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Copyright holders might prefer piracy now

Pirate flag
Can it really be a sound business strategy to encourage piracy?

In a somewhat cynical table-turning exercise, a German anti-piracy body seems to be encouraging illegal downloading of music and other media in an effort to strong-arm money out of lawbreakers.

DigiRights Solutions (DRS) from Darmstadt has circulated a presentation to potential clients explaining how they might make more money by pursuing illegal filesharers than from regular, legal sales.

No questions asked

The key to the DRS strategy is a previously unknown figure suggesting 25 per cent of people who receive a letter threatening legal action prefer to just pay the settlement fee without question.

As copyright holders in the DRS model get €90 (£84) of the €450 (£418) damages charge per offense, that can be up to 150 times what a legal download brings in.

Weighing the options

Clearly, the approach is reliant on simple mathematics – the number of legal sales compared to the amount of threatening letters DRS can send out for a client in any given period.

The company says it can currently go after 5,000 illegal downloaders a month so, given the discrepancy between the two monetary values being weighed here, it could find itself with a lot more cash-hungry clients before long.

Via TorrentFreak