| Contacts: | Jeff Joseph tel: 703 907-7664 e-mail: jjoseph@CE.org |
Jenny Pareti tel: 703 907 7079 e-mail: jpareti@CE.org |
New Senate Bill Will Cripple The Deployment Of New Technologies, Says CEA
Calls For Hearing to Discuss Impact
| Arlington, Virginia | 6/23/2004 |
As currently drafted, the Inducing Infringement of Copyrights Act of 2004 (S.2560), introduced today, would stifle innovation and jeopardizes critical protections for innovators established in the U.S. Supreme Court's landmark 1984 Betamax ruling, said the Consumer Electronics Association (CEA). CEA is urging the Senate Judiciary Committee to hold a hearing on the bill so that concerns can be heard and addressed.
The proposed bill adds a new and overly broad copyright cause of action for "intentionally inducing" copyright infringement, said the CEA, and thus could have a crippling effect on the development and introduction of new technologies.
"We understand that the intent of the sponsor is to stamp out companies that are inducing children to receive unlawfully distributed and otherwise illicit material. But it could also have a huge negative impact on legal multipurpose devices, software and home networking products," said CEA President and CEO Gary Shapiro. "This new and separate copyright cause of action is so broad that it would stifle innovation. It essentially would grant copyright owners veto power over the introduction of any new technology for home and personal use.
"By establishing this new and vague cause of civil action, it essentially gives content owners another tool in their arsenal to sue legitimate companies over any device, software, home network, programming guide or database drawn from or linked to copyrighted material that they deem objectionable," continued Shapiro. "This gun hanging over the head of entrepreneurs, large and small, will stifle competition and prevent the introduction of products and technologies we cannot even begin to imagine. Because of its potential consequences, the bill requires full and careful consideration. We look forward to working with Chairman Hatch and other sponsors in the context of a full hearing about all the implications of such a major change to the law."
About CEA:
The Consumer Electronics Association (CEA) is the preeminent trade association promoting growth in the consumer technology industry through technology policy, events, research, promotion and the fostering of business and strategic relationships. CEA represents more than 1,500 corporate members involved in the design, development, manufacturing, distribution and integration of audio, video, mobile electronics, wireless and landline communications, information technology, home networking, multimedia and accessory products, as well as related services that are sold through consumer channels. Combined, CEA's members account for more than $90 billion in annual sales. CEA's resources are available online at www.CE.org, the definitive source for information about the consumer electronics industry.
CEA also sponsors and manages the International CES - Defining Tomorrow's Technology. All profits from CES are reinvested into industry services, including technical training and education, industry promotion, engineering standards development, market research and legislative advocacy.

