January 2012

Google has been going all out to justify its new privacy policy. But it may not be resonating with consumers who will be forced into the new scheme and not given the option to opt-out. Three-quarters of U.S. adults said they were concerned about the changes to Google's privacy policy. According to an IBOPE Zogby International online poll, 32 percent were very concerned and 44 percent were somewhat concerned. Only 14 percent were somewhat unconcerned and 9 percent were not concerned at all.

An old legal aphorism says, "If the facts are on your side, pound on the facts. If the law is on your side, pound on the law. If neither is on your side, pound on the table." After reading the latest salvo in the P2P porn copyright wars, it's clear that some poor table has been abused horrifically. The craziness comes from the most recent filing in a Hard Drive Productions case against nearly 1,500 "Doe" defendants accused of sharing one of the company's films online. The case, filed in DC, follows the familiar pattern: sue anonymous Internet users in some random federal court, use the case to obtain subpoenas, unearth the identity of the Internet users, and send them "settlement letters" offering to save them from litigation if they would just pay a few thousand dollars. The Electronic Frontier Foundation (EFF) has contributed to many of these cases, arguing—sometimes successfully, sometimes, not—that such cases are an abuse of the judicial process. Yesterday, the EFF filed a brief in the Hard Drive case; by the end of the same day, the Chicago-based lawyer handling the case had responded in amazing fashion. Rather than address any substantive arguments made by the EFF, lawyer Paul Duffy decided simply to attack the group itself. "The EFF is opposed to any effective enforcement and litigation of intellectual property law," says the filing before going on to brand it "a radical interest group" with a mission that is "radical, quasi-anarchist, and intrinsically opposed to any effective enforcement of intellectual property rights." EFF has a history of "advocating lawlessness on the Internet," and its purpose is to "hinder and obstruct" the legal process. Giving the EFF liberty to speak to the court would be "wholly fatuous." Not only does the EFF apparently hate IP law in general; it also has a "deep disdain" for "the law generally, in any sphere in which the law might touch the Internet."

E-reader usage is growing beyond a group of early adopters, but new stats suggest that consumers are also increasingly resistant to buying an e-reader.

A study presented by book marketing firm Verso Advertising at Digital Book World last week finds that 15.8 percent of book buyers already own an e-reader—that figure has doubled since 2010. But 51.8 percent of book buyers say they are “not at all likely” to purchase one in the next 12 months. That is up from 40 percent in 2009. Among “avid” book buyers—those who purchase 10 or more books per year—e-reader penetration is more pronounced: 22.3 percent of avid book buyers already own an e-reader, and 10.1 percent say they’re “very likely” to buy one in the next 12 months. But 49.7 percent of avid book buyers say they are not at all likely to purchase one. Tablet usage shows “accelerated early majority” phasing: 15.2 percent of book buyers own a tablet and 9 percent are “very likely” to buy one in the next 12 months. Verso predicts an installed base of e-readers and tablets in the 25 to 30 percent range in the next year—with the resistors staying even at about 50 percent of the population.

On the one-year anniversary of both the White House Startup America Initiative and the private-sector Startup America Partnership, President Obama sent a Startup America Legislative Agenda to Congress which will expand tax relief and unlock capital for startups and small businesses that are creating jobs. Additionally, the Department of Homeland Security (DHS) will take steps to attract and retain foreign-born entrepreneurs and highly-skilled immigrants so they can start up the next generation of small businesses and great American companies. The Administration also unveiled several new agency actions to accelerate the growth of young, job-creating companies, at the same time that new entrepreneur-led regional coalitions are launching throughout the nation. The Startup America Legislative Agenda contains four tax breaks for small businesses and four proposals that will help expand access to capital and a provision to address immigrant visa backlogs and a provision to address immigrant visa backlogs.