Think Tanks and Corporate Money

Looking at the financial situation of think tanks, different funding patterns can be found. While financial contributions from foundations play an important role especially for conservative think tanks, also contributions from governments are made to certain institutions. Yet one of the most important funding sources are corporate donors and individual contributors. Although the extent to which - in most cases conservative - think tanks rely on corporate funding varies, from the US$ 158 million spent by the top 20 conservative think tanks, more than half of it was contributed by corporations or businessmen.

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Examples of Mainly Corporate Funded Think Tanks: Cato Institute

Founded in 1977 the Cato Institutes 1998 budget made up US$ 11 million. Its funding consists of corporate and private donations (especially from corporations and executives in the highly regulated industries of financial services, telecommunications and pharmaceuticals industries) and sales of publications.

Catos corporate donors include tobacco firms: Philip Morris (Rupert Murdoch sits on Philip Morris board of directors) and R.J. Reynolds. Financial firms: American Express, Chase Manhattan Bank, Chemical Bank, Citicorp/Citibank, Commonwealth Fund, Prudential Securities and Salomon Brothers. Energy conglomerates: Chevron Companies, Exxon Company, Shell Oil Company and Tenneco Gas, as well as the American Petroleum Institute, Amoco Foundation and Atlantic Richfield Foundation. Furthermore the Cato Institute is funded by pharmaceutical firms: Eli Lilly & Company, Merck & Company and Pfizer, Inc., foundations, like Koch, Lambe and Sarah Scaife and companies from the telecommunications sector: Bell Atlantic Network Services, BellSouth Corporation, Microsoft, NYNEX Corporation, Sun Microsystems and Viacom.

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Recent "Digital Copyright" Legislation: European Union

Directive on Copyright and Related Rights in the Information Society

In November 1996 the European Commission adopted a communication concerning the follow-up to the Green Paper on copyright and related rights in the information society. The proposed Directive aims at transposing into Community law the main international obligations arising from the two treaties on copyright and related rights adopted within the framework of the WIPO in December 1996 (WIPO Performances and Phonogram Treaty and WIPO Copyright Treaty). It applies to provisions relating to:

- the legal protection of computer programs

- rental right, lending right and certain rights related to copyright in the field of intellectual property

- copyright and related rights applicable to broadcasting of programs by satellite and cable retransmission

- the term of protection of copyright and certain related rights

- the legal protection of databases

The proposal was first presented by the Commission in January 1998, amended in May 1999 and currently is at second reading before the Parliament. Final adoption of the Directive could take place at the end of 2000 or the beginning of 2001 respectively.

A full-text version for download (pdf file) of the amended proposal for a Directive on copyright and related rights in the Information Society is available on the website of the European Commission (DG Internal Market): http://www.europa.eu.int/comm/internal_market/en/intprop/intprop/docs/index.htm

General critique concerning the proposed EU Directive includes:

- Open networks
The new law could require (technological) surveillance of communications to ensure enforcement. Also because Service Providers might be legally liable for transmitting unauthorized copies, the might in turn have to deny access to anybody who could not provide them with financial guaranties or insurance.

- Interoperable systems
The draft could negate the already established right in EU law for software firms to make their systems interoperable with the dominant copyright protected systems. This would be a threat to the democratic and economic rights of users.

- Publicly available information
It is yet unclear whether new legal protections against the bypassing of conditional access technology apply only for content with an exclusive right. If the content is already in the public domain, then there can be no possible violation of copyright law just from gaining access to it.

Comments from the library, archives and documentation community on the amended Directive embrace:

The Library Association
http://www.la-hq.org.uk/directory/prof_issues/dcrris2.html

EBLIDA (European Bureau of Library, Information and Documentation Associations)
http://www.eblida.org/lobby/position/ampos2fi.htm

Society of Archivists (U.K.) and Public Record Office (U.K.)
http://www.pro.gov.uk/about/copyright/copyrightdraft.htm

EFPICC (European Fair Practices In Copyright Campaign) http://www.eblida.org/efpicc/comments.htm

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Copyright Management and Control Systems: Pre-Infringement

Pre-infringement copyright management and control systems that inhibit or control infringement of intellectual property may be put into place by copyright owners before distributing their works. Examples are:

Contracts

Contracts are a pre-infringement control method, which very often is underestimated. Properly formed contracts enable copyright holders to restrict the use of their works in excess of the rights granted under copyright laws.

Copy Protection

This approach was standard in the 1980s, but rejected by consumers and relatively easy to break. Still copy protection, whereby the vendor limits the number of times a file can be copied, is used in certain situations.

Limited Functionality

This method allows copyright owners to provide a copy of the work, which is functionally limited. Software creators, for example, can distribute software that cannot print or save. A fully functional version has to be bought from the vendor.

Date Bombs

Here the intellectual property holder distributes a fully functional copy but locks off access at a pre-specified date or after a certain number of uses.

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Internet services

The Internet can be used in in different ways: for distributing and retrieving information, for one-to-one, one-to-many and many-to-many communication, and for the access services. Accordingly, there are different services on offer. The most important of these are listed below.

Telnet

FTP (File Transfer Protocol)

Electronic Messaging (E-Mail)

World Wide Web (WWW)

Bulletin Board Systems (BBS)

Electronic Data Interchange (EDI)

Internet Relay Chat (IRC)

Multiple User Dimensions (MUDs)

Gopher

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PGP

A cryptographic software application that was developed by Phil Zimmerman at the Massachusetts Institute of Technology. Pretty Good Privacy (PGP) is a cryptographic product family that enables people to securely exchange messages, and to secure files, disk volumes and network connections with both privacy and strong authentication.

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COMECON

The Council for Mutual Economic Aid (COMECON) was set up in 1949 consisting of six East European countries: Bulgaria, Czechoslovakia, Hungary, Poland, Romania, and the USSR, followed later by the German Democratic Republic (1950), Mongolia (1962), Cuba (1972), and Vietnam (1978). Its aim was, to develop the member countries' economies on a complementary basis for the purpose of achieving self-sufficiency. In 1991, Comecon was replaced by the Organization for International Economic Cooperation.

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State Farm Insurance

Comprehensive insurance provider. Covers health, automobile, life, homeowners, and farmers services. State Farm Insurance Companies' corporate headquarters are in Bloomington, Ill. Today there are 27 regional offices and more than 1,000 claim service centers. State Farm has grown to include 76,500 employees and more than 16,000 agents servicing 66.2 million policies in the United States and Canada.

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Nero

Nero's full name was Nero Claudius Caesar Augustus Germanicus (37-68 AD). Nero was Roman Emperor from 54-68 AD; during the first years in power he stood under the influence of his teacher Seneca. In this period he was very successful in inner politics and abroad, for example in Britannia. Soon he changed into a selfish dictator, had his brother, mother and wife killed and probably burnt Rome, blaming the Christians for it. More than in political affairs he was interested in arts. when he was dismissed in 68, he committed suicide.

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Viacom

One of the largest and foremost communications and media conglomerates in the
world. Founded in 1971, the present form of the corporation dates from 1994 when Viacom Inc., which owned radio and television stations and cable television programming services and systems, acquired the entertainment and publishing giant Paramount Communications Inc. and then merged with the video and music retailer Blockbuster Entertainment Corp. Headquarters are in New York City.

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Philip Morris

American holding company founded in 1985, the owner of several major American companies, notably Philip Morris Inc., the General Foods Corporation, and Kraft, Inc., with diversified interests in tobacco and food products. In 1988 Philip Morris acquired Kraft, Inc., a large maker of cheeses and grocery products. Philip Morris thus became one of the world's largest corporate producers of consumer goods. Its headquarters are in New York City.

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Royal Dutch/Shell Group

One of the world's largest corporate entities in sales, consisting of companies in more than 100 countries, whose shares are owned by NV Koninklijke Nederlandsche Petroleum Maatschappij (Royal Dutch Petroleum Company Ltd.) of The Hague and by the "Shell" Transport and Trading Company, PLC, of London. Below these two parent companies are two holding companies, Shell Petroleum NV and the Shell Petroleum Company Limited, whose shares are owned 60 percent by Royal Dutch and 40 percent by "Shell" Transport and Trading. The holding companies, in turn, hold shares in and administer the subsidiary service companies and operating companies around the world, which engage in oil, petrochemical, and associated industries, from research and exploration to production and marketing. Several companies also deal in metals, nuclear energy, solar energy, coal, and consumer products.

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Atlantic Richfield Company

American petroleum corporation created in 1966 by the merger of Richfield Oil

Corporation and Atlantic Refining Company. A further merger in 1969 brought in Sinclair Oil Corporation. Atlantic Richfield has petroleum operations in all parts of the United States as well as in Indonesia, the North Sea, and the South China Sea. The company also owns and operates transportation facilities for liquid petroleum, including pipelines and tankers; produces and sells chemicals, coal, and metal products; and is involved in the development of solar energy products and in other energy-related activities. Headquarters are in Los Angeles.

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