Misplaced Pages

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81-495: It was composed of more than 200 IT, consumer electronics, security technology, ISP and recording industry companies, as well as authors, composers and publishing rightsholders (represented by CISAC and BIEM representatives, mainly from SGAE/SDAE (Gonzalo Mora Velarde and José Manuel Macarro), GEMA (Alexander Wolf und Thomas Kummer-Hardt), SACEM/SDRM (Aline Jelen, Catherine Champarnaud, Laurent Lemasson), MCPS/PRS (Mark Isherwood), ASCAP, BMI (Edward Oshanani), and SODRAC), Specifically,

162-483: A Kickstarter project – "ebook stravaganza 3000" – to fund the conversion of 3,000 comics, written over 12 years, into a single "humongous" e-book to be released both for free and through the iBookstore; launched 8 February 2012, with the goal of raising $ 3,000 in 30 days. The "payment optional" DRM-free model in this case was adopted on Stevens' view that "there is a class of webcomics reader who would prefer to read in large chunks and, even better, would be willing to spend

243-453: A copyrighted work ), which, without the license, the licensed party could be sued, civilly, criminally, or both. In particular, a license may be issued by authorities, to allow an activity that would otherwise be forbidden. It may require paying a fee or proving a capability (or both). The requirement may also serve to keep the authorities informed on a type of activity, and to allow them to set conditions and limitations. A licensor may grant

324-445: A CSS-encrypted DVD to play on a computer running Linux , at a time when no compliant DVD player for Linux had yet been created. The legality of DeCSS is questionable: one of its authors was sued, and reproduction of the keys themselves is subject to restrictions as illegal numbers . More modern examples include ADEPT , FairPlay , Advanced Access Content System . The World Intellectual Property Organization Copyright Treaty (WCT)

405-540: A DRM-free version. Websites – such as library.nu (shut down by court order on 15 February 2012), BookFi, BookFinder , Library Genesis , and Sci-Hub  – allowed e-book downloading by violating copyright. As of 2013, other developers, such as Blizzard Entertainment put most of the game logic is on the "side" or taken care of by the servers of the game maker. Blizzard uses this strategy for its game Diablo III and Electronic Arts used this same strategy with their reboot of SimCity ,

486-511: A Ubisoft server for the game. Later that month, a real crack was released that was able to remove the connection requirement altogether. In March 2010, Uplay servers suffered a period of inaccessibility due to a large-scale DDoS attack , causing around 5% of game owners to become locked out of playing their game. The company later credited owners of the affected games with a free download, and there has been no further downtime. In 2011, comedian Louis C.K. released his concert film Live at

567-472: A cash payout or album downloads free of DRM. Microsoft's media player Zune released in 2006 did not support content that used Microsoft's PlaysForSure DRM scheme. Windows Media DRM , reads instructions from media files in a rights management language that states what the user may do with the media. Later versions of Windows Media DRM implemented music subscription services that make downloaded files unplayable after subscriptions are cancelled, along with

648-425: A detainer proceeding because the licensee was never granted any possessory interest. The Licensee would also not be able to recover damages for money spent unless they are able to show detrimental reliance on the license. In certain cases, however, licenses can be made irrevocable, and specific performance may be granted. Where a license is made with a set term period and valid consideration is transferred, revocation of

729-459: A group led by Ed Felten . Felten's group claimed to have cracked the scheme and successfully removed the watermark according to the automated judging software supplied by the SDMI. The SDMI disagreed, noting that there was a requirement that the files lose no sound quality and the automated system did not take this into account. When Felten attempted to publish an academic paper describing the analysis of

810-403: A license under intellectual property laws to authorize a use (such as copying software or using a patented invention) to a licensee, sparing the licensee from a claim of infringement brought by the licensor. A license under intellectual property commonly has several components beyond the grant itself, including a term , territory , renewal provisions, and other limitations deemed vital to

891-425: A license: (1) a clause allowing the licensor to revoke "at will"; (2) the retention by the licensor of absolute control over the premises; and (3) the licensor's supplying to the licensee all of the essential services required for the licensee's permitted use of the premises. Under a pure licensing agreement, the licensor, under its terms and by common-law, can cancel the agreement at will and without cause, unless it

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972-514: A licensee any protection from actions for use in Japan. Again, a shorthand definition of a license is "a promise by the licensor not to sue the licensee". That means without a license any use or exploitation of intellectual property by a third party would amount to copying or infringement. Such copying would be improper and could, by using the legal system, be stopped if the intellectual property owner wanted to do so. Intellectual property licensing plays

1053-430: A limited number of computers. The enforceability of end-user license agreements is sometimes questioned . As of 2020, there are various ways to license software with different kinds of licensing models, which allow software vendors to profit from their product offerings in flexible ways. Like other intellectual property, patent owners may grant permission to others to engage in conduct that would otherwise be within

1134-466: A little money on it." In February 2012, Double Fine asked for crowdfunding for an upcoming video game, Double Fine Adventure , on Kickstarter and offered the game DRM-free for backers. This project exceeded its original goal of $ 400,000 in 45 days, raising in excess of $ 2 million. Crowdfunding acted as a pre-order or alternatively as a subscription . After the success of Double Fine Adventure , many games were crowd-funded and many offered

1215-470: A major role in business, academia and broadcasting. Business practices such as franchising , technology transfer , publication and character merchandising entirely depend on the licensing of intellectual property. Land licensing (proprietary licensing) and IP licensing. A license provides one party with the authority to act on another's land, when such action would typically amount to trespass absent that license. A key distinction between licenses and leases

1296-404: A particular geographic region, just for a certain period of time or merely for a stage in the value chain . Moreover, there are different types of fees within the trademark and brand licensing. The first form demands a fee independent of sales and profits , the second type of license fee is dependent on the productivity of the licensee. For example, McDonald's licenses their trademark such as

1377-471: A permission to a licensee to copy and distribute copyrighted works such as "art" (e.g., Thomas Kinkade 's painting Dawn in Los Gato ) and characters (e.g., Mickey Mouse ). With such license, a licensee need not fear a claim of copyright infringement brought by the copyright owner. Artistic license is, however, not related to the aforementioned license. It is a euphemism that denotes freedom of expression,

1458-583: A person who holds a licentiate. In English, the degree has never been called a license. In France, the licence is the first degree awarded in Universities. In Sweden , Finland, and in some other European university systems, a 'licentiate' is a postgraduate degree between the master's degree and the doctorate. The licentiate is a popular choice in those countries where a full doctoral degree would take five or more years to achieve. A license to driving certain vehicles has been applied to many countries around

1539-585: A physical, analog or broadcast form into a digital form for portability or later use. Combined with the Internet and file-sharing tools, made unauthorized distribution of copyrighted content ( digital piracy ) much easier. DRM became a major concern with the growth of the Internet in the 1990s, as piracy crushed CD sales and online video became popular. It peaked in the early 2000s as various countries attempted to respond with legislation and regulations and dissipated in

1620-471: A presentation at DEF CON . The DMCA has been cited as chilling to legitimate users; such as security consultants including Niels Ferguson , who declined to publish vulnerabilities he discovered in Intel 's secure-computing scheme due to fear of arrest under DMCA; and blind or visually impaired users of screen readers or other assistive technologies . In 1999, Jon Lech Johansen released DeCSS , which allowed

1701-478: A probation officer and only living at an approved address, in exchange for their early release. If they break the conditions of the licence, they can be "recalled" (returned to prison). Offenders serving determinate sentences are released automatically at a set point in their sentence, whereas prisoners serving indeterminate sentences (e.g. life imprisonment ) can only be released by the parole board . Patent licensing has been studied in formal economic models in

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1782-472: A process key was published by hackers, which enabled unrestricted access to AACS-protected content. In January 2007, EMI stopped publishing audio CDs with DRM, stating that "the costs of DRM do not measure up to the results." In March, Musicload.de, one of Europe's largest internet music retailers, announced their position strongly against DRM. In an open letter, Musicload stated that three out of every four calls to their customer support phone service are as

1863-501: A rebuttal from the president of the SDMI, Dr. Leonardo Chiariglione . The SDMI has been inactive since May 18, 2001. Chiariglione stepped down as SDMI's director in 2001, and later explained the reason for SDMI's halt after his departure as follows: Digital rights management Digital rights management ( DRM ) is the management of legal access to digital content . Various tools or technological protection measures ( TPM ), such as access control technologies, can restrict

1944-472: A result of consumer frustration with DRM. Apple Inc. made music DRM-free after April 2007 and labeled all music as "DRM-Free" after 2008. Other works sold on iTunes such as apps, audiobooks, movies, and TV shows are protected by DRM. A notable DRM failure happened in November 2007, when videos purchased from Major League Baseball prior to 2006 became unplayable due to a change to the servers that validate

2025-428: A secure watermark that was hard to remove from the source audio without damaging it. The second was to ensure that SDMI-compliant players would not play SDMI tagged music that was not authorized for that device. The reasoning was that even if the files were distributed they could not be played as the device would detect the music was not authorized to be played on it. A key part of the strategy included demonstrating that

2106-535: A stream specification determining whether a stream can be recorded. This could block instances of fair use, such as time-shifting . It achieved more success elsewhere when it was adopted by the Digital Video Broadcasting Project (DVB), a consortium of about 250 broadcasters, manufacturers, network operators, software developers, and regulatory bodies from about 35 countries involved in attempting to develop new digital TV standards. In January 2001,

2187-551: A strict non-DRM policy. Baen Books and O'Reilly Media , dropped DRM prior to 2012, when Tor Books , a major publisher of science fiction and fantasy books, first sold DRM-free e-books . The Axmedis project completed in 2008. It was a European Commission Integrated Project of the FP6, has as its main goal automating content production, copy protection , and distribution, to reduce the related costs, and to support DRM at both B2B and B2C areas, harmonizing them. The INDICARE project

2268-403: Is "A license is a promise not to sue", because a license usually either permits the licensed party to engage in an illegal activity, and subject to prosecution, without the license (e.g. fishing , driving an automobile , or operating a broadcast radio or television station ), or it permits the licensed party to do something that would violate the rights of the licensing party (e.g. make copies of

2349-496: Is controversial. There is an absence of evidence about the DRM capability in preventing copyright infringement , some complaints by legitimate customers for caused inconveniences, and a suspicion of stifling innovation and competition. Furthermore, works can become permanently inaccessible if the DRM scheme changes or if a required service is discontinued. DRM technologies have been criticized for restricting individuals from copying or using

2430-445: Is coupled with an interest or made irrevocable by contract. A license that has been coupled with an interest is not revocable by the licensor without exposure to liability and potential damages. In the event a license is coupled with an interest, the licensor must provide reasonable time for the licensee to remove that interest from the property prior to termination. Additionally, because a license does not confer any possessory interest in

2511-437: Is generally created by an express or implied agreement. The licensor must agree to the license which can be shown in writing or the licensors acquiescence in its exercise. Furthermore, unlike many other contractual agreements, a license does not require consideration, a license can be created with or without it. Moreover, whether an agreement is held to be a "license" and not a lease will depend on three essential characteristics of

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2592-478: Is that a license grants the licensee a revocable non-assignable privilege to act upon the land of the licensor, without granting any possessory interest in the land. Once a license is agreed upon, the licensee may occupy the land only so far as is necessary to complete the act. Another key distinction between a license and a lease is that leases are generally required to be in writing, where the statute of frauds requires it, while licenses can be made orally. A license

2673-560: The United States Department of Justice that the DMCA would not be used to stifle legitimate research. On October 15, 1999, Eric Scheirer , later a digital music analyst for Forrester Research , wrote an editorial for MP3.com titled "The End of SDMI" which declared that the group's true goal to fold the technology industry into an alliance that would guarantee the record industry's near monopoly over musical content had failed. It drew

2754-422: The public domain and that the company that published and sold on Amazon's service had no right to do so. Ubisoft formally announced a return to online authentication on 9 February 2010, through its Uplay online game platform, starting with Silent Hunter 5 , The Settlers 7 , and Assassin's Creed II . Silent Hunter 5 was first reported to have been compromised within 24 hours of release, but users of

2835-452: The public domain . The rise of digital media and analog-to-digital conversion technologies has increased the concerns of copyright-owners, particularly within the music and video industries. While analog media inevitably lose quality with each copy generation and during normal use, digital media files may be duplicated without limit with no degradation. Digital devices make it convenient for consumers to convert ( rip ) media originally in

2916-402: The " Golden Arches " or the " Big Mac ", but the licenses gives McDonald's a right to impose strict quality standards to their franchisees as they can take back the right to the trademark if they do not meet McDonald's standards. When a licensor grants permission to a licensee to not only distribute, but manufacture a patented product, it is known as licensed production . A licensor may grant

2997-578: The 2010s as social media and streaming services largely replaced piracy and content providers elaborated next-generation business models. In 1983, the Software Service System (SSS) devised by the Japanese engineer Ryuichi Moriya was the first example of DRM technology. It was subsequently refined under the name superdistribution . The SSS was based on encryption, with specialized hardware that controlled decryption and enabled payments to be sent to

3078-482: The Beacon Theater as an inexpensive (US$ 5), DRM-free download. The only attempt to deter unlicensed copies was a letter emphasizing the lack of corporate involvement and direct relationship between artist and viewer. The film was a commercial success, turning a profit within 12 hours of its release. The artist suggested that piracy rates were lower than normal as a result, making the release an important case study for

3159-702: The DG Internal Market, on the Communication COM(2004)261 by the European Commission on "Management of Copyright and Related Rights" closed. In 2005, DRM Workshops of Directorate-General for Information Society and Media (European Commission) , and the work of the High Level Group on DRM were held. In 2005, Sony BMG installed DRM software on users' computers without clearly notifying the user or requiring confirmation. Among other things,

3240-560: The DVB Steering Board, and formalized by ETSI as a formal European Standard (TS 102 825-X) where X refers to the Part number. Nobody has yet stepped forward to provide a Compliance and Robustness regime for the standard, so it is not presently possible to fully implement a system, as no supplier of device certificates has emerged. In December 2006, the industrial-grade Advanced Access Content System (AACS) for HD DVD and Blu-ray Discs ,

3321-547: The DVD content is played, including what outputs are permitted and how such permitted outputs are made available. This keeps the encryption intact as the content is displayed. In May 1998, the Digital Millennium Copyright Act (DMCA) passed as an amendment to US copyright law . It had controversial (possibly unintended) implications. Russian programmer Dmitry Sklyarov was arrested for alleged DMCA infringement after

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3402-453: The SDMI scheme (having opted out of the confidentiality requirement that would have allowed him to claim $ 10,000 in prize money) the SDMI, RIAA and Verance Corporation threatened legal action under the auspices of the DMCA . The controversy about stifling of academic research resonated through scientific and cryptography circles until his paper was eventually published in 2001 after assurances from

3483-761: The Workshop on Digital Rights Management of the World Wide Web Consortium was held. On 22 May 2001, the European Union passed the Information Society Directive, with copyright protections. In 2003, the European Committee for Standardization /Information Society Standardization System (CEN/ISSS) DRM Report was published. In 2004, the Consultation process of the European Commission, and

3564-472: The ability for a regional lockout. Tools like FairUse4WM strip Windows Media of DRM restrictions. The Gowers Review of Intellectual Property by the British Government from Andrew Gowers was published in 2006 with recommendations regarding copyright terms, exceptions, orphaned works, and copyright enforcement. DVB ( DVB-CPCM ) is an updated variant of the broadcast flag. The technical specification

3645-399: The ability to make the subject appear more engaging or attractive, by fictionalizing part of the subject. A licentiate is an academic degree that traditionally conferred the license to teach at a university or to practice a particular profession. The term survived despite the fact that nowadays a doctorate is typically needed in order to teach at a university. The term is also used for

3726-475: The activation limit led Spore to become the most pirated game in 2008, topping the top 10 list compiled by TorrentFreak . However, Tweakguides concluded that DRM does not appear to increase video game piracy, noting that other games on the list, such as Call of Duty 4 and Assassin's Creed , use DRM without limits or online activation. Additionally, other video games that use DRM, such as BioShock , Crysis Warhead , and Mass Effect , do not appear on

3807-445: The claim that DRM was inciting people to use illegal copies. Although Ubisoft has not commented on the results of the "experiment", Tweakguides noted that two torrents on Mininova had over 23,000 people downloading the game within 24 hours of its release. In 2009, Amazon remotely deleted purchased copies of George Orwell 's Animal Farm (1945) and Nineteen Eighty-Four (1949) from customers' Amazon Kindles after refunding

3888-635: The complete blocking of any possibilities of making private copies was an impermissible behaviour under French copyright law. The broadcast flag concept was developed by Fox Broadcasting in 2001, and was supported by the MPAA and the U.S. Federal Communications Commission (FCC). A ruling in May 2005 by a United States courts of appeals held that the FCC lacked authority to impose it on the US TV industry. It required that all HDTVs obey

3969-412: The content legally, such as by fair use or by making backup copies. DRM is in common use by the entertainment industry ( e.g. , audio and video publishers). Many online stores such as OverDrive use DRM technologies, as do cable and satellite service operators. Apple removed DRM technology from iTunes around 2009. Typical DRM also prevents lending materials out through a library, or accessing works in

4050-413: The copyright holder. The underlying principle was that the physical distribution of encrypted digital products should be completely unrestricted and that users of those products would be encouraged to do so. An early DRM protection method for computer and Nintendo Entertainment System games was when the game would pause and prompt the player to look up a certain page in a booklet or manual that came with

4131-448: The copyright holders for maintaining artistic controls , and supporting licenses' modalities such as rentals. Industrial users (i.e. industries) have expanded the use of DRM technologies to various hardware products, such as Keurig 's coffeemakers , Philips ' light bulbs , mobile device power chargers , and John Deere 's tractors . For instance, tractor companies try to prevent farmers from making repairs via DRM. DRM

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4212-557: The cracked version soon found out that only early parts of the game were playable. The Uplay system works by having the installed game on the local PCs incomplete and then continuously downloading parts of the game code from Ubisoft's servers as the game progresses. It was more than a month after the PC release in the first week of April that software was released that could bypass Ubisoft's DRM in Assassin's Creed II . The software did this by emulating

4293-684: The creation and distribution of tools used for such circumvention. Such laws are part of the United States' Digital Millennium Copyright Act (DMCA), and the European Union 's Information Society Directive – with the French DADVSI an example of a member state of the European Union implementing that directive. Copyright holders argue that DRM technologies are necessary to protect intellectual property , just as physical locks prevent personal property from theft. For examples, they can help

4374-403: The developer of that software. Such license is typically included in a more extensive end-user license agreement (EULA) entered into upon the installation of that software on a computer. Typically, a license is associated with a unique code, that when approved grants the end user access to the software in question. Under a typical end-user license agreement, the user may install the software on

4455-461: The digital marketplace. In 2012, the EU Court of Justice ruled in favor of reselling copyrighted games. In 2012, India implemented digital rights management protection. In 2012, webcomic Diesel Sweeties released a DRM-free PDF e-book. He followed this with a DRM-free iBook specifically for the iPad that generated more than 10,000 downloads in three days. That led Stevens to launch

4536-409: The document of that permission or permit). A license is granted by a party (licensor) to another party (licensee) as an element of an agreement between those parties. In the case of a license issued by a government, the license is obtained by applying for it. In the case of a private party, it is by a specific agreement, usually in writing (such as a lease or other contract). The simplest definition

4617-432: The field of industrial organization . In particular, Katz and Shapiro (1986) have explored the optimal licensing strategy of a research lab selling to firms who are competitors on the product market. It turns out that (compared to the welfare-maximizing solution) the licensor's incentives to develop innovations may be excessive, while the licensor's incentives to disseminate the innovation are typically too low. Subsequently,

4698-415: The field of industrial electronics). Often, patent owners will require a licensee to pay money in exchange for granting a patent license. Such payments are referred to as royalty payments and come primarily in two forms: lump sum or running royalty. A lump sum royalty involves an upfront, one-time payment, while a running royalty typically involves periodic payments ( e.g., quarterly or annual) based on

4779-581: The game; if the player lacked access to the material, they would not be able to continue. An early example of a DRM system is the Content Scramble System (CSS) employed by the DVD Forum on DVD movies. CSS uses an encryption algorithm to encrypt content on the DVD disc. Manufacturers of DVD players must license this technology and implement it in their devices so that they can decrypt the content. The CSS license agreement includes restrictions on how

4860-499: The goals of the SDMI were to provide consumers with convenient access to music online and in new digital distribution systems, to apply digital rights management restrictions to the work of artists, and to promote the development of new music-related business and technologies. SDMI was a direct response to the widespread success of the MP3 file format. According to their web site, SDMI existed to develop “technology specifications that protect

4941-493: The license prior to the terms expiration may raise breach of contract claims that could provide damages against the licensor. Furthermore, once the licensor terminates or revokes the license, notice is statutorily required prior to the commencement of any special proceeding to recover possession of the property (e.g., in NY that requirement is 10 days). Mass distributed software is used by individuals on personal computers under license from

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5022-432: The licensee is the only person or entity that is allowed to sell, make, use, offer to sell, or import the patented invention) or non-exclusive ( i.e., the licensee is simply one of several entities who has rights under the patent). Finally, any rights given under the agreement may be limited to a particular "field of use" ( e.g., a licensee may be able to practice an invention in the field of consumer electronics, but not in

5103-430: The licensee, in the event of a sale of the property, the license is terminated and cannot be enforced against the new owners of that property. Moreover, the death of either the licensee or licensor will terminate the agreement. If a license is revocable at will by the licensor, courts will be unable to grant specific performance in favor of the licensee. A licensee would be unsuccessful in bringing forcible entry claims or

5184-601: The licenses. In 2007, the European Parliament supported the EU's direction on copyright protection. Asus released a soundcard which features a function called "Analog Loopback Transformation" to bypass the restrictions of DRM. This feature allows the user to record DRM-restricted audio via the soundcard's built-in analog I/O connection. Digital distributor GOG.com (formerly Good Old Games) specializes in PC video games and has

5265-472: The licensor. Term: many licenses are valid for a particular length of time. This protects the licensor should the value of the license increase, or market conditions change. It also preserves enforceability by ensuring that no license extends beyond the term of the agreement. Territory: a license may stipulate what territory the rights pertain to. For example, a license with a territory limited to "North America" (Mexico/United States/Canada) would not permit

5346-429: The list. Many mainstream publishers continued to rely on online DRM throughout the later half of 2008 and early 2009, including Electronic Arts , Ubisoft , Valve , and Atari , The Sims 3 being a notable exception in the case of Electronic Arts. Ubisoft broke with the tendency to use online DRM in late 2008, with the release of Prince of Persia as an experiment to "see how truthful people really are" regarding

5427-468: The necessity of which has been questioned. In 2014, the EU Court of Justice ruled that circumventing DRM on game devices was legal under some circumstances. In 2014, digital comic distributor Comixology allowed rights holders to provide the option of DRM-free downloads. Publishers that allow this include Dynamite Entertainment , Image Comics , Thrillbent , Top Shelf Productions , and Zenescope Entertainment . In February 2022, Comixology, which

5508-404: The number of patented products sold or imported. A licensor may grant permission to a licensee to distribute products under a trademark . With such a license, the licensee may use the trademark without fear of a claim of trademark infringement by the licensor. The assignment of a license often depends on specific contractual terms . The most common terms are, that a license is only applicable for

5589-493: The optimal number of licenses in a signalling model. The provision of licenses and the agencies that mandate them are often criticised by American libertarians like Milton Friedman for creating an anticompetitive environment for occupations, which creates a barrier to entry for more qualified and skilled individuals who may not have the resources to obtain the necessary licences. According to Friedman, licenses and permits have become so burdensome due to legislation that favors

5670-423: The playing, storing, and distributing of digital music such that a new market for digital music may emerge.” It would have been used by DataPlay , an optical disc format that at the time was cheaper and had higher capacity than memory cards, and by SD cards. The strategy for the SDMI group involved two stages. The first was to implement a secure digital watermarking scheme. This would allow music to be tagged with

5751-480: The purchase price. Commentators described these actions as Orwellian and compared Amazon to Big Brother from Nineteen Eighty-Four . Amazon CEO Jeff Bezos then issued a public apology. FSF wrote that this was an example of the excessive power Amazon has to remotely censor content, and called upon Amazon to drop DRM. Amazon then revealed the reason behind its deletion: the e-books in question were unauthorized reproductions of Orwell's works, which were not within

5832-452: The scope of a patent. For example, a patent owner may authorize a licensee to make, use, sell, offer for sale, or import a patented product. Such agreements are typically referred to as a patent license agreement or a covenant not to sue . These agreements can last for a specific period of time (such as five years) or for the entire life of the patent ( i.e., until the patent expires). Patent license agreements may also be exclusive ( i.e.,

5913-509: The seminal work of Katz and Shapiro (1986) has been extended in several directions. For example, Bhattacharya, Glazer, and Sappington (1992) have taken into account that the firms acquiring licenses must make further investments in order to develop marketable products. Schmitz (2002, 2007) has shown that asymmetric information due to adverse selection or moral hazard may lead the research lab to sell more licenses than it would do under complete information. Antelo and Sampayo (2017) have studied

5994-433: The software included a rootkit , which created a security vulnerability . When the nature of the software was made public much later, Sony BMG initially minimized the significance of the vulnerabilities, but eventually recalled millions of CDs, and made several attempts to patch the software to remove the rootkit. Class action lawsuits were filed, which were ultimately settled by agreements to provide affected consumers with

6075-416: The use of proprietary hardware and copyrighted works. DRM technologies govern the use, modification and distribution of copyrighted works (e.g. software , multimedia content) and of systems that enforce these policies within devices. DRM technologies include licensing agreements and encryption . Laws in many countries criminalize the circumvention of DRM, communication about such circumvention, and

6156-477: The watermarking could not be detected by third parties and as a result be removed from the music. As part of the process of ratifying the technology the SDMI announced a challenge with their Open Letter to the Digital Community on September 6, 2000. The letter invited hackers, cryptologists and others to detect and remove the watermark from some example pieces of music. Several groups became involved, including

6237-473: The world. Being allowed to drive a certain vehicle requires a specific driving license, the type of license depending on the type of vehicle. In the United Kingdom prisoners serving a determinate sentence (a fixed time in prison) will be released prior to the completion of their full sentence "on licence". The licence is the prisoner's agreement to maintain certain conditions, such as periodic reporting in to

6318-502: Was a dialogue on consumer acceptability of DRM solutions in Europe that completed in 2008. In mid-2008, the Windows version of Mass Effect marked the start of a wave of titles primarily making use of SecuROM for DRM and requiring authentication with a server. The use of the DRM scheme in 2008's Spore led to protests, resulting in searches for an unlicensed version. This backlash against

6399-402: Was later under the ownership of Amazon, ended the option of downloading DRM-free downloads on all comics, although any comics previously purchased prior to the date will have the option to download comics without DRM. Licensing agreement A license ( American English ) or licence ( Commonwealth English ) is an official permission or permit to do, use, or own something (as well as

6480-593: Was passed in 1996. The US Digital Millennium Copyright Act (DMCA), was passed in 1998. The European Union enacted the Information Society Directive . In 2006, the lower house of the French parliament adopted such legislation as part of the controversial DADVSI law, but added that protected DRM techniques should be made interoperable, a move which caused widespread controversy in the United States. The Tribunal de grande instance de Paris concluded in 2006, that

6561-619: Was submitted to European governments in March 2007. As with much DRM, the CPCM system is intended to control use of copyrighted material by the end-user, at the direction of the copyright holder. According to Ren Bucholz of the Electronic Frontier Foundation (EFF), "You won't even know ahead of time whether and how you will be able to record and make use of particular programs or devices". The normative sections were approved for publication by

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