“Intellectual property is the oil of the 21st century. Look at the richest men a hundred years ago; they all made their money extracting natural resources or moving them around. All today’s richest men have made their money out of intellectual property.”
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Mark
Getty (Co-Founder of Getty Images)
In the ever growing culture of the internet, consumers have used online media to easily access for content, whenever it’s the news, videos, buying the latest tech on Amazon, reading information, etc. The internet has made media accessible to a wider market, at the same time allowed people online to pirate content such as film, TV, music, literature without paying the content maker/service any money/ratings whatsoever. While many content makers in the media industry have claimed that piracy is bad, which makes media companies lose money, and won’t allow them to make more of the content people chose to view. While consumers have many reasons to pirate content, it is a conflict with the content maker and the ever growing following of media consumer in which it’s trying to pleased and grow. What If internet piracy is doing the opposite? What if piracy is actually helping the Film/TV Industry, rather than harming it? This written essay will analyse piracy and the effects it has on the media (whenever good or ill), this essay analyses will be based on the ethics of four quadrants model created by Harvard Divinity School professor, Ralph Potter, in which he called “The Potter Box”. The Potter Box four quadrants model consists of Situation, Values, Principles, and Loyalties. The essay will be using the four quadrants by Ralph Potter, to essentially break down the subject of piracy step by step with an ethical approach, offering a conclusion to support this essay’s written hypothesis. The first part of the essay, which will be look at the situation of piracy and how it supports the Film/TV industry, rather than harming will now begin.In today’s society, media content is everywhere, access to multiple information on the news, TV Shows, film, book, and games can found with a click of a button or an app on your mobile phone. While the access to various content has been good business wise to both the content maker/provider, and the ever hungry media consumer viewing these products. However there is a dark side for content being up on the web, internet piracy. Downloading a film/TV show that has not been officially release on home video or on demand by providers like Netflix, and content provider channel’s site yet is consider by the law stealing. A January 2014 article on the website Torrent Freak estimated that most used/popular illegal content downloading site is The Pirate Bay, along KickassTorrents in second place, and Trrentz in third place (this essay won’t get into rest of the 7 other sites). A report by The Directors Guild in America (DGA) in 2010 shows that the film industry $25 billion is lost annual in the U.S. due to global piracy. The website Go-Gulf also reported that 71,060 jobs were lost due to internet piracy, along with $ 2.7 billion earnings lost each year due to piracy. 146 million are visited on illegal downloading sites each day, in only 100,000 visit per minute, totally 53 billion visit per year. The DGA reported in 2010 by the year 2013, 90% of video will make up of internet trafficking, and 131% of annual increase of wireless data traffic per year. The DGA also estimated that by 2015, 1.2 million jobs in the European Union’s creative industries will be lost due to online piracy. A recent UK IP crime report shows that the United States hosts the most pirated media sites than any other country by a total of 30%, while Canada is only by 2% of world hosting website containing pirated material. Speaking of Canada, a 2011 report shows that more than $ 1.8 billion and 12,600 full time jobs were lost in the Canadian economy of 2009-10 due to piracy.But what if piracy hade a completely different effect, what if it was helping content itself, and creators making it, rather than harming it? In 2012, a report shows that the highly popular HBO Epic Fantasy series, Game of Thrones, based on the bestselling novel series by George R.R. Martin, was reported to be the most pirated show on the internet. When one of the Game of Thrones directors, David Petrarca was asked at the Perth Writer’s Festival about the show being the most pirated on the internet, Petrarca responded suspired everyone at the festival by saying piracy is a good thing, and that “cultural buzz” is what matter to get the word out there. The cast of Game of Thrones however have a different view than Petrarca, cast member Michelle Fairley said that piracy rate of the show is a double edge sword when it comes to consumers downloading the content on pirated sites. Nikolaj Coster - Waldau, co-star of the Game of Thrones series said on BBC that he hoped people pirating the show would buy the DVD set for the show, but they won’t. While current content makers may have doubts, or two sided views regarding internet piracy and legally produced bought/viewed content by its target consumers. Despite initial research made in 2010/11, and the opinions of cast members/one of the directors of Game of Thrones themselves. In 2013, a study by the London School of Economics reveals that illegal downloading might be actually increasing sales, not hurting them. The report has shown that while sales for hard copy DVDs in the home market has decreased, between the years 2001 to 2010, global revenues has increased five percent, and in 2012 the U.S. Film industry was worth a strong $93.7 billion alone. Even though Hollywood claims that piracy hurts the Film/TV industry, The London School of Economics (LSE) reported that in 2012, Hollywood had achieved a record breaking $35 billion globally in box office revenues, making it a six percent increase over the year before. Researchers from the London School conducted that film Industry using digital distribution methods similar to that of illegal file sharing sites model such as The Pirate Bay, BitTorrent, and others that had led to sales success. The media industry is starting to realize that putting their intellectual content on the web can bring marketing advantages, sales increase, which leads to decrease of illegal file sharing. By letting the consumer share the product to others, other potential consumers will support it by buying it. The LSE conducts that people who download illegal content, then to buy more legal content, then those who only buy/view content legally. The LSE wasn’t the only organization in Europe to conduct research on consuming media piracy, in Germany, The German Association for Consumer Research (GFK) discovered that people using torrent sites to download content, tend to go to the movies more than the non-torrent site using consumers. GFK stated that by consumers downloading films, they get more encourage to go the cinema to pay to see a movie. A Danish report in 2010 has shown that 70% of the general public finds piracy socially acceptable, as long as they are not selling it themselves to make a profit. A report in the U.S. by The American Assembly Findings found that people pirating content such as music are more likely to own a large library of music, supporting their content makers themselves, than the people that don’t pirate content. The motive behind people pirating content, is often things such as expensive price to legally purchase content (physical/online), longer release dates in other countries, not being subscribed to certain cable companies which has content/channels exclusively, it’s fast, quick and easy. While pirating content, people downloading content may support content maker by buying merchandise relating to the content they download such as t-shirts, books, toys, board games, etc. The SITUATION being presented in this essay, is not that piracy is both a good/bad thing to content makers, it’s an accessibly problem that results in illegally downloading content. While this essay has mention about research that was being made about how piracy is hurting jobs in the media industry, Rick Falkvinge, writer for the dedicated news site on internet piracy and copyright, TorrentFreak, recently rebutted by writing that industries/jobs are born from the copy, the film industry was born by copying Thomas Edison’s invention of the motion picture, which Edison and his company Western Electric were often stopping people starting up their own motion picture companies in New York due to “copying” a product. Preventing Edison to prevent their business from starting in New York, Companies such as Warner Bros., Universal, and MGM move their house to Los Angeles, California, and created the US film industry, which is known today as Hollywood. Now that the situation aspect has now been examine, the essay will now look at the ethical values of piracy and how it’s helping the film/TV industry.The values that is being presented regarding media piracy, how’s it helping content makers, rather than harming is going to be examine thought clauses of the Canadian broadcasting standards guide known as the CAB Code of Ethics. Though the issue of media piracy does not fall into every clause category of the CAB, the issues related to media piracy has fallen into some of the categories regarding Canadian broadcasting code of ethics. Media piracy regarding the content makers, as well as consumers do fall under the first clause of the CAB, General Programming. Content makers/producers have a responsibly to recognize/provide the various taste of its viewers, and giving them content that relates to various genres of TV series/films. It could also fall under providing that said content of whatever subject/genre to be accessible to various platforms (such as cable, on demand sites such as Netflix, TV station website, etc.) to help bring in/grow that audience if they are to use pirated like techniques to encourage viewers to watch content more legally. Due to the essay itself presenting both viewpoints of internet piracy in the situation section, the subject can also land under Clause 7 – Controversial Public Issues. It’s important for the Broadcast industry to display both sides of piracy in a non-bias objective view point to the viewer, as well as putting up all the facts, opinions by various experts and everyday people. By creating merchandise, putting content on the web, letting people view/sharing the content free (legal or pirated) on the web in which early in the essay David Petrarca dubbed “cultural buzz”. It’s fair to say this aspect of piracy helping the media with word of mouth via web (regardless of law), merchandising (t-shirts, DVD sets, collector toys, etc.) can fall under Clause 13 – Advertising (General Principles) under section A. Using section A to make media consumers aware of content, related merchandise, and make the availability of content as strong/easy as possible (access & price). By making visual content accessible, illegal piracy will more likely decrease, by making it easy for many to view content on any device (TV, phone, computer, etc.), whenever time they want. Making content makers serve, invest with their audience/fans, a group otherwise known a community, which serves under Clause 16 of the CAB Code of Ethics; Community Activities. The values section of this analysis using the Potter Box method has reached it conclusion, the essay will now examine the third section of the Potter Box, the principles dealing with TV/film piracy on the web.
As the concept of media piracy indirectly supporting media by making content maker distribute their film/TV series to legal online sites (Netflix, Apple Store, etc.) with an affordable price, to fight fire with fire of the file sharing market, allowing consumers enjoy content more accessibly on any viewing device. It’s putting people first, instead of thinking the industry standard of releasing content only on cable paid TV networks, movie theatres, and hard copy DVDs on the home market. This kind of business mentality of putting people first ahead of established organization, is a moral philosophical principle that dates back to the mid-1800s called Utilitarian Ethics by British thinker John Stuart Mill. Mill believed that right thing to do is think, and help the greater number of people. A majority rule school of thought that is a reflection of democracy, by letting the people know, and decide what they want. One might ask, has any broadcasting corporation, production company or even another individual have embraced Mill’s utilitarian principle of thought (perhaps a similar approach) when it came it distributing content? The answer to that question may come from the on - demand distribution company known as Netflix, and Academy/Emmy award winning actor Kevin Spacey. At the Edinburgh International Television Festival in England, of regards towards Spacey’s hit Netflix exclusive series, House of Cards, as well as Netflix business model and the future of television. Spacey urged networks/content makers to embrace the Netflix business model, don’t end up with the same fate music industry, release an entire season of a series, with an adorable price, that the audience wants the control, the accessibility, the freedom to view the entire season of a show however they want, when they want, on whatever viewing device pleases them (Computer, phone, TV, etc.). Spacey also wants content makers to embrace online community with Facebook pages, encouraging fans by making fan pages, sites, memes, letting spread the word on the show/film (or dubbed “cultural buzz” as David Petrarca puts from above the first part of the essay). By doing this, Spacey believes that content makers can “take a bite out of piracy”, but adding that some will still pirate media. A statement made by Spacey that may be actually happening at the moment, an article by the Independent reported in 2013 the recent research conducted in Norway has shown that while that 260 million TV shows and films were downloaded in 2008, but has a major dropped to 120 million in 2013. The Norwegian continue stating that legal streaming services like Netflix has given consumers a more reliable platform that file sharing torrents. Netflix itself also reveals that they study what’s being the most popular show or film currently pirated on torrent sites, and will try to buy the licencing rights for the film or TV show by the actual disturber. Though shows such as Breaking Bad, Walking Dead, and Prison Break have landed onto to Netflix. Content from HBO has not been distribute on Netflix, but rather decides to compete with Netflix with the release of an HBO streaming service in 2015 (echoing back earlier in the essay of Rick Falkvinge’s article on how industries copy each other, which creates jobs, competition, and growth) in the US (as mention before that piracy is the result of consumers not been able to access content due to shipment date, exclusive content by limited amount of providers) and won’t be available in Canada for now. The broadcasting business model embrace by Netflix (soon HBO internet streaming service) of giving consumer what they want, studying what most people pirate on the internet shows the piracy DOES indirectly helps the film/TV industry, and by doing this reflects the Utilitarian Ethics model made by John Stuart Mill. In conclusion of the principles section of the essay, the concept of media piracy actually helping the TV/film industry is a principle based on the Utilitarian Ethics of John Stuart Mill.In this essay regarding internet piracy and the indirect positive effects it has on the TV/film industry, the essay first analysed the situation of piracy, the values of it based on the CAB Code of Ethics, the moral principles regarding the content makers, and their target consumer based on the Utilitarian Ethics of John Stuart Mill. Despite the essay analyzing these three aspects regarding media piracy, displaying the real problem is an accessibility roadblock for the consumer to view content, which results in piracy. One person might ask what loyalties should broadcasters/content makers serve towards? Should they serve themselves and decide how they distribute it themselves? Traditional broadcast standards to please employers? As mention above, reports were told that piracy is most often a result of people not able to acquire that content (via high price, not able to find hard copy, longer release date in other country, etc.), but research has shown that the file sharing community has supported content creators via buying merchandise relating to content they pirate, they have a larger media library then the ones who don’t, and more encourage to go to the movies. The values behind it are more to do with advertising the content (“cultural buzz”), and serving your community by letting the audience gain better access to content with similar pirate like distribution via on demands services such as Netflix. Which leads Spacey’s urge to give the audience what they want, reflecting utilitarian principles of John Stuart Mill. All this being mention leads to for content maker to be loyal to their viewers watch their program, at the end of the day the content is being made for media consumers to view. Spacey puts it at the Edinburgh International Television Festival, that people are hungry for story. At the Tribeca Film Festival, coordinator Cara Cusumano states the film industry should ignore piracy, embracing the internet, and video on demand services for future distribution. Cusumano said in an interview that “Piracy is less about people not wanting to pay and more about wanting the immediacy – people saying I want to watch Spider-Man right now and downloading it.” Cara concludes by saying “I think that if companies were willing to put that material out there, moving forward, consumers will follow.” In conclusion to loyalties, as well as the entire essay. By giving viewers what they want, making the content easy to find, thus content makers are being loyal to their audience, by that they want to watch the entire content at their control.Bibliography
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