The Digital Content Exchange (a/k/a A Content Ownership Log)

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Presentation Description

The ecosystem for copyrighted works has become degraded. It no longer sustains authorship at culturally-desirable levels. The DCE fixes the ecosystem through the use of internet technology (basic internet connectivity and cloud access) and creates new incentives for copyright owners to publish more and for users to access content legally. What follows are slides which explain this patent-pending method plus aspects of the beta application presently being tested. Copyright degradation is a big problem. It requires a thorough fix, like the Digital Content Exchange.

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Presentation Transcript

The DCE is a patent pending* method for regenerating the ecosystem for copyrighted works : 

The DCE is a patent pending* method for regenerating the ecosystem for copyrighted works *(US Pat. 10591416, priority date March 4, 2004)

Slide 2: 

The Copyright Ecosystem

Slide 3: 

The Copyright Ecosystem This is the ecosystem that has nurtured copyright for centuries. But this ecosystem has been degraded in the wake of the digital revolution.

The DCE uses digital innovation to restore the imbalance caused by digital innovation : 

The DCE uses digital innovation to restore the imbalance caused by digital innovation

The DCE creates new efficiencies, that restore copyright without disrupting the consumer’s expectation of being able to access content rapidly, with the widest possible selection, and either for free or at value pricing. : 

The DCE creates new efficiencies, that restore copyright without disrupting the consumer’s expectation of being able to access content rapidly, with the widest possible selection, and either for free or at value pricing.

This ecosystem can be implemented gradually, as copyright owners, content providers, and media owners become members (free of charge) in the Exchange. : 

This ecosystem can be implemented gradually, as copyright owners, content providers, and media owners become members (free of charge) in the Exchange.

Once copyright owners, content providers, and media owners, become members, “trading” activity on the Exchange will begin to occur. : 

Once copyright owners, content providers, and media owners, become members, “trading” activity on the Exchange will begin to occur.

It is through this activity that new income streams will be created, the use of illegal content will begin to decline, and the ecosystem will become viable once again. : 

It is through this activity that new income streams will be created, the use of illegal content will begin to decline, and the ecosystem will become viable once again.

How It Works : 

How It Works

The music* industry can solve its digital era problem by taking a tip from the financial industry. : 

The music* industry can solve its digital era problem by taking a tip from the financial industry. (* For convenience, these slides use the “music” example. But the DCE works equally for book, video and video-game content.)

The financial industry….…. has been in the digital era for over 40 years : 

The financial industry….…. has been in the digital era for over 40 years

The Digital Content Exchange has already done all the work of converting the financial industry wisdom to the fungible commodity of digital downloads. + =

Question.What do Media* and Stockshave in common? *A song, book or video : 

Question.What do Media* and Stockshave in common? *A song, book or video

They’re fungible commodities! : 

They’re fungible commodities!

Anything which is fungible... : 

Anything which is fungible...

…can easily be counterfeited! : 

…can easily be counterfeited! Especially in the digital age

Counterfeiting, is what the media industry has termed “piracy” : 

Counterfeiting, is what the media industry has termed “piracy”

The DCE is a method of preventing piracy (counterfeiting of media) based upon a system of universal registration of the ownership of songs, videos and books. : 

The DCE is a method of preventing piracy (counterfeiting of media) based upon a system of universal registration of the ownership of songs, videos and books.

Slide 19: 

Universal Registration has substantial commercial benefits for both the content owner and the consumer.

Slide 20: 

Universal Registration has never been tried, for Media!

Slide 21: 

After registration, the the media-owner is free to trade, sell, or lend his owned media items, digitally or physically.

Slide 22: 

Digital sales (or loans of media) are real sales and real loans. It is ‘one for one’: a registered song can only be accessed by one user at a time. No ‘file sharing’!

Observe: If you put $100 in the bank it will be credited to you and you alone. You cannot ‘file share’ your $100 with another account holder. If you write a check on it, the $100 is gone. : 

Observe: If you put $100 in the bank it will be credited to you and you alone. You cannot ‘file share’ your $100 with another account holder. If you write a check on it, the $100 is gone.

This is because your ownership of the was verified by the bank for genuineness, was registered to an account in your name and was immobilized so that you could pay bills with it later without necessarily having to make a trip back to the to withdraw another, fungible : 

This is because your ownership of the was verified by the bank for genuineness, was registered to an account in your name and was immobilized so that you could pay bills with it later without necessarily having to make a trip back to the to withdraw another, fungible

Stocks are handled the same way, but are deposited through brokerage houses to the Depository Trust. : 

Stocks are handled the same way, but are deposited through brokerage houses to the Depository Trust. Method? Verification, Registration, Immobilization

N.B., this is not Digital Rights Management (DRM)! : 

N.B., this is not Digital Rights Management (DRM)! It is the exact opposite, in fact. There is no Digital Rights Management on your bank account. There is no DRM on your brokerage account. It isn’t necessary when you use: Verification, Registration, Immobilization!

Verification – What Is It? : 

Verification – What Is It? Examining items (or digital "proofs of purchase") to make sure they are genuine

Slide 28: 

Verification – in MediaExamining digital proofs of purchase* to make sure they are genuine *vinyl and CDs too, see “Legacy” discussion, below

Slide 29: 

Immobilization – Keeping track of the owned item so that it may only be accessed by one person at a time. If you sell a song or album (or lend it to a borrower), the immobilized media is simply credited to the account of that buyer or that borrower. If you sell a stock (or lend it as in a “short sale”), the immobilized certificate is simply credited to the buyer/borrower. If you pay a bill or lend money, the immobilized cash is simply credited to the account of the payee or the borrower.

Comparison between Stocks and Music – Immobilized Media : 

Comparison between Stocks and Music – Immobilized Media 1) Any attempt to gain access to a share of stock you do not own is blocked by the world’s securities exchanges, which have a trusted list of all registered owners of that particular commodity. 2) Any attempt to use a song you do not own (from the DCE cloud or from any internet-connected device) can be blocked at the option of the media player or app because you have not registered that song.

Media Registration: What it looks like : 

Media Registration: What it looks like Registered Owner Registered Items Owned

Slide 32: 

Registration allows the DCE to: distinguish between real and counterfeit media 2. create a transaction market (buy, sell, trade) for the item 3. share ownership information with any app that may wish to verify that the user truly owns the item. For example, a player of music (iTunes, Windows Media Player) or burning software (Nero). 4. share ownership information with a store (e.g. Amazon) that may wish to provide and receive its customers’ registrations.

Slide 33: 

The Problem: Typical flow of Digital Music from User to Services Ripping Of Media Vinyl CD’s iTunes Store PC iCloud Amazon Player Google Music iTunes Software Illegal Content Legal Content Counterfeit Music from Limewire, torrent, hand- to-hand copying, “Rip and Ship” from amazon or public library Legend Mobile Device

Slide 34: 

iCloud Amazon Player Google Music THE PROBLEM (Part Two) Flow of Music Requested back from Service by User (via stream or download) is rife with illegal content Personal Computer iTunes software

Slide 35: 

FLOW OF MUSIC REQUESTED BY USER FROM SERVICE (AFTER DIRECT DCE VERIFICATION OR DCE-ASSISTED VERIFCATION) iTunes Software Direct from DCE server Direct from DCE server PC Mobile Device iCloud Amazon Player Google Music Legend Illegal Content Legal Content

Slide 36: 

You have just seen how the DCE’s method of registration, verification, and immobilization thwarts piracy.

Slide 37: 

But thwarting piracy is not the only benefit for content creators and the media industry.

Each time the customer's legally-owned media is resold, loaned, or used in a way that changes, either temporarily or permanently, the possession of the registered item, the content owner has the opportunity to participate in : 

Each time the customer's legally-owned media is resold, loaned, or used in a way that changes, either temporarily or permanently, the possession of the registered item, the content owner has the opportunity to participate in a New Income $tream The DCE will also provide income by charging for other services for which the rightsholder is not currently being paid.

Slide 39: 

To cooperate effectively, the industry needs to use its influence to move all users of new media to a registration system (whether that new music is vended digitally or physically). The DCE will do the rest.

The media industry should offer benefits to distributors and their customers to register their purchases. : 

The media industry should offer benefits to distributors and their customers to register their purchases. Possible benefits include: Cloud access Upgrade poor quality rips/downloads to 256 kbs Ability to lend and sell Ability to leave a digital estate through wills and trusts Ability to add a user’s physical books, DVDs, CDs or vinyls to the cloud at a later time Less shelf space and easier inventory control for the distributor Distributor and purchaser linked together for customer rewards programs

WHO GETS THE ‘DCE FEE’? Lots of folks! Anyone who adds value to the DCE & cooperates with media owners. : 

Let’s look at a possible payment split for the DCE Fee. WHO GETS THE ‘DCE FEE’? Lots of folks! Anyone who adds value to the DCE & cooperates with media owners.

Slide 42: 

Side Artists and Metadata or Art providers DCE Media Owner (including used record stores & libraries) Artist Media Company (Master Rightsholder) Publishing Company ‘DCE Fee’ - Pie Chart (example)

Slide 43: 

A person or company that owns content can use its distributors and retailers to sell music, videos and books. Or it can sell directly through the Exchange. Or both. The Creator of content and his or her agents are master of their own domain with the DCE.

Slide 44: 

Eliminating piracy by incentivizing registration. “You’re the Boss”: Deciding what quantities to sell Deciding what price to sell Changing prices at will Viewing all transactions on a transparent board of exchange

Slide 45: 

THE DCE works equally well with any licensed service that sells or “rents” media, including: The DCE simply matches the song, book or video to the authorized user, regardless of whether that authorization comes from rental, loan, “streaming service” or outright ownership.

Slide 46: 

The DCE turns the following cloud services, currently “fencing” illegal content, into deterrents to using counterfeit media rather than incentives to use it.

The Media Industry can begin to implement a registration strategy IMMEDIATELY for all new Media, starting in 2011. What about all the pre-2011 media items already out there? This is called a “Legacy Problem”. But there is good news: it is not as difficult as it might seem. Once again, the stock industry provides an answer.

The Problem of “Legacy” Media(also known as backward compatibility) : 

The Problem of “Legacy” Media(also known as backward compatibility) To further thwart piracy and counterfeiting, any physical or digital media owned before registration became available may also be added to the Exchange (and therefore become registered) through the DCE's verification and immobilization intake process.

The “legacy problem” was successfully overcome by the securities industry.Shares of stock were voluntarily turned in for registration and immobilized so that the shareholdercould do more with them, more efficiently. : 

The “legacy problem” was successfully overcome by the securities industry.Shares of stock were voluntarily turned in for registration and immobilized so that the shareholdercould do more with them, more efficiently. OBSERVE: Registration was preferred by users because the advantages of the new technology outweighed the old user preferences (including the user preference of being able to use forgeries in place of authentic)

Slide 50: 

The addition of physical items to a board of exchange is no big deal. It has been done with physical shares of stock and is done at the bank every day when you turn in cash. The DCE grants access to people's music through cloud storage.Just like a bank or a stock brokerage gives its customers access to their accounts on the internet.

And Finally …. The ‘Purple Cow’ Problem : 

And Finally …. The ‘Purple Cow’ Problem In marketing parlance, a “Purple Cow” is defined as a quality or attribute that is remarkable and therefore increases the chances of consumer “uptake”.

You may ask: What is in it for the User? Why would a user join the DCE?? What is the DCE’s “purple cow”!? : 

You may ask: What is in it for the User? Why would a user join the DCE?? What is the DCE’s “purple cow”!?

Unlimited cloud access to User’s music, anywhere in the world : 

Unlimited cloud access to User’s music, anywhere in the world Buy online at variable pricing and really own music again User can Sell or Rent their collection User can download in any format requested

Mix-tapes. and Playlists. : 

Mix-tapes. and Playlists. Record owners have never had the legal right to share a mix-tape or digital playlist with someone else. The DCE makes this possible via “one-for-one” borrowing through the cloud.

Slide 56: 

You may register and get cloud access to your entire media collection today and it will not cost you a penny!

Slide 57: 

Every copyright holder and every music or book collector and every business dealing in media in any way can be a member and use the registrations created by theDCE.com FREE

The DCE is patent pending(US Pat. 10591416, priority date March 4, 2004) : 

The DCE is patent pending(US Pat. 10591416, priority date March 4, 2004)

Contact : 

Contact Emmett McAuliffe 7700 Bonhomme Ave 7th Floor Clayton, Missouri, USA 63105 314-727-0101 Ext. 110 Become a Beta Tester www.theDCE.com Ask any question.