Technology-Based Intellectual Property Protection: Opportunities and Implications

Roger Clarke

Principal, Xamax Consultancy Pty Ltd, Canberra

Visiting Fellow, Department of Computer Science, Australian National University

Version of 15 November 1998

© Xamax Consultancy Pty Ltd, 1998

These notes were prepared as a basis for a future paper

This document is at http://www.anu.edu.au/people/Roger.Clarke/EC/CryptoIP.html


Abstract

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Contents


Introduction

Intellectual property law exists in order to create monopoly power in content, with the intention that that power be used to provide rewards to innovators and hence encourage innovation. There have always been serious difficulties with the theory underlying that proposition, and serious shortcomings in the extent to which origination in particular, but even innovation, have actually been rewarded and encouraged.

New technologies, and particularly the Internet, are rendering the enforcement of intellectual property law highly problematical. In the information society and economy, it may be that an alternative economics may demand new forms of intellectual property protection law.

Meanwhile, the organisations that have exploited the protections afforded by the old intellectual property laws are seeking means to counter the incursions. They are lobbying governments to tighten existing intellectual property laws, and to apply criminal sanctions against people and organisations that breach their commercial rights. Moreover, that are having some success, as is attested to by the unquestioning passage of the XXXX Act in the United States in October 1998.

In addition to manoevres in the legislative arena, corporations that depend on monopoly control over content are seeking technological tools to assist them to sustain the status quo in the new context of the Internet and World Wide Web. Initiatives are under way in the area of electronic trading of intellectual property rights, and in the application of cryptography to the protection of content.

The e-trading of intellectual property rights is examined in Clarke & Dempsey (1999). This paper focuses on the opportunities and implications that technology-based protections create.

It commences by XXXXXXXXXX


Background
* Conventional I.P. Protection

* Elements of the threat to conventional operations

* Risks faced by the I.P. owner

* The argument about appropriate intellectual property protections


Relevant Technologies
* Xanadu?

http://www.xanadu.com.au/

Does Xanadu use encryption? Ask Andrew Pam

Either way, it's very relevant to the topic, because it seeks to establish the kind of enforced accessibility, balanced against an automated process of recompense to originators and/or innovators (or at least to registered owners)

* Digital Watermarking

What references?

Identifies the source of the 'original' from which the copy was made; assists in litigation or prosecution; and hence dissuades people from abusing the property

* Encryption with the Licencee's Public Encryption Key

Copy should only be decryptable by the intended recipient.

This does not directly prevent the recipient passing the decrypted version on

* IBM Cryptolopes

http://www.software.ibm.com/security/cryptolope/

* InterTrust

http://www.intertrust.com/technology/index.html

* Xerox

Merisi / Documents / Consultancy II / AUO 96/11 / Xerox Rpt 97/09/30

Haven't found the Xerox URL yet


Opportunities

Control the flows of content of various kinds:

- by identifying the item;

- by providing evidence of abuse of licence or the law;

- by preventing access by the wrong person;

- by providing automated revenue collection;

- by providing automated notification of unlicensed usage.


Implications

Works against the new economics

Sustains long industry 'value' chains of large intermediary organisations that are redundant in the context of the new technology

May undermine the provisions for 'fair dealings', automatic licences and hence public accessibility, which are lynchpins of the free society


Conclusions

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References

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Created: 15 November 1998

Last Amended: 15 November 1998


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