Viacom Int’l, Inc v. Youtube, Inc: Pirated Works OK for “Start-Up Capital” the Absurd Result of Decision
The Progress & Freedom Foundation
Thomas D. Sydnor II
June 24, 2010

YouTube, Inc has qualified for the safe-harbor protections of the DMCA (Digital Millennium Copyright Act).  This has occurred even in light of the fact that it was stated in court that YouTube founders, “not only were generally aware of, but welcomed” piracy.

PFF’s Sydnor responded that,

Judge Stanton held that federal law creates a “safe harbor” that protects not only criminal conduct, but criminal racketeering enterprises. That result made no sense in Grokster, and it makes no sense today. In doing so, Stanton’s decision endangers consumers, hosting services, and artists—it leaves everyone worse off.

Stanton believes that the maneuver puts consumers in danger by protecting criminal enterprise.  He goes on to say that YouTube essentially uses it’s own consumers in this case, some of them children, as a type of shield from the possibility of the enforcement of criminal chargers.  And that by skirting copyright issues, YouTube was able to “drive law-abiding competitors out of the market by using mass piracy as ‘start up capital for their product.’”

You can find the full comments of Thomas Sydnor here.