Apple bowed amid pressure from singer Taylor Swift and other artists to reverse its royalty payment policy for its Apple Music streaming service. Senior Vice President-Internet Software and Services Eddy Cue said Sunday that the company now plans to pay artists royalties for music streamed during the three-month trial period Apple is offering for the service. Apple Music is to launch June 30, with individual subscriptions costing $9.99 per month and six-user family subscriptions costing $14.99 per month. Apple’s original plan not to pay royalties on music streamed during the trial period was “shocking, disappointing, and completely unlike this historically progressive and generous company,” Swift said in a letter posted to her Tumblr Web page before Apple reversed its decision. “Three months is a long time to go unpaid, and it is unfair to ask anyone to work for nothing.” Cue acknowledged Swift’s letter, saying via Twitter that “We hear you @taylorswift13 and indie artists. Love, Apple.” Apple said recently that it would pay 71.5 percent of revenue generated from the service to copyright owners for songs streamed in the U.S. (see 1506150073).
LG Electronics agreed to license Nokia Technologies smartphone patents, Nokia said in a Tuesday announcement. LG is the latest of more than 60 licensees for Nokia's 2G, 3G and 4G mobile communication technology patents and the first major smartphone manufacturer to join the licensing program since Nokia divested its Devices & Services business to Microsoft in 2014, Nokia said. LG’s “detailed royalty payment obligations” under the license agreement “will be subject to commercial arbitration, expected to conclude within a 1-2 year timeframe,” Nokia said. Other terms weren’t disclosed. LG didn’t comment.
Apple will pay about 71.5 percent of revenue generated from its forthcoming Apple Music service to copyright owners for songs streamed in the U.S. and an average of 73 percent of revenue for songs streamed elsewhere, a spokesman confirmed Monday. Earlier media reports had said Apple would pay copyright owners only 58 percent of revenue for songs streamed in the U.S. The Apple Music service, to launch June 30, will cost $9.99 per month for individual subscriptions and $14.99 per month for a six-user family subscription (see 1506080055).
Sunday's season finale of Game of Thrones set a new piracy record, with 1.5 million downloads in eight hours, said piracy news site Torrentfreak, citing data from Demonii Tracker Project. That number was expected to surge to over 10 million over the coming days, it said. The episode also broke the all-time record for the number of people sharing a single file at the same time, which was 224,367 at first post, updated to 258,131 later in the evening. The lower quality 480p copies of the show were “by far” the most popular among downloaders, followed by 720p and 1080p copies, it said. Game of Thrones pirates come from all over the world, but the show is particularly popular in the U.S., UK, Canada and India, it said.
Personalized Media Communications completed a patent licensing agreement with Arris. The details of the agreement have been deemed confidential by both parties, said PMC in a Monday news release. PMC said it holds 87 patents and expects to see the issuance of 12 more within a year.
Rovi prevailed in a patent infringement proceeding in Italy, it said Monday. CE companies Card Mania and Italvideo alleged that the Italian portions of two European Rovi patents -- EP 0969662 and EP 1377049 -- are invalid and not infringed. Rovi counterclaimed that the patents are valid and infringed, and the Court of Turin ruled in May that Rovi is entitled to a combined judgment of roughly $1 million. The court had previously asserted the patents valid and infringed by Card Mania and Italvideo.
The U.S. Copyright Office recommended draft legislation in a report released Thursday that included an updated version of the failed Shawn Bentley Orphan Works Act of 2008, which would have imposed new burdens of proof on an infringing party in copyright infringement lawsuits involving orphan works to avoid legal penalties. Those burdens would include showing that the infringing party conducted a “good faith” search to locate the copyright owner and failed to locate that entity, as well as prove that the infringing use of the copyrighted material cited the copyright owner’s identity, if it was available. Register of Copyrights Maria Pallante backed creating a framework for the use of orphan works during a late March House Judiciary Committee hearing on the committee’s Copyright Act review (see 1504290058). Several House Judiciary leaders in the past expressed interest in reviewing the orphan works issue as part of the Copyright Act review (see report in the April 3, 2014, issue). The CO report also recommended the U.S. take a more incremental approach to mass digitization that would allow the U.S. to get additional experience with an extended collective licensing framework that mirrors those used abroad. The CO recommended implementing a pilot program that would allow users to digitize their works and provide access for educational purposes under a joint agreement with user representatives. The CO said it's also issuing a notice of inquiry seeking public comment on the scope and administration of the proposed program.
TechIPm added a patent database for key IoT wireless connectivity standards to its research offerings, the intellectual property consulting firm said Thursday in a blog post. Many market researchers expect interconnected IoT devices to “create a new market that will result in more than $1 trillion in value added to the global economy within 10 years,” the firm said. “Wireless connectivity is the key enabler for the mass deployment of the IoT devices.” More than 3,000 patents owned by more than 160 assignees “are identified as the key wireless standard patents for IoT connectivity,” it said. The combined IP holdings of LG, Qualcomm and Samsung account for nearly 30 percent “of the identified key wireless standard patents for the IoT connectivity,” it said. “The patent database for the key IoT wireless connectivity standards can be used for many diverse purposes in the strategic patent management and exploitation such as competitive intelligence, M&A strategy, IP financing, open innovation and monetization.”
U.S. District Judge Philip Gutierrez let Flo & Eddie's lawsuit in Los Angeles against SiriusXM move forward Wednesday as a class action. Flo & Eddie, which owns the copyright to The Turtles' "Happy Together" and the rest of that band's music library, claims SiriusXM failed to pay royalties to the company for all of The Turtles' pre-1972 songs. Gutierrez previously found SiriusXM liable in September for royalties on The Turtles' pre-1972 recordings (see report in the Sept. 24, 2014, issue), but Flo & Eddie had sought a class-action suit in March against SiriusXM to allow other bands to seek royalties on pre-1972 recordings. SiriusXM had opposed class certification because it would be difficult to accurately determine royalties for each band that joined the suit. Gutierrez ruled Wednesday that "a class action is superior to individual litigation to the fair and efficient adjudication of the present controversy” given “SiriusXM’s aggressive litigation tactics thus far, its public statements about intent to appeal adverse decisions, and its decision to continue to perform pre-1972 recordings without authorization.” Sirius XM “treats every single owner of a pre-1972 song the same, namely it doesn't pay them, so it was appropriate for this court to grant class certification,” said Flo & Eddie lawyer Henry Gradstein in a statement. Sirius XM didn’t comment.
U.S. Solicitor General Donald Verrilli urged the Supreme Court not to hear Google's appeal of Oracle's lawsuit against the company over claims that Google copied Oracle's Java application programming interface (API) technology in its Android mobile operating system. The U.S. Court of Appeals for the Federal Circuit ruled in May that APIs are copyrightable and separately remanded Google's argument that use of APIs qualifies under the fair use doctrine to the U.S. District Court in San Francisco, which originally ruled on the 2012 case (see report in the May 12, 2014, issue). Verrilli argued in a brief Tuesday sought by the Supreme Court that the court shouldn't rule on Google's appeal and should instead allow U.S. District Judge William Alsup to rule on the fair use argument in the San Francisco federal court. APIs are materially indistinguishable from other types of computer codes and are therefore copyrightable, Verrilli said. Legal experts have told us they believe there's a substantial chance the Supreme Court could agree to hear the case, Google v. Oracle, because of its substantial implications for the computer programming community (see 1411100027). Google said in a statement that it's disappointed by Verrilli's brief, but “we look forward to supporting the clear language of the law and defending the concepts of interoperability that have traditionally contributed to innovation in the software industry.” Verrilli's brief “agrees with the Federal Circuit's decision and affirms the importance of copyright protection as an incentive for software innovation,” Oracle said in a statement. The Computer & Communications Industry Association decried Verrilli's brief, with President Ed Black saying in a statement that “even after conceding that there are ‘concerns about the effects that enforcing [Oracle’s] copyright could have on software development,' the Solicitor General has told the Supreme Court that this case isn’t worth its attention. This would have been an opportunity for [President Barack Obama's administration] to demonstrate its forward-looking technological leadership.”