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Business News (more headlines) 03-02-2005

Technology Industries Unite In Their Views That The BETAMAX Doctrine Must Be Upheld And Not Weakened

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The Betamax doctrine is the foundation of this nation's explosive technological growth over the last 20 years and is particularly critical to new digital technology, the Consumer Electronics Association (CEA) argues in an amicus brief filed today in the U.S. Supreme Court case Metro-Goldwyn-Mayer (MGM) Studios, Inc. v. Grokster, Ltd. Filed by CEA in conjunction with the Computer and Communications Industry Association (CCIA) and the Home Recording Rights Coalition (HRRC), the brief argues that the principles set forth by the Supreme Court in the Sony Corp. v. Universal City Studios Inc. (Betamax) case should be upheld.

"This is the most important case before the Supreme Court this year," said CEA President and CEO Gary Shapiro. "Betamax is the Magna Carta for everyone who enjoys their iPods, Tivos, personal computers, and most of the products you see at CES.

"The Betamax principle is directly responsible for the explosion of technology and innovation that has defined our society over the last 20 years. The products introduced under the protective umbrella of Betamax have generated billions of dollars for the economy and immense benefits for society.

"Now Copyright holders urge the Court to overturn Betamax and adopt a variety of unworkable and ill-considered theories of secondary liability.

"If they are successful, they will extend copyright monopoly to include control over technology; impose unsustainable obligations to restrict designs, chill the development of new technologies, and slow the progress of science and the useful arts.

"The Betamax decision is the standard under which technologies should be evaluated - if there are non-infringing uses to the technology then it should be lawful. Under Betamax, consumers, innovators, and even the content industry have thrived. It was the right decision then, and it's the right decision now."

CEA will explore this issue further at IP & Creativity - Redefining the Issue, a new conference produced by CEA to be held March 16, 2005, at the Washington D.C. Convention Center. The intellectual property conference will examine the tension between creativity, technology, innovation and intellectual property protection. Throughout the day, panelists and attendees will debate how technology has changed cultural behavior, changed legacy business models and jeopardized innovation and creativity on a broad scale.

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