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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Invention

According to the WIPO an invention is a "... novel idea which permits in practice the solution of a specific problem in the field of technology." Concerning its protection by law the idea "... must be new in the sense that is has not already been published or publicly used; it must be non-obvious in the sense that it would not have occurred to any specialist in the particular industrial field, had such a specialist been asked to find a solution to the particular problem; and it must be capable of industrial application in the sense that it can be industrially manufactured or used." Protection can be obtained through a patent (granted by a government office) and typically is limited to 20 years.

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