natgillin/translations-raw huggingface dataset:
Before entering into a discussion of the merits, your rapporteur would like to point out that she fully endorses the suggestions made in the Culture Committee's opinion, some of which she has incorporated into her draft report.
Before entering into a discussion of the merits, your rapporteur would like to point out that she fully endorses the suggestions made in the Culture Committee's opinion, some of which she has incorporated into her draft report.
About 5-7% of the EU's GDP is earned by goods and services protected by copyright and neighbouring rights.
About 5-7% of the EU's GDP is earned by goods and services protected by copyright and neighbouring rights.
This underlines the huge importance of proper management of those rights, in common with their enforcement, particularly in this digital age.
This underlines the huge importance of proper management of those rights, in common with their enforcement, particularly in this digital age.
Commissioner McCreevy described the Recommendation as "a 'soft-law instrument' designed to give the market a chance to move in the right direction"
Commissioner McCreevy described the Recommendation as "a 'soft-law instrument' designed to give the market a chance to move in the right direction"
The Recommendation has far-reaching consequences for the copyrights market and major players in the market are already acting on the basis of it.
The Recommendation has far-reaching consequences for the copyrights market and major players in the market are already acting on the basis of it.
It clearly goes further than merely interpreting and supplementing existing rules and its impact has all the characteristics of a full regulatory initiative.
It clearly goes further than merely interpreting and supplementing existing rules and its impact has all the characteristics of a full regulatory initiative.
The Recommendation's primary aim is to adapt the collective management of copyrights for online music services to the development of new technologies that have led to the emergence of a new generation of cross-border commercial users of copyrights ( i.e. online music providers).
The Recommendation's primary aim is to adapt the collective management of copyrights for online music services to the development of new technologies that have led to the emergence of a new generation of cross-border commercial users of copyrights ( i.e. online music providers).
It must be stressed, however, that the same principles that apply to the management of copyrights for online music services, can, and in due course very likely will, apply to the offline environment as well, such as broadcasting.
It must be stressed, however, that the same principles that apply to the management of copyrights for online music services, can, and in due course very likely will, apply to the offline environment as well, such as broadcasting.
The precedents set in relation to the online environment are thus a touchstone for the future evolution of the broader market for authors' rights.
The precedents set in relation to the online environment are thus a touchstone for the future evolution of the broader market for authors' rights.
Again, this highlights the importance of any initiative in this area.
Again, this highlights the importance of any initiative in this area.
To provide a balanced picture, it must be noted that there is a concern on the part of minor CRMs and rightholders that, in practice, the Recommendation has been taken as a clear signal for the major publishers to withdraw the so-called "international" repertoire they control from the network of national collective rights management societies (CRMs) and place it in the hands of one or a very few large CRMs with an exclusive mandate to represent those rights across the EU.
To provide a balanced picture, it must be noted that there is a concern on the part of minor CRMs and rightholders that, in practice, the Recommendation has been taken as a clear signal for the major publishers to withdraw the so-called "international" repertoire they control from the network of national collective rights management societies (CRMs) and place it in the hands of one or a very few large CRMs with an exclusive mandate to represent those rights across the EU.
Contrary to the avowed objective of the Recommendation of promoting fair competition, such action is potentially anti-competitive, as it is likely to lead to a de facto oligopoly, with market power concentrated in the hands of a few major rightsholders and a similar number of big CRMs.
Contrary to the avowed objective of the Recommendation of promoting fair competition, such action is potentially anti-competitive, as it is likely to lead to a de facto oligopoly, with market power concentrated in the hands of a few major rightsholders and a similar number of big CRMs.
It also constitutes a severe threat to the health and vibrancy of cultural diversity in Europe because the removal of international repertoire from the network of national CRMs is likely to cause many national CRMs to cease to operate, to the detriment of local and minority repertoires.
It also constitutes a severe threat to the health and vibrancy of cultural diversity in Europe because the removal of international repertoire from the network of national CRMs is likely to cause many national CRMs to cease to operate, to the detriment of local and minority repertoires.
The Commission's adoption of the Recommendation has deprived the European Parliament and the Member States of the chance to make considered input to a process of change which will have major consequences for future competition in this field and for cultural diversity in Europe.
The Commission's adoption of the Recommendation has deprived the European Parliament and the Member States of the chance to make considered input to a process of change which will have major consequences for future competition in this field and for cultural diversity in Europe.
This issue is too important for the European Parliament not to be formally involved.
This issue is too important for the European Parliament not to be formally involved.
Parliament must be able to play its role in the democratic process.
Parliament must be able to play its role in the democratic process.
The Commission must, therefore, be invited to present as soon as possible a proposal for a suitable binding legal instrument in this field, to be adopted by Parliament and Council in codecision.
The Commission must, therefore, be invited to present as soon as possible a proposal for a suitable binding legal instrument in this field, to be adopted by Parliament and Council in codecision.
Functioning of the market
Functioning of the market
Collecting societies are associations of authors and other rightsholders, such as publishers.
Collecting societies are associations of authors and other rightsholders, such as publishers.
They are set up to collect and distribute royalties for rightsholders on a collective basis.
They are set up to collect and distribute royalties for rightsholders on a collective basis.
In practice, CRMs enjoy a (natural) monopoly position at national level.
In practice, CRMs enjoy a (natural) monopoly position at national level.
Rightsholders are represented in that territory directly by the CRM and in third countries via reciprocal arrangements concluded bilaterally between their chosen CRM and all the other CRMs in Europe and around the world.
Rightsholders are represented in that territory directly by the CRM and in third countries via reciprocal arrangements concluded bilaterally between their chosen CRM and all the other CRMs in Europe and around the world.
For decades the European and international music copyrights market has functioned on the basis of this network of such bilateral agreements.
For decades the European and international music copyrights market has functioned on the basis of this network of such bilateral agreements.
This “System of Reciprocal Agreements” provides a one-stop-shop for users of copyrights ( i.e. from one CRM, users can get a licence for the worldwide repertoire for exploitation in the national territory where the CRM is located), ensures proper monitoring of the global market so that rightsholders are appropriately remunerated and provides an effective rights-enforcement mechanism for all the national and international rightsholders involved.
This “System of Reciprocal Agreements” provides a one-stop-shop for users of copyrights ( i.e. from one CRM, users can get a licence for the worldwide repertoire for exploitation in the national territory where the CRM is located), ensures proper monitoring of the global market so that rightsholders are appropriately remunerated and provides an effective rights-enforcement mechanism for all the national and international rightsholders involved.
This system ensures that not only the big rightsholders, but also small and local authors, are well represented on the market and receive their fair share of the royalties collected.
This system ensures that not only the big rightsholders, but also small and local authors, are well represented on the market and receive their fair share of the royalties collected.
Market change and the introduction of competition
Market change and the introduction of competition
As part of the further development of the European music market, the introduction of controlled competition is needed to reflect the changes in the European single market, developments in technology, the emergence of new business models and the consequent changes in consumer preferences and behaviour.
As part of the further development of the European music market, the introduction of controlled competition is needed to reflect the changes in the European single market, developments in technology, the emergence of new business models and the consequent changes in consumer preferences and behaviour.
The Recommendation intends that rightsholders should have greater freedom to choose the CRM that best serves their needs.
The Recommendation intends that rightsholders should have greater freedom to choose the CRM that best serves their needs.
In other words, competition between CRMs should be based on individual CRMs competing to attract rightsholders.
In other words, competition between CRMs should be based on individual CRMs competing to attract rightsholders.
Superficially, this appears to benefit rightsholders.
Superficially, this appears to benefit rightsholders.
In practice, however, individual authors may already place their rights with the CRM of their choice.
In practice, however, individual authors may already place their rights with the CRM of their choice.
Indeed, there are a number of instances of more successful authors exercising this right and opting, e.g. , to work with a CRM outside their home country.
Indeed, there are a number of instances of more successful authors exercising this right and opting, e.g. , to work with a CRM outside their home country.
This is generally not that feasible in practice for small rightsholders.
This is generally not that feasible in practice for small rightsholders.
Furthermore, the rapporteur has noted that minor CRM’s and rightholders are concerned that the Recommendation has been interpreted by the major publishers as an opportunity to withdraw the rights they control from all the national CRMs and place them with a small number of larger CRMs.
Furthermore, the rapporteur has noted that minor CRM’s and rightholders are concerned that the Recommendation has been interpreted by the major publishers as an opportunity to withdraw the rights they control from all the national CRMs and place them with a small number of larger CRMs.
The latter will then be able to by-pass the network of reciprocal agreements and grant licenses in and for the whole European market, thereby diminishing the turnover of the national CRMs commensurately.
The latter will then be able to by-pass the network of reciprocal agreements and grant licenses in and for the whole European market, thereby diminishing the turnover of the national CRMs commensurately.
The loss to the national CRMs of the turnover associated with royalties collected in respect of international repertoire would make it increasingly difficult for national CRMs to function effectively because the cost of their operations would fall on a smaller number of local rightsholders.
The loss to the national CRMs of the turnover associated with royalties collected in respect of international repertoire would make it increasingly difficult for national CRMs to function effectively because the cost of their operations would fall on a smaller number of local rightsholders.
Once a national CRM is forced to cease operations, it is unlikely that a small rightsholder will obtain an equivalent level of service support from an alternative CRM in another country where, for example, another language is in use.
Once a national CRM is forced to cease operations, it is unlikely that a small rightsholder will obtain an equivalent level of service support from an alternative CRM in another country where, for example, another language is in use.
This approach to rights management clearly favours large and successful commercial rightsholders at the expense of authors of local and/or minority repertoire.
This approach to rights management clearly favours large and successful commercial rightsholders at the expense of authors of local and/or minority repertoire.
In practice, this sort of competition would actually undermine the position of the majority of rightsholders, which would not appear to be the Commission’s intention.
In practice, this sort of competition would actually undermine the position of the majority of rightsholders, which would not appear to be the Commission’s intention.
And yet, since the Internet operates beyond national borders, online music providers must be in a position to acquire pan-European licences that cover two or more national territories on the European continent.
And yet, since the Internet operates beyond national borders, online music providers must be in a position to acquire pan-European licences that cover two or more national territories on the European continent.
And they must have the choice of where to go for those licences on the basis of where they receive the most competitive services.
And they must have the choice of where to go for those licences on the basis of where they receive the most competitive services.
This scenario is one where CRMs compete for users.
This scenario is one where CRMs compete for users.
However, the danger with such a system is that the national CRMs would compete for new business by exerting pressure on the level of royalties paid to rightsholders.
However, the danger with such a system is that the national CRMs would compete for new business by exerting pressure on the level of royalties paid to rightsholders.
It is possible, even likely, that this would result in authors’ revenues spiralling downwards.
It is possible, even likely, that this would result in authors’ revenues spiralling downwards.
Again, this is not in the interest of rightsholders and would undoubtedly have an adverse impact on cultural diversity in Europe, as smaller rightsholders would see their earnings depressed to such an extent that they would no longer be able to survive.
Again, this is not in the interest of rightsholders and would undoubtedly have an adverse impact on cultural diversity in Europe, as smaller rightsholders would see their earnings depressed to such an extent that they would no longer be able to survive.
Cultural diversity v. competition
Cultural diversity v. competition
A “big bang”-style introduction of competition in the field of collective management of author’s rights should not be pursued because of the risk of irreversible damage to cultural diversity in Europe.
A “big bang”-style introduction of competition in the field of collective management of author’s rights should not be pursued because of the risk of irreversible damage to cultural diversity in Europe.
Rather, competition should be introduced in a way which ensures a level playing field at the outset so that all CRMs have the opportunity to compete on an equal footing.
Rather, competition should be introduced in a way which ensures a level playing field at the outset so that all CRMs have the opportunity to compete on an equal footing.
The solution is to find an alternative compromise solution to what is a peculiarly European problem.
The solution is to find an alternative compromise solution to what is a peculiarly European problem.
Fair and controlled competition must be introduced in such a way that downward pressure on authors' income is avoided whilst enabling music users to obtain pan-European licences which are in line with the new business models that represent the future.
Fair and controlled competition must be introduced in such a way that downward pressure on authors' income is avoided whilst enabling music users to obtain pan-European licences which are in line with the new business models that represent the future.
For this purpose, the best guarantee is the introduction of a system in which authors’ revenues are determined by the rates of the country in which the consumer buys (downloads) a particular piece of music.
For this purpose, the best guarantee is the introduction of a system in which authors’ revenues are determined by the rates of the country in which the consumer buys (downloads) a particular piece of music.
The application of the tariff of the “country of destination” leads to competition based on efficiency of the services offered by the CRMs (notably, by reducing the administrative costs) rather than competition based on squeezing the royalties paid to rightsholders.
The application of the tariff of the “country of destination” leads to competition based on efficiency of the services offered by the CRMs (notably, by reducing the administrative costs) rather than competition based on squeezing the royalties paid to rightsholders.
In addition, some consider it essential to prevent major rightsholders from reaching exclusive agreements with one or a small number of CRMs, thereby removing the international repertoire from the overall system.
In addition, some consider it essential to prevent major rightsholders from reaching exclusive agreements with one or a small number of CRMs, thereby removing the international repertoire from the overall system.
In its report of 20.7.2006, the Committee on Culture and Education expressed its concerns about the potential adverse effects of the Recommendation on cultural diversity in Europe on the ground that it would affect the functioning of the reciprocal system and that this will lead to a concentration of rights in the bigger CRMs.
In its report of 20.7.2006, the Committee on Culture and Education expressed its concerns about the potential adverse effects of the Recommendation on cultural diversity in Europe on the ground that it would affect the functioning of the reciprocal system and that this will lead to a concentration of rights in the bigger CRMs.
This will undermine the functioning of the smaller CRMs and therefore endanger small and local authors' position throughout Europe.
This will undermine the functioning of the smaller CRMs and therefore endanger small and local authors' position throughout Europe.
It is therefore of key importance that the network of bilateral agreements should remain in place without leaving room for the withdrawal of repertoire from this network.
It is therefore of key importance that the network of bilateral agreements should remain in place without leaving room for the withdrawal of repertoire from this network.
The conclusion of exclusive mandates between rightsholders and CRMs should therefore not be allowed.
The conclusion of exclusive mandates between rightsholders and CRMs should therefore not be allowed.
In order for the European copyrights market to develop properly, it is crucial that adequate follow-up is undertaken by the authorities.
In order for the European copyrights market to develop properly, it is crucial that adequate follow-up is undertaken by the authorities.
In this context, the Commission should conduct, as soon as possible, an assessment of the impact of multi-territory and multi-repertoire licensing on online music services and its effects on cultural diversity and rightsholders’ economic and social situation.
In this context, the Commission should conduct, as soon as possible, an assessment of the impact of multi-territory and multi-repertoire licensing on online music services and its effects on cultural diversity and rightsholders’ economic and social situation.
In addition, the Commission should carry out a critical analysis of the horizontal concentration in certain sectors of rights management and the effects such concentration will have on rights users and rightsholders.
In addition, the Commission should carry out a critical analysis of the horizontal concentration in certain sectors of rights management and the effects such concentration will have on rights users and rightsholders.
Where necessary, appropriate measures must be taken in order to ensure that the European market for online music services remains in a position to develop in a healthy way without adverse effects on cultural diversity in Europe.
Where necessary, appropriate measures must be taken in order to ensure that the European market for online music services remains in a position to develop in a healthy way without adverse effects on cultural diversity in Europe.
Legal framework
Legal framework
In the preparation of this Draft Report for a European Parliament Resolution, full account has been taken of the existing European legal framework and related policy-making initiatives, the acquis communautaire in the area of copyright and related rights which applies to music rights, and relevant international agreements.
In the preparation of this Draft Report for a European Parliament Resolution, full account has been taken of the existing European legal framework and related policy-making initiatives, the acquis communautaire in the area of copyright and related rights which applies to music rights, and relevant international agreements.
For a complete list, see the preamble to the motion for a resolution.
For a complete list, see the preamble to the motion for a resolution.
Account has also been taken of the study “The Collective Management of Rights in Europe – The Quest for Efficiency”, undertaken for the Committee for Legal Affairs and presented to the committee on 11.09.2006.
Account has also been taken of the study “The Collective Management of Rights in Europe – The Quest for Efficiency”, undertaken for the Committee for Legal Affairs and presented to the committee on 11.09.2006.
on the Commission Recommendation of 18 October 2005 on collective cross-border management of copyright and related rights for legitimate online music services
on the Commission Recommendation of 18 October 2005 on collective cross-border management of copyright and related rights for legitimate online music services
The Committee on Culture and Education calls on the Committee on Legal Affairs, as the committee responsible, to incorporate the following suggestions in its motion for a resolution:
The Committee on Culture and Education calls on the Committee on Legal Affairs, as the committee responsible, to incorporate the following suggestions in its motion for a resolution: