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SOPA & PIPA: threats to our national interests

Kiwis get all upset at the slightest suggestion of a foreign government trying to influence our domestic law-making. The US government and others do so to further their national interests. We now have the mirror opposite situation.

UPDATE: Congress shelves SOPA - but InternetNZ warns threats remain

I’d like to see the NZ government work within accepted diplomatic boundaries to at least express concerns at two US laws in the making- SOPA (Stop Online Piracy Act before the House of Representatives) and PIPA or the PROTECT IP Act (Preventing Real Online Threats to Economic Creativity and Theft of Intellectual Property Act before the Senate).

Not that expressing our concerns are going to make much of a difference. These two Acts are typical examples of the corruption destroying the United States’ democratic foundations that Lawrence Lessig spoke about at last year’s NetHui. He was referring to laws written by powerful corporates and expeditiously passed into law word-for-word.

With New Zealand being the least corrupt country in the world, we have the moral right to do so. We need to stand up against the export of corrupt US politics to democracies around the world. Lawrence Lessig put it even more strongly- we have the duty to do so. Further, as I’ll explain later in this post, our vital national interests are under threat.

SOPA and PROTECT IP
These Acts are broadly similar, aimed at “rogue” non-US websites providing material violating copyright and counterfeit goods. That’s right, they are US domestic laws targeting websites hosted in New Zealand and other countries.

The Acts would enable the US government and intellectual property holders to force US ISPs to block “rogue” websites; stop services to them (advertising, and payment processing); and prevent search providers (like Google) displaying links to them.

As currently written, SOPA requires court orders while PROTECT IP doesn’t. Both focus on Internet intermediaries based in the USA to target and block non-US websites.

Much of the criticism about these Acts are around the low barriers to shut down websites without due process based on allegations alone; the disproportionate response; and the way “rogue” websites are blocked. Also, the inflated and made-up Intellectual Property losses due to the Internet trotted out by Hollywood and others that we are familiar with in New Zealand and around the world.

Example of an NZ website
Take the example of a New Zealand website selling Kiwi handicrafts, both domestically and internationally. The first Google search result is KiwiArtz Store so let’s take them as our case study.

One fine day they find that they are no longer on the major search engines, rendering them invisible to much of the world. Much of their online advertising has been blocked. They find they can no longer accept credit card payments online. Customer complaints are flooding in. People going direct to their website from the US are re-directed to an Intellectual Property violation page.

There was no warning and they are worried as business is badly down. On investigation they find that all of this was due to an aggrieved US company taking action under the new law (whether or not the US company is right or not or indeed whether it even has a valid grievance in the first place is all irrelevant).

KiwiArtz Store now has some difficult choices to make. Should they put in the money, time and effort to fight the US company in a US court of law? Should they close down and perhaps re-open under a new name? Should they block US visitors to the website and negotiate with the US company directly? Should they give up online sales entirely and focus on in-person customers only?

And, if KiwiArtz Store had a .com domain name with a US registrar, things would have been worse. Their domain name would be gone.

Breaking the Internet
Both SOPA and PIPA have been criticised on many grounds. Some, including many US tech giants, have supported the end goal (cracking down on “rogue” foreign websites) while condemning the means. Others are critical of both the goals and the means.

There are two angles that I want to further detail. They are the ways that the Acts will be implemented which undermine New Zealand's national interest of having an open and strong Internet.

First, the way websites will be blocked is by breaking the DNS (Domain Name System) and thereby the Internet itself. This is one of the major grounds why the White House opposes the two laws (the others are that the Acts “reduces freedom of expression, increases cybersecurity risk, or undermines the dynamic, innovative global internet.”).

All the global efforts to strengthen the DNS, including in New Zealand, such as DNSSEC, won’t work anymore. DNSSEC is a great way to ensure that when you, for example, type www.ird.govt.nz into your browser, you actually go to the Inland Revenue website and not some malicious website trying to steal your money or personal information.

Second, Intellectual Property and prescription medicines are only the tip of the iceberg- industries that are trying to break the Internet for their own narrow gains. These areas are first up due to the incredible lobbying power and money of Hollywood and the big pharma companies. Watch this excellent presentation by Cory Doctorow to understand how the areas demanding protection will only increase as a part of the coming war on general computing.

To that extent, even if you have zero interest or sympathy for Intellectual Property issues, it is only a matter of time before the war comes to your doorsteps. And it could be from any number of countries who follow, or are pressurised to follow, the US lead.

Time to draw a line
These two Acts may well be postponed, modified, vetoed by the US President, or challenged in the US courts. But we can’t sit around and be a silent spectator.

The good guys won the first round (ACTA) with the help of the European Union. The second round (3 strikes legislation) was probably a tie while corporate greed is ahead in round three (Trans-Pacific Partnership negotiations). SOPA and PIPA are the next round. The hydra-headed war between corporate greed and an open Internet goes on.

The time’s come to draw a line and for the New Zealand government to go in to bat for our national interests. We have both a moral right and duty to do so.

Vikram Kumar is chief executive of InternetNZ, a non-profit organisation that advocates on behalf of New Zealand users and, though its subsidiaries, administers NZ web addresses.

More by Vikram Kumar

Comments and questions
31

Very well explained. The media and entertainment giants will stop at nothing -- including stifling the most important communications platform -- to protect and enhance their outdated business models.

One additional point can be made: legislation as corrupt and awful as PIPA/SOPA is a direct result of undue influence of corporate money in politics.

I don' know SOPA in details, but for me regarding piracy, if the basic principles are :
1) against piracy centers and not end users (always centers in piracy due to the need for catalogs and search amongst other things, "peer to peer" also a lot of hypocrisy in the terms and everybody knows it)
2) No monitoring at all of end users flow, collect of their IPs a formal complaint from somebody about a user acting as a center
3) All procedures are legal and public
Then it clearly is the right way to do it, not to forget that if piracy doesn't create any revenues for authors and creators, it does create some (and not a little) for some people :
http://owni.fr/2011/12/14/secret-megaupload-streaming-kim-schmitz-david-robb/
http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10626044

Note : above more developed below (but in French) :
http://iiscn.wordpress.com/2011/05/15/piratage-hadopi-etc/
And "zero piracy" doesn't matter in anyway (not more than school kids exchanging files), problem is when it becomes the default and easiest access method for works and publications.
But on this, in order to have a real "user experience" added value in buying instead of pirating, and this in a non quasi monopolistic environment (or with just 2 or three "monsters"), clearly something like below would be needed :
http://iiscn.wordpress.com/2011/05/15/concepts-economie-numerique-draft/
And a little cartoon :
http://iiscn.wordpress.com/2012/01/02/vestale-sous-contraintes-exercice-ludique-en-courrier-10/

"With New Zealand being the least corrupt country in the world, we have the moral right to do so."

My GOD, are you full of yourself. You sound just like the person every American is accused of being. Gather some real information first, will you? Take a look at what our government itself recently said about the bill:
https://wwws.whitehouse.gov/petition-tool/response/combating-online-piracy-while-protecting-open-and-innovative-internet

Don't call yourself a news reporter if you can't get the facts straight.

The way to stop online piracy is to make the real product really cheap to buy. Make a cheap and dirty downloadable movie / music album / TV series available legally and the cheap (free) and dirty pirated content won't be so attractive to everyone. $1 for a low-fi movie would have most current consumers of pirated content make the switch. And the conniseurs of fine film, TV and music will always pay extra for the hi-fi versions.

Cheap and accessible, that's what will get people to download the legal stuff. Time to get into the 21st century of content distribution: high volume, low cost.

@Selenetiana - Comprehension fail. NZ is the least corrupt country based on the Transparency International index (see http://www.scoop.co.nz/stories/PO1112/S00005/new-zealand-tops-latest-global-anti-corruption-index.htm ). Also, per the caption accompanying this article, Vikram is the CEO of Internet NZ, not a reporter.

Thank you Vikram for your stance. As a "Kiwi American", proud of being a resident in this fine coutnry, we all need to stand up for NZ and Kiwi interested in the face of globalist corporate interests.

Sorry for the typos in the previous comment!

Should be:

Thank you Vikram for your stance. As a "Kiwi American", proud of being a resident in this fine country, we all need to stand up for NZ and Kiwi interests in the face of globalist corporate interests.

It is extremely refreshing to get your perspective on this Sopa and Protect IP thing. Media in Canada are barely touching this subject. Of course, your argument has even more impact to us then on New Zealanders: an American company doesn't like the competition from up north? Just shut down the Canadian web site.

We never hear anybody here describing the American democratic system as corrupt. But its just so obviously true! Thanks for opening my eyes to see the glaring facts....

Are there many pirate sites in NZ? I say that because I can sympathize with the US music and movie industry losing everything. Many of the sites out there are illegal and very few like http://www.watchfreemoviesonline.ws are legitimate. The bad? I think this is a bait and switch tactic by the US government you can see the wiki on B&S in relation to polictics here; http://en.wikipedia.org/wiki/Bait-and-switch soon you could see them blocking commerce sites like the canadian pharmacies that stuff millions of dollars into the pockets of American politicians. They have already admitted they will use it for this purpose.

I am very happy to read this article. I am a US citizen living in Colorado, and have family in NZ. Let me just be clear in stating that there is absolutely no discussion of SOPA or PIPA in any mainstream media. Although this might seem obvious since a main backer of these acts are the MPAA. This has left a lot of people completely oblivious to these bills and the more conversations and protests concerning this topic the better. New Zealand, start making a stand.

NZ and the rest of the world has a history of swallowing American laws regardless of merit. Just look at our antiquated laws on the God-given, natural herb Marijuana and the hypocrisy most of the world faces with this compared to the legality of tobacco and alcohol – both far more insidious and more damaging and dangerous than a natural herb – yet, big business holds sway over even more damaging and dangerous man-made drugs. Go figure?!?!?!

Marijuana was only made illegal in the USA because of the cotton farmers and textile industries being completely out-classed by a superior natural commodity, combined with propaganda linking illegal Mexican immigrants and their pot with all manner of psychotic behaviours, propaganda designed to stop both the Mexicans and start the war on drugs by an over-zealous police man looking to manufacture a legacy and make a name for himself.

Strewth it was only a few decades ago in the States that farmers were legally required to grow hemp to help in the war effort.

Yet the factual debate on medicinal marijuana and the benefits to many a terminally ill patient is often not even contemplated. Why is that?

The "counterfiet goods" are also legal and safe medications offered by online pharmacies. On that front it's nothing but a way to stifle competition and protect a cartel.

The corporate sector lobbyists "donate" heavily to congresspeople, who then make laws suiting the lobbyists' ultimate clients.

Congresspeople later leave Washington way richer than their salaries would suggest would be possible, and gain jobs in the same corporations that pay the lobbyists.

Yes, many other countries call this bribery and corruption.

Also, the laws resulting from this system tend to be a bit silly - e.g. SOPA & PIPA.

As a(n embarrassed) former American, I think that NZ definitely has the moral high ground on this. I'd LOVE to see plucky NZ stand up for the rights of its citizens to a world in which *democratically* elected people make decisions, not just those who do the bidding of the "content industry" (i.e. US-based media and software corporations) while engaging in the hypocrisy of imposing "democracy" on other countries around the world through autocratic military might. Shame on you, USA, pull your head in.

(Keep in mind that, based on projections, China will *own* the US outright this year thanks to generations of American's spending more than they're making - the US is scrambling to maintain relevance in a world that's rapidly leaving its litigation mired economy behind)

In response to Dave Lane | Monday, January 16, 2012 - 1:55pm

Yes - it seems whoever has the biggest cheque book gets to write the Presidential aceptance speech.

Hardly "free" democracy at all, or an example to hold up to the world.

NZ has had it's share of problems also. Back in 2008 with an outgoing Labour government - they attmepted to rig the election by over-spending almost a million dollars of tax payer money as they attempted to rort the electoral system - that they had created laws for as the government. Then, to avoid the embarrasment of needing to prosecute itself, the Labour government retrospectively had to change the law so they wouldn't need to procecute themselves for theft / or attempting to subvert an election.

There should have been an enquiry at the highest levels over this insidence - they haven't even paid it back to the tax payers yet. Theft as a servant anyone? Corrupt politicians or SOP for Labour and the unions?

The cheeky thieves then still think they have some kind of mandate to even stand for Parliment and even attempted to declare bewilderment as to why they only received 27% of the votes this past election.

In response to Horse | Monday, January 16, 2012 - 1:21pm

Kinda like the un-holy union betyween the Labour Party and the militant / beligerant unions wouldn't ya say?

Different - but kinda the same!

In response to Solidarity | Monday, January 16, 2012 - 2:13pm

The alliance you refer to tried to stand up for unprivileged people's rights & dignity; while the other being mentioned here is screwing everyone to protect their interests to get to be bigger billionaires. How 'kinda the same' do you see these 2 associations to be, you nitwit...

In response to Anonymous | Monday, January 16, 2012 - 2:31pm

The similarities are with how the unions have traditionally encouraged / enforced / demanded / compulsory memberships, expecting workforces to pay their bully boys union fees for their “protection and welfare” / better, safer working conditions etc but mostly demanding compulsory memberships – parasitic existence – then jumping into bed philosophically speaking with Labour in return for biased employment legislation slanted against an employer – favouring unions into a parasitic existence off the productivity of the business owners and the workforce.

Then, the Labour government create employment laws they themselves can’t follow / understand / decipher / work with (remember Policeman Ricketts on “leave” for years whilst Labour tried to sort his “employment issue”? It costs hundreds of thousands of tax payer dollars whilst he sat around for years where Labour had their thumbs firmly embedded – legislation, of which completely ensnares all business owners throughout NZ into a myriad of costly, time consuming legal processes just trying to understand the legal process, or to increase worker productivity (Current PoAL stoush) or trying to remove a worker not performing. Get it wrong and the worker “wins” thousands in “compensation” from the Labour government and often their job back even!

Then, the unions try and have their main man run the Country (Andrew Little – but that was too little and too late, never mind) in return for inciting pep rallies and all manner of union support for the Labour Party – usually during stop work union meetings whilst an employer pays for it.

Then when Labour do get back into government – as they inevitably have done with only 2 real contenders for the job – Labour then meddle in employment law once again to absolutely screw business and business owners surrounding employment law – so their left-wing lawyer mates and unionist cohorts can jump on the gravy train chasing ambulances for employment “dispute” fees – no win, no fee – sound familiar?

Then Labour and the Unions attempt to claim some form of moral high ground with the mass of unthinking workers by claiming they’ve fine-tuned employment law to be fair for everyone, better conditions for all etc etc and with organised union meetings saying vote for us and we’ll raise minimum hourly rates to $15 /hour regardless of merit or worth etc. Only Labour look after the workers etc etc, blah blah more propaganda, blah blah

So that’s the similarity I was referring to you bigger nitwit… Self-serving policies that only serve themselves – not the betterment of the country and all.

I'm really glad to see this being posted, there has been far too little effort to make the average kiwi aware of how dangerous this bill is.

As an extreme example a media company owning the copy rights to a movie could, under this bill, shut down the likes of youtube without warning because a 30 second scene was posted by a youtube user.

Equally it could be used to stifle foreign competition by US companies, especially since it's another case of guilty till proven innocent. (Reminds me of another draconian law; another guilty till proven innocent law which was recently forced on us kiwis by the US media industry).

The real problem at the heart of this matter is the US media industry does not want to make the effort to adapt to the internet - offering legal sites where movies can be watched via subscription / bought for download at reasonable price - especially out of the states, since NZ does not get access to many of these - and as long as they don't and as long as they can line US politicians pockets with money legally this type of stuff will keep on happening.

Oh yes, and piracy websites will continue running anyway since it's possible to operate through an IP.

The sites most hurt will be legitimate sites which depend on the reputation they've built up with their own name and then find people searching for that name can no longer find it.

https://www.facebook.com/groups/imprisonllamarsmith/

Help hold Lamar Smith accountable!

In response to Selenetiana | Monday, January 16, 2012 - 9:39am

Relax ..."With New Zealand being the least corrupt country in the world" ...that''s quoting Transparency International’s Global Corruption Perceptions Index.

the websites willing to shut down on #j18 in solidarity against SOPA are the true innovators. littlebiggy will be counted among them: http://littlebiggy.org/4709048

In response to Solidarity | Monday, January 16, 2012 - 2:11pm

Hey Solidarity - have you noticed this blog concerns internet laws - if you want to rant about past NZ governments go and find another blog about that and leave this one to people who want to discuss the topic in question.

This is just terrible....SOPA is the equivalent of curing a headache with a guillotine. It may stop piracy, but it would shut down our economy and unconstitutionally erode our most basic freedoms in the process.

I just hope that everyone realizes how important this is and does their part to save the internet & our economy! ...here is another good video that explains the consequences of SOPA pretty well:
http://www.peeje.com/peeje-goes-strike-stop-web-censorship-bills-congress-209/

1,000s of more websites have joined the force and went dark today, we need EVERYONES help!!!!

Video: http://www.peeje.com/peeje-goes-strike-stop-web-censorship-bills-congress-209/

...lol, nvmnd, it's the same vid...srry

Vikram, this is a valuable and articulate contribution from InternetNZ, with no sign of vested interests. Keep up the good work.

Politicians see the effect that social media sites can have in overthrowing governments (Egypt, Libya etc.) . Mass communication is very powerful and empowers the man on the street. Politicians fear this and need a way to control the masses by controlling the internet. Its not about copyright infringement - it is something larger than that and we all need to wake up before it is too late.

There is an even larger threat unfolding. See this article: http://infojustice.org/archives/7461 .

Derechos Digitales. “TPP: spoons of the same “SOPA.” – “while a lot of people demonstrate against the American bill, the governments of Australia, Brunei, Chile, Malaysia, New Zealand, Peru, Singapore, and the U.S. are agreeing in a new international agreement that includes some of the worse threats of S.O.P.A.: the censoring of website because of possible copyright infringement, by giving policy power to online service providers.”

The New Zealand government has already been sold into political prostitution by the USA political powers and film studios - its all about promising more trade and dollars.

The new copyright law was passed under the guise of the earthquake emergency act – what the hell does a national disaster have to do with this? Maybe because joe-public is distracted with the disaster that politicians quickly push through their questionable agendas (remind you of Bush and the anti-terrorism act that enables the US government to watch everyone’s move post nine eleven? ).

http://www.nbr.co.nz/opinion/wikileaks-cables-us-govt-pressured-nz-over-internet-file-sharing-law

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