Bhattacharjee, Gopal, Lertwachara and Marsden (2006b)

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1. Relationship between protection (subject matter/term/scope) and supply/economic development/growth/welfare 2. Relationship between creative process and protection - what motivates creators (e.g. attribution; control; remuneration; time allocation)? 3. Harmony of interest assumption between authors and publishers (creators and producers/investors) 4. Effects of protection on industry structure (e.g. oligopolies; competition; economics of superstars; business models; technology adoption) 5. Understanding consumption/use (e.g. determinants of unlawful behaviour; user-generated content; social media)

A. Nature and Scope of exclusive rights (hyperlinking/browsing; reproduction right) B. Exceptions (distinguish innovation and public policy purposes; open-ended/closed list; commercial/non-commercial distinction) C. Mass digitisation/orphan works (non-use; extended collective licensing) D. Licensing and Business models (collecting societies; meta data; exchanges/hubs; windowing; crossborder availability) E. Fair remuneration (levies; copyright contracts) F. Enforcement (quantifying infringement; criminal sanctions; intermediary liability; graduated response; litigation and court data; commercial/non-commercial distinction; education and awareness)

Source Details

Bhattacharjee, Gopal, Lertwachara and Marsden (2006b)
Title: Impact of legal threats on online music sharing activity: An analysis of music industry legal actions
Author(s): Bhattacharjee, S., Gopal, R. D., Lertwachara, K., Marsden, J. R.
Year: 2006
Citation: Bhattacharjee, S., Gopal, R. D., Lertwachara, K., & Marsden, J. R. (2006). Impact of Legal Threats on Online Music Sharing Activity: An Analysis of Music Industry Legal Actions*. Journal of law and economics, 49(1), 91-114.
Link(s): Definitive
Key Related Studies:
Discipline:
Linked by: Cox, Collins and Drinkwater (2010), Cronan and Al-Rafee (2008), Hunt, Williams, Nicholas and Rowlands (2009)
About the Data
Data Description: Passive observation using tracked data of 2,056 P2P users on Kazaa. Participants were selected from a pool of 6,000 most active users and then broken down for equal genre distribution.
Data Type: Primary data
Secondary Data Sources:
Data Collection Methods:
Data Analysis Methods:
Industry(ies):
Country(ies):
Cross Country Study?: No
Comparative Study?: No
Literature review?:
Government or policy study?:
Time Period(s) of Collection:
  • 2003-2004
Funder(s):

Abstract

The music industry has repeatedly expressed concerns over potentially devastating impacts of online music sharing. Initial attempts to control online file sharing have been primarily through consumer education and legal action against the operators of networks that facilitated file sharing. Recent legal action against individual file sharers marked an unprecedented shift in the industry’s strategy. The focus now is on well‐publicized legal threats and actions on a relatively small group of individuals to discourage overall music file sharing. To determine the resulting impact of these legal threats, we passively tracked online file‐sharing behavior of over 2,000 individuals. We found that individuals who share a substantial number of music files react to legal threats differently from those who share a lesser number of files. Importantly, our analysis indicates that even after these legal threats and the resulting lowered levels of file sharing, the availability of music files on these networks remains substantial.

Main Results of the Study

Pursuing individual P2P users through threats of and actual legal action has mixed results. Initially, users decrease their filesharing in the face of legal action. However, a wide selection of files remain available for download despite action against users.

Policy Implications as Stated By Author

The music industry might find more success with experimenting with new business strategies rather than expending resources pursuing individual legal action against potential future customers.


Coverage of Study

Coverage of Fundamental Issues
Issue Included within Study
Relationship between protection (subject matter/term/scope) and supply/economic development/growth/welfare
Relationship between creative process and protection - what motivates creators (e.g. attribution; control; remuneration; time allocation)?
Harmony of interest assumption between authors and publishers (creators and producers/investors)
Effects of protection on industry structure (e.g. oligopolies; competition; economics of superstars; business models; technology adoption)
Understanding consumption/use (e.g. determinants of unlawful behaviour; user-generated content; social media)
Green-tick.png
Coverage of Evidence Based Policies
Issue Included within Study
Nature and Scope of exclusive rights (hyperlinking/browsing; reproduction right)
Exceptions (distinguish innovation and public policy purposes; open-ended/closed list; commercial/non-commercial distinction)
Mass digitisation/orphan works (non-use; extended collective licensing)
Licensing and Business models (collecting societies; meta data; exchanges/hubs; windowing; crossborder availability)
Green-tick.png
Fair remuneration (levies; copyright contracts)
Enforcement (quantifying infringement; criminal sanctions; intermediary liability; graduated response; litigation and court data; commercial/non-commercial distinction; education and awareness)
Green-tick.png

Datasets

Sample size: 2056
Level of aggregation: P2P users
Period of material under study: 2003