypothesis seems to be that "Some people who use computers copy illegal things. Therefore, all people who use computers copy illegal things". I'm sure you can spot the flaw in that argument. Basic logic that any 10 year old could spot holes in.
      This law follows that premise. It's flawed. There is no rationalisation for it, apart from a money grab, because they've seen it happen elsewhere.

      Give me an argument that stands up to analysys, and I'll listen, but please don't bother to post rebuttals that are completely full of holes.. I know my analogy wasn't on the nail, but your reply had more holes than swiss cheese. The rest was fallacy.

      As for covering costs.. I run a business, thank you, and do quite well, so, I know how to keep customers happy, and how to treat them well.. Accusing them of being criminals before you deal with them is pretty much a bad thing.

  187. Re: What boiled frog is that? by Uninvited+Guest · · Score: 1

    I'd heard the analogy before, and whether or not it is actually true or has been scientifically proven is irrelevant. It still has some merit as an analogy.

    Apparently, you haven't been following the Doonesbury comic strip lately... An untrue analogy is worse than having no merit --It actually discredits the target of your analogy. In this case, if a frog really does jump out before it lets you boil it alive, then maybe the analogous case (where this German law leads to worse resrictions) is equally false. For example, if I said, "This law will further restrict freedom the same way that rocks roll up hill", then you would recognize the analogy as false and reason (perfectly justified) that my point about restricting freedom was probably unfounded or incorrect, as well.

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    Sometimes I worry that I'll develop Alzheimer's disease, but no one will notice.
  188. one difference by Uberbah · · Score: 1

    nobody has ever been killed by a cd or dvd though, unless you're counting Jet Li movies where he throws them into the necks and back of bad guys. :-)

    1. Re:one difference by RATBOON · · Score: 1

      i missed out on the whole duty-free smuggling thing (my friends got rich:). if the govt start taxing CDs, i'll be damned if i'm gonna miss out on that!

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      ---- oh no - it's the RIAA and their $100000000 fine. I'm gonna take that so seriously...
    2. Re:one difference by Evil-G · · Score: 1

      No, they haven't, but that may not make a difference to whether they are taxed or not.

  189. No, however by Tony · · Score: 1

    What if I don't care about music? If I like music, I will buy CDs, not computers. What you are suggesting is that the government tack a levy on automobiles because people use them to steal books.

    The only way you can do anything useful about it is prove that the loss is negligible, and to stop illegal copying.

    There is another option: fight stupid fucking legislation like this. This isn't like raising the prices of CDs to recoup losses. It's the *government* intervening on behalf of corporations to steal from the public, on the grounds that the public is stealing from the corporations.

    This is a fucking crock. Fight the *crime*, and the *criminals*. Don't pass legislation that benefits groups that have been convicted of illegal practices like price fixing, at the expense of innocent citizens.

    What we are seeing is not capitalism. It is corporatism, which is the antithesis of capitalism.

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    Microsoft is to software what Budweiser is to beer.
  190. Jews in Nazi Germany - a valid slippery slopt by omarKhayyam · · Score: 1

    Actually, I don't believe that inevitability is assumed anywhere, as good slippery slope arguments only explain a possibility or probability of a chain of events occuring. In this way they are very useful, as history can demonstrate.

    Take a look at the situation of the Jews in Nazi Germany. They lost their rights in small steps - they're restricted to certain areas, then forced to where identifying marks, then they're personal property is taken, then small groups of them at a time are "relocated" without being told where, though the eventual destination is concentration camps. Elie Wiesel provides an excellent description of this process in "Night", and how because of it few of the Jews were able to face the facts about what was being done with them. Now, had the Nazi's announced to the entire Jewish population that they were being rounded up and sent to death camps, a massive uprising would have occured.

    As I said before, real slippery slope arguments express the possibility or probability that something will happen, and in such a fasion they are very useful.

  191. Apples are Oranges! by Uberbah · · Score: 1

    Dumbass: "Apple's and oranges both come from trees, so they must be the same thing!"

    Man with Brain: "Um, no, they both come from trees, yes, but they are completely different kinds of fruit. Just look at them, one is either red or green and the other is frikkin orange."

    Dumbass: "You can rationalize it by saying they're different colors, but thats a lie. If you really cared about apples and oranges you'd know they're the same thing."

    Man with Brain: "You moron! Just because two things have something in common doesn't mean they're identical! They both come from trees, start as flowers and have seeds in the middle, but thats it! They have fundamentally different charachteristics that make them totally different kinds of fruit! Why can't you understand that?!? Go pull your head out of your ass and study some logic!"

    Dumbass: "You're just nickpicking. Look, I can run out to my yard and pick an apple from one tree and an orange from the other tree. I can eat both of them. Therefore, they're the same thing. Next thing you're going to tell me that cannibalism and income tax evasion aren't the same crime either. Common, one means eating a person and the other eats away at the US treasury. Therefore, tax evasion is really cannibalism!"

  192. Re:Why do ya'll pay so much for them? by cayenne8 · · Score: 1

    I only get CD-R's when they are free.... Most every weekend around here (New Orleans) one of the stores here has spindles of like 50 with mail in rebate for complete refund. So, basically, I just pay sales tax (about 9% here), and postage. Do they not have these deals around the US? I haven't bought a full price CDR is I don't know how long....sometimes they have these deals on the CDRW's too....just stock up when I see them...

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  193. Re:How long until we have no legal backup solution by NamShubCMX · · Score: 1

    Well I keep hearing "There's a tax on CDR in Canada" but just yesterday I bought 100 cdrs for 35$ (thats 0,25$US/CD) so either that shop is "smuggling cdrs" or the tax is not that bad...

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  194. Wrong, wrong, and wrong by Anonymous Coward · · Score: 0

    Wrong (1) "When something is stolen from a store, the company has 2 choices: take a loss (maybe go out of business), or pass on the costs."

    Unless, of course, the margins are so fat to begin with that the level of theft is irrelevant. If I sell widgets for $18.95 when they cost under $1 to produce (guess which product that might be), I can tolerate a fair amount of theft before it's time to recalculate. If I can eliminate theft and the market will support a $19.95 price (which it might, after eliminating "theft"), I can actually pocket the difference AND increase the price.

    Wrong (2) "Are you contemplating insurance fraud? You are making everyone else's premiums go up when you do it."

    So rates would drop if fraud were reduced? Yeah, right. That line comes from an industry that claims to run at a loss every single year (due to fraud, of course), and yet they somehow manage to attract investors and survive. If you wanted to name two products whose price has little to do with fraud or piracy, insurance and recorded music would be great choices.

    Wrong (3) "The only way you can do anything useful about it is prove that the loss is negligible, and to stop illegal copying."

    Very few of the P2P copies would have been purchased, so the loss is already negligible. Long ago, the software industry learned that high prices encouraged piracy. When the piracy level got high enough, they realized that lower prices meant more customers and more profit. The music/copyright industry has not observed a high enough level of piracy to reach this conclusion. They will, but not before their obsolescent business model runs out of steam.

  195. Re: ...computers have serial numbers by tomhudson · · Score: 1
    Yes, my first 2 computers had serial numbers ... but ... once I started buying/building noname clones (about 15 years ago) they stopped having serial numbers.

    I doubt the majority of /. readers' computers have serial numbers. (and, pu-lease, don't go on about the cpuid thing - cpus can be swapped in a metter of seconds).

  196. other news by DuctTape · · Score: 1
    In other news today, the United States Senate is considering a bill that would cause every person buying a computer without an operating system to be charged a $57.94 fee to be given to Microsoft, Inc., because research shows that the vast majority of people buying an OS-less computer are going to pirate Microsoft's Windows anyway. "This is a great step towards saving us all money!" chortled Microsoft's head dude Steve Ballmer. "I can't tell you how many times I needed to make another payment on my Maserati, and I couldn't because some kid in Austin, TX, copied his buddy's Windows 98 CD-ROM. This will make life better for us all!"

    "Without this levy, the terrorists would have won," declared President George W. Bush.

    Shares in Microsoft, Inc., (MSFT) rose 15% in response to this legislation.

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  197. So Does That Mean..... by WKSGene · · Score: 1

    So does that mean that Germans will then be able to copy things as they see fit since they are paying a fee specifically to cover that? How does this relate to the levy we have on blank CDR disks in the US?

  198. The up side... by Realistic_Dragon · · Score: 1

    Since Germans with computers will already have paid the fees to the artists to use their music, file sharing will be legal and RIAA endorsed for a flat rate, something everyone seems to want.

    Then, of course, I woke up and realised that the RIAA is secretly run by Catbert, and it's all an evil scheme to get you to pay for nothing, since you have to pay the tax _and_ pay for the music.

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  199. insurance fraud by themusicgod1 · · Score: 1
    the great inoshiro? I remember you. i should feel humbled, or something...

    in the meanwhile, I would consider it unethical, if anyone would be given a chance to, to *not* rip off an insurance broker, bank, "security" firm, or other institution.
    • These companies make money off of peoples paranoia - the more fear, and uncertainty they can cram into the popular mindset, the more money they will create. This fosters an environment where lies, and dark dealings are not only successful, but encouraged... the only time my family's vehicle has ever been broken into that I can remember was a week after we turned down a call for auto insurance. Strange? The same people causing the events for insurance to be there could be selling insurance? Of course this may not apply here.
    • they rip off their customers. This is how they stay in business. This is how all companies stay in business. If you are not ripping your customers off, you are not in business. Ripping these people off is like stealing from the rich -and keeping for the poor - because they serve no real purpose other than to drain wealth from a large group of people. Why should people have premiums to start with? Because the people in charge of such firms have to make money!~ and I think this is the sick part - their making money is some how more important than our[the customer] wellbeing and as such we'll get the raw end of the deal, whatever and whenever any deal is struck.
    I offer a completely different solution to your problem. Look at the system as a whole, notice the greed, thoughtlessness, and anti-community ideas it festers, and destroy it by any and all means, including but not limited to insurance fraud.
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  200. Re:I still don't know how people think stealing is by 91degrees · · Score: 1

    The store and other people who made the item lost the money.

    So, hang on...

    If I make an item, I have to pay $2 to the people who make the materials, and to my workforce. Someone steals it, then I'm $40 down. I make another one for another $2, sell it at a profit of $38, then by your reckoning, I've lost $2 (-40-2+40). So how is it that I'm $36 richer than I was when I started?

    More to the point, if I haggled the price down to $20, does that mean the the seller has made a loss? I mean, he's $18 better off.

    Even if you don't notice money out of your pocket (which you wouldn't, Mr. Thief), the company would notice its sales are less, and have to compensate for that somehow.

    So you therefore think that competition should also be illegal. If I make the item that you're selling at $38 profit, and sell it at $28 profit, people will buy it from me. Does that mean that I'm stealing from you? Your sales are less, and you have to compensate for that somehow. Should I be taxed, and the money given to you because I'm trying to offer a better deal for the consumer?

    This is another part of how economics works. Competition.

  201. Yes, stealing is still stealing. by Inoshiro · · Score: 1

    If I sell golden widgets for 40$, and they cost me 2$ to make, and you steal them -- I am losing money.

    Unless I purposfully give something away, stealing it is still stealing.

    "So how is it that I'm $36 richer than I was when I started?" You're 36$ richer, but you should've been 76$ richer. Notice how there's a 40$ difference -- that's because 40$ was stolen.

    Now, in this contrived example, you're overly exagerating the profit margins here. There are a lot of middle men ensuring that optimal distrubitions of product are made in real life. Margins aren't that large. Theft drives up the cost for everyone. Go take any basic economics course.

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    1. Re:Yes, stealing is still stealing. by 91degrees · · Score: 1

      If I sell golden widgets for 40$, and they cost me 2$ to make, and you steal them -- I am losing money.

      And if I sell my own golden widgets that are just as good at a lower price to the same customers, by this argument you are still losing money. Is competition therefore stealing?

      You're 36$ richer, but you should've been 76$ richer. Notice how there's a 40$ difference -- that's because 40$ was stolen.

      Why should I be $76 richer? The thief clearly wasn't willing to pay $40 for the item. He may even not have had $40. The only cost to me therefore was replacing the item in question.

      If you want a more realisitic set of prices, then fair enough - A CD. Let's say the retailer gets them for $13, and sells them for $20. A thief has $16 in his pocket, realises he really wants the CD, but can't afford it, so he steals it. If he steals it, then the retailer loses $13, because he has to spend that on replacing the CD.

      If I open up a shop next door, and sell the same CD for $15, people will buy it from me instead. Another thief with $16 in his pocket walks past, sees that he can buy it, so gives me the money. He walks away with his remaining $1, and I'm $2 up on the deal. The shop next door has therefore lost the $7 that he would have made on this sale. Is it therefore stealing if I compete? I did cost the shop next door $7.

      Go take any basic economics course.

      As you increase the price, your margins per item rise, but your total sales decline. Therefore the prices tend to be set at a value that will maximise no. of sales x profit per item.

      The amount that you charge is arbitrary. I could put a price tag of $1 000 000 on a CD. this does not mean i have lost $1 000 000 because some guy stole it.

  202. Er, not supported by law? Crackhead... by Behrooz · · Score: 1

    Slavery was never supported by law. It was merely not prohibited by law. Those are two entirely different things.

    Ahh. So the slaves stayed and worked for their masters because they felt like it? Shit no! They stayed there because the law supported slaveowners by assigning the legal category of 'slave' to certain persons, who were then considered subhuman by law and bound into slavery by social consensus.

    Give me a fucking break, you clueless imbecile.

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  203. A key difference. by Behrooz · · Score: 1

    None of you have included the effects of competition in your analyses.

    Producers in a monopoly set the price that will create the greatest profit, and stick with it.

    Producers in a freely competitive market have an entirely *different* set of rules, which have a tendency to decrease the cost of an item until it becomes arbitrarily close to the median variable cost of all producers competing in that market.

    Theft/vandalism and other violations of the social contract raise the burden for all producers/retailers, directly increasing the resultant prices.

    By most estimates, the cost of these problems is equivalent to >10% of inventory in many consumer goods fields.

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  204. Your straw men are funny. by Inoshiro · · Score: 1

    "Serial killers eat bread. Outlaw bread"

    Please. The computer is the enabling factor here. How can you burn software without a PC?

    If you can't think of a better argument than trying to tie in non-enabling factors as a straw man, then you've clearly not thought your side through, nor proven anything.

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    1. Re:Your straw men are funny. by malkavian · · Score: 1

      Basic bulk CD copier, just like the industry, and the REAL pirates use?
      All the big pirates don't use PCs... Read up on the background material before you post.

  205. Maybe I missed it in your post. by Inoshiro · · Score: 1

    "In this case copyright infringement had no affect on sales."

    But how is it not stealing? How is in not wrong? I don't see where you put that.

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    1. Re:Maybe I missed it in your post. by Scudsucker · · Score: 1

      Murder is wrong, arson is wrong, so they must be stealing too!

    2. Re:Maybe I missed it in your post. by f0rt0r · · Score: 1

      Look at my topic sentence:

      "Let look at the difference between theft and copyright infringement as pertains to its effect on a software vendor."

      The purpose of my post is to compare and contrast theft from copyright infringement. Read it over a few times ( including the typos ), _think_ about it a bit and you should see that they are two distinct entities. i.e. theft is not copyright infringement and copyright infringement is not theft. You may need to look the definitions of both terms to get a good perspective on each.

      Thank you for paying attention. Oh, and this is my last post in this thread.

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  206. You make your own point. by Inoshiro · · Score: 1

    "Because studios do some research it and try to hit that magic price point to maximize profits."

    and then later

    "When it was released it has something like 6 forms of copy protection on it. In addition to cd checks and new media protections like Safedisk, it was one of the first 80 minute pressed cd's. Guess how much it sold for? Just as much as any other new game."

    Maybe you haven't noticed, but all new games are sold at a certain price point. I didn't buy Blueshift when it was 60$ or 40$, because I didn't want it that much. Now, a couple of years later, it's 18$. How much is the software you give in your example now? Less, because that's how the price curve goes on PC software.

    Copyright violations affect the total cost of it. Things like Everquest can't really be pirated, because they require online keys and such. You can get a mega pack of Everquest with all the expansions in a gold box for only 65$ CDN. I think this is a good indication of how all PC software could be priced, if piracy weren't as rampant.

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    1. Re:You make your own point. by Scudsucker · · Score: 1

      Maybe you haven't noticed, but all new games are sold at a certain price point.

      Maybe you haven't noticed but you were just proving the point, which is that infringment has no effect on prices.

  207. Stealing breaks econonics. by Inoshiro · · Score: 1

    Any econ teacher will tell you that. The government is a regulating factor in any economy. Without it, pure capitalism would be very bad. In this case, the government is stepping in to counteract the effects of the theft on one industry.

    Yes, it's outside the bounds of capitalism because the government is interviening, but that doesn't mean it's wrong. I'd like to see how this plays out.

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  208. Once again, you're arguing that's stealing's ok. by Inoshiro · · Score: 1

    Maybe you don't understand. Plagarism is wrong, as is stealing my car. One is physical, one is not. However, in both cases, stealing == stealing.

    Why is this so hard for you to understand?

    In real life, you either buy something, or don't. You don't just steal as you like, because that breaks how society works.

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  209. Language is as language does. by Inoshiro · · Score: 1

    If I say, "illegal copyright violation" only nerds like you or I understand what I'm saying.

    If I say, "piracy" -- everyone knows what I'm talking about. Kinda like when I say, "rape seed" -- I'm obviously not talking about semen leaking out of a sex crime victim. I'm talking about a particular cash crop grown in the prairie regions of north america.

    If you don't like how the language is, go learn another one. I doubt the actions of a single entity will change English.

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    1. Re:Language is as language does. by Anonymous Coward · · Score: 0

      If I say, "illegal copyright violation" only nerds like you or I understand what I'm saying.

      If I say "murder in the first degree, only laywers understand the difference between that and manslaughter".

      If I say, "piracy" -- everyone knows what I'm talking about.

      Yes - murder on the high seas.

      If you don't like how the language is, go learn another one.

      Exactly. English has been abused enough. Sort it out.

      I doubt the actions of a single entity will change English.

      I think the RIAA counts as a single entity.

  210. Not quite. by Inoshiro · · Score: 1

    If you are buying a copy second hand, that means the person you are purchasing it from has paid the content creator what they felt was an acceptable price. They've been paid for their work.

    If you were only buying burnt CDs, well, that'd be different. In that case the original creators weren't paid for the content at all. The effects aren't the same.

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    1. Re:Not quite. by Anonymous Coward · · Score: 0

      If you are buying a copy second hand, that means the person you are purchasing it from has paid the content creator what they felt was an acceptable price. They've been paid for their work.

      If you were only buying burnt CDs, well, that'd be different.

      Why? You have to get the original copy from somewhere. Does it magically appear from nowhere? Or does the content producer get paid anyway? Make your mind up or stop arguing so badly!

  211. "Help, help, I'm being repressed!" by Inoshiro · · Score: 1

    I'm not sure what your problem with insurance companies, banks, etc, is. They don't have a gun to your head stating you have to buy their services. Don't like it? Don't buy it. It's a lot better way of influencing the market than angsting about it on some internet forum.

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    1. Re:"Help, help, I'm being repressed!" by Anonymous Coward · · Score: 0

      They don't have a gun to your head stating you have to buy their services.

      He was specificically talking about automobile insurance. In this country, at least, you are legally required to take out automotive insurance.

  212. Socialism, socialism. by Inoshiro · · Score: 1

    "Are we going to systematically spread all injustices over the whole population? "

    No. As the law states, it's only covering people who are most likely to violate IP laws (IE: people using devices which allow easy IP law violations). They already have taxes on blank CDs/etc in Canada, for example. That's just one example of this line of thought at work.

    I think the biggest thing that annoyed me about the people in this thread, besides the whole, "I'm not stealing anything when I break the law" parts, was that none of these people were willing to sit down and see if the experimental legislation worked. You can't learn if you don't try new things, but a large bunch of the people who read Slashdot regularly don't like change. I, personally, hope the legistalion goes through. After a few years, everyone will know if it's a useful deterent or not, and if it helps companies keep their promise to produce more content.

    Speaking of socialism: if you're like me and had to go to a doctor recently, you'll know that socialism doesn't suck. I mean, I don't have to use medical services often -- but every time I do I'm very happy that Trudeau socialized Canadian healthcare.

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    1. Re:Socialism, socialism. by Anonymous Coward · · Score: 0

      I think the biggest thing that annoyed me about the people in this thread, besides the whole, "I'm not stealing anything when I break the law" parts

      I just caught a speeding ticket. Am I stealing? Shit!

      You can't learn if you don't try new things, but a large bunch of the people who read Slashdot regularly don't like change.

      Fundamental logic problem. "You can't learn if you don't try new things" - assertion. Does this imply "You don't like change"? Of course not! You are trying to derail the argument.

  213. Err. by Inoshiro · · Score: 1

    Some 14-year-old goes on a shooting spree, the government tries to make it harder for guns to get into 14-year-old hands.

    Some 14-year-old goes on a copying spree, the government tries to make the loss offset by the cost of the computer involved.

    Granted they aren't direct matches, but you should understand the gist of it.

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  214. All a matter of perspective. by Inoshiro · · Score: 1

    "Doesn't really sound like a good idea, does it ?"

    Antibiotics don't sound like a good idea, if you present it the wrong way. Do you want the cast off poisons of molds injected directly into your circulatory system, where these fluids can interact with your most precious organs? No? Whyever not?

    I'm interested to see if this works you. If it does, it's a model for something that other governments can apply. If, however, the producers do just produce crap music, then other countries can see to not apply that model.

    Don't be so cynical about something that's not been tried. You can't go to the stars if you think you will fail.

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  215. Re:say it with me now...Socialism by Morphocypris · · Score: 1

    just a word to the socialists. they are (although crappy aswell) actually the best party here. I don't know if you have a picture of the so-called "christ-democrats", but... well. they suck... anyway, the taxes here are damn high. yes. but I don't actually think that it will result in a "lowering" of our standarts, because, as said before, PCs are quite cheap in this time... maybe we have to use the "older" ones a little longer (I'm typing this on a Athlon-550), but as long as they work it's perfectly ok.

  216. Your capacity for stupidity is amazing. by Inoshiro · · Score: 1

    When someone competes on price, they're not coming into my store and stealing something. Competition != stealing. Nor does that in any way justify stealing. Would you justify that homicide is ok? Just because there is doctor assisted suicide, that means it's ok for you to go to someone's house and murder them?

    If the thief didn't want to pay for something, they shouldn't be stealing it. The cost was the possible profit you could've had.

    The amounts are very not arbitrary. As I pointed out, you have no understanding of basic economics. You also seem to be in love with the idea that stealing isn't stealing. I'll leave you to smooch with that idea, since it's very ugly to me.

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    1. Re:Your capacity for stupidity is amazing. by 91degrees · · Score: 1

      When someone competes on price, they're not coming into my store and stealing something. Competition != stealing.

      but you lose the same amount of money from people buying from a competitor as if someone steals from you. Why is competition not stealing if it causes me to make a loss?

      Nor does that in any way justify stealing. Would you justify that homicide is ok? Just because there is doctor assisted suicide, that means it's ok for you to go to someone's house and murder them?

      Never said stealing was okay. Just have an issue that the loss is the amount that you assume someone will pay.

      If the thief didn't want to pay for something, they shouldn't be stealing it.

      They did though didn't they. The business model has to take this into account. If you can't make a profit after shrinkage, then you will make a loss. It may be someone elses fault, but it's up to you to deal with the costs. My example above showed that I was making $36 profit despite shrinkage of 50%. I'm still in profit. Not as much as I would be without the theft, and so I would like ot discourage the theft, but I'm not going to foool myself into believing that that thief would have spent $40 on the item he stole when he may not have paid for it at all.

      The cost was the possible profit you could've had.

      So, if I put a price tag of $1 000 000 on a loaf of bread, and someone steals it, I've lost $1 000 000 even if I can replace it for 30c? Nobody was ever going to give me that much for the loaf.

      The amounts are very not arbitrary.

      Yes they are. If you set a price, you pick arbitrarily. You choose that amount you think people will pay.

      As I pointed out, you have no understanding of basic economics.

      My understanding of basic economics statres that if I have $36 more than when I started, I've made a profit.

      You also seem to be in love with the idea that stealing isn't stealing. I'll leave you to smooch with that idea, since it's very ugly to me.

      No. I'm just resigned to the idea that stealing is something that happens. You comment that "Stealing is stealing" is a tautology. Of course stealing is stealing. Stealing is also something that cannot be adjusted by the business model.

      I disagree on the cost of crime. You seem to be interpreting this as a belief that criminal activity is okay.

  217. You keep rationalizing it. by Inoshiro · · Score: 1

    Any time you take something or get something which has a ticket price set on the economy without paying for it, you are stealing.

    If you download files online which are not yours and which you haven't been given permission to, you are infringing on copyright.

    Any time you reduce the number of possible sales, through things like copying items which you feel "shouldn't be scarce," you are stealing. In capitalism, people either pay for it, or they don't get it.

    Economics is a science where the seller and buyer try to negotiate the fairist and most efficient price. Like any good experiment, the pricing set in economics needs proper control variables in place. When you steal or copy items without paying for them, you throw off the balance of the experiment.

    The market can't find the proper spot when things like crime are affecting it. Copying stuff without permission is a crime. Just ask any writer if plagarism isn't a crime.

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    1. Re:You keep rationalizing it. by JimDabell · · Score: 1

      Any time you take something or get something which has a ticket price set on the economy without paying for it, you are stealing.

      That would include birthday presents. If you are going to argue definitions, Webster is more authorative than you or I:

      The act of stealing; specifically, the felonious taking and removing of personal property, with an intent to deprive the rightful owner of the same

      Copyright infringement does not involve taking anything. It involves creating something.

      If you download files online which are not yours and which you haven't been given permission to, you are infringing on copyright.

      Where did I say otherwise?

      Any time you reduce the number of possible sales, through things like copying items which you feel "shouldn't be scarce,"...

      Don't put words in my mouth. Where did I say that copyrighted works should not be subject to an artificial scarcity?

      ... you are stealing.

      You can say it over and over again, but that doesn't make it any truer.

      Economics is a science where the seller and buyer try to negotiate the fairist and most efficient price. Like any good experiment, the pricing set in economics needs proper control variables in place. When you steal or copy items without paying for them, you throw off the balance of the experiment.

      What does that have to do with anything? Are you having trouble reading? I AM NOT TRYING TO JUSTIFY COPYRIGHT INFRINGEMENT.

      Copying stuff without permission is a crime.

      No it isn't. Firstly, it has to be a copyrighted work. Secondly, you are ignoring fair use. Thirdly I AM NOT TRYING TO JUSTIFY COPYRIGHT INFRINGEMENT.

      Now, if you still can't grasp that fairly simple point, I don't think it's worth replying to me, because I'll just be repeating myself again if I respond to it.

  218. Maybe you didn't read the article. by Inoshiro · · Score: 1

    I said that this was an interesting way for the government to balance out loss from copyright infringement. You've been arguining all along with me, not realizing this.

    You also make mistakes. "Copyright infringement does not involve taking anything. It involves creating something." -- incorrect. It involves copying something without permission.

    In no way am I ignoring fair use. I've not mentioned it once. I merely said that, "So even if computers have legit uses, and even if you don't break the law, there are enough people out there misusing computers and breaking the law that bottoms lines are being affected. Naturally, businesses don't like this and are working to change it." That's the whole point of the legistlation, and something you still don't understand after several replies.

    You also are trying to justify copyright infringement: "Copyright infringement is not theft." Copyright infringement is theft.

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    1. Re:Maybe you didn't read the article. by JimDabell · · Score: 1

      Okay, first let me start by saying that you either have serious English comprehension / logic problems, or you are trolling. Either way, this is my last response in this thread.

      I said that this was an interesting way for the government to balance out loss from copyright infringement. You've been arguining all along with me, not realizing this.

      No, you were talking about theft. Not copyright infringement. Your very first sentence:

      Everyone pays when people steal.

      Your position may be that they are identical, I was responding directly to your assertion that analogies involving theft can directly relate to this situation.

      You also make mistakes. "Copyright infringement does not involve taking anything. It involves creating something." -- incorrect. It involves copying something without permission.

      You create a copy. What is my mistake?

      In no way am I ignoring fair use. I've not mentioned it once.

      You ignored it when you stated:

      Copying stuff without permission is a crime.

      ...without any qualifiers at all. It's a clearly, demonstrably untrue statement, and the fact that you are now acknowledging fair use exists means that you know this.

      You also are trying to justify copyright infringement: "Copyright infringement is not theft." Copyright infringement is theft.

      Murder is not theft. Clearly, I am now trying to justify murder, right?

      Bye now.

  219. Re:Once again, you're arguing that's stealing's ok by hkmwbz · · Score: 1

    Copying is not stealing. Stealing is taking something from someone else. Copying something does not remove the original, and is not stealing. Violating copyright laws is illegal, but it is not stealing.

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  220. Re:Once again, you're arguing that's stealing's ok by Anonymous Coward · · Score: 0

    Maybe you don't understand. Plagarism is wrong, as is stealing my car.

    Maybe you don't understand. Murder is wrong, as is stealing my car.

    One is physical, one is not.

    One is violent, one is not.

    However, in both cases, stealing == stealing.

    Wait - what? - never mind

    Why is this so hard for you to understand?

    Dunno, you must be far more clever than the rest of us!

    In real life, you either buy something, or don't. You don't just steal as you like, because that breaks how society works.

    Aww, I think I'm going to cry!

  221. Copying something without permission is a crime. by Inoshiro · · Score: 1

    Fair use is implied permission that is recognized by law.

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  222. Oh, so where is your control group? by Inoshiro · · Score: 1

    Where is this magic market where there is 0 copyright infringement? I'd like to see the numbers of this control group to compare with the normal market.

    You can't make assertations unless you have numbers to back them up. Otherwise you're only sharing your opinion, not a measured truth.

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  223. Ok, but.. by Inoshiro · · Score: 1

    "Why is competition not stealing if it causes me to make a loss?"

    It doesn't cause a loss as your products are being substituted for products from another vendor. Stealing is not the same as this since it is the willful deprivation of a product from a vendor without compensation. Copyright infringement is a special case since, while you aren't depriving a vendor of a specific copy of the product, you are depriving them of a sale. It's like cigarettes -- they don't kill you immediately, but you will live a shorter life.

    "Never said stealing was okay. Just have an issue that the loss is the amount that you assume someone will pay."

    Well, if the person's not willing to pay for the product, they can live without. The opprotunity cost is obviously too high for them -- otherwise they would buy it.

    "but I'm not going to foool myself into believing that that thief would have spent $40 on the item he stole when he may not have paid for it at all."

    Ahh, but you don't know that. The only way you could know that is to cook up a specific example with the values fixed so that you already knew the outcome anyway, which would make the conversation academic.

    "So, if I put a price tag of $1 000 000 on a loaf of bread, and someone steals it, I've lost $1 000 000 even if I can replace it for 30c? Nobody was ever going to give me that much for the loaf. "

    In a world where no one else has bread, you could quite possibly get that money. You're ignoring scarcity and the price elasticity of demand in this contrived example (you really should stop using them, they only cloud the issue).

    "Yes they are. If you set a price, you pick arbitrarily. You choose that amount you think people will pay."

    Maybe to someone who hasn't studied economics these seem arbitrary, the same way that people who haven't studied biology think that creatures look very arbitrary (inshead of being shaped by the environment).

    "My understanding of basic economics statres that if I have $36 more than when I started, I've made a profit."
    This would be why you won't be making any guest speaking appearances at universities that teach economics :)

    "No. I'm just resigned to the idea that stealing is something that happens."
    So do a lot of things in life. The best thing to do is reduce it (and its influence) as much as possible, and that's what the legislation proposed is all about.

    "Stealing is also something that cannot be adjusted by the business model."
    That's why the government is involved in the system. Basic laws and law enforcement are a big part of the underpinnings of a proper economic system. Business can't be conducted without some basic agreements.

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  224. get me out of here! by themusicgod1 · · Score: 1

    on reflection, i think we may actually have a lot more common than i thought. that was an interesting reply.

    in the meanwhile, i'll up your idea one - - as i don't have insurance, and i don't use banks. oh wait? how about i don't let them have any of my money and then proceed to give other people [who may or may not exist, here on slashdot...you all could be bots for all i care] ideas, in an attempt to incite some sort of riot mindset---i alone can't make even a dent on this world but a million pissed off ubergeeks would make at least a good sized smoking hole---. spread the bad vibes around like liquid mold! piss eachother off until no one know who they are any more! angst all over the forums until the walls bleed! mabye when everyone looses their rationality and cool the world, the half abortion it is, will finally choke. burn it! burn it all! anihliate it! it doesn't deserve to stand here. the chance was given, and it was abused. so be it.

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  225. Casual copiers do. by Inoshiro · · Score: 1

    And teenagers with too much time on their hands.

    These are the same people who nibble away at industry profits, and are the people who can and will be affected by this tax.

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    1. Re:Casual copiers do. by malkavian · · Score: 1

      Ok, back to logic:

      Some teenagers have too much time on their hands.
      Some teenagers have cd writers.
      Some teenagers copy copyrighted material.
      Some teenagers copy copyrighted material using a computer.
      All teenagers are people.

      Therefore, according to your argument, all people copy copyrighted material using a computer.

      If you don't agree with that conclusion (and you'd have to be a few crumbs short of a biscuit to agree with it!), then why are _all_ people being charged? All people are being 'taxed' if they buy a computer, and it's a tax that is implemented by a corporation (who aren't actually allowed to tax people anyway).
      I run a company, and, like I keep saying, that is NOT the way to run one. If you have to rely on 'taxing' your customer base (and even those that aren't), then your business model is wacked. Get a new one.

  226. It sounds like you didn't understand the thread. by Inoshiro · · Score: 1

    Why don't you go back and reread it. Unless you have a better solution to getting back revenue lost to piracy, I don't think you're making a positive contribution.

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