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TOP STORIES FOR WEDNESDAY, JUNE 04, 2003
  Appeals Court Rejects Verizon's Argument
  Piracy on the Slide
  Federal Do-Not-Call List Close to Launch
  Study Shows Risks to Broadband Use
AND
  Law-School Course Devoted to Spam
  Royalty Deal Reached for Non-Commercial Webcasters


APPEALS COURT REJECTS VERIZON'S ARGUMENT
The U.S. Court of Appeals has rejected Verizon Communication's request
for a stay and ordered the company to reveal the identities of two of
its subscribers to the Recording Industry Association of America
(RIAA). Verizon has repeatedly refused to disclose the users'
identities, arguing that the subpoena provision of Digital Millennium
Copyright Act, which the RIAA invoked to obtain the two identities, is
unconstitutional and does not compel it to release that information. A
U.S. District Court ruled in January that Verizon must turn over the
names. Verizon had been seeking a stay of the order until all of its
appeals had been settled. U.S. District Judge John Bates granted
Verizon a temporary stay, pending a decision from the Court of Appeals.
Verizon and the RIAA expect the case to wind up in the Supreme Court.
Internet News, 4 June 2003
http://dc.internet.com/news/article.php/2217371

PIRACY ON THE SLIDE
Following two consecutive years of increases in software piracy, 2002
saw a decrease in such activity, according to a new study released by
the Business Software Alliance (BSA). The estimated piracy rate for
business software--the only software considered by the study--dropped
to 39 percent from 40 percent in 2001. Robert Holleyman of the BSA said
that the most common form of piracy happens when a company legally buys
a single copy of an application but installs it on several computers.
Holleyman attributed the decline in part to educational efforts of his
organization. Rob Enderle of Forrester Research noted that as software
is increasingly packaged with technical support and upgrades, the value
of a pirated copy goes down, which may also have led to the decline.
Washington Post, 3 June 2003
http://www.washingtonpost.com/wp-dyn/articles/A6236-2003Jun3.html

FEDERAL DO-NOT-CALL LIST CLOSE TO LAUNCH
Officials from the Federal Trade Commission (FTC) now say that the
federal do-not-call registry will be available on or before July 1,
almost two months earlier than the agency had previously predicted.
Eileen Harrington of the FTC said, "We initially thought things would
take longer ... but now we're really confident we can get the entire
system up quickly." Marketing organizations including the Direct
Marketing Association fought the registry in court and in Congress, but
ultimately the registry was allowed to proceed. Consumers will be able
to add their names to the registry, and, beginning in September,
marketers will not be allowed to call anyone whose name appears on the
list. Those who violate the statute face fines of up to $11,000 per
violation.
Wall Street Journal, 4 June 2003 (sub. req'd)
http://online.wsj.com/article/0,,SB105467702262503100,00.html

STUDY SHOWS RISKS TO BROADBAND USE
A new study from the National Cyber Security Alliance indicates a gap
between broadband users' perceptions of how secure their systems are
and the real level of security. According to the study of 120 broadband
users, 77 and 86 percent consider their systems safe from hackers and
online threats, respectively. More than 40 percent, however, do not
have a firewall. A majority of the users in the study have antivirus
software installed on their systems, but most do not regularly update
that software, leaving them vulnerable to new viruses. Keith Nahigian,
spokesman for the alliance and a consultant to the Office of Homeland
Security, noted that broadband users are at significantly higher risk
for security problems than dial-up users because of the speed of
broadband connections and the fact that they typically are always on.
New York Times, 4 June 2003 (registration req'd)
http://www.nytimes.com/2003/06/04/technology/04NET.html

AND
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LAW-SCHOOL COURSE DEVOTED TO SPAM
Associate Professor David Sorkin of John Marshall Law School in Chicago
will begin offering a seminar this summer devoted to the study of spam.
Sorkin was one of the first to offer a class on Internet law in 1995.
The new course covers the ins and outs of spam and e-mail marketing,
with particular focus existing and proposed legislation. Sorkin
cautions against legislation specifically crafted to deal with spam,
arguing that traditional laws have broad applicability to Internet
issues. Legislation narrowly designed to deal with Internet issues has
a strong potential to make the problem worse, according to Sorkin.
Sorkin believes his course to be the first of its kind.
CNET, 2 June 2003
http://news.com.com/2100-1028_3-1012404.html

ROYALTY DEAL REACHED FOR NON-COMMERCIAL WEBCASTERS
The recording industry and non-commercial Webcasters have reached an
agreement on royalty rates that will avoid a potentially lengthy and
expensive arbitration process and will allow most stations to continue
Webcasts. Non-commercial stations, including many college radio
stations, had been involved in a lengthy dispute over the royalty rates
set by the Librarian of Congress, rates the stations said were too high
for non-commercial operations. Under the deal, non-commercial
Webcasters can choose to pay 0.0762 cents per song per listener or
0.0117 cents per listener hour. The deal is retroactive to 1998, the
year in which Congress mandated that Webcasters must pay royalties to
artists and music labels.
Internet News, 3 June 2003
http://dc.internet.com/news/article.php/2216941

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