News

Commerce Secretary Backs Apple Over France

During an interview on the CNBC network, U.S. Commerce Secretary Carlos Gutierrez praised Apple for speaking out against the proposed French law that could force companies to open their DRM protection technologies. According to The Age, he said "I would compliment that company because we need for companies to also stand up for their intellectual property rights."

Mr. Guiterrez commented that any time we feel intellectual property rights are being violated, it is necessary to speak out. He also said if the U.S. government works with other governments and companies that are protecting their intellectual properties, more worldwide progress will be made.

Apple's stance is that the French bill will promote music and video piracy and drive legitimate sales down.

Supporters of the bill disagree. They feel the bill will offer better protection for musicians and other artists rights when their work is sold as electronic downloads. They also say that consumers will have more choices in how they use their music and videos since the law will let them play the content on any portable digital player.

The end result, however, is likely to be very different, according to some analysts. They speculate that Apple will shut down the French iTunes Music Store instead of opening its FairPlay digital rights management software to competitors, reducing the number of music and video download options available to French consumers.

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A guest said: (hide)

Something isn't right. The Secretary of Commerce don't care about US businesses and consumers. I smell a rat, I think Apple is going to be sold to China or some other foreign interest.

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Biff said:

member since 08 Apr 2004 with 1479 posts, unranked, send him a message or view his profile

Haha that was very insightful guest. You make a very good arguement.

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dynamicv said:

member since 06 May 2004 with 51 posts, unranked, send him a message or view his profile

In the business world, you can't abandon major markets because the situation changes. France is bound by the European Copyright Directive, and has Intellectual Property responsibilities through it's membership of the World Trade Organisation. That's enough legal ammunition for Apple to get a stay of execution on this until Cupertino can come up with a strategy.

The annoying thing is that all Microsoft need to do to comply with this law is release a DRM-capable WMP for Mac (French language only). They can easily argue that they want Apple to license WMA DRM for the iPod but Apple hasn't approached them, resulting in Apple once again looking like the bad guy. It's not often that Microsoft come up smelling of roses, and it's quite disconcerting when they do.

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