The Piracy "Industry" Until recent years, the problem of piracy (the unauthorized reproduction or distribution of copyrighted works (for commercial purposes)) was largely confined to the copying and physical distribution of tapes, disks and CDs. Yet the emergence and increased use of global data networks and the WWW has added a new dimension to the piracy of intellectual property by permitting still easier copying, electronic sales and transmissions of illegally reproduced copyrighted works on a grand scale. This new development, often referred to as Internet piracy, broadly relates to the use of global data networks to 1) transmit and download digitized copies of pirated works, 2) advertise and market pirated intellectual property that is delivered on physical media through the mails or other traditional means, and 3) offer and transmit codes or other technologies which can be used to circumvent copy-protection security measures. Lately the International Intellectual Property Alliance has published a new report on the estimated trade losses due to piracy. (The IIPA assumes that their report actually underestimates the loss of income due to the unlawful copying and distribution of copyrighted works. Yet it should be taken into consideration that the IIPA is the representative of the U.S. core copyright industries (business software, films, videos, music, sound recordings, books and journals, and interactive entertainment software).) Table: IIPA 1998 - 1999 Estimated Trade Loss due to Copyright Piracy (in millions of US$) Motion Pictures Records & Music Business Applications Entertainment Software Books 1999 1998 1999 1998 1999 1998 1999 1998 1999 1998 Total Losses 1323 1421 1684 1613 3211 3437 3020 2952 673 619 Total Losses (core copyright industries) 1999 1998 9910.0 10041.5

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The Copyright Industry Copyright is not only about protecting the rights of creators, but has also become a major branch of industry with significant contributions to the global economy. According to the International Intellectual Property Alliance the U.S. copyright industry has grown almost three times as fast as the economy as a whole for the past 20 years. In 1997, the total copyright industries contributed an estimated US$ 529.3 billion to the U.S. economy with the core copyright industries accounting for US$ 348.4 billion. Between 1977 and 1997, the absolute growth rate of value added to the U.S. GDP by the core copyright industries was 241 %. Also the copyright industry's foreign sales in 1997 (US$ 66.85 billion for the core copyright industries) were larger than the U.S. Commerce Department International Trade Administration's estimates of the exports of almost all other leading industry sectors. They exceeded even the combined automobile and automobile parts industries, as well as the agricultural sector. In an age where knowledge and information become more and more important and with the advancement of new technologies, transmission systems and distribution channels a further increase in the production of intellectual property is expected. Therefore as copyright establishes ownership in intellectual property it is increasingly seen as the key to wealth in the future.

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Clipper Chip The Clipper Chip is a cryptographic device proposed by the U.S. government that purportedly intended to protect private communications while at the same time permitting government agents to obtain the "keys" upon presentation of what has been vaguely characterized as "legal authorization." The "keys" are held by two government "escrow agents" and would enable the government to access the encrypted private communication. While Clipper would be used to encrypt voice transmissions, a similar chip known as Capstone would be used to encrypt data. The underlying cryptographic algorithm, known as Skipjack, was developed by the National Security Agency (NSA).

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Xerxes Xerxes (~519-465 BC) was Persian King from 485-465 BC. He led his Army against the Greek but finally was defeated. He was the father of Alexander the Great.

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News Corporation The News Corporation Ltd., a global media holding company, which governed News Limited (Australia), News International (U.K.), and News America Holdings Inc. (U.S.) was founded by the Australian-born newspaper publisher and media entrepreneur, Rupert Murdoch. Murdoch's corporate interests center on newspaper, magazine, book, and electronic publishing; television broadcasting; and film and video production, principally in the United States, the United Kingdom, and Australia.

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