EC calms industry fears with copyright revision

European commissioner, Mario Monti, has eased industry concerns with a revised directive on electronic copyright released late on Friday night.

Internet service providers (ISPs) and major companies had feared the European Commission (EC) would maintain a ban on caching online copyright content. But Monti's new directive makes all Web caching exempt from the new regulations.

In February MEPs voted to exempt only Web caching that was "an essential part of the technological process". Their proposal caused uproar among ISPs, as most Web caching is not essential but extremely useful in moving online data efficiently.

Monti's revised directive includes the European Parliament amendment, but compromises by broadening the definition of technological process to include "those which facilitate the effective functioning of transmission systems". The ISP industry is delighted.

Nicholas Landsman, secretary general of the Internet Service Providers Association (ISPA) told Silicon.com: "It seems that the EC's advice to the Council has made some amendments to the wording that seem actually very sensible."

The copyright holders are less pleased. Nanette Rigg, director general of British Music Rights, commented: "Whilst we welcome the EC's amendments to article 5(1), announced today, we are disappointed that the Commission did not go further in accepting the European Parliament's full amendments - that there should be no exceptions unless the use of the music has been authorised in the first place."

Mario Monti presented the revised directive to the European Council of Ministers on Friday. Once ministers have approved it, it will go before MEPs for a second reading.

EC officials said that if there were no further redrafts the directive would be ratified in September.