Yet, entertainment industry won’t be picking up the expense of fighting illegal file-sharing on their networks.
France’s new Culture and Internet Law is expected to take effect before Spring’s end and ISPs are raising concern over what the new “three-strikes” anti-file-sharing legislation will cost them to monitor and enforce.
According to their estimates, it will cost France’s four ISPs – Orange, SFR, Free and Numerique – more than $40 million USD annually to operate a graduated response system of notifying pirates and perhaps eventually disconnecting them.
This cost won’t be reimbursed by copyright holders nor the entertainment industry, and may eventually appear in the form of higher monthly subscription fees for their customers.
For as we all know about business, it doesn’t simply reduce its profit margin when faced with increased governmental regulation, instead it merely passes the expense onto people who purchase their goods or services.
Many already question the reliability of illegal file-sharing accusations considering researchers have already shown the unreliability of determining the actual user at a given IP address or what was actually shared.
A new anti-piracy High Authority, called the Haute Autorité pour la diffusion des œuvres et la protection des droits sur Internet (HADOPI), which fields complaints from collection rights societies and copyright owners, has a $23.2 million 2009 budget.