AUTHORS RIGHTS IN THE DIGITAL AGE A Fair Deal for Journalists

PRESENTATION ANTONIS PLESSAS Watch the slide show. Slide 1 Good evening! My name is Antonis Plessas and I am here today representing the Hellenic Society for the Protection of Intellectual Property (AEPI) in order to share with you, in my capacity as both a music creator and owner of authors rights, my experience in the extremely topical issue of Authors Rights in the digital environment. Slide 2 Three weeks ago, Greek newspaper KATHIMERINI has published an article titled There might be future for newspapers. The article referred to the review of German newspaper DIE ZEIT reporting the best two years of its operation, bright exception in the gloomy sector of European and international press. In the article there were two statements made by Giovanni di Lorenzo, DIE ZEITs Editor-in-Chief which attracted my attention. In the first, when asked about the newspapers success, Mr Giovanni di Lorenzo answered that the success is due to the fact that the newspaper is carefully considering the needs of its readers and completely ignores the views of special advisors for media. In the second, Mr G. di Lorenzo stressed that the future of press because in his opinion printed press has a future because is a journalism of orientation and depth. Slide 3 Public needs, expertscontribution in current evolutions and the quality of services and products, also constitute issues of prime interest in our own field. Music industry has always paid great importance to facts and figures collected through researches, polls and analyses. There is no doubt that major record companies know better than anybody else about phonographic market, however it is a fact that this knowledge has not prevented them from losing the ground under their feet and their representatives IFPI & RIAA lost the citizens trust in their policies. It is clear that a 60% decrease of sales during the last decade in a time when music has become more popular than ever, cannot be justified only by publics attitude but we should look for the reasons in the quality of the provided
1/7

product as well as in the inadequacy of music industry to feel the consumers needs, due to its experts view. Therefore, we are led to the result that in the beginning of 21rst century the obtained by bureaucratic researches knowledge is not enough to replace the lack of insight and foresight, which are necessary today for our survival in this new environment. Slide 4 So, when we wonder whether at the end of this difficult for all of us financial recession, we will get back to business as usual, the answer is obviously NO. Technology is constantly and irreversibly affecting, formatting and changing our culture and habits, yet with very different levels of impact in different regions around the globe and at a very different speed and certainly affects the way we are asked to develop our businesses. The creators of music works are now facing a serious chalenge which has to do with the fact that the larger part of real value that music used to have in peoples mind has been deleted and it is left only with the sentimental value. Slide 5 I am here today to share with you the knowledge I obtained during the last ten years after experiencing drastic changes in my line of business. The first thing I wish to share with you is that it is time to re-examine our assumptions and standards. Slide 6 So, here is the knowledge that offers me the possibility to comprehend and -I wish to believe - adapt myself in new reality, in order for me to survive in our broadband connected world. The fair question that occurs is whether and up to which point I can manage this challenge on my own. Of course I come to the conclusion that I need someone to help me with all these different things during the process but definitely not in the way and terms it was done in the past. Slide 7 The basic force behind the current revolution is the dramatic change in the distribution economy. Prior to the digital revolution, the distribution and sales of works by independent creators-producers were characterized by limited choices, high cost and ineffectiveness. In the beginning of 21rst century, with new models of enterprise emerging through on line services and public, as a potential sponsor, claiming a dominant role in the shaping of the music field, the independent production, for the first time in history, has all necessary tools to allow it to claim its place in the international music scene.
2/7

Slide 8 The impressive evolution of recent years in the area of technology and telecommunications have reassured me the access of my works to a worldwide audience and at the same time have made accessible great tools for the recording, production, promotion, distribution and finally sale of my works. This new environment urges me to change the way I operate and reposition the toll booth where I expect the monetization of my audiences access to my works. Slide 9 Today, the cross line between the professional and amateur creator becomes further and further faint. Slide 10 This fact is confirmed by the impressive number of participation of professionals and non professionals creators in the web site of My Space and several other web sites. We, professional creators, compete with millions of other potential creators who take advantage of the same tools and equally demand publics attention. (User Generated Content). Slide 11 Consequently, in our continuously hyper-connected world, attracting and sustaining publics attention and winning its trust will be prerequisites for reassuring a fair fee for our work. Slide 12 The monetization of the investment will be more often affected by the proactive participation and interaction of the creator with his fans, audience, spectators, readers and friends. Personal reputation and influence have started to become an important currency which in due time and under certain conditions can turn into cash. Slide 13 I believe in and support the vital role of Authors Rights Societies and the necessity of their existence, because they reassure the following advantages for their members: Transparency: distribution according to rules and auditing procedures which are open to all, Equality and non discriminatory treatment for all their members Certainty of represented repertory Protection of Authors Rights and Cultural diversity

3/7

Slide 14 The Hellenic Society for the Protection of Intellectual Property (AEPI) functions as a Collective Management Organization on the basis of the regulations of Greek Law 2121/1993. AEPI represents more than 11.000 Greek and 2.200.000 foreign creators and intellectual rights owners who have entrusted it with their works and its management. In the framework of its international cooperation, AEPI has concluded reciprocal agreements with 125 homologue societies in 181 territories. Slide 15 In Fall 2009, taking a starting proposal by the Greek branch of International Federation of Phonographic Industry (IFPI) and GRAMMO (Collective Management Society for Producers of phonograms), AEPI organized and coordinated for the first time the gathering of 14 Collecting Societies and Collective Protection Societies, which represent the totality of intellectual individual of the country, plus the rights of hundreds of thousands foreign rights owners represented in Greece. The initiative of the 14 Collecting Societies was a common attempt to inform, converge and communicate their positions, present their propositions to the public and the State, the latter being called upon, through its officers , to take position for the protection of intellectual/neighboring/ human rights on the internet. Slide 16 This common initiative was followed by a series of meetings between Collecting Societies and several Greek internet service providers to seek a satisfactory solution for both sides. Unfortunately, these discussions brought no result. AEPIs proposal was that internet users pay a monthly fee for the licensed used of represented repertory. The basic obstacles for achieving an agreement were, on one hand Greek Law 2472/97 for Personal Data, which does not allow removal of confidentiality and therefore service providers are not obliged to provide personal data for those users who illegally share music files (P2P) on the internet and, on the other hand, the lack of cooperation between right owners regarding service providers claims, as some of them i.e. the representatives of USA audiovisual works in Greece have only the right to forbid and not to license the use of their repertory. Slide 17 A free consumer is more valuable than a captive one. We must reconsider permissions and standards, strike new balances for our connected world and monetize usage and engagement. Slide 18 To stay relevant we need to see and experience- the world in the same way as our customers.
4/7

Attempts to increase control while the world keeps getting more connected will fail spectacularly! Slide 19 What we need is a collective, compulsory blanket license covering every use of music and media on the internet. The problem is not what consumers are doing-the problem is that the music industry has not blessed it with a license yet! Slide 20 Neelie Kroes, Vice-President of European Commission and Commissioner for Digital Agenda recently reported: It is a common assumption that the existing legal framework should be changed as soon as possible because it doesnt serve well any party nor the artists neither the companies or users. The digital music (r)evolution clearly poses a myriad of business and sociocultural problems that require us devise a new social contract that legalizes what people actually do and then build new business models around it. Slide 21 Here are, from our experience, some of the reasons that resolution through licensing has not reached the desired solution: 1) There are several Directorates-General (DGs) in European Commission with contradictory points of view. i.e The Internal Market and Services DG contradicts to the Competition DG. The first requests a unique point of Paneuropean Licensing while the second supports the multiple points of Paneuropean Licensing. 2) The basic aim of the Commission regarding competition among Collective Management Organisations (CMOs) favours the Societies that represent international repertories such as Anglo-Saxon-American and operates against national small repertories, such as Greek, Portuguese, etc. 3) The "Commission Recommendation of 2005 on Collective Cross-Border Management of Copyright and Related Rights for legitimate online music services", encouraged the major Music Publishers (EMI, SONY, WARNER, UNIVERSAL, BMG) to withdraw their repertories from CMOs as regards to online licensing. This resulted in the licencing procedure for users to worsen and in many cases the users of music do not know to whom they should address themselves for licensing. Slide 22 In the sector of Radio and Television Organisations 1) Private Radio and TV Broadcasters on the one hand, featuring the German RTL, are in favour of negotiations with each creator or rights-owner separately and not through CMOs.
5/7

Public Radio and TV Broadcasters on the other hand, featuring EBU (European Broadcasters Union), are in favour of the maintenance of the present system of collective management. 2) The R/TV Organizations, the producers of audiovisual works and the record companies, press creators for a complete buy-out of their rights, leading them to their absolute isolation from their works. 3) Due to the chaotic situation created based on the facts I described, several companies providing on-line services went ahead and launched their operation without the necessary licenses and royalty payments for the use of music. Slide 23 Current Situation There are complex problems concerning the licensing of providers of music services on-line, due to interventions and pressures by the European Commission on the following issues: a) Which CMO(s) will be entitled to license the provider b) For which repertories c) For which territory I.e. The European i-TUNES needs to conclude dozens of different license agreements, which bear extra administrative costs and delays in the distribution of royalties to right-owners. 2) There is no sufficient European regulation yet. There is a general belief the European Commission either does not wish or is not able to effectively solve the issue, under the lobbying of serious stakeholders. 3) In France, the Law HADOPI (of three strikes) was activated with difficulties in summer of 2010. Its financial cost is immense and therefore, its future uncertain. Slide 24 Finally, before I conclude my speech I wish to refer to my capacity as user, a most empowered user regarding to the past, due to the technological evolutions and the broadband connection. So, I would like to share with you my belief that people pay for authors works when they see real value, when the price is right and when the process its easy. Slide 25 As an empowered media buyer-user I want to have access from anywhere, anytime and any device I choose. Slide 26 I also wish to have personalized services, personalized offers, real meaning, solid relevance, timeliness, and - undoubtedly- transparency and truthfulness. Slide 27 With many different products for all kinds of needs.
6/7

Slide 28 For which Ill also remunerate you with my attention by forwarding a link, rating a site, commenting on a blog, twittering, sharing bookmarks, allowing cookies on my computer, sharing my location, liking something on Facebook and many more things that create meta-content, that is content around content and therefore, value. Slide 29 So, before you blame me as being responsible Slide 30 for your businesses decline Slide 31 start with a great story, slice it and dice it, make it useful, sift through its data, move it around, clear its legal and fair use, present it in all kind of useful formats and prices, and you have my attention, payment and devotion. Slide 32 Usersdrastic empowerment means that businesses must collaborate or perish. Slide 33 Understandably everyone is wondering: What will work in place of the old model? Is there a general model that will replace what dissolves before our eyes? However, any experiment designed to provide new models of interaction and creativity, will be an improvement compared with denial of reality, especially at a time when for most the unthinkable future is already in the past. Slide 34 Thank you all for your time.
Antonis Plessas Composer - Producer Music Technology Consultant pple Distinguished Educator web: BLOG - TWITTER - POSTEROUS e-mail: aplessas@otenet.gr Mobile: 0030 6947 709503 AEPI: 0030 21110 29295

7/7