Piracy: Self-destructing files will protect copyright!

LONDON/AMSTERDAM (Reuters) - If technology companies like Sony and Microsoft get what they want, music and movies could be played only once before their files self-destruct, unless the copyright holder receives the payment due for further playbacks. The technology that will make this possible -- known as digital rights management, or DRM -- will forever change the way we consume media and software, experts believe. Software and media companies continue to push new content security initiatives, each promoting its own version of DRM, a system aimed at protecting content against piracy. In the near future, spreadsheets and web pages will be protected by digital locks. Sun Microsystems announced this week that it plans to launch new software to protect intellectual property on content offered on cell phones and smart cards. Meanwhile, Warner Music released the new album by singer Steely Dan, "Everything Must Go", on CD and DVD Audio, the latter in a protected, copy-proof format. The biggest market for content security should be businesses, government agencies and hospitals that need to prevent sensitive data from falling into the wrong hands. But so far it has been media companies that have made the most noise about DRM systems.

PIRACY DRIVES THE MARKET

Under attack from pirates, film studios and record labels have been equipping new CDs and DVDs with computer codes designed to prevent or limit users' ability to copy files onto blank discs or exchange them online. Consumer electronics companies like Sony and Nokia have also entered the game, installing DRM systems on new sound equipment and portable devices, to ensure that copyrighted material is not played and transferred between devices unless consumers pay for it. But a serious problem remains for the sector: the lack of unified standards. DRM technologies are highly varied, promoted by companies like Philips and Microsoft, which will equip its Office 2003 package with controls to define who can print, copy or forward document data. Last year, Sony and Philips acquired Intertrust, a pioneer in the field and holder of most DRM patents, for $450 million. The influence of the two companies is expected to bring electronics manufacturers and software companies closer together. "It is important to collaborate and not confuse the consumer," says Mike Tsurumi, director of Sony's European electronics division.