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Piracy

Russia Mulls Legalizing Software Piracy As It's Cut Off From Western Tech (arstechnica.com) 131

With sanctions against Russia starting to bite, the Kremlin is mulling ways to keep businesses and the government running. The latest is a creative twist on state asset seizures, only instead of the government taking over an oil refinery, for example, Russia is considering legalizing software piracy. Ars Technica reports: Russian law already allows for the government to authorize -- "without consent of the patent holder" -- the use of any intellectual property "in case of emergency related to ensuring the defense and security of the state." The government hasn't taken that step yet, but it may soon, according to a report from Russian business newspaper Kommersant, spotted and translated by Kyle Mitchell, an attorney who specializes in technology law. It's yet another sign of a Cyber Curtain that's increasingly separating Russia from the West.

The plan would create "a compulsory licensing mechanism for software, databases, and technology for integrated microcircuits," the Kommersant said. It would only apply to companies from countries that have imposed sanctions. While the article doesn't name names, many large Western firms -- some of which would be likely targets -- have drastically scaled back business in Russia. So far, Microsoft has suspended sales of new products and services in Russia, Apple has stopped selling devices, and Samsung has stopped selling both devices and chips. Presumably, any move by the Kremlin to "seize" IP would exempt Chinese companies, which are reportedly considering how to press their advantage. Smartphone-makers Xiaomi and Honor stand to gain, as do Chinese automakers. Still, any gains aren't guaranteed since doing business in Russia has become riddled with problems, spanning everything from logistics to finance.

Piracy

TVAddons' Adam Lackman Admits TV Show Piracy, Agrees To Pay $19.5 Million (torrentfreak.com) 14

In 2017, Bell Canada, TVA, Videotron, and Rogers teamed up in a lawsuit against the operator of TVAddons, the largest repository of Kodi add-ons. The legal action proved extremely controversial but now, after many twists and turns, the matter is now over. As part of a consent judgment (PDF), TVAddons' founder [Adam Lackman] has admitted liability and agreed to pay a cool US$19.5 million in damages. TorrentFreak reports: In a letter dated February 18, 2022, the media companies and Lackman told the Federal Court that they had resolved their differences by agreeing to a consent judgment. That was reviewed and issued by Justice Rochester, who laid out the agreed terms in her judgment handed down February 22, 2022. Lackman admits to communicating TV shows owned by the plaintiffs to the public, including by directly or indirectly participating in the "development, hosting, distribution or promotion of Kodi add-ons that provide users with unauthorized access" to the plaintiffs' TV shows, contrary to sections 3(1)(f) and 27(1) of the Copyright Act. The TVAddons founder further admits that he made the TV shows available to the public in a manner that provided access "from a place and at a time individually chosen by them" and induced and authorized users of the infringing add-ons to "initiate acts of infringement of the Plaintiffs' right to communicate the Plaintiffs Programs to the public by telecommunication," again by developing, hosting, distributing or promoting Kodi add-ons.

The Federal Court issued a permanent injunction to restrain Lackman (and anyone acting with him, under his authority, or in association) from communicating the plaintiffs' content to the public in any way, including via the development or distribution of infringing add-ons such as the 'FreeTelly' and 'Indigo' tools. The terms of the injunction are lengthy and comprehensive, leaving no doubt that TVAddons and all related tools and services are now dead, with Lackman unable to do anything remotely similar in the future.

"THIS COURT ORDERS the Defendant Mr. Lackman to pay the Plaintiffs the amount of twenty-five million dollars ($25,000,000) in the form of a lump sum for damages, profits, punitive and exemplary damages, and costs," Justice Rochester writes. The judgment is in Canadian dollars but for reference, that's currently around US$19.5 million. The judgment also authorizes the bailiffs and independent supervising solicitor (with the assistance of computer forensics experts) to transfer the evidence obtained during the search of June 2017 to the media companies. Exactly what data was seized is currently unclear but it is likely to be sensitive, particularly if the trove includes user data and/or information about Kodi add-on developers. Finally, it appears the media companies will also be taking control of "login credentials, accounts, domains, subdomains and servers" in order to bring this years-long battle to a conclusion. Adam Lackman announced his relief on Twitter, noting that "It wasn't the outcome I had hoped for, but an outcome nonetheless."

Nintendo

Judge Gives 40-Month Prison Sentence to Nintendo Switch Hacker Called 'Bowser' (hothardware.com) 39

A U.S. district judge "sentenced a Nintendo Switch hacker to 40 months in federal prison," reports the Independent: Gary Bowser, 52, is one of the leaders of the "Team Xecuter" hacker criminal enterprise, a notorious video game piracy gang, authorities said. The gang sold software to hack and download stolen games to various consoles. Besides the Nintendo Switch console, Team Xecuter also targeted the Nintendo 3DS, the Nintendo Entertainment System Classic Edition, the Sony PlayStation Classic and Microsoft's Xbox.

Bowser, a Canadian citizen, was the public face of the group and handled Team Xecuter's public relations and operated its websites. He was arrested in October 2020 in the Dominican Republic and extradited to the US to stand trial in New Jersey. He pleaded guilty in October 2021 to two criminal counts — conspiracy to circumvent technological measures and to traffic in circumvention devices, and trafficking in circumvention devices. As part of his plea deal, Bowser agreed to pay $4.5m in restitution to Nintendo.

Federal agents said that he caused a loss of about $65m (about £48m) to gaming companies.

"The hacking group was initially adamant that its hardware and software modifications that circumvented copyright protections were intended for homebrew application development, not to enable users to steal software..." notes Hot Hardware.

"Following the guilty plea, Bowser settled a civil lawsuit with Nintendo to the tune of $10 million, on top of the $4.5 million in restitution he already owed."
Piracy

Search Engines In Russia Will Deindex All Domains That Have 100+ Links To Pirated Content (torrentfreak.com) 49

Major rightsholders and internet companies in Russia have signed a new memorandum of cooperation designed to make pirated movies, TV shows and other content harder to find. In addition to automatically removing reported infringing links within hours, search engines have agreed to completely deindex all domains that carry 100 or more links to infringing content. TorrentFreak reports: Signed in 2018, a memorandum of cooperation signed by major rightsholders and internet companies including Yandex changed the way infringing content is handled. Following the creation of a centralized database of pirated content, the Internet companies agreed to query it every few minutes in order to remove corresponding content from their platforms within six hours. Over a period of three years, more than 40 million infringing links have now been removed from search results. Since its introduction, the memorandum has been renewed several times alongside calls for the system to be opened up to a wider range of rightsholders, such as those operating in the publishing sector. While that is yet to happen, a new memorandum has just been signed by the original signatories containing an even more powerful anti-piracy tool.

Under the current agreement (which is set to expire early September 2022), rightsholders must submit specific URLs to infringing content to the centralized database controlled by the Media Communications Union (ISS). These specific URLs are then delisted by search engines but rightsholders complain that the same content can reappear under a new URL, meaning that the process must be repeated. To deal with this type of 'pirate' countermeasure, the new memorandum requires search companies to take more stringent action. Any domain that has 100 or more 'pirate' links reported to the database will be deindexed entirely by search engines, meaning that they essentially become invisible to anyone using a search engine. This must be carried out quickly too, within 24 hours according to ISS. Given the number of links to infringing content posted to non-pirate sites, safeguards will also be introduced to protect legitimate resources from deindexing. These include media sites, government projects, search engines themselves, social networks, and official content providers.
"Alongside the development of the memorandum a new law is being drafted, with the aim of enshrining its voluntary terms into local law," adds TorrentFreak. "That should allow other rightsholders that aren't current signatories to obtain similar benefits. At the time of writing, however, progress on the legal front is taking its time and might still take a few more months."
Security

Academic Journal Claims It Fingerprints PDFs For 'Ransomware,' Not Surveillance (vice.com) 70

An anonymous reader quotes a report from Motherboard: One of the world's largest publishers of academic papers said it adds a unique fingerprint to every PDF users download in an attempt to prevent ransomware, not to prevent piracy. Elsevier defended the practice after an independent researcher discovered the existence of the unique fingerprints and shared their findings on Twitter last week. "The identifier in the PDF helps to prevent cybersecurity risks to our systems and to those of our customers -- there is no metadata, PII [Personal Identifying Information] or personal data captured by these," an Elsevier spokesperson said in an email to Motherboard. "Fingerprinting in PDFs allows us to identify potential sources of threats so we can inform our customers for them to act upon. This approach is commonly used across the academic publishing industry."

When asked what risks he was referring to, the spokesperson sent a list of links to news articles about ransomware. However, Elsevier has a long history of pursuing people who pirate or share its paywalled academic articles. [...] It's unclear exactly how fingerprinting every PDF downloaded could actually prevent ransomware. Jonny Saunders, a neuroscience PhD candidate at University of Oregon, who discovered the practice, said he believes Elsevier is trying to surveil its users and prevent people from sharing research without paying the company.
"The subtext there is pretty loud to me," Saunders told Motherboard in an online chat. "Those breaches/ransoms are really a pretext for saying 'universities need to lock down accounts so people can't skim PDFs. When you have stuff that you don't want other people to give away for free, you want some way of finding out who is giving it away, right?"

"Saying that the unique identifiers *themselves* don't contain PII is a semantic dodge: the way identifiers like these work is to be able to match them later with other identifying information stored at the time of download like browser fingerprint, institutional credentials, etc," Saunders added. "Justifying them as a tool to protect against ransomware is a straightforward admission that these codes are intended to identify the downloader: how would they help if not by identifying the compromised account or system?"
Piracy

VPN Provider Agrees To Block Torrent Traffic and The Pirate Bay On US Servers (torrentfreak.com) 55

An anonymous reader quotes a report from TorrentFreak: Over the past few years we have seen copyright holders take several ISPs to court, accusing them of failing to disconnect repeat copyright infringers. These lawsuits have expanded recently, with VPN providers and hosting companies as the main targets. The VPN lawsuits are filed by a group of independent movies companies that previously went after piracy sites and apps. They include the makers of films such as The Hitman's Bodyguard, Dallas Buyers Club, and London Has Fallen. In one of these cases, the filmmakers accused VPN Unlimited's company KeepSolid Inc. of being involved in widespread copyright infringement. The company allegedly 'encouraged' subscribers to use pirate sites and did nothing to stop infringing traffic.

Most VPNs can't track the online activities of subscribers and the filmmakers believe that VPN Unlimited and other providers actively promoted their services to online pirates. For example, by referencing known pirate sites. "Defendant KeepSolid encourages its users to access torrent sites including the Pirate Bay," the complaint read, showing a screenshot from the VPN's help section, which remains online today. Instead of fighting the case on its merits, both parties have agreed to settle the case behind closed doors. Last week, they informed the Virginia federal court that an agreement had been reached. As part of this settlement, all claims against VPN Unlimited were dismissed. The full details of the settlement agreement are confidential. Both parties agreed to cover their own costs but it's unknown whether any monetary damages are involved. What is clear is that, going forward, VPN Unlimited will restrict torrent traffic on its U.S. servers.

"Pursuant to the confidential settlement agreement, Plaintiffs have requested and Defendant KeepSolid has agreed to use commercially reasonable efforts to block BitTorrent traffic," the joint dismissal stipulation reads. As it reads, this measure applies to BitTorrent traffic as a broad category. That includes both pirated content and lawful torrent transfers. In addition, VPN Unlimited will also take more targeted measures to stop traffic to torrent sites. VPN Unlimited has agreed to block access to several pirate sites. These include YTS, The Pirate Bay, RARBG, 1337x, and several proxies. These measures are again limited to U.S.-based VPN servers. Popcorn-time.tw is also on the blocklist, but this Popcorn Time fork has already shut down.

Piracy

Popcorn Time, the Piracy App That Spooked Netflix, Shuts Down (bloomberg.com) 31

Popcorn Time, the once-popular app that made watching pirated movies and television shows almost as easy as using Netflix, has shut down. Bloomberg News: The app debuted in 2014 and within a year became one of the most popular services for accessing illegal video content. Popcorn Time's creators deserted the service shortly after its introduction, and emails released after a hack of Sony Group indicated law enforcement may have played a role. But the app's code was open-source, and other developers jumped in to release new versions. In 2015, a developer associated with Popcorn Time told Bloomberg that the service wasn't responsible for piracy because it didn't host any stolen material itself. The software instead offered a link to computers around the world hosting the content through the file-sharing system BitTorrent. "The torrent world was here with millions of users way before us and will be here with BILLIONS of users way after us," he said at the time.
Technology

Messy NFT Drop Angers Infosec Pioneers With Unauthorized Portraits (theverge.com) 65

An unauthorized NFT drop celebrating infosec pioneers has collapsed into a mess of conflicting takedowns and piracy. From a report: Released on Christmas Day by a group called "ItsBlockchain," the "Cipher Punks" NFT package included portraits of 46 distinct figures, with ten copies of each token. Taken at their opening price, the full value of the drop was roughly $4,000. But almost immediately, the infosec community began to raise objections -- including some from the portrait subjects themselves. The portrait images misspelled several names -- including EFF speech activist Jillian York and OpenPGP creator Jon Callas -- and based at least one drawing on a copyright-protected photograph. More controversially, the list included some figures who have been ostracized for harmful personal behavior, including Jacob Appelbaum and Richard Stallman.
Piracy

Malaysia Passes Bill to Imprison Illegal Streaming Pirates For Up To 20 Years (torrentfreak.com) 62

New amendments to Malaysia's Copyright Act mean that "People who offer streaming services and devices that 'prejudicially' hurt copyright owners can face fines equivalent to $2,377 or more, prison sentences up to 20 years, or both," reports Engadget.

TorrentFreak has more details: How the amendments will be used in practice remains to be seen but the scope appears to be intentionally broad and could result in significant punishments for those found to be in breach of the law....

Those hoping to use a corporate structure as a shield are also put on notice. When any offenses are committed by a corporate body or by a person who is a partner in a firm, everyone from directors to managers will be deemed guilty of the offense and may be charged severally or jointly, unless they can show they had no knowledge and conducted due diligence to prevent the offense.

Piracy

Guitarist Eric Clapton Successfully Sues Woman For Posting $11 Bootleg (guitarworld.com) 183

Long-time Slashdot reader kjshark writes: Eric Clapton has successfully sued a German woman who posted an illegal recording for €9.95, about $11 on eBay. The CD was a single-bootlegged recording of a Clapton concert from the 1980s.

After Clapton sent a court in Düsseldorf an affidavit stating the recordings were illegal, the defendant claimed she was unaware the CD was recorded illegally and that her late husband originally purchased the CD at a department store in 1987. Her appeal was rejected by the court.

The court ruled that the woman pay the legal fees for both parties which amount to around $3,500 and that if she continues to keep the recording up on eBay she'll face six months in prison or a fine of around $283,000.

Microsoft

Microsoft Tempts Software Pirates With 50 Percent Discount On Office (theverge.com) 76

In a bold bid to turn digital crooks away from a life of crime, Microsoft is offering a 50 percent discount on its Office suite to some people using pirated versions. The Verge reports: Ghacks reports that a new message in the Office ribbon bar is appearing on pirated Office apps, tempting people with a 50 percent discount on a genuine Microsoft 365 subscription. The message links to an official Microsoft website that claims "pirated software exposes your PC to security threats." Microsoft warns Office pirates that they run the risk of running into viruses, malware, data loss, identify theft, and the inability to receive critical updates. The discount brings the price of a Microsoft 365 Family subscription down to just $49.99 for the first year, or $34.99 for a year of Microsoft 365 Personal.
Google

Google Removes Pirate Bay Domains from Search Results Citing Dutch Court Order (torrentfreak.com) 56

Google has removed The Pirate Bay and more than 100 related domains from its search results in the Netherlands. The search engine points to a local pirate site-blocking order that was forwarded by anti-piracy group BREIN. The order targets ISPs and doesn't name Google but the company chose to voluntarily comply. TorrentFreak reports: The reason for this broad removal is provided by Google itself. The search giant notes that the results were removed in response to a legal request. This 'request' came from local anti-piracy group BREIN and includes a copy of a Dutch site-blocking order. The order, issued in October last year, required Dutch ISPs Ziggo, KPN, and XS4ALL to block access to Pirate Bay mirrors and proxy sites. Google isn't listed as a party in this lawsuit, but a copy was sent to the search engine nonetheless. BREIN's request, at least the part that's available publicly, doesn't explain why it would apply to Google. However, BREIN informs us that it's not uncommon for Internet services to comply with orders that don't target them directly.

A few weeks ago, Dutch ISPs agreed to a covenant where they promise to comply with site-blocking orders that are targeted at other ISPs. While Google is not part of this agreement, in this case it chose to follow the court order. "In essence, this is the same situation as recently agreed in the Dutch government-supported covenant between right holders and internet access providers," BREIN director Tim Kuik informs TorrentFreak. "Dutch case law also shows that once there is a contested court order against one access provider, courts do grant the same order against others if they refuse to conform to it even though they are not named in it."
The report notes that this is "the first time that Google has complied with a pirate site blocking order without being named." BREIN has gone on to submit the legal paperwork to block six additional pirate sites, including proxies and mirrors.
Piracy

Is 'The NFT Bay' Just a Giant Hoax? (clubnft.com) 74

Recently Australian developer Geoffrey Huntley announced they'd created a 20-terabyte archive of all NFTs on the Ethereum and Solana blockchains.

But one NFT startup company now says they tried downloading the archive — and discovered most of it was zeroes. Many of the articles are careful to point out "we have not verified the contents of the torrent," because of course they couldn't. A 20TB torrent would take several days to download, necessitating a pretty beefy internet connection and more disk space to store than most people have at their disposal. We at ClubNFT fired up a massive AWS instance with 40TB of EBS disk space to attempt to download this, with a cost estimate of $10k-20k over the next month, as we saw this torrent as potentially an easy way to pre-seed our NFT storage efforts — not many people have these resources to devote to a single news story.

Fortunately, we can save you the trouble of downloading the entire torrent — all you need is about 10GB. Download the first 10GB of the torrent, plus the last block, and you can fill in all the rest with zeroes. In other words, it's empty; and no, Geoff did not actually download all the NFTs. Ironically, Geoff has archived all of the media articles about this and linked them on TheNFTBay's site, presumably to preserve an immutable record of the spread and success of his campaign — kinda like an NFT...

We were hoping this was real... [I]t is actually rather complicated to correctly download and secure the media for even a single NFT, nevermind trying to do it for every NFT ever made. This is why we were initially skeptical of Geoff's statements. But even if he had actually downloaded all the NFT media and made it available as a torrent, this would not have solved the problem... a torrent containing all the NFTs does nothing to actually make those NFTs available via IPFS, which is the network they must be present on in order for the NFTs to be visible on marketplaces and galleries....

[A]nd this is a bit in the weeds: in order to reupload an NFT's media to IPFS, you need more than just the media itself. In order to restore a file to IPFS so it can continue to be located by the original link embedded in the NFT, you must know exactly the settings used when that file was originally uploaded, and potentially even the exact version of the IPFS software used for the upload.

For these reasons and more, ClubNFT is working hard on an actual solution to ensure that everybody's NFTs can be safely secured by the collectors themselves. We look forward to providing more educational resources on these and other topics, and welcome the attention that others, like Geoff, bring to these important issues.

Their article was shared by a Slashdot reader (who is one of ClubNFT's three founders). I'd wondered suspiciously if ClubNFT was a hoax, but if this PR Newswire press release is legit, they've raised $3 million in seed funding. (And that does include an investment from Drapen Dragon, co-founded by Tim Draper which shows up on CrunchBase). The International Business Times has also covered ClubNFT, identifying it as a startup whose mission statement is "to build the next generation of NFT solutions to help collectors discover, protect, and share digital assets." Co-founder and CEO Jason Bailey said these next-generation tools are in their "discovery" phase, and one of the first set of tools that is designed to provide a backup solution for NFTs will roll out early next year. Speaking to International Business Times, Bailey said, "We are looking at early 2022 to roll out the backup solution. But between now and then we should be feeding (1,500 beta testers) valuable information about their wallets." Bailey says while doing the beta testing, he realized that there are loopholes in the NFT storage systems and only 40% of the NFTs were actually pointing to the IPFS, while 40% of them were at risk — pointing to private servers.

Here is the problem explained: NFTs are basically a collection of metadata, that define the underlying property that is owned. Just like in the world of internet documents, links point to the art and any details about it that are being stored. But links can break, or die. Many NFTs use a system called InterPlanetary File System, or IPFS, which let you find a piece of content as long as it is hosted somewhere on the IPFS network. Unlike in the world of internet domains, you don't need to own the domain to really make sure the data is safe. Explaining the problem which the backup tool will address, Bailey said, "When you upload an image to IPFS, it creates a cryptographic hash. And if someone ever stops paying to store that image on IPFS, as long as you have the original image, you can always restore it. That's why we're giving people the right to download the image.... [W]e're going to start with this protection tool solution that will allow people to click a button and download all the assets associated with their NFT collection and their wallet in the exact format that they would need it in to restore it back up to IPFS, should it ever disappear. And we're not going to charge any money for that."

The idea, he said, is that collectors should not have to trust any company; rather they can use ClubNFT's tool, whenever it becomes available, to download the files locally... "One of the things that we're doing early around that discovery process, we're building out a tool that looks in your wallet and can see who you collect, and then go a level deeper and see who they collect," Bailey said. Bailey said that the rest of the tools will process after gathering lessons based on user feedback on the first set of solutions. He, however, seemed positive that the talks of the next set of tools will begin in the Spring of next year as the company has laid a "general roadmap."

The Internet

Denuvo-Protected Games Rendered Unplayable After Domain Expires (torrentfreak.com) 65

An anonymous reader quotes a report from TorrentFreak: Last evening the web was alive with angry players who couldn't play their games due to an unexpected error. While the situation is still not completely clear, it appears that someone allowed a domain used by Denuvo's anti-piracy technology to expire, meaning that players of some big games couldn't enjoy what they had paid for. [...] According to Alex Buckland, the DRM provider for all of the affected games had let a key domain expire, rendering the system inoperable. Following the failure to renew, the domain then went into a grace period but when that expired too, it appears to have been removed from DNS records. This meant that the domain would not resolve to an IP address, effectively breaking the system.

To solve the problem, some users on Steam posted up tutorials for players to modify their Windows HOSTS file to point to the last known IP address for the domain. This appeared to do the trick but obviously, such drastic measures shouldn't be needed to play a game that has been legally purchased -- especially those that are single-player only.

DRM

Over 50 PC Games Are Incompatible With Intel's Alder Lake CPUs Due To DRM (pcmag.com) 74

An anonymous reader quotes a report from PCMag: Intel has posted a release that the hybrid CPU core architecture on Alder Lake can be incompatible with certain games, specifically some protected by the anti-piracy DRM software from Denuvo. This was confirmed in our review of the Core i9-12900K when we tried to run the hit AAA Ubisoft title Assassin's Creed: Valhalla, part of our processor benchmark suite. The game would crash halfway through the test run, or simply not boot in at all. The errors occur because Denuvo's DRM software will mistakenly think the so-called "Performance-cores" and "Efficiency-cores" (P-cores and E-cores) on the chip belong to two separate PCs, when in reality the two types of processing cores are running on the same Alder Lake processor. (This P-core/E-core design is a new trait of Intel's chips with Alder Lake.)

Intel was originally mum on which specific games were affected, making it unclear the scale of the problem; the company cited "32" in pre-release briefings to the tech press. Whether these would be marginal titles or blockbusters we did not know, as hundreds of games use the Denuvo DRM scheme. But on Thursday, the company published a list of every PC title known to it that has incompatibility issues with Alder Lake. It spans 51 games, including For Honor, Mortal Kombat 11, Star Wars Jedi Fallen Order, and Shadow of the Tomb Raider, as well as the Assassin's Creed: Valhalla game we observed the issue on. Intel says it is working with game developers to roll out a software fix, although the company notes that some of the affected DRM-protected titles can run fine, so long as your PC is on Windows 11. In the meantime, the company says it has come up with a workaround that can run any of the affected games on Alder Lake. But it'll do so by placing the efficiency cores on standby.
"According to Intel, 22 of the games won't work on Alder Lake under both Windows 10 and Windows 11," adds PCMag. "[T]he remaining 29 titles [...] will suffer incompatibility problems, but only when run on Windows 10. So owners can also solve the issue by updating their PCs to Windows 11 or using the Scroll Lock workaround if available."
Music

Apple's iPod Came Out Two Decades Ago 103

An anonymous reader quotes a report from The Conversation: On October 23, 2001, Apple released the iPod -- a portable media player that promised to overshadow the clunky design and low storage capacity of MP3 players introduced in the mid-1990s. The iPod boasted the ability to "hold 1,000 songs in your pocket". Its personalized listening format revolutionized the way we consume music. And with more than 400 million units sold since its release, there's no doubt it was a success. Yet, two decades later, the digital music landscape continues to rapidly evolve.

The iPod expanded listening beyond the constraints of the home stereo system, allowing the user to plug into not only their headphones, but also their car radio, their computer at work, or their hi-fi system at home. It made it easier to entwine these disparate spaces into a single personalized soundtrack throughout the day. [...] The rise of touchscreen smartphones ultimately led to the iPod's downfall. Interestingly, the music app on the original iPhone was called "iPod." The iPod's functions were essentially reappropriated and absorbed into the iPhone. The iPhone was a flexible and multifunctional device: an iPod, a phone and an internet communicator all in one -- a computer in your pocket. And by making the development tools for their products freely available, Apple and Google allowed third-party developers to create apps for their new platforms in the thousands.

As of this year, mobile devices are responsible for 54.8% of web traffic worldwide. And while music piracy still exists, its influence has been significantly reduced by the arrival of streaming services such as Spotify and YouTube. These platforms have had a profound effect on how we engage with music as active and passive listeners. Spotify supports an online community-based approach to music sharing, with curated playlists. [...] As of February this year, more than 60,000 tracks were being uploaded to Spotify each day. The experience of listening to music will become increasingly immersive with time, and we'll only find more ways to seamlessly integrate it into our lives.
United States

US Attempts To Slow China's Innovation Rate (cnbc.com) 137

AltMachine writes: U.S. Commerce Secretary Raimondo wants the U.S. to work with Europe to slow China's innovation rate, while at the same time accusing China of ripping of western intellectual properties. "America is most effective when we work with our allies," Raimondo told CNBC's Kayla Tausche in an exclusive interview. "If we really want to slow down China's rate of innovation, we need to work with Europe. They're ripping off our IP, they are not playing by the rules. It's not a level playing field. And so we need to hold their feet to the fire to make sure that they do that." Raimondo invokes the ideological divide to justify the push. "We don't want autocratic governments like China, writing the rules of the road. We together with our allies, who care about privacy, freedom, individual rights, individual protection, we need to write the rules of the road," Raimondo said.

Similar to innovation history of the U.S. which evolved from apprehending IPs of other countries before turning into a technological innovation powerhouse, China has in recent years greatly accelerated its R&D spendings and fortified IP protections. Of the more than 1,600 cases analyzed, IP owners won more than 80% of the time and permanent injunctions were issued by the Chinese courts in more than 90% of the cases. As noted by Judge Gang Feng of the Beijing IP Court in 2016, foreign corporations had a 100% win rate before that court in 2015.
"We have to work with our European allies to deny China the most advanced technology so that they can't catch up in critical areas like semiconductors," Raimondo added. "We want to work with Europe, to write the rules of the road for technology, whether it's TikTok or artificial intelligence or cyber."

Further reading: China's Growing Power Crunch Threatens More Global Supply Chain Chaos
Piracy

Virgin Media Subscribers Told To Pay 'Thousands of Pounds' To Settle Piracy Laws (torrentfreak.com) 53

An anonymous reader quotes a report from TorrentFreak: Virgin Media subscribers receiving letters accusing them of movie piracy may find that settling their cases will be a costly affair. TorrentFreak understands that settlement demands run to several thousand pounds, a massive uplift on the several hundred usually requested in similar cases. Interestingly, however, some subscribers could be immune from being sued. [...] At this stage it's too early to definitively say what factors are being considered when assessing the settlement amount. However, if earlier methodology is deployed it's possible that Voltage's anti-piracy monitoring company (believed to be MaverickEye) will take the BitTorrent swarm size (the number of people sharing the movie at the same time) and multiply that by the price of the Ava movie.

As previously reported, this system has serious flaws. However, for people who simply want to settle and move on, paying Voltage a few thousand pounds should make the whole thing go away -- at least in respect of this particular accusation. But what about those who wish to contest the claims being made? At the core of the letters is the assumption that the person who pays the Virgin Media bill is the person who downloaded and shared the movie 'Ava' without permission. 'Assumption' is key here since Voltage acknowledges that may not be the case and someone else in a household could be liable. If the bill payer did not carry out the infringement and did not authorize/allow someone else to do so, under the Copyright Designs and Patent Act they are not liable. This means that they can issue a direct denial to Voltage but that would not prevent the company from filing a claim if it believes it has a case. At this point it's important to note that any claim by Voltage would be actioned in a civil court where cases are decided on the balance of probabilities -- 51% confidence of infringement could tip a case in the company's favor, resulting in a damages award. That's in addition to the associated legal costs of a failed defense. Given that Voltage is setting the bar so high with demands for multi-thousand-pound settlements, it seems likely that defendants who can afford to mount a defense will do so.

[T]he High Court states that Voltage may not initiate legal proceedings against a minor, which means anyone under the age of 18 in England, Wales or Northern Ireland. This means that if a parent pays the bill and a 17-year-old illegally downloaded and shared the movie, Voltage cannot bring a case against them. Furthermore, the High Court says that Voltage cannot pursue cases against an infringer who is a pensioner. The retirement age in the UK is currently 66 and according to the High Court's instructions, "anyone over the age of 65" can not have proceedings brought against them. In addition, anyone who is considered "vulnerable' will not have to face proceedings either.

United Kingdom

UK ISP Sky Broadband Feeds Realtime Customer Bandwidth Data To Litigious Anti-Piracy Firm (torrentfreak.com) 30

UK ISP Sky Broadband is monitoring the IP addresses of servers suspected of streaming pirated content to subscribers and supplying that data to an anti-piracy company working with the Premier League. That inside knowledge is then processed and used to create blocklists used by the country's leading ISPs, to prevent subscribers from watching pirated events. An anonymous reader shares the report from Torrent Freak: In recent weeks, an anonymous source shared a small trove of information relating to the systems used to find, positively identity, and then ultimately block pirate streams at ISPs. According to the documents, the module related to the Premier League work is codenamed 'RedBeard.' The activity appears to start during the week football matches or PPV events take place. A set of scripts at anti-piracy company Friend MTS are tasked with producing lists of IP addresses that are suspected of being connected to copyright infringement. These addresses are subsequently dumped to Amazon S3 buckets and the data is used by ISPs to block access to infringing video streams, the documents indicate. During actual event scanning, content is either manually or fingerprint matched, with IP addresses extracted from DNS information related to hostnames in media URLs, load balancers, and servers hosting Electronic Program Guides (EPG), all of which are used by unlicensed IPTV services.

The big question then is how the Premier League's anti-piracy partner discovers the initial server IP addresses that it subsequently puts forward for ISP blocking. According to documents reviewed by TF, information comes from three sources -- the anti-piracy company's regular monitoring (which identifies IP addresses and their /24 range), manually entered IP addresses (IP addresses and ports), and a third, potentially more intriguing source -- ISPs themselves. The document revealing this information is not dated but other documents in the batch reference dates in 2021. At the time of publishing date, the document indicates that ISP cooperation is currently limited to Sky Broadband only. TorrentFreak asked Friend MTS if that remains the case or whether additional ISPs are now involved. It appears that instead of monitoring customer IP addresses, Sky is compiling data on which IP addresses subscribers are pulling most data from during (and potentially before) match or event times. Sky then uploads the highest-trafficked IP addresses along with the port the traffic is streamed on to the S3 bucket mentioned above, every five minutes. It is then accessed by the anti-piracy company which, every five minutes, extracts the IP, bandwidth rate, and the port number that bandwidth is on. At the time of the document's publication, the Sky 'Top Talker' threshold for the Premier League's 'RedBeard' module was 100mbps. The IP address information provided by the ISP that exceeds this limit then appears to be cross-referenced by IP address and port number with data obtained during game week scanning at Friend MTS. It is then processed accordingly.
Torrent Freak goes on to note that the Premier League is "seeking cooperation from additional ISPs too."

"In summary, it appears that Sky subscribers aren't being directly monitored per se, but the servers they draw most bandwidth from are being noted by Sky and that data is being forwarded for anti-piracy enforcement," the report adds. "This means that Sky subscribers' piracy habits are directly providing information to support Premier League, Matchroom Boxing, and Queensbury Promotions blocking efforts."
Piracy

Microsoft Envisions a Blockchain-Based Bounty System to Catch Pirates (torrentfreak.com) 59

A new paper (PDF) published by Microsoft's research department proposes to tackle piracy with a blockchain-based bounty system titled "Argus." The system allows volunteers to report piracy in exchange for a reward. It uses the Ethereum blockchain and is transparent, practical, and secure, while limiting abusive reports and errors. TorrentFreak reports: Argus is a transparent system built on the Ethereum blockchain that allows people to anonymously report piracy in exchange for a bounty. Pirated content is traced back to the source through a unique watermark that corresponds with a secret code. When a pirated copy is reported, the status of the source (licensee) is changed to "accused." The system provides an appeal option, but if that fails, the accused status changes to "guilty." Argus is an open system but there are various safeguards to prevent abuse. Reporting the same pirated work multiple times under different aliases is useless, for example, as that will only reduce the reward.

The system relies on several checks to ensure that the system is open, while avoiding false accusations at the same time. And according to the researchers, the costs of utilizing the blockchain are relatively low. "We effectively optimize several cryptographic operations so that the cost for a piracy reporting is reduced to an equivalent cost of sending about 14 ETH-transfer transactions to run on the public Ethereum network, which would otherwise correspond to thousands of transactions. "With the security and practicality of Argus, we hope real-world anti-piracy campaigns will be truly effective by shifting to a fully transparent incentive mechanism," the researchers add.

Whether Microsoft has any plans to test the system in the wild is unknown. It theoretically works with various media types including images, audio and software. That said, it's unclear how effective it will be. The researchers "assume" that the watermarking technology deployed is tamper-free, which isn't always the case today. The paper and the Argus system will be presented at the upcoming 40th International Symposium on Reliable Distributed Systems, which will be held virtually at the end of September.

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