DRM — It's Not Really About Piracy

shadowmage13 writes "Hollywood privately admits that DRM is not really about piracy. From the article: 'In a nutshell: DRM's sole purpose is to maximize revenues by minimizing your rights so that they can sell them back to you... Like all lies, there comes a point when the gig is up; the ruse is busted. For the movie studios, it's the moment they have to admit that it's not the piracy that worries them, but business models which don't squeeze every last cent out of customers.' You can take action on Digital Restrictions Management at DefectiveByDesign of the Free Software Foundation, Digital Freedom, and the Electronic Frontier Foundation."

Comments

Like Region Coding, Then

[cyclomedia]

Because THAT worked wonders for release timing, content control and market restrictions, didn't it.*

*Though having a decent TV that can handle PAL and NTSC helps, in the UK they're 6 bob a throw i can tell ye!

Re:Like Region Coding, Then

[arun_s]

When I look at the VHS examples of long back, and the more recent DVD-region-encoding failure, it just looks like one big, sad cycle repeating itself every generation or so.
Even if we get over the current mess (Trusted Computing, RIAA etc), it looks like as if the big media dinosaurs will never really learn to adapt. Each time a new technology pops up that threatens their stable position, they panic immediately and create a huge fuss in trying to maintain the staus quo.
If only they weren't so powerful already, they'd probably have died off by now; replaced by smarter, quicker companies that didn't have to be dragged kicking and screaming into the new world.

Re:Like Region Coding, Then

[KoldKompress]

This is almost like Region coded Slashdot..

In other news...

[AxminsterLeuven]

... "Tobacco industry privately admits smoking actually not very healthy at all."

RTFA?

[Cheesey]

"Hollywood privately admits that DRM is not really about piracy. From the article:

I just read the article - there is no cited evidence that anyone from Hollywood has ever said this. It may be true, yes, and I agree with the conclusions of the article itself, but this isn't some sort of sensational scoop.

MPAA executives have never admitted that piracy isn't the motivation for DRM. The current generation will never admit that: piracy is their excuse and they will stick to it. DRM is part of their business model and it won't go anywhere until it results in a shareholder-awakening loss of money.

If people prefer to pirate stuff, that means the DRM is not restrictive enough to stop them. That is the only thing they'll ever tell you, and the only thing you'll hear from the media outlets that they own.

Re:RTFA?

[heroofhyr]

MPAA executives have never admitted that piracy isn't the motivation for DRM. From an interview with the Vice President of Technology at Universal Pictures, Jerry Pierce:

Different studios have different philosophies in this area. It is our view that we have to provide customers a rich experience so they can do what they want to do within their home. We don't expect them to make copies of HD DVDs for their friends. And we don't think customers want to do that either. So, DRM needs to give them some restrictions beyond what both the customer and we believe are the proper usage rules. That's what we need to achieve. DRMs enable business models, they don't stop piracy. And we want to make sure that we have a rich one without making it so easy so that you can violate what we agreed on when you purchased a movie. The full interview is here.

Here is a quote from another interview with Fritz Attaway, an MPAA exec:

Consumers should have a choice to either own a copy of a movie for multiple viewing, or to just view it one time for a much lower price. And movie companies want to provide that choice, and many more. But without DRM, every transaction would have to be priced as a sale, not just of one copy but of many copies, in order to account for unrestrained copying...

With regard to your comment that many DRM technologies can be circumvented by commercial pirates, you are correct, but DRM is not intended to prevent commercial piracy. It is intended to insure that most consumers will keep the deal they make with movie distributors. Like the lock on your door, they are not a guarantee against theft, but they "keep honest people honest." The source of that interview is here.

Bias

[kentrel]

This article forces you to believe the crap it's not telling you before it doesn't tell you it. The headline is entirely misleading. Hollywood hasn't admitted anything of the sort, and his source for this information is a reference to another journalist's unnamed source! What kind of journalism is that? From the following quote he extrapolated far too much:

"His user rules just scare the heck out of us"

Now, it's entirely possible that DRM is about exactly what they say it's about. What's not true however is that Hollywood is admitting this. The article is forcing you to accept the journalists bias hoping you don't exercise your critical thinking skills and question it. Whether it's true or not - the journalist needs to get his act together and get better sources than some other journalists dodgy source.

Now somebody might argue: "well we know they're doing it, what does it matter if the journalist exaggerates a quote from an unnamed source". I think it matters a great deal. When you're right you should be able to prove it very easily. Otherwise you have to accept that no matter how you feel on the matter you may be wrong, or there's just not enough evidence to imply anything.

mutiple sales

[mastershake_phd]

They want to sell you the DVD version, the PSP version, the special edition, the remastered edition, the directors cut, the laser disc version, the VHS version. Next will be the HD-DVD, and Blueray versions. Followed by the hologram version, err, maybe. If anyone has been most successful at this, its George Lucas, how many of us own more than one version of the first Star Wars trilogy?

Re:Power to the artists???

[KDan]

No, that's a completely ridiculous suggestion, for several reasons.

1) Artists build upon other artists. Some of the best pieces of art are composites of other pieces of art (Shakespeare being the classic example). This super-DRM'ed world would contradict that fact and make it much harder for artists to do their work. It would also make it impossible to create such art forms as satire, abbreviation, etc.

2) This system would contradict one of the basic realities of this universe: ideas are infinitely duplicable at no cost other than the medium to store them. You can have all the DRM systems in the world - if your poem appears on my screen and I memorize it or write it down, I've made a copy. I can then repost it if I feel so inclined. Trying to control the technological gateways (enforcing DRM'ed hardware, etc) is ultimately a losing battle, like fighting the ocean with a broom.

3) Such a system, to work perfectly, would by definition require real-time, detailed monitoring of everyone's activities that have anything to do with so-called "intellectual property". Apart from the huge technical challenge that this would represent (can you even imagine any IT company implementing this when they can't even create a centralised system of patient records without screwing up - see NHS PfIT), this would be a huge infringement on everyone's privacy. Or rather, it would be a complete eradication of the very concept of privacy.

Daniel

Re:Power to the artists???

[nschubach]

Then imagine that there be a system that allowed the publishing artist to exactly and precisely control how their content was used and or was available so that the publishing artist could revoke something they put out there but for whatever reason now regret. What would be wrong with that? It would be total control in the hand of an artist. Afterall, it is their work. Why not give them ultimate control?

I always hated this argument. The reason being, no other industry works this way. When you buy your next car, does your dealer tell you that you can only drive it for three years and you cannot let more than 3 people drive it? (Leasing not included)

Sure, I'll give you the argument that you can't copy [or clone] a car (yet) but to let the originator decide exactly how their product will be played or not played is exactly what I don't want.

Don't buy the car analogy because they are in a different price bracket? Let's aim lower. Greeting Cards. You aren't given explicit instructions with your greeting card and told that you have to give the Happy Birthday card on your kid's birthday, and that day alone. You can buy the card and use it for any occasion if you want. It's always fun to give condolence cards for births, birthdays, or even weddings. :)

Re:Power to the artists???

[Bloke down the pub]

Some of the best pieces of art are composites of other pieces of art (Shakespeare being the classic example).

You clearly haven't seen his work in the original Klingon.

Re:Power to the artists???

[Ash Vince]

These problem all reall stemmed from the Compact Disk and it replacing vinyl.

We all happily went out and rebought our existing music collection on CD as it was alot more convenient than LP's. And in the process we generated a constant revenue stream as stuff was gradually re-issued. The problem is that this is now coming to an end for the record companies as they have re-released almost everything. They have certainly run out of the stuff with serious mass appeal.

So they now have to look for a new way of extracting similar revenues that they have grown used to over the last 15 years out of a back catalog which most of us already own, possibly in more than one format. The problem is that they have already made it about as convenient as it needs to be and the quality is mostly there as well (Vinyl have better infrasonic performance).

So rather than try and go back to surviving off the revenues they get from new releases which would result in a huge drop in profits they need an alternative. Without an alternative the problems would be very far reaching. The stock market is used to constant revenue growth. If profits fall it is far worse for a company than if they had never risen in the first place, expecially if the fall is not likely to be temporary. This is frequently what drives companies under if they are unable to downsize quickly enough.

So faced with this dilemma the media publishing companies must find a way to keep the boon of the CD years going, and being that they didnt reinvest those record profits very wisely in new content production this is going to difficult. So they are choosing to try and keep the boom of the CD going by constantly selling us a new copy of stuff we already own indefinately.

If you contrast this with companies like BP (who sell Oil) you see that they have invested their profits much more wisely. BP are now the worlds largest producer of solar panels and have started describing themselves as an energy company rather than an oil company.

In a single phrase, "Diversify to survive".