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Mark Cuban joins p2p firms

p2pnet.net News:- MGM vs Grokster is nigh.

Will deeply vested entertainment industry interests triumph, or will America’s Supreme Court confirm what two other US courts have already decreed – that p2p companies such as StreamCast (Morpheus) and Grokster can’t be held liable for what users do with p2p file sharing software?

Mark Cuban told p2pnet he doesn’t make predictions. But on his blog, he does state:

“It wont be a good day when high school entrepreneurs have to get a fairness opinion from a technology oriented law firm to confirm that big music or movie studios wont sue you because they can come up with an angle that makes a judge believe the technology might impact the music business.”

So …

“… EFF and others came to me and asked if I would finance the legal effort against MGM.

“I said yes.”

Read on >>>>>>>>>>>>>>>>>>>>>>>>

Let the truth be told … MGM vs Grokster
By Mark CubanBlog Maverick

First, let me define myself as a content owner.

I am not a technology owner. Although I have been involved in the technology business for more than 20 years, the software that I have written is long outdated. The infrastructure and integration processes I have designed and developed may still be in use, but I dont control them.

For the longest time, including when we started Broadcast.com, I saw the content business as a lose lose proposition. Then content went digital.

Thats when my eyes opened up to the ownership of content. When content had to be distributed in analog or a physical format for delivery, all distribution could be controlled by just a few gatekeeper companies. Music Labels and Movie Studios owned distribution. In both industries anyone outside the major companies were called independent , and for a good reason. They were on their own, on the outside looking in.

When content went digital, the floodgates opened. Content could be delivered digitally in thousands of different ways, and the number of methods for distribution would only expand over time. To me this meant the power of the gatekeepers would diminish and the power of independent content creators and owners would increase. With the explosion of the internet and then broadband, not only did households explode with digital content replay devices, but more importantly, consumers became comfortable with the concept of what digital was and what it meant to them. From CDs to DVDs to cellphones to email to cameras to HDTVs, in all cases the move to digital represented an improvement in quality, availability, flexibility, mobility and more. Just as I knew that digital in TV would lead to an explosion in the acceptance of HDTV over time, which is why we started HDNet and HDNet Movies (www.hd.net) the same acceptance would change how consumers bought and used any and all content.

Knowing this, my partner, Todd Wagner and I immediately began to get aggressive in the acquisition of content. Our first move was to buy Rysher Entertainment. Rysher owns among its movie library, Kingpin, Private Parts, Dear God, Hard Eight among others. In the TV world, we own Nash Bridges, Highlander, Star Search,Soldier of Fortune, Lifestyles of the Rich and Famous, Lonesome Dove and shared interests in Hogans Heroes, Ben Casey, Walking Tall, The Great Santini and others.

I then added the Dallas Mavericks as a content play with digital implications.

We then started 2929 Productions, which has shared in various film productions including Criminal, The Jacket and GodSend.

More recently, we started HDNet Films. Our first theatrical release will be Enron, The Smartest Guys in the Room, which will be released in theaters on April 22nd of this year.

We just announced that Cynthia Nixon will be starring in another feature, and are about to announce the release date for Like Blood into Water.

HDNet Productions, the production arm of HDNet, produces in original 1080i format, 15 plus hours per WEEK of content and has been doing so for the last 3 years. Much of this content we sell overseas in addition to showing on HDNet and we have every intention of taking this content and exploiting it through every digital outlet possible.

To add to the mix, we have purchased Landmark Theatres (http://www.landmarktheatres.com/). We just announced a deal with Sony, where we will take the lead in digital projection and begin the rollout of 4k Digital Projectors this summer.

Last but not least, we also own Magnolia Pictures (www.magpictures.com) . Magnolia is a theatrical distribution company that distributes not only our content around the world, but also does a great job of theatrical distribution of others content as well.

We produce in the best means available, which means that for the content we control, we produce in digital, we deliver in digital. In every way shape and form. What makes it all work as a business for today and in the futures, is that the best in digital distribution is yet to come.

There are untold number of new formats on the way. Recent additions include the UMD format on Sony PSPs, HD DVD, Blu Ray and the increasing number of extensions to PC based codecs. There are untold number of new distribution options becoming available. From satellite radio, to P2P, to net download, to hard disk delivery, to pre loading on hard drives, to new and old formats of DVDs, to cell phones, and more that we cant talk about yet. More and more of all will continue to be added, and our goal is to make the best content available in the best possible quality on every platform that becomes available.

We are a digital company that is platform agnostic. Bits are bits. We dont care how they are distributed, just that they are. We want our content to get to the customer in the way the customer wants to receive it, when they want to receive it, at a price that is of value to them. Simple business.

Unless Grokster loses to MGM in front of the Supreme Court. If Grokster loses, technological innovation might not die, but it will have such a significant price tag associated with it, it will be the domain of the big corporations only.

It wont be a good day when high school entrepreneurs have to get a fairness opinion from a technology oriented law firm to confirm that big music or movie studios wont sue you because they can come up with an angle that makes a judge believe the technology might impact the music business. It will be a sad day when American corporations start to hold their US digital innovations and inventions overseas to protect them from the RIAA, moving important jobs overseas with them.

Thats what is ahead of us if Grokster loses. Thats what happens if the RIAA is able to convince the Supreme Court of the USA that rather than the truth, which is , Software doesnt steal content, people steal content, they convince them that if it can impact the music business, it should be outlawed because somehow it will. It doesnt matter that the RIAA has been wrong about innovations and the perceived threat to their industry, EVERY SINGLE TIME. It just matters that they can spend more then everyone else on lawyers. Thats not the way it should be. So , the real reason of this blog. To let everyone know that the EFF and others came to me and asked if I would finance the legal effort against MGM. I said yes. I would provide them the money they need. So now the truth has been told. This isnt the big content companies against the technology companies. This is the big content companies, against me. Mark Cuban and my little content company. Its about our ability to use future innovations to compete vs their ability to use the courts to shut down our ability to compete. its that simple.

====================

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One Response to “Mark Cuban joins p2p firms”

  1. Reader's Write Says:

    Mr. Cuban,

    My God bless you and your family for the understanding and insight to back this fight against greed. The Revolution in the freedom of the mind has a new patriot and is name is Mark Cuban.

    Dustin Wish
    Systems Engineer & Programmer
    INDCO Networks

  2. Reader's Write Says:

    Problem is much of p2p is solely for filesharing, and not for legitimate uses. Cuban’s using this for public relations only

  3. Reader's Write Says:
  4. Reader's Write Says:

    How could it not be? Anyone who is pro p2p will read this and think, “right on!” Just as hundreds (if not thousands) of Shaw customers rooted for Shaw when they defended their subscribers right to privacy in the CRIA case (then completely ruined their image by limiting bandwidth in the Cordova Street area – heh)

    This information will get passed on and people who don’t know about magnolia pictures might wander over to that site (like I did) see what is available and possibly rent it. Heck maybe a few will subscribe to the services he offers because of his philanthropy towards the EFF. It becomes defacto advertising for his companies without the word “advertisment” mentioned anywhere, marketing wise it’s smart move and cheaper than hiring some advertising firm to come up with a 30 second spot for TV. He gets kudos for helping the EFF, gets to be seen in a positive light by many and will benefit finacially from the move. But I wouldn’t be fooled into thinking this was done out of the goodness of his heart.

  5. Reader's Write Says:

    As Cuban himself says, “We want our content to get to the customer in the way the customer wants to receive it, when they want to receive it, at a price that is of value to them. Simple business.”

    That’s OK with me. At least he’s not lying about it.

    I don’t worry too much about why he got into this. His announcement has focused even more major media (and, hence, general public) attention on the realities surrounding the entertainment industry’s anti- file sharing efforts.

    Can’t be bad.

    Cheers!

  6. Reader's Write Says:

    Hey the RIAA showed up again!!

  7. Reader's Write Says:

    it’s called good will…

    TT

  8. Reader's Write Says:

    He is backing us is what I care about. People who back pro-freedom endeavors deserve our business, and if I decide to start purchasing content again, his company will be where I start looking. It is my opinion that the future of one nation (The U.S.A., which may already be starting its death throes) very well depends on the free distribution of media content. The U.S. government has already sold most of the nation’s capability to produce goods and services overseas. Americans now need a free flow of information more than ever. Like Mr. Cuban states, programmers do not need to look over their shoulders whenever they want to release innovative software.

  9. Reader's Write Says:

    It’s as pity that all media that he has the rights for are rubbish.

  10. Reader's Write Says:

    If people like Mark do not help keep the power of the people (remember, we’re supposed to be a democracy here…) then the few bigshots will wield all the power and all our innovative ideas and new business will be stifled. Remember the Romans and their downfall? Remember old party Russia? That is the direction we’re going if we allow the greedy power hungry mongers to run the country.

    That way, if one of them makes a big mistake, it has BIG repurcussions that the creative and risk-taking little guy will have to pay for and eventually the whole country. Speadout the risk, the decisions and we’ll be fine.

    Go Mark go! Disruptive innovations are good just like the disruption that happens when we change presidents here. It takes away the greedy, power centric, well financed, dug-in and parasitic special interests which are the downside of our Capitalistic society here. It is human nature to control it all so that the future is predictable for those who make the rules. Unfortunately that hurts the millions of small guys that continue to keep America on top. For example, Microsoft; Ever since they’ve (Bill, that is) controlled applications like browsers, email, word processing and spreadsheets, how many new innovations have you seen compared to when things like browsers were the domain of a few like Netscape and Microsoft and others? See the point here?
    Less controlling people equals less innovation and less opportunity for the smaller guys and less progression as a society to fix the bad inequalities we have here.

    I worked in Silicon Valley and the power was taking risk and rewarding even the small people which are the collective risk takers, and therefore the voters too. More votes, more power to the whole. Strength in numbers.

    So what will it be people? A few big shots and slow moving and parasitic society spiraling downhill like the Romans or USA like it is with lots of changes and opportunity and growth for all?

    The USA (the small, hungry guy) did it in 200 years what the other 3,000 year old societies could not do. Can we learn anything from that people?

    Most Americans are giving and kind and gentle. The slow-moving ultra greedy power mongers, ego-centric and selfish ones here are the minority; Let’s keep it that way or risk losing to the next upcomer like China. They are already starting to kick our butts.

    What do you want for your children?

  11. Reader's Write Says:

    I could not have said this any better. We have been on the path towards a toalitarian dictatorship for quite a few years. It is now time that we reverse this trend. We need to stop the powerful from distrying American Society.

  12. Reader's Write Says:

    “In Texas, Cuban isn’t waving any flags for Hollywood. But he may be just the nudge the studios need. “When you’re a public company, it’s hard to implement change,” Cuban says. “We don’t have a big legacy business to protect, so why not take chances? I’m not doing this for some greater good – I want to make more money. I love to fuck with people, and I love finding ways to make more money.”

    http://www.wired.com/wired/archive/13.04/cuban.html

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