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Grokster CEO Wayne Rosso to Help Pirate Bay Go Legit

Authored by Mark Hefflinger on July 16, 2009 - 11:19am.
Stockholm, Sweden - Global Gaming Factory (GGF), the Swedish firm that is acquiring file-sharing hub The Pirate Bay for $7.8 million, has tapped former Grokster CEO Wayne Rosso to help establish a new, legal version of the service, TorrentFreak reported.
tags: P2P | Music | The Pirate Bay | Grokster | Mashboxx | Global Gaming Factory | Wayne Rosso |

Report: Illegal File-Sharing Down 11% Since Grokster Supreme Court Ruling

Authored by Mark Hefflinger on December 19, 2005 - 8:04am.
Port Washington, N.Y. - Illegal file-sharing in the U.S. has declined by 11% since the Supreme Court ruled in June that file-sharing networks could be held liable for copyright infringement, according to a report from market research firm NPD Group. The number of U.S. households that had downloaded at least one song from an illegal peer-to-peer service fell from 6.4 million households in June to 5.7 million in October. Prior to the ruling, NPD noted a steady increase in U.S. file-sharing throughout 2004 and 2005. Since the landmark ruling, which found Grokster and Streamcast Networks (Morpheus) guilty of copyright infringement, the Recording Industry Association of America (RIAA) has sent cease-and-desist letters to a number of similar services -- prompting several to either shut down or shift business tactics. "It wasn't until the Grokster decision that substantial reductions in the number of households downloading music occurred," said NPD music industry analyst Russ Crupnick. "If this trend continues throughout the remainder of the fourth quarter 2005 and into next year, it would signify a solid victory in the music industry's efforts against illegal music file sharing in the U.S."
tags: Law | Reports | Illegal File-Sharing Down | Grokster |

Grokster File-Sharing Service Shuts Down, Settles Copyright Litigation

Authored by Mark Hefflinger on November 7, 2005 - 2:57am.
Washington - The Associated Press reported on Monday that peer-to-peer file-sharing software provider Grokster has agreed to shut down and settle copyright infringement litigation brought by the movie and music industries. ''There are legal services for downloading music and movies,'' reads a note on the Grokser website. ''This service is not one of them.'' Grokster was a losing defendant in the landmark Supreme Court ruling earlier this year, which found that such providers of file-sharing software could be held liable for copyright infringement committed by users of the software. "This settlement brings to a close an incredibly significant chapter in the story of digital music," said Mitch Bainwol, CEO of the Recording Industry Association of America. "This is a chapter that ends on a high note for the recording industry, the tech community and music fans and consumers everywhere." The settlement between Nevis, West Indies-based Grokster and the record labels and movie studios suing it for copyright infringement calls for the company to cease distributing its software. In September, The Wall Street Journal reported that Grokster was in talks to be acquired by Mashboxx, a legal peer-to-peer file-sharing service being developed by former Grokster president Wayne Rosso.
tags: Copyright | Grokster | Shuts Down | Litigation |

WSJ: Legal File-Sharing Firm Mashboxx in Talks to Acquire Grokster

Authored by Mark Hefflinger on September 19, 2005 - 9:44am.
New York -- The Wall Street Journal reported on Monday that Mashboxx, a major label-supported, legal file-sharing service, is currently in talks to acquire Grokster, one of the unauthorized peer-to-peer services found guilty of copyright infringement in a recent landmark Supreme Court ruling. The Journal did not report financial details of the transaction; however, it did say that Mashboxx may share in revenue generated by a legal version of Grokster with the company's owners -- who themselves are not readily identified. Mashboxx was founded by Wayne Rosso, who formerly served as president of Grokster while it was still a popular unauthorized file-sharing service. The legal Mashboxx service, which will feature songs cleared through Napster founder Shawn Fanning's new venture, Snocap, is scheduled to launch in the next several months.
tags: WSJ | Acquire | Grokster | Legal File-Sharing | Mashboxx |

Sharman Networks: Grokster Ruling Will "Vindicate" the Company

Authored by Mark Hefflinger on June 28, 2005 - 7:37am.
Sydney -- Following yesterday's Supreme Court ruling that found file-sharing software providers like Grokster and StreamCast Networks can be sued for copyright infringement, fellow file-sharing company Sharman Networks released a statement saying the decision will ultimately vindicate the company from copyright infringement charges. "While the Supreme Court apparently found 'substantial evidence... on all elements of inducement' by other P2P providers Grokster and Morpheus, Sharman has never encouraged or assisted users of Kazaa software to share copyrighted material in violation of copyright law," said Sharman Networks executive vice president Alan Morris, who also pointed to the Kazaa end user license agreement -- which directs users to respect national copyright laws -- and its alliance with licensed peer-to-peer distributor Altnet. "We believe that further legal review of this case will also show that Sharman was diligent and aggressive in its lawful efforts to distribute copyrighted music and movies through peer-to-peer distribution, and was thwarted in its efforts to do so by the music and motion picture industries," said Morris. Sharman is currently awaiting a verdict in the copyright infringement and other actions brought against the company in Australia by the recording industry.
tags: Grokster | Sharman Networks | Vindicate |

Musicians File Brief Supporting Grokster in Supreme Court Appeal

Authored by Mark Hefflinger on March 1, 2005 - 8:13am.
Washington -- In stark contrast to the efforts of much of the recording industry to shut down file-sharing networks, a number of musicians have filed a brief with the Supreme Court arguing that, while they don't endorse copyright infringement, file-sharing is a viable means of distribution for many artists, The Washington Post reported on Tuesday. Artists including Steve Winwood, rapper Chuck D and the band Heart signed on to the legal brief, which supports file-sharing services Grokster and Streamcast Networks in a Supreme Court appeal brought against the company by the major record labels. Lower courts have ruled that file-sharing software providers are not liable for any copyright infringement committed by users of their software; the Supreme Court is scheduled to hear oral arguments in the appeal on March 29. "Musicians are not universally united in opposition to peer-to-peer file sharing" the court filing reads. "To the contrary, many musicians find peer-to-peer technology . . . allows them easily to reach a worldwide online audience. And to many musicians, the benefits of this . . . strongly outweigh the risks of copyright infringement."
tags: Law | Grokster | Musicians | Supreme Court Appeal |

Tech Firms, Public Interest Groups File Amicus Brief in MGM v. Grokster

Authored by Mark Hefflinger on January 24, 2005 - 7:17am.
Washington -- A coalition of technology firms and public interest groups on Monday filed a "friend of the court" brief with the U.S. Supreme Court, which will hear an appeal next month in the recording industry's copyright infringement lawsuit against peer-to-peer file-sharing firms, MGM v. Grokster. Groups including The Digital Media Association (DiMA), which represents webcasters; the Information Technology Association of America (ITAA), which lobbies on behalf of 380 tech firms; and public interest groups NetCoalition and the Center for Democracy and Technology (CDT) urged the Supreme Court to reaffirm its 1984 "Sony Betamax" decision, which found that VCRs were not tools of piracy because of their "substantial non-infringing uses." The brief further suggests the Supreme Court remand the Grokster case back to the lower court, to determine if peer-to-peer firms' conduct construed "bad behavior" that would merit charges of contributory copyright infringement. The Ninth Circuit Court of Appeals earlier found, in a landmark decision, that file-sharing software providers are not liable for copyright infringement committed by individual file-swappers. "By affirming its 1984 Sony standard, the Court can remind lower courts of the legal distinctions that permit innovators to flourish and those whose conduct violates the law to be held liable," said DiMA executive director Jon Potter. "But the Ninth Circuit was confused about its ability to take an independent look at bad behavior by defendants engaged in knowingly, actively encouraging copyright infringement by the misuse of their technology," added ITAA president Harris Miller.
tags: Law | MGM | Grokster | Tech Firms | Public Interest Groups | Amicus Brief |

Grokster Launches P2P Radio, Enters Talks With Sony BMG

Authored by Mark Hefflinger on November 16, 2004 - 5:16am.
Los Angeles -- Grokster, a provider of peer-to-peer file-sharing software, announced on Tuesday that it will offer a peer-to-peer streaming radio application in partnership with Mercora. The technology allows file-swappers on Grokster to stream tracks from other users' collections, as well as broadcast their own files to other users in a Digital Millennium Copyright Act-compliant manner. The near CD-quality radio service will include 10 million user-contributed tracks, in addition to Grokster-programmed stations featuring independent artists. Los Angeles-based Grokster is also in early talks with major record label Sony BMG to create a legal music service, according to a Reuters report. "I'm not negotiating myself, as Sony BMG chairman, but I know that some staff members are at the very beginning of talks with Grokster," Sony BMG chairman Rolf Schmidt-Holtz told Reuters. "We are noticing that there is huge demand for services like that, and our intention is to transfer this demand into legal channels. Only then it would make sense for us." Schmidt-Holtz, who oversaw BMG's merger with Sony earlier this year, added that he knew of only one meeting so far between the two companies, and was not sure which side initiated the negotiations.
tags: Radio | P2P | Sony | BMG | Grokster |

L.A. Times: Sony BMG, Grokster Partner on Mashboxx Song Download Service

Authored by Mark Hefflinger on October 29, 2004 - 4:25am.
Los Angeles -- The Los Angeles Times reported on Friday that, in a major departure from the industry's legal campaign against peer-to-peer file-sharing technology, major record label Sony BMG is cooperating with Grokster -- a file-sharing company it also sued for copyright infringement -- on a new venture called Mashboxx that will offer its songs as paid downloads. Mashboxx is being headed by former Grokster president Wayne Rosso, who resigned last year to head Spanish P2P firm Blubster. While it's unclear if Mashboxx will be a true peer-to-peer service, people familiar with the venture told The Times that it would likely only offers users who search for a Sony BMG track the ability to download an authorized version of the song, such as a free low-quality version that included an offer to buy the CD-quality version. The service will also likely use technology developed by Snocap, a start-up founded by Napster founder Shawn Fanning. The Times reported that impetus for the Mashboxx project came from Sony BMG CEO Andrew Lack, who has urged other labels to support the venture.
tags: Music | Sony BMG | Download | Deal | Grokster | L.A. Times | Mashboxx |

Grokster Pays $500,000 to Settle Puretunes Copyright Case

Authored by Mark Hefflinger on October 25, 2004 - 7:36am.
Washington -- Peer-to-peer file-sharing service Grokster has agreed to pay $500,000 to the recording industry to settle a copyright infringement action over a service called Puretunes, which offered unlimited downloads of songs -- that had not been properly licensed -- for a monthly fee, Reuters reported. Puretunes, which is separate from Grokster's popular file-sharing service, allegedly launched its $24.99 per month service before it had secured proper licenses for songs being offered. Grokster president Wayne Rosso, along with Daniel Rung, Michael Rung and Matthew Rung, agreed to pay a total of $500,000 to settle the case. The settlement also calls for Puretunes parent company Sakfield Holding Co. to pay $10 million, although Rosso told Reuters that company no longer exists. The recording industry has also sued to shut down Grokster itself, but U.S. federal courts have consistently ruled that such services are not liable for any copyright infringement committed by users of the service.
tags: Law | Grokster | Puretunes | Copyright Case |

Grokster, Morpheus File Briefs in RIAA Appeal of Landmark P2P Ruling

Authored by Mark Hefflinger on September 17, 2003 - 6:44am.
Los Angeles -- Two file-sharing services that won a landmark court ruling placing the burden of copyright infringement with individual users on Wednesday filed briefs in an appeal of that ruling brought by the music and movie industries. The original ruling said that Grokster and Streamcast Networks, which operates Morpheus, were not guilty of copyright infringement -- starkly contrasting the case against Napster, which was found guilty of copyright infringement. The Recording Industry Association of America (RIAA), Motion Picture Association of America (MPAA) and National Music Publishers Association (NMPA) filed their appeal with the Ninth Circuit Court of Appeals in San Francisco in August; Grokster and Streamcast Networks filed their response on Wednesday. "Instead of asking the court to deputize every technology vendor to enforce their copyrights for them, they should license the technology at a fair price," Grokster president Wayne Rosso told Reuters. "Five bucks a month from each of 60 million filesharers beats the hell out of filing a federal case to get $2,000 from a 12-year-old girl." http://www.reuters.com/newsArticle.jhtml?type=technologyNews&storyID=3461990 
tags: P2P | RIAA | Morpheus | Grokster | Landmark |