Business Matters: Three-Strikes Law Having Little Effect on P2P Traffic in New Zealand
Business Matters: Three-Strikes Law Having Little Effect on P2P Traffic in New Zealand

Three Strikes Law Having Slight Effect on P2P Traffic in New Zealand
-- P2P traffic is down - although not drastically - in New Zealand following the implementation of a "three strikes" anti-piracy law a week earlier. While one ISP's CEO claims P2P traffic is 10%, one ISP spokesperson termed the decline "noticeable but not major" and another said there have been "a few dips" within the bounds of normal traffic fluctuations. None of the three ISPs have received infringement notices from rights holders. One CEO expects to receive the first in about one week.

Onlookers may have expected a bigger decline. In April 2009, Sweden passed IPRED, a law that gave prosecutors and rights holders greater ability to track down suspected file sharers. P2P traffic immediately fell 40%, an event that was reported in media outlets around the world. However, less reported is that fact that Sweden's P2P traffic returned to pre-IPRED levels in about six months.

The lesson of New Zealand and Sweden is the need to gauge the effectiveness of "three strikes" measures over a long period of time. That's certainly the case in France, where the country's graduated response measure, called Hadopi, was approved in late 2009 but is not yet in full swing. (

EMI Asks Court to Reconsider MP3Tunes Matter
-- Weeks after a judge claimed MP3Tunes is protected by the Digital Millennium Copyright Act's "safe harbor" for digital service providers, EMI has asked the court to reconsider a key aspect. EMI's argument is that pre-1972 songs should not be covered by federal copyright law and are in this case protected by New York common law. The company's latest filing states "Section 301(c) of the Copyright Act contains clear, explicit, and dispositive direction that Congress may not amend and courts may not interpret the Copyright Act to limit state law protection for pre-1972 sound recordings."

The DMCA's "safe harbor" provisions limit the liability of digital service providers -- the most famous being YouTube - that offer user-uploaded content. Such services operate legally as long as they are not aware of the existence of specific infringing content. Once the service provider is made aware of infringing content, it must act in good faith to disable access to the content or remove it outright.

Similarly, Universal Music Group has made the issue of pre-1972 songs the basis for its lawsuit against Grooveshark. UMG filed suit against the company in a New York state supreme court in January 2010, claiming pre-1972 songs are not covered by the federal Copyright Act. ( TechDirt)

Tweetdeck, HootSuite Actually Cost You Readers
-- If you post on Facebook using a third-party application like TweetDeck, it's probably costing you some readers. Well known in some tech circles but fairly unknown otherwise is the fact that earlier this year Facebook introduced an algorithm called EdgeRank to decide which posts a person will see in his/her News Feed. Without EdgeRank, a feed can become an unmanageable mess of information. EdgeRank attempts to make that constant flow of information more bearable.

A new study has found that third-party tools like HootSuite and TweetDeck will reduce your engagement per fan by an average of 70%. There are a few theories as to why that happens. For example, Facebook penalizes third-party API's EdgeRank and collapses third-party updates (multiple updates within a feed are turned into a single update). In addition, content posted in third-party applications are not optimized for Facebook.

Does this mean you should stop using TweetDeck? Not necessarily, but you may need to use it more conscientiously and in specific situations. Here's the conclusion of EdgeRank Checker, which performed the study:

"In order to maximize your Facebook marketing efforts, we advise that you post directly on or use an Official Facebook App (iPhone, Blackberry, etc). Posting directly will give your posts the greatest chance of engagement (which drives EdgeRank). Don't immediately abandon 3rd Party APIs, they still have their place in social marketing. We recommend not relying on them day-to-day for Facebook updates." ( EdgeRank Checker)

Beware Impersonators…

-- Some startups attract a type of cult following that money just can't buy. It certainly appears social music service is one of those fortunate startups., a community unaffiliated with, is hosting a meetup/dance party at the Canal Room in New York on September 29. Tickets are $17 in advance, $25 at the door and $37 with a pretty cool T-shirt for the event. has created meetup groups in 11 cities and has plans for seven more. ( The New York Meetup Group)