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Movie and record labels are overjoyed at the support they're receiving from the British government

Late in October DailyTech reported on the new three strikes piracy legislation proposed in the United Kingdom by Britain's majority Labour Party.  Under the legislation those caught pirating would receive two warnings, then would be cut off from the internet.  The real headache, though, is how to police the traffic and enforce the provisions on ISPs and consumers.

Despite mass objections from telecoms, citizens, electronics experts, law enforcement officials, and members of the minority conservative and socialist parties, Labour Party officials have blazed ahead with a framework to allow the legislation to be enforced.

According to Labour Party leaders, the government is planning on handing the expense of the Digital Economy Bill down to taxpayers.  That expense is estimated to be approximately £500M (approximately $800M USD).  On average, that works out to more than £25 more a year ($40 USD/year) per internet connection.

And that's considering that the government is counting on the bill reducing piracy enough to increase media revenues by £1.7B ($2.72B USD), leading to £350M ($560M USD) extra in VAT tax revenue.  If that increase isn't realized, British taxpayers could find themselves on the hook for over $1B USD in enforcement expenses.

The initial letter writing campaign is predicted to cut off 40,000 citizens from the internet and cost £1.40 ($2.20 USD) per subscription.  The government appears to have purposefully neglects to include possible economic losses based on citizens being taken offline in its estimates.

Charles Dunstone, chief executive of Carphone Warehouse, whose subsidiary TalkTalk is the biggest consumer provider of broadband in UK, is flabbergasted at how the punitive bill is gaining so much traction.  He states, "Broadband consumers shouldn’t have to bail out the music industry. If they really think it’s worth spending vast sums of money on these measures then they should be footing the bill; not the consumer."

Still the media industry is cheering the British government's decision to obey their commands, despite the taxpayer expenses and objections.  Writes the Department for Business, Innovation and Skills, an industry trade group, "The overall benefits to the country far outweigh the costs."

They argue that movies like X-Men Origins: Wolverine and Star Trek have been pirated millions of times, amounting to millions in lost revenues.

And it certainly helps their argument that in the UK, like in the U.S., the media industry spends enormous sums on legal representation and government lobbying efforts.  As the growing conflict in Britain is proving, if there's one lobbyist power in the UK and U.S. that's perhaps greater than telecommunication firms, it's the media industry trade groups.

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RE: I'm glad
By eddieroolz on 1/3/2010 12:07:10 AM , Rating: 1
I recently had a painful boil on my face that needed intervention.

I went to an walk-in clinic, where I do not need to make appointments. Went there early in the morning, and the doctor took one look and referred me to the emergency.

Now, in the US that would have cost you some cash. In BC, all I had to do was show them my CareCard and it was done.

Then I went to the Emergency ward. I was served in 10 minutes, and referred to a specialist in a further 10 min. I waited in the room for another 10 min and the doctor drained the boil in question. I was then told to come back for a week for daily IV, and prescribed medicine.

Now, that in the US would have cost you additional money. Here in BC, all I did was show them my CareCard. Deja vu.

All this is covered by taxing the population no more than what you get taxed in the US.

So being a citizen in this "socialized medicine" land, I would say that it is YOU that does not have a clue how the system works here. No, I was not rationed health care. I was given care as was everyone else waiting at emergency. The government does not allocate me certain number of visits and then outright refuses to see me after I exceed it. No. They care for you when you need it.

"People Don't Respect Confidentiality in This Industry" -- Sony Computer Entertainment of America President and CEO Jack Tretton

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