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Toshiba Employee Arrested For Selling Software To Break Copy Limits

JoshuaInNippon writes "A Toshiba employee in western Japan has been arrested on charges of copyright violations for selling software online that breaks copying limits on certain Japanese digital TV recording and playback devices. The software specifically overrides limits on a program called 'dubbing10,' which is used in devices sold by companies such as Sony, Sharp, and Panasonic. It is believed that the man generated thousands of dollars worth of earnings for himself by selling to at least 712 people, including one teenager who then resold the software to another 240 people. This is the first disclosed case in Japan of someone being arrested for selling such limit-removal software for digital TV recording. Since it sounds like he has already admitted to selling it (although he denies creating it), and due to the generally high conviction rate of those arrested by Japanese police, his future does not look so bright at the moment."

28 of 90 comments (clear)

  1. Hmm by Anonymous Coward · · Score: 5, Funny

    I wonder how the police cracked this case.

    1. Re:Hmm by RDW · · Score: 4, Funny

      '...including one teenager who then resold the software to another 240 people.'

      Sounds the Toshiba guy should have used some sort of 'copy-protection' technology to safeguard his product.

    2. Re:Hmm by xOneca · · Score: 2, Insightful

      WTF? Selling a crack? It should be free!

  2. Argument by headkase · · Score: 5, Insightful

    If there was mutual trust between customers and copyright holders this situation wouldn't exist. People are stealing because they know intuitively in their gut that they are being ripped off, see: The Public Domain. And copyright holders are failing to meet the needs of their customers - nobody wants digital restrictions yet they insist to maximize that little thing called profit. It will come back to bite them in the ass, it already has.

    --
    Shh.
    1. Re:Argument by realityimpaired · · Score: 4, Interesting

      Most people will pay for something if they feel that the price point matches the perceived value, rather than steal it.

      It's just that more often than not, the perceived value is nowhere near as high as the value set by the seller, and when such a cognitive dissonance exists, people will steal it and justify that however they choose. I will, for example, choose Avast over Norton for antivirus on Windows machines, because, ethically, I'd rather have something that's legitimately being given away than steal something that isn't. In a society where people have been conditionned to have a 30s attention span (thank you, commercials!), and to expect instant gratification, that break point where people decide that it's no longer worth paying for something is decreasing. Industry needs to recognize that, and either reexamine their business models (so that they're only selling things that can't be stolen, and no, I don't mean DRM, I mean sell services rather than products), or to adjust their pricing to reflect how people value their wares.

    2. Re:Argument by westlake · · Score: 2, Interesting

      People are stealing because they know intuitively in their gut that they are being ripped off.

      The two disk Blu-Ray release of a $180 million production like Wall-E costs $18 when purchased from Amazon.com. All extras in 1080p.

      Wall-E in standard definition is an instant download for your Netflix subscriber.

      Disney returns to lush 2D animation and the animated musical feature with The Princess and the Frog.

      Black heroine. New Orleans jazz ca. 1925.

      Tell me what other studio would have the confidence and resources to take such a risk.

      Who is being ripped off?

    3. Re:Argument by Beardo+the+Bearded · · Score: 2, Insightful

      Same thing here. I'm not going to pay hundreds of dollars to watch Battlestar Galactica one time when I could just get it from the library. Neither would I want to wait for 12 months for the DVD release of "V" to catch up on the first four episodes.

      I blame scour.net since it let me get mp3s for free in 1999. They should be shut down.

      --

      ---
      ECHELON is a government program to find words like bomb, jihad, plutonium, assassinate, and anarchy.
    4. Re:Argument by Microlith · · Score: 3, Insightful

      People are stealing because they know intuitively in their gut that they are being ripped off

      They -think- they are being ripped off, but they would do so even if the prices were truly reasonable. The p2p audience seems to consist of pack-rats and freeloaders, with a tiny subset of people who take a moral (and sometimes hypocritical) stand.

      copyright holders are failing to meet the needs of their customers - nobody wants digital restrictions

      No argument there, but making a case against it is hard. Progress is being made, with the rapid death of DRM on music distributed via iTunes and Amazon.

    5. Re:Argument by headkase · · Score: 2, Interesting

      I do, its the public domain. I have had things stolen from me that could and should have been: secondary works.

      --
      Shh.
    6. Re:Argument by headkase · · Score: 2, Insightful

      And Black heroine? 1925? That should be public domain.

      --
      Shh.
    7. Re:Argument by Sabriel · · Score: 3, Insightful

      Wall-E on Blu-Ray for $18? Awesome! Oh, wait, Amazon's warning me about something:

      Please note: Your order contains at least one Region 1 (Canada and U.S.) encoded DVD. Region 1 DVDs might not play in DVD players sold in the country where this order is being shipped. Please also note that some Region 1 DVDs contain a Regional Coding Enhancement. Some of our international customers have had problems playing these enhanced discs on their “region-free” DVD players. Learn more about DVD region encoding and formats. To modify your order, edit the quantities below.

      Hmm. It also seems the DRM on the disc won't let me make a backup in case of the kids wrecking it either. What was that you were saying about Disney's confidence in its customers?

    8. Re:Argument by Hurricane78 · · Score: 2, Interesting

      Did you just seriously use that artist extortion and media reproduction industry FUD of calling it “stealing”??

      Please go and heal the brainwashing!

      It is a service. NOT a product. (Never was. Never will be.)
      It is digital(ly transferred). It is NOT a real object.
      It is a copy. Stealing is when the owner does not have it anymore!
      There is no such thing as moving with digital data. There is only copying (and then perhaps deleting)!
      GOT IT?
      How can you, as someone who posts on a website for computer experts, not understand this??

      If it were my country, you would go to jail for this!
      But for now, please turn in your geek card right now!

      --
      Any sufficiently advanced intelligence is indistinguishable from stupidity.
    9. Re:Argument by ironicsky · · Score: 2, Informative

      Here ya go :-) http://www.exit1.org/dvdrip/
      Fixes the "Region Lock" problem.

      I have over 100 legally owned DVD's all backed up as ISO's on my personal hard drive just in case... I'm very bad for crushing crap, and my dog is bad for chewing on shiny things...

    10. Re:Argument by Anonymous Coward · · Score: 2, Insightful

      Honest people will pay for something if they feel that the price point matches the perceived value, rather than do without it.

      There, fixed that for you.

      The following rant is not aimed at realityimpaired, since he stated he uses open source alternatives for ethical reasons. His post simply provided the best springboard for it (sorry).

      Movies, recorded TV shows, and software aren't food. You don't need them. If the vendor is charging more than you think it's worth, use a substitute, or do without it. There is no, I repeat no, justification for stealing something just because you want it. Period. Arguments about "perceived value" and "cognitive dissonance" are the self serving claptrap of a generation of precious babies. These people show what you get when parents stop beating their children and schools stop flunking the stupid and lazy, and it isn't pretty. There is such a thing as too much self esteem. Yes, the rules apply to you. No, pirating movies isn't "civil disobedience". Civil disobedience is the breaking of minor laws in service of a greater moral goal, like ending discrimination based on skin color or sexual orientation. "Gives me teh free tunez" and "I want a pony" are not examples of greater moral goals. If you feel strongly that copyright and patent law are out of control, stop buying copyrighted material, use open source software, play an instrument, use the vote, campaign, write letters to your congresspersons, write amicus briefs for the court. Emulate Eric Raymond or Richard Stallman. As for movies, music and software, pay the money, use something cheaper, or pass your time some other way.

    11. Re:Argument by ultranova · · Score: 2, Insightful

      The p2p audience seems to consist of pack-rats and freeloaders, with a tiny subset of people who take a moral (and sometimes hypocritical) stand.

      The very fact that there is content available through P2P proves you wrong: someone went to the trouble of ripping, disinfecting, and uploading the game/movie/music in question. P2P couldn't exist if only a "tiny subset" contributed their personal resources; they would very soon run out and the system would collapse.

      --

      Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

    12. Re:Argument by mpe · · Score: 2, Insightful

      Yep, they are selling inferior products at an elevated price and then are surprised people try to find ways around it ?

      From the customer's POV the likes of DRM create an inferior product. There is no situation where they add any value at all. But they do add cost, which is likely to be passed on to the customer. The idea that adding DRM could reduce prices just dosn't make much sense.

    13. Re:Argument by ultranova · · Score: 2, Insightful

      We all know that contributing upstream bandwidth that you're already paying for anyways is NOT the same as paying $10 for a DVD, otherwise we would be doing that.

      Many times I see people keep on seeding, even if the file is in multiple small RAR files (yes, some morons still distribute gigabyte files formatted for floppies). Those RAR files are utterly useless once their content has been extracted, and take up valuable hard disk space, yet people still leave them there and the torrent program - which also consumes resources - running.

      Also, given the choice, I'd rather pay $20 to a pirate than $10 to a media company, since the latter will use the money against me. It is unwise to fund your enemies.

      And that an encoding and seeding job can be done by one person or a small team but lead to thousands of people getting it, so yes it is a "tiny subset" that contributes meaningful work (time and effort to encode and edit), while most 'contribute' something that requires no effort on their part.

      Apparently there's enough people contributing their efforts that everything that gets released in a digital format - and many things that got released in analog ones - appear on P2P within days of their release, if not earlier, usually multiple times. The reason there's no more people ripping movies and disinfecting software is that even the current labour force is ridiculously oversized relative to the task.

      Nearly everyone in P2P community contributes everything they can be reasonably expected to, and many people far in excess of that. It is your argument that is absurd, saying that people dublicating effort only 2-5 times rather than 1000 times over makes them freeloaders.

      And while I think copyright laws are too strict and prosecuting for reverse-engineering is horrible, I have to rage a bit at the "evil corporations pay only a small % of sales to artists, so it's okay to copy" argument. What percentage of money from P2P downloads go to the artist? What is 1% of zero?

      I haven't made any such argument. I'm against copyright simply because it is sick that our entire society and communication technology is getting twisted out of shape just to financially benefit people who make pop songs. And, as the secret ACTA negotiation process once again demonstrates, it seems impossible to have copyright that stays reasonable, I say we're better off without it.

      --

      Forget magic. Any technology distinguishable from divine power is insufficiently advanced.

  3. What crime has he committed? by pla · · Score: 4, Interesting

    IANAL, and certainly not a Japanese one, but I have to wonder what they would actually charge him with.

    Arguably, since he denies writing the program, he violated the real author's copyright (though I would think that only the actual author could pursue legal action in that case).

    Other than that... The closest US analogy I can think of would involve some variety of "theft of service" (or facilitating the same), somewhat like selling software to uncap your cable modem. But that doesn't really seem to fit, since the software only limits the end user's use of what they already have, not their use of content provided by the OEM companies. I can't even see it as facilitating copyright violation, unless Japanese law explicitly has a fair-use idea of "You can do this ten times before it counts"... Otherwise, what makes ten views okay but eleven a violation?

    As the parent poster mentions, however, I don't really suppose any of this matters. Off to the gallows with this scofflaw! Hmm, does "interfering with corporate profitability" count as a capital punishment yet?

    1. Re:What crime has he committed? by WCguru42 · · Score: 3, Informative

      My best bet would be facilitating in copyright infringement (though I have zero knowledge of japanese law of any form). The fact that he didn't make the software really doesn't seem relevant. There's nothing inherently illegal about creating that software as long as it doesn't get out. I could tinker around making all sorts of software (well, if I knew how to code) that when used would be illegal just to see if I was capable of making the code without any repercussions.

      In a probably flawed analogy, simply because you didn't cook the coke doesn't mean you won't get arrested for selling it.

      --
      "Educate the mind but never at the expense of the soul."~Blessed Basil Moreau
  4. I'm pretty surprised... by fuzzyfuzzyfungus · · Score: 3, Interesting

    Not that there would be a market for de-crippling software, or that the jackboots would come down hard on someone who attempted to satisfy that market; but at the numbers given in TFA.

    It mentions one sale, on CDR, of software and directions, for the equivalent of ~8USD. A download sale(to somebody who then resold a large number of copies) for ~6USD. Stated number of sales, over the year, is "at least 714".

    That sounds like pretty mediocre money for taking on any significant legal risk(especially since he has had a steady job with Toshiba for 15 years now, this isn't some 15 year old, or a guy dealing drugs because he has zero job skills). Has there historically been virtually zero risk, and this guy just drew the short straw and got to be the leading edge of some new crackdown? Is he just not that sharp?

  5. Japanese police by Anonymous Coward · · Score: 4, Informative

    Japanese police have such high conviction rates because,

      1. they do not follow western style of interrogation.
    http://www.debito.org/policeinterrogations.html
    There is no Miranda laws, lawyers, etc.

      2. In Japan, if police charges you with something, the society believes that you must have done something. The Japanese culture is closer to "prove your innocence" than "prove your guilt".

      3. The Japanese police historically does not bring up charges for people that they don't have evidence for. This results #2.

    1. Re:Japanese police by nedlohs · · Score: 3, Interesting

      No, in Canada or most of Europe there is no real shame for the prosecution in a not guilty verdict. In Japan it's a career ending event.

      Now that they've restored juries, though with a pretty strange variant, things might have changed - but when there weren't juries it was predictable enough for the prosecution that they wouldn't bring to trial anything they weren't sure they would win.

    2. Re:Japanese police by mrsquid0 · · Score: 2, Informative

      Canada has the Charter of Rights and Freedoms, which gives anyone who is arrested a set of rights very similar to the US Miranda rights.

      --
      Just because you are paranoid does not mean that no-one is out to get you.
  6. I think Japan participates in ACTA by turtleshadow · · Score: 3, Informative

    If Japan participates in ACTA and other international treaties then this could be a circumvention of encryption controls type of crime which would incur greater penalty than larceny or simple theft.

    To the Law outside is there a difference of kind to manufacture lock picks vs to sell them vs being actually caught picking locks vs being searched and having one found on your person?

  7. Toshiba: guilt by association? by InakaBoyJoe · · Score: 4, Insightful

    Notice how the article reports that the suspect is a "Toshiba employee" even though his activities have nothing to do with Toshiba (as far as we know). That's how things work in Japan (and Asia in general) -- the company, relatives, etc. share some responsibility for an individual's actions simply by association.

    1. Re:Toshiba: guilt by association? by eealex · · Score: 2, Interesting

      I totally agree with what you are saying. When students are caught taking drug, the president of the university has to come and apologize in front of the press; when a guy committed in mass killing, his parents has to deal with this also.

  8. par for course by fermion · · Score: 2, Interesting

    Reminds me the first episode of Leverage this season. People who rob us blind, like the senator from alaska and bank executives and middle management, get of nearly scott free, while this guy, who made "thousands of dollars" is going to probably be nailed to the wall. It is like spending billions fighting street drug dealers, while letting the high level drug users off the hook.

    --
    "She's a scientist and a lesbian. She's not going to let it slide." Orphan Black
  9. Re:Well by Yuuki+Dasu · · Score: 2, Informative

    It's not all bad. At least according to wiki, Japan has one of the lowest incarceration rates of the civilized world. The conviction rate may be high, but the sentencing is extremely lenient and the total number of convictions is low. [...] In the U.S., prosecutors fail to get a conviction about 30-40% of the time in trials, and a vastly higher percentage of the population is prosecuted.

    Ever wonder why Japan has such a high conviction rate?

    In Japan, confessions don't get overturned. There's really no provision for confessions under duress, and confessions trump material evidence. This leads prosecutors to do whatever they can to get confessions.

    In Japan, you can be held by the police for up to 23 days. During those 23 days, life will be hell. You will be subjected to endless hours of interrogations, little sleep, crowded conditions, and no exercise (unless you count 15 minutes a day in a crowded room where everyone is smoking - which international law doesn't). You can get a lawyer after the first 72 hours, but you are only allowed to communicate with them in Japanese and in the presence of a police officer.

    Japan is a great country, but hope to god no one suspects you of anything there.

    Some links: Twelve days of detention: http://www.debito.org/policeinterrogations.html
    Two years from a forced confession: http://news.bbc.co.uk/2/hi/asia-pacific/8290767.stm
    Seventeen years from a forced confession: http://www.tokyomango.com/tokyo_mango/2009/06/man-intimidated-into-admitting-to-murder-is-set-free-after-17-years-in-prison.html
    What to do if you're arrested in Japan: http://www.debito.org/whattodoif.html#arrested

    Stay safe, everyone.