How the US Lost Its China Complaint On IP
An anonymous reader writes "The World Trade Organization yesterday released its much-anticipated decision involving a US complaint against China over its protection and enforcement of intellectual property rights. The US quickly proclaimed victory, with newspaper headlines trumpeting the WTO panel's requirement that China reform elements of its intellectual property laws. Yet the reality is somewhat different. As Michael Geist notes, the US lost badly on key issues such as border measures and criminal IP enforcement, with the international trade body upholding the validity of China's laws."
I spend a great deal of time in China. The real crux of the problem is that there is a WIDE gulf between the law and enforcement of the law (unless it involves anti-government behavior...then the gulf narrows quickly).
I can easily go to any one of hundreds of locations that I know of (and I'm a damn foreigner) in Beijing and buy openly pirated movies and software. Sure, it is illegal to sell that stuff per the law books, but the government just doesn't care. And when they make some noise about caring, it's VERY temporary, the press gets their story and photos, and then it's back to business as usual.
Government officials are profiting directly from winking at this illicit trade so there's little incentive for those lower on the totem poles to rock the boat. It's not uncommon for the owner of one of these illicit DVD/CD fabs to bring in the relative of some party official in as a "silent partner" to keep the heat off. Welcome to China. Now be quiet and enjoy your 10RMB DVD (complete with fancy packaging and liner notes) that can be had in most subway stations and street corners in Beijing...er...roughly 7% of the price I'd pay at my local Best Buy for the same title in similar packaging.....