The Protect IP Act: Google's Eric Schmidt squares off against RIAA and MPAA

Protecting intellectual property sounds like such a noble cause that you'd have to be a anarchistic free-market extremist to be against the idea, right? Actually, we don't think Google CEO Eric Schmidt is particularly extreme in any definable way, yet this past week he spoke with gusto, railing against the proposed Protect IP Act, which is was designed to "prevent online threats to economic creativity and theft of intellectual property." If passed into law, it would give the government the right to shut down any "Internet site dedicated to infringing activities" -- "infringing activities" largely being of the sort that allows dude A to download copyrighted item B from dude C when it's unclear whether dude C has legal rights to be distributing B in the first place.

So, you know, it's targeting the Pirate Bay and its ilk, giving government officials greater power to sweep in and snag the domains of such sites. Schmidt calls this approach a set of "arbitrarily simple solutions to complex problems" that "sets a very bad precedent." The precedent? That it's okay for democratic governments to go and kill any site they doesn't like, something Schmidt says would only encourage restrictive policies in countries like China. While we don't think China really needs any sort of encouragement at all to keep on building up its Great Firewall, we tend to agree that this is a much more complicated problem than the Act makes it out to be. That said, one must admit that Schmidt's opinions are necessarily somewhat swayed by the knowledge that any such law would also have a negative impact on the business of search engines in general.

But of course no such volley of words could go unanswered from the two shining knights of copyright protection, the MPAA and RIAA, which mounted up their corporate blogs, rode down from twin castles full of lawyers, and collectively told Schmidt he's full of it. The MPAA spun Schmidt's comments into some sort of act of civil disobedience, saying that "Google seems to think it's above America's laws." Meanwhile, the RIAA called the statement "a confusing step backwards by one of the most influential internet companies." Obviously it's only going to get nastier from here, so buckle your seatbelts, place your bets, and hang on to your BitTorrent clients.

Techdirt

The Guardian, MPAA, RIAA

Some Xbox 360s won't read discs; Microsoft to comp owners with a new system, year of XBL

There may have been a good reason for that wide beta test Microsoft ran to test out its new disc format for the Xbox 360. While it will allow for an extra 1GB of storage space for new games and (it hopes) stop piracy, apparently some consoles contain drives that cannot read the new XGD3 discs. The details can be seen in the email pictured above posted by Reddit user Avery Penn and were verified as real by the Xbox Support Twitter account, but now it's responding to inquiries by saying that the replacements are in response to a previous update, and not the upcoming one that has been in beta. Confusingly, Microsoft Europe confirmed the initial report and points affected users towards the support page. One way or another, affected owners can expect to be mollified by getting their Xbox 360s replaced with new 250GB Xbox 360S models plus a free year of XBL for the trouble. We haven't gotten an official response about the plan yet but are still checking, so your plan to hoard old consoles and get free replacements en masse is probably equal parts premature and Seinfeldian genius.

Joystiq, Eurogamer, Kotaku

Reddit

Is Comcast blocking the Pirate Bay? (updated: it isn't just Comcast)

We've received numerous reports this morning from users indicating that good 'ol Comcast is at it again. Word on the web is that Comcast ISP subscribers are unable to access torrent site the Pirate Bay, a situation that we've been able to confirm internally. That said, we're not entirely sure it's Comcast's fault. Pings and DNS lookups seem to be resolved correctly, but users are unable to get to the site. Additionally, we're seeing reports that users on other ISPs and in other parts of the world are also having issues connecting, making us wonder if some other piece of rope further toward the topmast has come unraveled. What say you?



Update: Comcast just got back to us reaffirming that it is not the cause of this issue. "We're not blocking PirateBay and reports online indicate users from several ISPs around the world are affected." As we originally mentioned we're seeing those reports too, and many of you in the poll below are showing this isn't necessarily a Comcast-specific thing. So the question remains: what kind of a thing is it?

What stalled negotiations between Google and the music industry? (Hint: money)

It's no secret that negotiations between Google and the recording industry haven't been going very well. Perhaps even less surprising are the reasons behind the stalemate. According to the Hollywood Reporter, discussions between the two parties have sputtered thanks to three usual suspects: money, file-sharing and concerns over competition. During licensing talks, Google agreed to pay upfront advances to all participating labels, but the major players wanted bigger guarantees. That prompted the indie contingent to ask for similar money, unleashing a snowball of stakes-raising. The two sides also failed to agree on how to handle pirated music, with the industry demanding that Google not only ban illegally downloaded files from users' lockers, but that it erase P2P sites from its search results, as well.

Hovering above all this bargaining was a thick cloud of destabilizing uncertainty. Some execs welcomed the idea of a new iTunes competitor, while others were less enthusiastic, amid concerns that Google Music wouldn't deliver new revenue streams. The ultimate question, of course, is how negotiations will proceed now that Google's already launched the service. The labels were warned that Tuesday's I/O announcement was coming, but the search giant didn't do much to mend fences when it effectively blamed the record execs for holding up negotiations. It's hard to say whether Google's bravado will help or hurt matters, but according to a source from a major label, "People are pissed."

The Hollywood Reporter