Word: napstering
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Which really means that if consumers are not guilty of breaking the law, then Napster cannot be found guilty. The issue may come down to what Napster lead attorney David Boies, who successfully prosecuted the Department of Justice's case against Microsoft, describes as "the definition of commercial or noncommercial uses." It is perfectly legal for consumers to copy music for their own enjoyment--i.e., noncommercial use. Congress has even declared, in the Audio Home Recording Act of 1992, that it is legal to make recordings and lend them out to people, provided it is not done for commercial purposes...
...record labels certainly disagree, and they have sought an injunction to shut down Napster, which U.S. District Judge Marilyn Patel granted in July. Although it was immediately stayed by federal appeals judges, the same injunction will be ruled on by a federal court as early as next week. That ruling is likely to determine the future of Napster...
...criterion for an injunction is, among other things, that the plaintiff should be able to prove that irreparable harm is going to occur between now and the completion of the case. That may not be so easy. Although Napster might seem to be taking sales away from the record companies, CD sales have actually increased in the Napster era--by $500 million this year alone...
...injunction is upheld, Napster may be forced to fold. By the time the case reaches the Supreme Court, as it is likely to do, the company may be only a hazy memory in most computer users' minds. On the other hand, if Napster staves off the injunction, then the likelihood of a settlement with the record industry increases considerably. "Remember, as a lawyer I may be interested in this case because it raises policy issues," says Boies, "But from the client standpoint, what they want to do is get on with their business...
...great ironies of the Napster affair is that there really isn't a business, not yet. And if Fanning loses this case, there never will be a business, at least not for this P2P company. By the time the case reaches a final verdict, in six months or a year, some other hotshot P2P site--Gnutella, perhaps, or Freenet--might have become flavor of the month. Napster, for all the storm and fury it has engendered, could be remembered as a peculiar millennial trend--like those little chrome scooters--rather than an epochal event...