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Last year I was developing a business plan for an online games start-up. One of the issues was how to provide a free entertainment environment, but have the players willingly paying for more content. The choice seemed to be either to have a scheme that prevents players copying the content they've purchased individually, or to get sufficient revenue that you don't care about copying, e.g. to sell content to players en masse.
So I'm very interested in the new ideas popping up at conferences such as this that explore revenue mechanisms for digital content, particularly with regard to online games. However, I've come to believe that Copyright is doomed. Perhaps I should explain a bit further…
We have been living with the pretence that information is a physical commodity since the printing press was invented. Copyright is just a revenue mechanism - not a human right. It just lets you make each physical copy of your work serve as a share certificate.
Unfortunately physical media has now slipped from people's consciousness, at least from those who are online. The latest physical media, the DVD say, doesn't make much difference to the fact that the Internet has arrived and half a billion people online can copy anything they want to their hearts' content.
Half a billion people! And they're in a struggle with corporations that have them as their customers, and governments that represent them. You really think copyright has a sound future? Think prohibition and think again.
So, whether you believe me or not, perhaps you should have a back-up plan just in case. Think how you can sell your digital content without worrying how many people copy it. Encryption? Sticking plaster! Don't let the horse out of the stable until you've sold it.
The new value chain: Stop treating your market as a collection of individuals. The Web (and even TV) allows them to speak as a single collective entity. Do the deal with your market en masse - direct. They'll deal with you upfront, listen to what you're offering, tell you what they want, and they'll pay you upfront - then you give them the digital content. The deal's done. You've been paid. They've got the content. Who cares about copies?
Won't work? This is how Open Source software development works. People still pay for it, even though the source code can be freely copied. The trick is to get paid before you release the content, before the horse leaves the stable.
Well, that's what I reckon. There are many other ways of trying to encourage people to pay for digital content (rather than bootleg it - note the prohibition era term), and many of them and their associated issues will be covered by today's speakers. So I'm sure you'll be pleased to join me in welcoming the first presentation…
 

 

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Last modified: February 28, 2003