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4 Mar 2003 : Column 702—continued

Mr. Whittingdale: Does the hon. Gentleman accept that the use of notice and take down is one of the most effective means to date of dealing with the problem? Under that approach, ISPs are made aware that materials are being downloaded from their servers which are in breach of copyright on a large scale. They then have to take some responsibility by removing the site that is making such material available illegally.

Mr. Allan: Absolutely, and more work could be done on that. There are specific issues for internet service providers, which have a legal responsibility in both directions. The problem is more than a breach of copyright material; it also involves libellous material. ISPs do not want people to use their services to publish such things, but they have a contract with the publisher and do not want to be sued for removing material.

The internet industry is rightly asking for greater legal certainty when it gets a request for notice and take down from a member of the music or film industry who thinks that material is illegal. The industry wants that to happen in a sensible, consistent and standardised way so that it does not get requests from every Tom, Dick or Harry. It also wants to be sure that when it responds, its position is governed by legal certainty so that it is not exposed to action by its customers. We could make considerable advances on that and allow something positive to come out of the debate. Improving the notice and take down procedures on copyright material would be welcomed by all the industries concerned. I do not know anyone in the internet industry who is keen to see their mechanisms abused in that way. They want them to be used sensibly, responsibly and legitimately.

As hon. Members on both sides of the Chamber have said, I hope that we can create a proper market for digital material in which artists and record companies

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receive fair recompense. By introducing over-elaborate physical protection measures for software or hardware, we may accidentally create a bigger incentive for people to go into the illegitimate market. If people cannot have fair use of their legitimately bought material, they will go for the illegitimate material that they can move between different devices.

I hope that we find a sensible approach. The debate is important in the context of Ofcom because the people whom it will regulate are creating the infrastructure over which the material will move. However, I agree with the hon. Member for Maldon and East Chelmsford that Ofcom does not have a specific role for dictating what material is transmitted across the internet.

Michael Fabricant: This is one of the rare occasions on which my opinion has been swayed by the debate. Although I welcomed the new clause, I was not keen to include it in the Bill. I now think that it should be included, although I hold by the original view that I expressed when I intervened on the right hon. Member for Islington, South and Finsbury (Mr. Smith). The new clause is wishy-washy. Nevertheless, the problem needs to be addressed.

Cable and ADSL are delivering broadband at about 1.5 megabytes per second. My hon. Friend the Member for Maldon and East Chelmsford (Mr. Whittingdale) mentioned the Dolphin Square experiment, which is delivering broadband at between 2 and 2.5 megabytes per second. I have no doubt that in years to come we will be discussing the delivery of 5 to 6 megabytes per second. At that speed, it would be the same as digital terrestrial and digital satellite television, which makes even more prescient the point made by the right hon. Member for Islington, South and Finsbury.

People will be able to download entire film productions from the internet. There are grave dangers in trying to define a standard that would provide a block to that. As my hon. Friend the Member for Maldon and East Chelmsford said, 15-year-old hackers will always be able to work out a way to break through that block. The other problem is that the internet allows material to be originated anywhere in the world. We need international agreement because we will have a problem if an internet site originates in, say, the West Indies, where gambling sites are based, or China. The right hon. Member for Islington, South and Finsbury was right to raise the problem. Although people may prefer to go to the cinema, as the hon. Member for Rhondda (Mr. Bryant) pointed out, there will be a disincentive to creativity if people believe that they cannot maximise their return because their copyright can be breached by individuals downloading their material.

2 pm

Mr. Bryant: We are talking about restructuring the business model used by the audiovisual industry, particularly film and music. One of the expectations inherent in the decision to invest in broadband technology throughout the country is that consumers will spend significantly larger sums, perhaps £50, £60 or £70 a month, on audiovisual services. Is not the

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important thing to make sure that the money that is going to cable and other forms of digital television is getting through to the creators?

Michael Fabricant: Yes, but it is important that the provision of such audiovisual services should involve a legally or morally binding provision. There was a debate in the Chamber way back in 1900 or 1910 about the provision of books to libraries. Members debated the question of whether authors should benefit from the availability of their books in libraries. Of course they should—if everyone read books from libraries and did not buy them there would be no incentive for creativity—there would be no incentive for authors to write or publish books, unless they simply wanted the gratification of seeing their name in print. Thinking about it, that probably satisfies the desires of most authors but, nevertheless, many of them want some income from their work as well.

I maintain that the issue has to be addressed. I was amused when the right hon. Member for Islington, South and Finsbury asked, "If Ofcom is not going to assume that responsibility, who is?" That is a good point. Ofcom, whose functions are defined in the Bill, is the ideal organisation to try to produce standards to ensure that digital piracy does not occur. It is all very well for Ofcom to perform that role, but I must enter a great caveat: if it does so in isolation, it will be pointless, as worldwide agreement is needed—[Laughter.] I do not know why the hon. Member for Rhondda is laughing from a sedentary position, if that is possible. If someone does not take the first step, there will not be worldwide agreement, so Ofcom should assume that role.

Mr. Bryant: One can, indeed, laugh from a sedentary position.

One problem with the new clause as currently worded is that it is an enabling power that Ofcom may choose not to use. Historically, there has been phenomenal difficulty in getting the organisations listed in the new clause to co-operate and work together. Without a robust power and a duty, Ofcom would not stand a chance of getting anywhere. If the international community has to agree as well, that is cloud cuckoo land legislation.

Michael Fabricant: By saying that such legislation is wishy-washy, the hon. Gentleman amplifies the point that I made in an earlier intervention, but someone has to start somewhere. Of course, he is right. He alluded in his speech to the fact that organisations such as Sony produce movies and music on the one hand and the very equipment that can be used to cut DVDs and CDs on the other. I accept that there is a problem but I repeat that someone has to start somewhere. No doubt, there are organisations similar to Ofcom, such as the Federal Communications Commission in the United States, but Britain ought to have a role too.

Mr. Mole: I agree with the hon. Gentleman. One reason why these technologies have become more pervasive is that they are the by-product of worldwide

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standards groups such as the Moving Picture Experts Group which defines the MPEG standard behind the DVD format and the MP3 music format.

Michael Fabricant: I thank the hon. Gentleman for his intervention.

Going back to the intervention of the hon. Member for Rhondda, of course standards have to be established by the G7 and, beyond that, the World Trade Organisation. The fact that China has joined the WTO is a major achievement, because it was one of the main producers of illegal CDs and DVDs. Some Members may argue, even from the Front Bench, that that is still going on. We do not know whether that is so, but now that China is part of the WTO, at least there is a disincentive against such production and an incentive to obey international copyright law. However, international standards are needed. It is remarkable to hear that there is a peculiar system in which there are regional DVDs. One of the problems with analogue television is that there are different standards. There is SECAM in France—I do not know what that stands for, but many people think that it is "Contrary to the American method". In the United States, there is NTSC, which many people think stands for "Never twice the same colour". In Britain, we have PAL—peace at last. There are different standards. It only costs £190 to go to New York city and buy from Tower Records a DVD that one may not be able to play in the United Kingdom, not because the technology is not standardised but because people have deliberately made a system that is not compatible with other systems.

The problem needs to be addressed, and I congratulate the right hon. Member for Islington, South and Finsbury on tabling the new clause. I am persuaded that, if not in its present form, such a provision ought to be included in the Bill. If the Minister resists its introduction, I hope that a similar provision will be included when the Bill is considered in another place.


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