Copyright Bill to Kill Tech?

By Katie Dean
wired.com

Jul. 22, 2004

The Senate Judiciary Committee will consider a bill Thursday that would hold technology companies liable for any product they make that encourages people to steal copyright materials.

Critics say the bill would effectively outlaw peer-to-peer networks and prohibit the development of new technologies, including devices like the iPod. The Inducing Infringement of Copyrights Act (S. 2560) was introduced last month by Sen. Orrin Hatch (R-Utah), head of the Senate Judiciary Committee. The legislation would hold a company liable that "intentionally induces" a person to infringe copyright.

"We think this is a recipe for disaster for the Internet," said Markham Erickson, general counsel for NetCoalition, a public policy group that represents Internet companies like Google, Yahoo and Internet service providers. "The bill as it is currently drafted is extremely broad and not entirely clear. It would, at a minimum, undermine the Sony Betamax decision."

In the Betamax decision, the Supreme Court ruled that any technology that people use for legal purposes would be legal -- even if the device could be used for illegal purposes, like content piracy. Because of the ruling, the consumer electronics industry and Hollywood went on to develop a thriving market in home video and DVDs.

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