Tag Archives: scandinavia

Sweden Suffers a 25% Revenue Hit Resulting from Piracy

The entertainment industry in Scandinavia has a tendency to occupy both ends of the consumption spectrum. In any one month you might see headlines in Norway proclaiming piracy dead, while the country’s Pirate Party campaigns for its own extreme take on a free and open Internet.

English: Snow Cover Across Scandinavia. In thi...

Snow Cover Across Scandinavia. (Photo credit: Wikipedia)

Meanwhile, in neighboring Sweden, music streaming on sites as wide-ranging as Spotify to illegal veterans The Pirate Bay shows the area as a home to both legitimate profit and piracy.

Thus, depending on your most recent reading material, the situation for copyright protection and creative rights in the region could swing from doom and gloom to profitable paradise in one sitting.

Unfortunately this piece will have to speak to the former, as Sweden’s movie and television industry this month confirmed that it loses an estimated $100 million annually from piracy in the country.

A Frosty Picture for Swedish Filmmakers

The number arises from a report conducted on Swedish TV and movie consumption in 2014, which included 280 million instances of illegal viewing. Commissioned by the country’s Film and TV Industry Cooperation Committee, the findings show that almost one-quarter of the nation’s market for these productions is being lost to consumption via unlicensed channels.

Inevitably, this leads to a frustrating creative environment for filmmakers and TV producers in Sweden. Citing the issues that providing a home to piracy sites causes for creators both at home and abroad, Per Strömbäck, the reporting organization’s expert on digital trade, says “the situation is not sustainable.”

His analysis is correct, and also the reason that copyright activists advocate so vociferously for stronger measures to protect creators globally. Any one country can give rise to piracy and cause significant problems for creators around the world. The 25% figure shows a major concern not just for Sweden, where the impact is of course most immediately felt, but beyond its borders when productions from other countries are viewed by its citizens, or by using services they host.

Fighting Back

The most disheartening part of this latest piracy setback is that Sweden is far from a hospitable place for pirates, at least in terms of upholding copyright law.

On the contrary, the country’s authorities have conducted several raids on piracy server sites this year already, as well as having a hand in bringing the co-founders of The Pirate Bay, which was born in Sweden, to justice.

This is also the nation that just two years ago levied a six-figure fine to an individual for sharing a film illegally. Suffice it to say, the proliferation of piracy in and around Scandinavian countries is not for the want of a strong stance against it by the relevant authorities.

It is the country’s commitment to technological advancement, however, that appears to have set it up as an inviting location for pirates to test their limits. After expanding broadband capabilities in the early days of the Internet, along with encouraging digital consumption of music, movies and television, it was perhaps inevitable that Sweden would become one of the front lines in the fight against piracy.

What is encouraging is the fact that this approach has also allowed legitimate streaming sites to flourish, with the convenience and affordability of what they offer proving a powerful competitor to the lure of piracy sites. The aforementioned headlines in Norway, while perhaps a little overblown, nonetheless prove that legal streaming can make inroads against illegal platforms, given enough time.

With a supportive government and a strong commitment to copyright law, there is every reason to believe that Sweden and its surrounding countries can become a model for entertainment industries around the world, rather than a black mark on the general European trend towards protecting creators.

Has Norway Provided a Blueprint to Beat Piracy?

English: Map showing two of the common definit...

English: Map showing two of the common definitions of “Scandinavia”;  (Photo credit: Wikipedia)

Scandinavia has been the leading light of streaming music services for many years, and now some believe it will provide the blueprint to beat music piracy for good. (Or at least make it a marginal issue.)

In the space of just five years, the number of Norwegians under 30 – the demographic most likely to engage in piracy – who admit to illegal file-sharing has dropped from 80% of respondents in 2009 to just 4 percent last year. These are levels that industry analysts say amounts to piracy being “virtually eliminated” in Norway.

The significant shift is inextricably linked to the rapid uptake of streaming services, which are now used by some 1.7 million Norwegians. The ease and convenience of platforms like Deezer and Spotify is credited with making illegal downloads a much less attractive activity, with similar stories seen across the border in Sweden (where Spotify first started).

Piracy in Scandinavia, it seems, is rapidly going out of style.

Of course there are various caveats to highlight, even against the backdrop of this overtly positive report.

Firstly, not everyone is inclined to tell the truth when faced with a survey. True, a large number of people were unafraid to admit to the practice back in 2009, but it’s also a long time to allow for a change in user attitudes, as well as behavior. A certain amount of the reduction might simply be that it’s less acceptable to admit to piracy in public now than it was five years ago. In the intervening period there have been major criminal cases against file-sharing sites like Megaupload, which was shut down by U.S. authorities in 2012, and more recently The Pirate Bay.

Such high-profile shutdowns could easily influence illegal downloaders to steer away from their bad habit or, at the very least, not admit that they do so when questioned by a stranger.

 

Another factor lies in the small sample size.

Norway has a population of only a little more than 5 million people, of which those under-30 translate to another small sub set. Although the target group is the most important to consider when it comes to online music consumption, the assumption that this relatively small group’s behavior would naturally extend to their counterparts in developed markets around the world is open to question.

Finally, the early results in other major markets don’t appear to stick to Norway’s blueprint. Even with a number of streaming music services now operating in the U.S. market, torrent activity remains a prime concern for anti-piracy groups, while file-sharing sites continue to see plenty of illegal content activity. The fact that most legitimate services have only been operating since 2011, and that North America is a much larger market, means that we must allow some additional room for the adoption rate to grow, but again the question mark remains over whether a majority of consumers will choose streaming as their music solution.

Even so, advocates of both streaming services and intellectual property protection will be hoping that the underlying expectation of the Norwegian model holds true for the rest of the world. If convenience really can kill piracy, the wheels are already in motion for Spotify and its peers to move major markets further down that road.