Digital Rights Management and Consumer Acceptability: A Multi-Disciplinary Discussion of Consumer Concerns and Expectations

The INDICARE project – the Informed Dialogue about Consumer Acceptability of DRM Solutions in Europe – has been set up to raise awareness about consumer and user issues of Digital Rights Management (DRM) solutions. One of the main goals of the INDICARE project is to contribute to the consensus-building among multiple players with heterogeneous interests in the digital environment. To promote this process and to contribute to the creation of a common level of understanding is the aim of the present report. It provides an overview of consumer concerns and expectations regarding DRMs, and discusses the findings from a social, legal, technical and business perspective. A general overview of the existing EC initiatives shows that questions of consumer acceptability of DRM have only recently begun to draw wider attention. A review of the relevant statements, studies and reports confirms that awareness of consumer concerns is still at a low level. Five major categories of concerns have been distinguished so far: (1) fair conditions of use and access to digital content, (2) privacy, (3) interoperability, (4) transparency and (5) various aspects of consumer friendliness. From the legal point of view, many of the identified issues go beyond the scope of copyright law, i.e. the field of law where DRM was traditionally discussed. Often they are a matter of general or sector-specific consumer protection law. Furthermore, it is still unclear to what extent technology and an appropriate design of technical solutions can provide an answer to some of the concerns of consumers. One goal of the technical chapter was exactly to highlight some of these technical possibilities. Finally, it is shown that consumer acceptability of DRM is important for the economic success of different business models based on DRM. Fair and responsive DRM design can be a profitable strategy, however DRM-free alternatives do exist too.Digital Rights Management; consumers; Intellectual property; business models

Autonomy, Efficiency, Privacy and Traceability in Blockchain-enabled IoT Data Marketplace

Personal data generated from IoT devices is a new economic asset that individuals can trade to generate revenue on the emerging data marketplaces. Blockchain technology can disrupt the data marketplace and make trading more democratic, trustworthy, transparent and secure. Nevertheless, the adoption of blockchain to create an IoT data marketplace requires consideration of autonomy and efficiency, privacy, and traceability. Conventional centralized approaches are built around a trusted third party that conducts and controls all management operations such as managing contracts, pricing, billing, reputation mechanisms etc, raising concern that providers lose control over their data. To tackle this issue, an efficient, autonomous and fully-functional marketplace system is needed, with no trusted third party involved in operational tasks. Moreover, an inefficient allocation of buyers’ demands on battery-operated IoT devices poses a challenge for providers to serve multiple buyers’ demands simultaneously in real-time without disrupting their SLAs (service level agreements). Furthermore, a poor privacy decision to make personal data accessible to unknown or arbitrary buyers may have adverse consequences and privacy violations for providers. Lastly, a buyer could buy data from one marketplace and without the knowledge of the provider, resell bought data to users registered in other marketplaces. This may either lead to monetary loss or privacy violation for the provider. To address such issues, a data ownership traceability mechanism is essential that can track the change in ownership of data due to its trading within and across marketplace systems. However, data ownership traceability is hard because of ownership ambiguity, undisclosed reselling, and dispersal of ownership across multiple marketplaces. This thesis makes the following novel contributions. First, we propose an autonomous and efficient IoT data marketplace, MartChain, offering key mechanisms for a marketplace leveraging smart contracts to record agreement details, participant ratings, and data prices in blockchain without involving any mediator. Second, MartChain is underpinned by an Energy-aware Demand Selection and Allocation (EDSA) mechanism for optimally selecting and allocating buyers' demands on provider’s IoT devices while satisfying the battery, quality and allocation constraints. EDSA maximizes the revenue of the provider while meeting the buyers’ requirements and ensuring the completion of the selected demands without any interruptions. The proof-of-concept implementation on the Ethereum blockchain shows that our approach is viable and benefits the provider and buyer by creating an autonomous and efficient real-time data trading model. Next, we propose KYBChain, a Know-Your-Buyer in the privacy-aware decentralized IoT data marketplace that performs a multi-faceted assessment of various characteristics of buyers and evaluates their privacy rating. Privacy rating empowers providers to make privacy-aware informed decisions about data sharing. Quantitative analysis to evaluate the utility of privacy rating demonstrates that the use of privacy rating by the providers results in a decrease of data leakage risk and generated revenue, correlating with the classical risk-utility trade-off. Evaluation results of KYBChain on Ethereum reveal that the overheads in terms of gas consumption, throughput and latency introduced by our privacy rating mechanism compared to a marketplace that does not incorporate a privacy rating system are insignificant relative to its privacy gains. Finally, we propose TrailChain which generates a trusted trade trail for tracking the data ownership spanning multiple decentralized marketplaces. Our solution includes mechanisms for detecting any unauthorized data reselling to prevent privacy violations and a fair resell payment sharing scheme to distribute payment among data owners for authorized reselling. We performed qualitative and quantitative evaluations to demonstrate the effectiveness of TrailChain in tracking data ownership using four private Ethereum networks. Qualitative security analysis demonstrates that TrailChain is resilient against several malicious activities and security attacks. Simulations show that our method detects undisclosed reselling within the same marketplace and across different marketplaces. Besides, it also identifies whether the provider has authorized the reselling and fairly distributes the revenue among the data owners at marginal overhead

The End of Ownership: Personal Property in the Digital Economy

An argument for retaining the notion of personal property in the products we “buy” in the digital marketplace. The open access edition of this book was made possible by generous funding from Arcadia – a charitable fund of Lisbet Rausing and Peter Baldwin. If you buy a book at the bookstore, you own it. You can take it home, scribble in the margins, put in on the shelf, lend it to a friend, sell it at a garage sale. But is the same thing true for the ebooks or other digital goods you buy? Retailers and copyright holders argue that you don\u27t own those purchases, you merely license them. That means your ebook vendor can delete the book from your device without warning or explanation—as Amazon deleted Orwell\u27s 1984 from the Kindles of surprised readers several years ago. These readers thought they owned their copies of 1984. Until, it turned out, they didn\u27t. In The End of Ownership, Aaron Perzanowski and Jason Schultz explore how notions of ownership have shifted in the digital marketplace, and make an argument for the benefits of personal property. Of course, ebooks, cloud storage, streaming, and other digital goods offer users convenience and flexibility. But, Perzanowski and Schultz warn, consumers should be aware of the tradeoffs involving user constraints, permanence, and privacy. The rights of private property are clear, but few people manage to read their end user agreements. Perzanowski and Schultz argue that introducing aspects of private property and ownership into the digital marketplace would offer both legal and economic benefits. But, most important, it would affirm our sense of self-direction and autonomy. If we own our purchases, we are free to make whatever lawful use of them we please. Technology need not constrain our freedom; it can also empower us.https://repository.law.umich.edu/books/1114/thumbnail.jp

Anonymously Establishing Digital Provenance in Reseller Chains

An increasing number of products are exclusively digital items, such as media files, licenses, services, or subscriptions. In many cases customers do not purchase these items directly from the originator of the product but through a reseller instead. Examples of some well known resellers include GoDaddy, the iTunes music store, and Amazon. This thesis considers the concept of provenance of digital items in reseller chains. Provenance is defined as the origin and ownership history of an item. In the context of digital items, the origin of the item refers to the supplier that created it and the ownership history establishes a chain of ownership from the supplier to the customer. While customers and suppliers are concerned with the provenance of the digital items, resellers will not want the details of the transactions they have taken part in made public. Resellers will require the provenance information to be anonymous and unlinkable to prevent third parties building up large amounts of information on the transactions of resellers. This thesis develops security mechanisms that provide customers and suppliers with assurances about the provenance of a digital item, even when the reseller is untrusted, while providing anonymity and unlinkability for resellers . The main contribution of this thesis is the design, development, and analysis of the tagged transaction protocol. A formal description of the problem and the security properties for anonymously providing provenance for digital items in reseller chains are defined. A thorough security analysis using proofs by contradiction shows the protocol fulfils the security requirements. This security analysis is supported by modelling the protocol and security requirements using Communicating Sequential Processes (CSP) and the Failures Divergences Refinement (FDR) model checker. An extended version of the tagged transaction protocol is also presented that provides revocable anonymity for resellers that try to conduct a cloning attack on the protocol. As well as an analysis of the security of the tagged transaction protocol, a performance analysis is conducted providing complexity results as well as empirical results from an implementation of the protocol

Digital Rights Management and Consumer Acceptability: A Multi-Disciplinary Discussion of Consumer Concerns and Expectations

The INDICARE project – the Informed Dialogue about Consumer Acceptability of DRM Solutions in Europe – has been set up to raise awareness about consumer and user issues of Digital Rights Management (DRM) solutions. One of the main goals of the INDICARE project is to contribute to the consensus-building among multiple players with heterogeneous interests in the digital environment. To promote this process and to contribute to the creation of a common level of understanding is the aim of the present report. It provides an overview of consumer concerns and expectations regarding DRMs, and discusses the findings from a social, legal, technical and business perspective. A general overview of the existing EC initiatives shows that questions of consumer acceptability of DRM have only recently begun to draw wider attention. A review of the relevant statements, studies and reports confirms that awareness of consumer concerns is still at a low level. Five major categories of concerns have been distinguished so far: (1) fair conditions of use and access to digital content, (2) privacy, (3) interoperability, (4) transparency and (5) various aspects of consumer friendliness. From the legal point of view, many of the identified issues go beyond the scope of copyright law, i.e. the field of law where DRM was traditionally discussed. Often they are a matter of general or sector-specific consumer protection law. Furthermore, it is still unclear to what extent technology and an appropriate design of technical solutions can provide an answer to some of the concerns of consumers. One goal of the technical chapter was exactly to highlight some of these technical possibilities. Finally, it is shown that consumer acceptability of DRM is important for the economic success of different business models based on DRM. Fair and responsive DRM design can be a profitable strategy, however DRM-free alternatives do exist too

Defeating the Economic Theory of Copyright: How the Natural Right to Seek Knowledge is the Only Theory Able to Explain the Entirety of Copyright’s Balance

The practice of copyright was once a perfect balance, reflecting the intent of the Founders to create an environment where new works were constantly made available to the public for consumption and use. The author would create a work, a user would buy a copy and be free to use it. Neither party had any right to interfere with the other’s activities. All of that changed with newer technologies, exposing the flaws both in our laws and the applications of them. Copyright laws, on their face, prohibit many normal uses of copyrighted works by end users, such as making mixed tapes, converting LPs to mp3s, and playing music at a piano recital. But for the better part of two centuries, the end uses of copyrighted works were treated by the public, Congress, and courts as free from copyright’s purview. On the few occasions where a lawsuit was filed and the defendant felt that their use was the type which copyright was not intended to impact, they would assert a claim in equity, judges would make decisions on a case-by-case basis, and in that way, the early body of fair use law developed.Those judge-made principles were eventually codified in 17 U.S.C. §107. Despite the equitable intent of fair use, it is now analyzed primarily as a matter of law and based on economic theory. This conservative take on fair use carried relatively few costs when infringement litigation was primarily between commercial actors and about for-profit uses, but as newer technologies emerged (e.g., photocopier, home recording devices, the web), the attacks have turned to individuals and non-profit entities for non-profit uses that were once considered immune from the copyright owner’s control. The stakes in fair use litigation are therefore higher today than they have been in years past, potentially resulting in real harm to all. Any continued insistence on viewing fair use as a matter of law and economics only increases the jeopardy, as the value of copyright for society has nothing to do with financial interests. The balance of copyright has meaning beyond the laws in which any nation has embodied it, and for that reason, current attempts to exploit copyright in opposition to those principles should be challenged. This paper will put forth the argument that there remains a separate, equitable, common law claim for the use of knowledge that survives despite fair use’s codification in §107

Student Digital Piracy In The Florida State University System:an Exploratory Study On Its Infrastructural Effects

Digital piracy is a problem that may never disappear from society. Through readily available resources such as those found in a university, students will always have access to illegal goods. While piracy is a global phenomenon, an institution\u27s resources combined with the typical college student\u27s lack of funds makes it more lucrative. Students use a number of methods to justify their actions ranging from previewing media to bringing justice to a corrupt company. While trying to understand the mindset of pirates is one route to deal with piracy, corporations attempted to alleviate the situation using added software encoding. These messages are not always effective, and in some cases caused further damage to consumer morale. Furthermore, students such as Joel Tenenbaum, who continued to pirate music despite warnings from his parents and the recording industry, exemplify the type of person that is unfazed by legal threats, leading to a question of ethics. Students may not feel that downloading is stealing despite numerous warnings from the Digital Millennium Copyright Act and other major media organizations. The predominant solution used by universities involves monitoring the students\u27 network connection to detect Peer-to-Peer (P2P) connections or other connections that involve the transferring of copyrighted goods. Unfortunately, the current tools contain flaws that a crafty student may easily circumvent, undermining any attempts a university\u27s IT department may use to deter piracy. This study explored the nature of piracy prevention tools used by IT departments in the Florida State University System in order to determine their relative effectiveness. The study also looked into the opinions of the Information Security Officer in terms of alternative piracy prevention techniques that do not involve legal action and monitoring. It was found that most institutions do not use a formal piece of software that monitors for infringing data. They also stated that while their current techniques can do its required task, it was not perfected to a point where it could run autonomously. Furthermore, institutions agreed that students lack proper ethics and concern over the matter of copyright, but were not fully convinced that other preventions methods would be effective. The study ultimately considered monitoring techniques a short-term solution and that more research should be put into finding long-term solutions. It also implied that IT departments should be better funded in order to keep up with the technological gap

The Escalating Copyright Wars

Piracy is one of the biggest threats confronting the entertainment industry today. Every year, the industry is estimated to lose billions of dollars in revenue and faces the potential loss of hundreds of thousands of jobs. To protect itself against Internet pirates, the entertainment industry has launched the latest copyright war. So far, the industry has been winning. Among its trophies are the enactment of the Digital Millennium Copyright Act, Vivendi Universal\u27s defeat and purchase of MP3.com, the movie studios\u27 victory in the DeCSS litigation, the bankruptcy and subsequent sale of Napster and its recent relaunch as a legitimate subscription-based music service, the Supreme Court\u27s rejection of the copyright bargain theory in Eldred v. Ashcroft, and the recording industry\u27s relative success in its mass litigation campaign. Notwithstanding these victories, the war is expanding and has become even more difficult for the industry to fight than it was a year ago. Today, copyright law is no longer a complicated issue that is only of interest and concern to copyright lawyers, legal scholars, technology developers, and intellectual property rightsholders. Rather, it is a matter of public significance, affecting all of us in our daily lives. The ground has shifted. If the entertainment industry does not pay attention to the public and if it continues to use ill-advised battle strategies, it eventually might lose the war. Delivered as part of the 2003 Frontiers in Information and Communications Policy Lecture Series at Michigan State University, this Article examines the strategies used by the entertainment industry to fight the copyright wars: lobbying, litigation, self-help, education, and licensing. It also explores the impact of Eldred v. Ashcroft on these strategies, the decision\u27s ramifications on future constitutional challenges to copyright laws, and recent developments in the international copyright arena. It concludes by arguing that the entertainment industry should change its existing strategies in light of the proliferation of peer-to-peer file-sharing networks and the increased consciousness of copyright issues