“We are extremely grateful to Ambassador Lighthizer and his team for shining a spotlight on stream-ripping, one of the biggest threats to the American creative community, and acknowledges the role reverse proxy services play in making it more difficult for rights holders to address the source of piracy.  The American music industry is crucial to our nation’s economy and culture. This is an important moment to recognize what these threats are and who is enabling them, and to chart a strategy to go after them.  

“We are especially gratified that a specific focus of the reports is the substantial harm caused by stream-ripping piracy, labeling it as a ‘dominant method of music piracy causing substantial economic harm to music creators undermining legitimate online services.’  Stream-ripping services rip off creators by circumventing YouTube’s and other services’ systems.  A study from research firm MusicWatch concluded that while other forms of online theft have decreased, stream-ripping piracy remains one of the fastest growing forms of piracy today, with a 50% increase in the number of stream-rippers in the U.S. over a two-year period.

“The Notorious Markets report highlights the role of ‘reverse proxy services’ that allow operators of illegal websites to hide where their sites are hosted to evade enforcement efforts by rights holders.  The inclusion of these services also sends a strong signal to platforms such as CloudFlare to be more responsible players and work with creators to ensure that their services are not being used to for illegal purposes.

“USTR and the interagency team worked tirelessly to produce another high-quality Special 301 report and Notorious Market report, releasing them together for the first time.  These reports commit to promoting copyright protection and enforcement around the world, including the rejection of loopholes that diminish protections such as flawed safe harbors and over-broad exceptions. 

“We look forward to continuing to work with Ambassador Lighthizer and his team to help secure an environment where American creativity can thrive and prosper.”

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The post Trump Administration Reports Highlight Stream-Ripping As Major Threat To U.S. Creative Community appeared first on RIAA.

“Today’s Special 301 Report provides a critical blueprint for U.S. engagement on music community priorities around the world.  Placing Canada on the Priority Watch List, for example, sends a clear signal regarding the crucial significance of including strong copyright protections in NAFTA.  Canada’s flawed safe harbors, which provide over-broad loopholes for Internet platforms that make pirated music widely available, continue to rank among the top threats to the U.S. music community in Canada.  As the report also highlighted, Canada’s deficient copyright system also unfairly discriminates against American performers and record companies by excluding them from any copyright protection when their music is played on the radio, even though their Canadian counterparts enjoy such protections.  We strongly support the U.S. government’s efforts to address these Special 301 priorities in the NAFTA negotiations.”

“For the first time in a Special 301 report, the Administration explicitly highlights the harm caused by stream-ripping piracy in a dedicated section, stating the activity causes ‘substantial economic harm to music creators and undermining legitimate online services.’  We could not agree more. We continue to welcome the Administration’s focus on key challenges like stream-ripping that not only confront copyright holders, but threaten the legitimacy and sustainability of digital trade.

“RIAA is particularly grateful to the USTR and interagency team for its tireless work to produce yet another high-quality Special 301 Report that commits to promoting copyright protection and enforcement around the world, including the rejection of loopholes that diminish protections such as flawed safe harbors and over-broad exceptions.  We look forward to working with USTR and other U.S. government colleagues to build on the momentum started by the Special 301 Report.”

# # #

Contact:
Cara Duckworth Weiblinger
Jonathan Lamy
Liz Kennedy
(202) 775-0101

The post Trump Administration Highlights Stream-Ripping, Canada’s Deficient Copyright Protection in New Special 301 Report appeared first on RIAA.

“We are deeply grateful to U.S. Attorney Bjay Pak and dedicated team of prosecutors from his office and the U.S. Department of Justice’s CCIPS Division.  The prosecution is the culmination of an extraordinary investigative effort by agents of the FBI Atlanta Office working with other agents around the country and law enforcement abroad on this landmark case.  We congratulate them on its successful resolution,” said Brad Buckles, EVP, Anti-Piracy, RIAA.

“Sharebeast and its related sites were no run-of-the-mill file-sharing network.  These sites were responsible for the distribution of more than a billion illegal downloads of popular songs, including pre-release albums and tracks,” continued Buckles.  “In fact, for three years Sharebeast was the largest U.S.- based illicit file-sharing site on the Internet — a relentless operation that specialized in ripping off artists and songwriters and all those who work hard to create music. “

“This sentence serves as a stark warning that should be fully recognized by others who deliberately engage in similar activity: there are real consequences if you disregard the law in this manner.”

According to the U.S Attorney’s Office which prosecuted the case, Sargsyan, 30, of Glendale, California, was sentenced by U.S. District Judge Timothy C. Batten, Sr., to five years in prison to be followed by three years of supervised release, and ordered to pay restitution and forfeit profits.  Sargsyan was convicted on these charges on September 1, 2017.

Sargsyan’s operation of the Sharebeast illicit file sharing network from 2012-2015 is responsible for the unauthorized reproduction and distribution of popular sound recordings valued at more than $6 billion. Sharebeast averaged 14-16 million visits per month at its height.

The post Sharebeast Operator Sentenced For Massive Copyright Theft appeared first on RIAA.

ATLANTA & WASHINGTON – Today the U.S. Department of Justice in the Northern District of Georgia announced that Artur Sargsyan, the operator of a series of infringing websites including Sharebeast, AlbumJams and NewJams which were seized by the FBI in September 2015, has pleaded guilty to felony copyright infringement.

These sites were responsible for the illegal reproduction and distribution of a massive library of popular and pre-release music files.  Sharebeast alone averaged 14-16 million visits per month at its height in 2013. Below is a comment from Brad Buckles, EVP, Anti-Piracy, RIAA.

“Sharebeast and its related sites represented the most popular network of infringing music sites operated out of the United States.   The network was responsible for providing millions of downloads of popular music files including unauthorized pre-release albums and tracks. This illicit activity was a gut-punch to music creators who were paid nothing by the service. We are incredibly grateful for the government’s commitment to protecting the rights of artists and labels. We especially thank the dedicated agents of the FBI who painstakingly unraveled this criminal enterprise, and U.S. Attorney John Horn and his team for their work and diligence in seeing this case to its successful conclusion.”

The post SHAREBEAST OPERATOR PLEADS GUILTY TO CRIMINAL COPYRIGHT INFRINGEMENT appeared first on RIAA.

Stream ripping, which is the process of creating a downloadable file from content that is available to stream online, is now the most prevalent form of online music copyright infringement. Sites like YouTube-mp3.org extract an audio file from an audiovisual work – usually a music video – and present it to a user as a free permanent download that can be added to their music library. These sites exploit high levels of traffic to profit from advertising. It is estimated that YouTube-mp3.org generated hundreds of thousands of dollars in advertising revenue per month, often from major brands. However, these sites do not pay anything back to music artists or creators.

The international legal action brought by organisations representing record companies in the U.S. and UK against YouTube-mp3.org detailed the egregious illegal nature of stream ripping and serves as a strong warning to other similar sites.

IFPI Chief Executive Frances Moore said: “Stream ripping sites blatantly infringe the rights of record companies and artists.

“Today, music companies and licensed digital services work together to offer fans more options than ever before to listen to music legally, when and where they want to do so – hundreds of services with over 40 million tracks – all while compensating artists and labels. Stream ripping sites should not be allowed to jeopardise this and we will continue to take action against these sites.”

“This is a significant win for millions of music fans, as well as music creators and legitimate music services,” said Cary Sherman, Chairman and CEO, RIAA. “One of the world’s most egregious stream ripping sites has shuttered. Sites like these undermine the health of the legitimate marketplace and the livelihoods of millions of music creators worldwide. The swift and successful conclusion of this case should send an unmistakable signal to the operators of similar sites.”

Geoff Taylor, Chief Executive BPI, said: “This illegal site wasn’t just ripping streams, it was ripping off artists. Most fans understand that getting music from a genuine site supports the artists they love and allows labels to nurture the next generation of talent. Music stands on the cusp of an exciting future in the streaming age, but only if we take resolute action against illegal businesses that try to siphon away its value.”

In the UK, the BPI, representing UK record labels, warned the site that it would face legal action if it did not immediately stop infringing copyright. In October 2016 the site agreed to block downloading by UK visitors.

In the United States, legal proceedings were filed by the RIAA on behalf of U.S. record labels in federal court in California against YouTube-mp3.org for flagrantly violating the labels’ copyrights. In a settlement agreement with the record companies, the site promises to shut down globally, not to infringe in the future and to comply with a formal injunction that has now been approved by the U.S. court.

Stream ripping is the fastest growing form of music piracy globally. Research conducted by IFPI and Ipsos finds that stream ripping sites are operating on a massive scale, with 53 per cent of all 16-24 year-olds engaged in the activity.

Stream ripping is a threat to the entire music ecosystem, including digital platforms that are acting responsibly by trying to attract listeners and sign up subscribers to licensed digital services. The recorded music industry will continue to take firm action to tackle other stream ripping sites.

About IFPI
IFPI is the organisation that promotes the interests of the international recording industry worldwide. Its membership comprises some 1,300 major and independent companies in 58 countries. It also has affiliated industry national groups in 57 countries. IFPI’s mission is to promote the value of recorded music, campaign for the rights of record producers and expand the commercial uses of recorded music in all markets where its members operate.

www.IFPI.org | Twitter: @IFPI_org

About RIAA
The Recording Industry Association of America® (RIAA) is the trade organization that supports and promotes the creative and financial vitality of the major music companies. Its members comprise the most vibrant record industry in the world, investing in great artists to help them reach their potential and connect to their fans. Nearly 85% of all legitimate recorded music produced and sold in the United States is created, manufactured or distributed by RIAA members.

www.riaa.com | Twitter @RIAA

About the BPI (British Phonographic Industry) Promoting British Music
The BPI is a record labels’ association that promotes British music and champions the UK’s recorded music industry – the world’s third largest. The BPI also safeguards the rights of its members and of all the artists, performers and record label members of PPL, who collectively create around 99 per cent of all legitimate sales and streams of music in the UK. The BPI’s membership consists of over 400 independent labels and the UK’s three ‘major’ companies, which together account for over 80 per cent of domestic music consumption.

www.bpi.co.uk | Twitter @bpi_music

The post WORLD’S LARGEST MUSIC STREAM RIPPING SITE SHUTS DOWN AFTER SUCCESSFUL INTERNATIONAL LEGAL ACTION FROM RECORD INDUSTRY appeared first on RIAA.

“As user activity has shifted to the mobile world, so have the criminals who exploit it through mobile apps that distribute illegal pirated content and sell advertising against it,” said Mike Zaneis, CEO of TAG. “By sharing information about those illegal apps, TAG helps companies quickly identify and remove them from their supply chains, thus cutting off the flow of money to pirates and intellectual property thieves. As the sole Information Sharing and Analysis Organization for the digital advertising industry, TAG is uniquely positioned to serve in this important anti-piracy role.”

Mobile app piracy – or the placement of legitimate ads on illegitimate, infringing mobile apps – is a significant and growing problem in digital advertising. Once an app is made available on an app store, it can be downloaded broadly before it is removed due to copyright or trademark infringement. Such apps can continue to operate at scale even after removal from a store, and many generate revenue through advertisements.

TAG’s Pirate Mobile App Tool stems from the work of TAG’s Anti-Piracy Working Group, which has developed a set of best practices guidelines to help advertisers, agencies, and mobile ad tech intermediaries identify and filter out infringing mobile apps from their advertising inventory. Those guidelines also include the framework for companies to contribute to and use the TAG Pirate Mobile App Tool to identify and block infringing mobile apps.

TAG has been designated as the first and only Information Sharing and Analysis Organization (ISAO) for the digital advertising industry. As such, TAG serves as the industry’s lead information sharing organization around threats, incidents, and best practices, particularly those related to ad-related malware, ad-supported piracy, ad fraud, and associated threats. Other information-sharing resources available to members include TAG’s Malware Threat Sharing Hub, Data Center IP List, and network of certified compliance officers at member companies.

About the Trustworthy Accountability Group
The Trustworthy Accountability Group was created to foster transformational improvement at scale across the digital advertising ecosystem, focusing on four core areas: eliminating fraudulent traffic, combating malware, fighting ad-supported Internet piracy to promote brand integrity, and promoting brand safety through greater transparency. For more information on TAG, please visit tagtoday.net.

The post TAG RELEASES INFO SHARING TOOL TO HELP MEMBERS BLOCK ADS FROM PIRATE APPS appeared first on RIAA.

“The Special 301 Report is a critical U.S. government initiative. With this report, USTR has delivered a clear action-oriented message regarding the importance of copyright protection and enforcement for the music industry and the contributions of the American creative community to driving U.S. economic growth, job creation and trade surplus.”

“Notably, this report highlights the unique challenges for rights holders, namely in countries where copyright laws have not been able to adapt or keep pace with new forms of piracy.  For example, for the first time the report cites stream-ripping as a prevalent form of piracy and calls for concrete action by our trading partners to address this and other increasingly problematic forms of online theft. The threat posed by stream-ripping to the American music community – an industry that now derives nearly 80 percent of its revenues from digital platforms and services – is significant. According to research firm MusicWatch, the number of people in the U.S. who have used stream-ripping services has increased by more than 50% since 2013.”

“We welcome the report’s emphasis on the ‘Administration’s aggressive efforts to defend Americans from harmful IP-related trade barriers.’  This includes calling on China to amend its Copyright Law to close major gaps in protection, urging other key markets to address concerns regarding overly-broad exceptions that undermine protection, and improving enforcement efforts to combat music theft.  Piracy – as well as other IP-related barriers such as unfair competition resulting from antiquated laws that shield some user-uploaded services from being held liable for the massive theft on their networks – create market distortions that devalue creativity and innovation, and that hurt artists, labels and fans alike.”

“RIAA is particularly grateful to the USTR and interagency team for its tireless work to produce yet another high-quality Special 301 Report that commits to promoting copyright protection and enforcement around the world.  We look forward to working with USTR and other U.S. government colleagues to build on the momentum started by Special 301 Report.”

The post U.S. Trade Representative Issues Special 301 Report, Cites Stream-Ripping As Key Industry Challenge appeared first on RIAA.

“We welcome this outcome and commend the outstanding work of the Department of Justice and all law enforcement authorities involved in the investigation for bringing this longstanding case to its successful end. This high-volume seller was part of a major counterfeit ring that brazenly ignored the law while massively profiting from theft. This kind of illegal activity threatens the livelihoods of thousands of music creators who pour their hearts and souls into making music and who rely on legitimate sales and streaming to make a living. We are grateful for this conclusion.”

The post RIAA Comment On Conclusion of Criminal Case of Fugitive Involved In Massive Counterfeiting Ring appeared first on RIAA.

Click here to view the PDF which includes key excerpts from the music organizations’ filing. A copy of the filing is available upon request.

The post Major Music Organizations Decry Broken DMCA, Outline Possible Solutions In New Government Filing appeared first on RIAA.

“In one of the most significant intellectual property enforcement actions since the shuttering of MegaUpload, the U.S. Justice Department announced that the single largest pirate bittorrent site, Kickass Torrents, has been shut down and the principal operator of the site was arrested.  Kickass Torrents operated what amounted to the world’s largest stolen property ring where billions of copies of stolen intellectual property – movies, music, games and software – were distributed through the site over the years.  The creators received nothing, but the operators of Kickass Torrents most assuredly made handsome profits off the tens of millions of users and hundreds of millions of visits to the site each month.

“This is yet another example of a problem that is multi-jurisdictional in nature where no one country or law enforcement agency can mount effective enforcement alone.  Fortunately, Homeland Security Investigations working with prosecutors in Chicago were able to organize a multi-national law enforcement operation that was as far-reaching as the site’s operation.  It demonstrates not only outstanding leadership on the part of the U.S. investigative team, but also reflects an enormous commitment to bringing to justice those who would brazenly profit from the theft of the works of U.S. creators.

“We are grateful for the outstanding work of U.S. law enforcement and their partners outside the United States whose joint efforts put a stop to this massive theft.  In a music industry that depends upon legal digital distribution platforms for the majority of its revenues, targeted criminal actions play an important role in protecting the ability of creators to earn a living.  This case shows that individuals who use the veil of anonymity of the Internet to make a business of preying upon the creative industries are not beyond the reach of the law.”

# # # # # #

Contact:

Jonathan Lamy

202-775-0101

jlamy@riaa.com

Liz Kennedy

202-775-0101

Lkennedy@riaa.com

The post U.S. Justice Department Shuts Shut Down Kickass Torrents, Arrests Principal Operator appeared first on RIAA.