p2p news / p2pnet: A letter currently doing the rounds in Australia is one sent last November from the DCIA to the Big Four music cartel’s ARIA. The letter has surfaced now, in what some claim is a cynical exercise.

Certainly, it arrives at a time when Sharman Networks most needs the DCIA, with which it’s had a long and meaningful association, having launched it many moons ago

The letter is from Marty Lafferty (right) to ARIA ceo Stephen Peach in response to a public and widely reported invitation by IFPI’s John Kennedy. Here it is:

November 28, 2005

Mr. Stephen Peach

Chief Executive Officer

Australian Record Industry Association

Dear Steve:

The Distributed Computing Industry Association (DCIA) is a voluntary organization representing all sectors of the distributed computing industry, currently focused on peer-to-peer (P2P) technologies.

This includes content providers, software developers and distributors, and service-and-support companies.

The DCIA is engaged in supporting innovative business models and developing standards-and-practices to advance this new consumer-based distribution channel.

“We read with great interest the remarks of John Kennedy, Chairman of IFPI, the international representative body for you and your stakeholders, which were reproduced in a Reuters report related to the Australian Federal Court case centering on Kazaa:

“It’s time for services like Kazaa to move on – to filter, go legal, or make way for others who are trying to build a digital music business the correct and legal way.”

The DCIA, on behalf of our now seventy Members, wishes to publicly accept and endorse Mr. Kennedy’s exhortation, and offer our support, while also urging yours, for expedited delivery of music licensing agreements that have until now been denied to open P2P application providers.

We welcome Mr. Kennedy’s recognition, like that of the Australian Court, that P2P has a legitimate place in the music industry, and pledge to do all that we can to encourage the process of accelerating a conversion of current major P2P software programs to music-industry-acceptable business models.

We view this as separate from settlement discussions to close-out litigation between the parties, which must also occur, and hopefully will be able to proceed on a parallel track.

Indeed, the DCIA has never participated in, nor taken sides in, any lawsuits, except to press for continuing commercial development of the distributed computing industry.

We are now at a crossroads in that development, where it is critical to the success of those “who are trying to build a digital music business the correct and legal way,” including through sanctioned P2P business models, to complete the conversion of major established P2Ps as expeditiously as possible.

Otherwise there will not be a level playing field in the marketplace.

The question, respectfully, for you to answer is: what’s holding up licenses from your major members? For their part, DCIA Members are fully ready to move ahead now, but how can open P2P protocols “go legal” without your help?

We are reaching out to both IFPI and, here in the United States, the RIAA, to step-up the pace of music licensing negotiations associated with the ongoing conversion process for open P2Ps. We are more than willing to collaborate with you and your members to complete this phase of industry advancement.

Let us now turn the corner on past conflict. Let us, by the end of the year, set the terms for licensing so that there can be a level playing field in the online marketplace for entertainment content, including the P2P distribution channel.

Would you consider establishing a working group comprised of IFPI and DCIA Members with the aim of bringing legitimized P2P to music consumers?

We ask that you meet with us to discuss this approach or alternatives for establishing an accord or a regime for licensing DCIA Members that distribute P2P software – as a matter of urgency.

It is time finally to put to an end to the cynical cycle of refusal by your members to license P2P companies, followed by the prosecution of these same companies by your members for not having such licenses.

We look forward to being able to show you legal P2P business models that can take digital music sales to the next level. The only thing currently missing is the licenses.

We’ve already shown you the music distribution channel of the future show us the licenses so that we can make music together!

Cordially
Marty Lafferty
CEO, DCIA

To date there’s been no response, not even an acknowledgement that the letter is on Peach’s desk.

Can this be a hint that the Australian record companies aren’t prepared to negotiate with p2p businesses? Or could the links between Sharman and the DCIA have anything to do with Peach’s apparent lack of interest, ask observers?

The Wizard of Oz – p2pnet

Also See:
sent last November – DCIA woos Big 4 Music cartel, November 29, 2005

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