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SPEAKER 1: Well, welcome back everybody.
If I can get this-- talked about how we're going to have
to figure out, in this transition of the internet
generation, how do we make sure that the creativity continues
and we create a momentum around people being able to create
content, at the same time allowing this digital media,
digital entertainment, digital world to continue?
To make sure that we have a robust discussion we have none
other than the William Neal Reynolds Professor of Law
from Dukes Law School, Professor Jamie Boyle.
Jamie made sure I cut the introduction down really short.
He said, make sure you pull this book out and
wave it to everybody.
Everybody got this in your bag.
It's very rare you see somebody who writes so seriously about
copyright and intellectual property write a comic book.
The question is, is this protected?
Or can we just photocopy this and give it around?
No.
So with jokes apart, he's a leader in this area.
He's recently been made the chairman of Creative Commons.
In addition to that he's written a book, which he
wrote about 12 years ago.
If I get the title right, it's Shaman, Software and Spleens,
which is about copyright and intellectual property.
It's called The First Social Theory Of The Information Age
by Harvard University Press.
So with that introduction I'm going to have them come up here
before I put my foot in my mouth more, and introduce the
panel and tell us all about how do we deal with the issue of
copying right or copy fight.
Thank you very much.
JAMES BOYLE: Thank you Nikesh.
[APPLAUSE]
JAMES BOYLE: Thank you everyone.
My mother always told me, always make sure that you give
them the lowest brow piece of content in the packets that
they receive at the conference.
So you have in your package, you have a [UNINTELLIGIBLE]
CD, you have a Salman Rushdie novel, and a comic book by me.
I always dreamed that one day my books would stand next to
Salman Rushdie's, but this wasn't quite what
I had in mind.
I'm really delighted to be here and to talk to you.
I've been asked to get the panel going, get the discussion
going by summarizing in a little period of time what I've
learned in the last 15 or 20 years about intellectual
property online, a theme that kept coming up in
our sessions today.
And to talk to you a little bit about some of the major trends
that I see and then I'm going to bring up a variety of
extremely distinguished and fascinating speakers.
So I have two themes.
I always like people who summarize their talks at the
beginning so that if I want to just check e-mail and kind
of zone out I kind of know what they said.
So my two themes are first, we're extremely bad at
understanding openness.
That we're extremely bad at predicting how well open and
distributed systems will do, particularly online.
We're extremely bad about understanding the virtues
of distributed creativity.
Creativity that involves a lot of people not working in
traditional hierarchical organizations.
And we are conversely very good at looking at the dangers, the
real dangers that openness creates.
So I'm going to claim that we have a bias about openness
and I'm going to say it has some implications.
Not just for intellectual property policy, but for our
business plans, our methods of social organization, our
culture, and our politics.
And the second theme that I'm going to bring up is I'm going
to say that the last 20 years has seen something remarkable.
It has seen the fact that human beings, really for the first
time, have become the subjects of copyright law in the way
that they never were before.
Human beings didn't used to be in the position of risking
sanctions by copyright law.
Certainly companies did, pirates did, but an average
person interacting with content was not likely to commit any
act the copyright law cared about.
Read the book.
Fine, that doesn't involve copyright law provided
you purchased it.
So those are the two themes that I'm going to argue that if
we take those two themes together that th combination of
them has some pretty powerful implication
for our discussions.
And in particular, about how we think about the changes that
the online world has brought, and how it changes the world
for the distribution, creation, and incentivization of culture.
OK, my first point.
Over the last 10 or 15 years behavioral economists, a group
of economists called behavior economists figured out
something that the non economists among
us knew long ago.
Which is people aren't economically rational actors.
You might say, well thanks, we knew that already.
But the behavioral economists didn't just say, oh,
we're all crazy.
What they said is, no, there are patterns to
the way that we think.
We are for example, risk averse.
We are very worried about risk, and we're worried we don't take
as much advantage of potential gains as you'd think.
A simple example.
In this audience I bet there are lots of people who
bought warranties on their consumer appliances.
Your TV, your computer, your washing machine, your fridge.
I'm not saying-- you don't need to put your hand up and admit
it-- but you probably sat there and you said, I know the odds
of this warranty actually being worth something to me are low.
I know in fact, I'm paying vastly too much for the
warranty, but I'm going to buy it because if I don't
the appliance will break to spite me.
And you know you thought it, you don't need
to confess it here.
Behavioral economics teachers us about those
kinds of patterns.
I'm going to propose that there's another pattern
like that, another pattern of irrationality.
And it's our pattern of not understanding fully the
virtues of openness.
I want to give you two thought experiments.
So in each case I have surgically removed from
you your knowledge of the last 15 years.
For some of you this would be a plus; you'd be
quite happy about that.
But remember, that's not just the Bush years.
That goes back even seven years before the Bush years.
So it's 15 years ago, and two groups come to you and they say
listen, we have these competing ideas about networks and
you have to pick which network to go with.
So network number one is a truly open network.
It runs on open protocols.
The network doesn't care what kind of packets it carries.
Anyone can connect to the network.
I mean, any one, even non-approved people can
connect to the network.
They can innovate, they can put other stuff up, they can use it
any way they want, including in ways we haven't even
thought of yet.
That's presentation number one.
Presentation number two says, we'll have a nice
controlled network.
It will let you do a few things.
The network will only pass certain kinds of content.
We'll have a computer, we'll call it a terminal that will
let you do four, maybe five, maybe six things.
Print, view, scroll through-- we'll have a
list of approved sites.
It will look like Minitel or CompuServe or [? CFACTS ?].
Which do you pick?
Well, come on, it's obvious.
You have to pick number two.
I mean, number one is crazy.
I mean there'd be ***.
Check.
There would be curiously articulate letters from the
sons of Nigerian oil ministers.
Check.
*** enhancement ads.
Check.
There would be massive illicit copying.
Check, check, check, and check.
And so, really anyone could put anything up.
Anyone could say it.
My neighbor could be talking about the Iraq war instead
of the New York Times.
We can't allow that kind of thing.
I mean, these people-- some of them will be idiots.
Check.
They'll say things that are wrong.
Check.
They'll get in fights with each other.
Admit it.
You wouldn't take network one.
It's scary.
It's crazy.
It wouldn't work.
No one would build it if they couldn't control it.
We have to have network two.
We'd reinvent Minitel.
We'd reinvent CompuServe.
I think we might not reinvent the net today if we were
offered the choice; if you surgically removed the
knowledge of the last 15 years from us.
Because let's face it.
It looks crazy.
Second example-- Wikipedia.
I say to you I have two ways to make an encyclopedia.
I want it to be the biggest encyclopedia in the world.
I want it in lots of languages.
I want it updated in real time.
I want it to cover as many things as possible.
Plan number one, we'll have like a website and
people can put stuff up.
Plan number two, we'll have a well capitalized,
vertically hierarchically organized company.
We'll have strong copyright, strong trademark protection.
The encyclopedia Boylania will become the new authoritative
voice, better than the encyclopedia Britannica.
The editors will tell you, we'll pick the people
who will write.
We'll vet them, we'll edit them, and we will control it
rigorously and monetize it.
Which of these is a credible business plan to build
an encyclopedia?
I think you would agree it's not number one.
The point is we systematically favor closed proprietary
systems over open decentralized systems.
Not that open systems are always right.
Open systems, for example, t-shirts and service lines
are not going to get a phase three drug trial.
There are reasons we need control.
Privacy.
There are times when only closed will work.
That's not my point.
It's not that open is always right.
It's that we skew towards the closed because our experience
of property comes from things like the water sitting
on that table.
If I have it, you cannot.
We intuitively don't understand the property
that lives on networks.
Intellectual property, property that is nonrival.
Property that lots of people can have simultaneously.
So we have a bias in our thinking.
My second point.
People, until, let's say the 1970s or so weren't really the
subjects of copyright law.
What do I mean by that?
Of course, there was copyright law and of course, they were
forbidden from violating it.
But let's say it's the year I was born: 1959.
And I run and I hand you a book and I say, quick,
violate copyright.
This is a thought experiment that would only occur to
a law professor, I admit.
But what would you do?
Well, are you going to read aloud for it?
Or you got to a mimeograph machine and painstakingly
attempt to do it?
Copyright law was intra industry regulation,
horizontal regulation.
It regulated the relationships between people who are in
broadcast towers and printing presses and film studios--
Highly capitalized production and distribution networks.
That's what copyright law was built to accommodate, and to
protect the authors and creators whose works went
onto those networks.
OK, now fast forward to today.
Spend a day not making copies of things, not distributing
things, not doing all the things that copyright law
tells you are regulated.
You couldn't.
Life would be almost impossible for any of us involved in
the digital environment.
The point is that in the digital network world we
all constantly press copyright laws triggers.
Copyright law used to be like an anti-tank mine that could
only be set off by a competitor with a printing press
or a movie studio.
And now, all of us, all the time, are potentially
capable of violating it.
Now, there's a reason for this, and it's a reason that's
a very important one.
Lots of people are in fact, violating intellectual
property.
Lots of people have the power to make perfect
copies, and they do.
Some of them, many of them are illicit.
We focused on that very well.
We spent a lot of time in policy talking about it.
We changed our laws to deal with it.
We've introduced new legislation, like the DMCA
and the European Copyright Directive to deal with it.
We have digital rights management to deal with it.
We have lots of ways of dealing with this issue.
What we haven't focused on is the flip side
of the same story.
The happy side, which is we have effectively handed over to
the number of connected people on the planet-- 1.3 billion--
we have handed over the tools of creation.
We have 1.3 billion potential authors and photographers
and filmmakers.
And those people are now subjects of copyright law.
They weren't intended to be the subjects of copyright law.
The law was not designed with their interest in mind.
Those people don't necessarily have the same interests as
our conventional content industries, yet they to want to
create and they want to share.
I'm the chairman of the Board of Creative Commons.
Creative Commons was designed to deal with this situation.
What is it?
Many people who create copyrighted works-- some of
them work for profit, some of them nonprofit, some of them
universities, some of them individuals, wish to
share those works.
They wish to put them up online.
So you come to my website and you see that I have a calculus
lesson or I have a Bach sonata that I played on my violin.
Or I have a short story, or have a comic like the
comic book that you have.
What can you do with that?
Well, presumably you could read it since I put it
online or listen to it.
Can you copy it, can you give it to a friend, can you
include it in your curriculum of your K12 school?
Can you modify it?
Can you change it?
Are there some uses which are forbidden?
You don't know.
And you could try and write e-mails to everyone in the
world to get permission, but that would be
extremely inefficient.
Creative Commons is a charity which offers to those people--
those 1.3 billion potential creators-- a set of simple
tools, licenses that they can attach to their work saying,
you can use this so long as you give me attribution.
You say who created it-- or you can use this, but only
for noncommercial use.
Or you can use that, but I don't want you to
change it or modify it.
With a few simple choices you can mark your work, and we did
two things that nobody had done before.
First of all, we made these licenses human readable.
So that human beings instead of lawyers could understand them.
This was quite an achievement, I have to tell you.
The second thing we did was we made the machine readable.
So that means if you go to Google or Yahoo, and you click
the intimidating advance search button, you will get content
that I am free to use or share.
And that will allow you to search for a physics textbook
or photograph of the Duke chapel, or any of these things
whose creators have said, you have my permission.
Use it.
This is a creative commons.
And it's a creative commons that has been created by
individuals who actually wish to share and use.
So those are my two themes.
How do they come together?
They come together because I believe that both in our
business plans and in our regulation we are extremely
good at figuring out the dangers of this new technology.
And those are real dangers, let me be very clear.
I don't believe that every junior downloader is
Che Guevara fighting for enlightenment.
I think it's somebody who just wants free music.
But we run the real risk of missing the benefits.
And in our desire to make the online world safe for commerce,
we run the risk of undermining the things that brought us the
internet in the first place.
By introduction of ideas like digital rights management that
you can't turn off in your computer.
Trusted computing by systems which phone home if you attempt
to do something the machine things is illicit-- any of you
who have Windows Vista know exactly what I'm talking about.
We may run the risk of going backwards because of our
openness aversion-- our cultural agoraphobia-- we may
run the risk of going backwards to the world in which we only
can do a certain number of limited things.
In which the computers have limited functions.
When the.
VCR introduced Jack Valenti of the Motion Picture Association
of America said, "the video tape recorder is to the movie
industry, as the Boston Strangler is to a woman alone."
The VCR ended up providing, for some time, more than 50% of the
movie industry's revenues because this new technology
demanded content and the content was provided.
We see the risks much better than the potential benefits.
What I ask in our conversation that follows is, as we rightly
seek to reward the creators and content producers and
distributors, let's not also forget that we have
democratized creativity to a universe to an extent,
which would have been unthinkable years ago.
Thank you very much.
[APPLAUSE]