[Script Info] Title: [Events] Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text Dialogue: 0,0:00:00.00,0:00:02.79,Default,,0000,0000,0000,,[I'm using this English GB track to script audio descriptions - CA] [Innovation & its Enemies] Dialogue: 0,0:00:02.79,0:00:04.58,Default,,0000,0000,0000,,[<1>] Dialogue: 0,0:00:04.58,0:00:05.09,Default,,0000,0000,0000,,So, I apologize that I am going to introduce these Dialogue: 0,0:00:05.09,0:00:07.05,Default,,0000,0000,0000,,ideas so early in the morning, Dialogue: 0,0:00:07.05,0:00:09.05,Default,,0000,0000,0000,,after such a late night last night. Dialogue: 0,0:00:09.05,0:00:13.68,Default,,0000,0000,0000,,But I'll like you to think of an alcoholic. Dialogue: 0,0:00:13.74,0:00:14.38,Default,,0000,0000,0000,,[photo of drunk sleeping on the earth] Dialogue: 0,0:00:14.67,0:00:15.17,Default,,0000,0000,0000,,And I don't mean the kind of drop-dead Dialogue: 0,0:00:15.17,0:00:16.08,Default,,0000,0000,0000,,drunken alcoholic, Dialogue: 0,0:00:16.16,0:00:16.86,Default,,0000,0000,0000,,[picture of AA meeting] Dialogue: 0,0:00:16.97,0:00:20.09,Default,,0000,0000,0000,,or somebody who is even recovering from AA. Dialogue: 0,0:00:20.09,0:00:21.04,Default,,0000,0000,0000,,[Bottles: vodka and other spirits] Dialogue: 0,0:00:21.04,0:00:23.02,Default,,0000,0000,0000,,I am thinking just of the regular alcoholic Dialogue: 0,0:00:23.02,0:00:30.08,Default,,0000,0000,0000,,who works hard to control the addiction he has. Dialogue: 0,0:00:30.08,0:00:32.07,Default,,0000,0000,0000,,But this particular alcoholic, I want you to Dialogue: 0,0:00:32.07,0:00:36.01,Default,,0000,0000,0000,,imagine that, in addition to the addiction to alcohol, Dialogue: 0,0:00:36.01,0:00:39.05,Default,,0000,0000,0000,,he has a second addiction as well. Dialogue: 0,0:00:39.07,0:00:43.06,Default,,0000,0000,0000,,Not the debilitating addiction that keeps him Dialogue: 0,0:00:43.06,0:00:44.05,Default,,0000,0000,0000,,down all day. Dialogue: 0,0:00:44.05,0:00:46.04,Default,,0000,0000,0000,,And not a recovered drug addict. Dialogue: 0,0:00:46.04,0:00:48.01,Default,,0000,0000,0000,,But an addiction nonetheless Dialogue: 0,0:00:48.01,0:00:51.03,Default,,0000,0000,0000,,that continues to pull him in another way, Dialogue: 0,0:00:51.03,0:00:52.09,Default,,0000,0000,0000,,away from what he wants to do. Dialogue: 0,0:00:52.09,0:00:59.01,Default,,0000,0000,0000,,A person with two addictions, pulling different ways, Dialogue: 0,0:00:59.01,0:01:01.10,Default,,0000,0000,0000,,making him vulnerable, making him dangerous, Dialogue: 0,0:01:01.10,0:01:04.08,Default,,0000,0000,0000,,as he is susceptible to the temptations of each. Dialogue: 0,0:01:04.08,0:01:09.05,Default,,0000,0000,0000,,And the trick for this soul is to control Dialogue: 0,0:01:09.05,0:01:14.05,Default,,0000,0000,0000,,and to regulate these addictions, to keep them under control. Dialogue: 0,0:01:14.05,0:01:17.00,Default,,0000,0000,0000,,Now I give you this picture because Dialogue: 0,0:01:17.00,0:01:23.10,Default,,0000,0000,0000,,I think it is a good picture of modern democratic government. Dialogue: 0,0:01:23.10,0:01:26.00,Default,,0000,0000,0000,,Modern democratic government too, is pulled Dialogue: 0,0:01:26.00,0:01:28.01,Default,,0000,0000,0000,,by these two separate kinds of addictions. Dialogue: 0,0:01:28.01,0:01:31.02,Default,,0000,0000,0000,,Constantly pulled by craziness. Dialogue: 0,0:01:31.02,0:01:35.07,Default,,0000,0000,0000,,Craziness to one side for the people, or at least wrongly, Dialogue: 0,0:01:35.07,0:01:37.08,Default,,0000,0000,0000,,as the people push the government to do what Dialogue: 0,0:01:37.08,0:01:40.04,Default,,0000,0000,0000,,is not in the public interest. Dialogue: 0,0:01:40.04,0:01:41.08,Default,,0000,0000,0000,,Think of Peronism, Dialogue: 0,0:01:41.08,0:01:44.10,Default,,0000,0000,0000,,or the kind of populism that drove the Dialogue: 0,0:01:44.10,0:01:49.03,Default,,0000,0000,0000,,banking and housing bubble in the United States. Dialogue: 0,0:01:49.03,0:01:52.04,Default,,0000,0000,0000,,Or in the other hand, an addiction to special interests, Dialogue: 0,0:01:52.04,0:01:56.09,Default,,0000,0000,0000,,let's call them "incumbents", constantly tempting the government Dialogue: 0,0:01:56.09,0:01:59.03,Default,,0000,0000,0000,,to do something crazy for public policy Dialogue: 0,0:01:59.03,0:02:01.03,Default,,0000,0000,0000,,in the name of benefiting the incumbents. Dialogue: 0,0:02:01.03,0:02:04.02,Default,,0000,0000,0000,,And here, in the United States at least, you can think about Dialogue: 0,0:02:04.02,0:02:08.08,Default,,0000,0000,0000,,just about every major policy issue where this addiction Dialogue: 0,0:02:08.08,0:02:10.06,Default,,0000,0000,0000,,has had its role. Dialogue: 0,0:02:10.06,0:02:12.08,Default,,0000,0000,0000,,Each of these pulling constantly, Dialogue: 0,0:02:12.08,0:02:17.09,Default,,0000,0000,0000,,constantly tempting, always the government is vulnerable. Dialogue: 0,0:02:17.09,0:02:22.03,Default,,0000,0000,0000,,Always, as libertarians insist, it is dangerous Dialogue: 0,0:02:22.03,0:02:25.03,Default,,0000,0000,0000,,because it can always be exploited Dialogue: 0,0:02:25.03,0:02:30.04,Default,,0000,0000,0000,,by one of these two sources at least, Dialogue: 0,0:02:30.04,0:02:35.01,Default,,0000,0000,0000,,the temptations of the incumbents. Dialogue: 0,0:02:35.01,0:02:39.09,Default,,0000,0000,0000,,OK now, the Internet is a platform, Dialogue: 0,0:02:39.09,0:02:41.05,Default,,0000,0000,0000,,it is an architecture, Dialogue: 0,0:02:41.05,0:02:46.00,Default,,0000,0000,0000,,it is an architecture with consequences. Dialogue: 0,0:02:46.00,0:02:48.06,Default,,0000,0000,0000,,It is an architecture that enables innovation, Dialogue: 0,0:02:48.06,0:02:52.05,Default,,0000,0000,0000,,or at least enables a certain kind of innovation. Dialogue: 0,0:02:52.05,0:02:56.04,Default,,0000,0000,0000,,Think of the history of innovation in the Internet. Dialogue: 0,0:02:56.04,0:03:02.04,Default,,0000,0000,0000,,Netscape, started by a drop-out from undergraduate university. Dialogue: 0,0:03:02.04,0:03:04.04,Default,,0000,0000,0000,,Hotmail, started by an Indian immigrant, sold to Dialogue: 0,0:03:04.04,0:03:07.00,Default,,0000,0000,0000,,Microsoft for 400 million dollars. Dialogue: 0,0:03:07.00,0:03:11.08,Default,,0000,0000,0000,,ICQ, started by an Israeli kid and then his father, who was here, Dialogue: 0,0:03:11.08,0:03:14.02,Default,,0000,0000,0000,,selling it to AOL for 400 million dollars. Dialogue: 0,0:03:14.02,0:03:17.02,Default,,0000,0000,0000,,Google, started by two Stanford dropouts. Dialogue: 0,0:03:17.02,0:03:21.00,Default,,0000,0000,0000,,Napster, started by a dropout and someone who Dialogue: 0,0:03:21.00,0:03:22.10,Default,,0000,0000,0000,,hadn't yet been able to be a dropout, Dialogue: 0,0:03:22.10,0:03:24.09,Default,,0000,0000,0000,,sitting on this panel, here, today. Dialogue: 0,0:03:24.09,0:03:28.00,Default,,0000,0000,0000,,Youtube, started by two Stanford students. Dialogue: 0,0:03:28.00,0:03:35.10,Default,,0000,0000,0000,,Kazaa and Skype, started by kids from Denmark and Sweden. Dialogue: 0,0:03:35.10,0:03:38.06,Default,,0000,0000,0000,,And then, of course, Facebook, and Twitter, started by kids. Dialogue: 0,0:03:38.06,0:03:42.00,Default,,0000,0000,0000,,What unites all of these innovations? Dialogue: 0,0:03:42.00,0:03:48.04,Default,,0000,0000,0000,,They were all done by kids, dropouts, and non-americans. Dialogue: 0,0:03:48.04,0:03:50.04,Default,,0000,0000,0000,,Outsiders. Dialogue: 0,0:03:50.04,0:03:54.08,Default,,0000,0000,0000,,Because this is what that architecture invited. Dialogue: 0,0:03:54.08,0:03:58.07,Default,,0000,0000,0000,,It invited outsider innovation. Dialogue: 0,0:03:58.07,0:04:05.06,Default,,0000,0000,0000,,Now, outsider innovation threatens the "incumbents". Dialogue: 0,0:04:05.06,0:04:08.01,Default,,0000,0000,0000,,Skype threatens telephone companies. Dialogue: 0,0:04:08.01,0:04:11.00,Default,,0000,0000,0000,,Youtube threatens television companies. Dialogue: 0,0:04:11.00,0:04:13.04,Default,,0000,0000,0000,,Netflix threatens cable companies. Dialogue: 0,0:04:13.04,0:04:16.07,Default,,0000,0000,0000,,Twitter threatens sanity - Dialogue: 0,0:04:16.07,0:04:18.09,Default,,0000,0000,0000,,not that sanity was ever an incumbent. Dialogue: 0,0:04:18.09,0:04:25.00,Default,,0000,0000,0000,,But then the threatened respond to this threat. Dialogue: 0,0:04:25.00,0:04:30.06,Default,,0000,0000,0000,,By turning to the addict, modern democratic government, Dialogue: 0,0:04:30.06,0:04:34.07,Default,,0000,0000,0000,,and using drug of choice (which in the United States at least Dialogue: 0,0:04:34.07,0:04:37.09,Default,,0000,0000,0000,,is an endless amount of campaign cash), Dialogue: 0,0:04:37.09,0:04:42.06,Default,,0000,0000,0000,,using that drug to secure the protection Dialogue: 0,0:04:42.06,0:04:50.01,Default,,0000,0000,0000,,against these threats that the incumbent faces. Dialogue: 0,0:04:50.01,0:04:54.04,Default,,0000,0000,0000,,Now this was the point that I think president Sarkozy missed yesterday, Dialogue: 0,0:04:54.04,0:04:57.07,Default,,0000,0000,0000,,and the question that Jeff Jarvis raised when he suggested Dialogue: 0,0:04:57.07,0:05:00.02,Default,,0000,0000,0000,,that the principle that should be carried to the G8 Dialogue: 0,0:05:00.02,0:05:03.08,Default,,0000,0000,0000,,is that the government "do no harm". Dialogue: 0,0:05:03.08,0:05:05.07,Default,,0000,0000,0000,,President Sarkozy said, no, but we have important Dialogue: 0,0:05:05.07,0:05:08.08,Default,,0000,0000,0000,,policy issues to resolve. But here is the point. Dialogue: 0,0:05:08.08,0:05:13.02,Default,,0000,0000,0000,,We get that there are "hard policy" issues here. Dialogue: 0,0:05:13.02,0:05:17.04,Default,,0000,0000,0000,,From copyright, to privacy to security to the problem of monopoly. We get it. Dialogue: 0,0:05:17.04,0:05:22.05,Default,,0000,0000,0000,,The point is, is we don't trust the answers the Dialogue: 0,0:05:22.05,0:05:24.04,Default,,0000,0000,0000,,government gives. Dialogue: 0,0:05:24.04,0:05:27.06,Default,,0000,0000,0000,,And for good reasons we don't trust these answers, Dialogue: 0,0:05:27.06,0:05:31.04,Default,,0000,0000,0000,,because on issue after issue, the answer that Dialogue: 0,0:05:31.04,0:05:35.08,Default,,0000,0000,0000,,modern democratic government has given here, Dialogue: 0,0:05:35.08,0:05:39.02,Default,,0000,0000,0000,,is an answer that happens to benefit Dialogue: 0,0:05:39.02,0:05:41.02,Default,,0000,0000,0000,,the incumbents. Dialogue: 0,0:05:41.02,0:05:45.05,Default,,0000,0000,0000,,And ignores an answer that might actually Dialogue: 0,0:05:45.05,0:05:49.01,Default,,0000,0000,0000,,encourage more innovation. Dialogue: 0,0:05:49.01,0:05:51.07,Default,,0000,0000,0000,,So think for example about the matter of copyright. Dialogue: 0,0:05:51.07,0:05:55.02,Default,,0000,0000,0000,,Of course we need a system of copyright Dialogue: 0,0:05:55.02,0:05:58.06,Default,,0000,0000,0000,,that guarantees that creators get compensated Dialogue: 0,0:05:58.06,0:06:01.04,Default,,0000,0000,0000,,and secures their independence to create. Dialogue: 0,0:06:01.04,0:06:05.04,Default,,0000,0000,0000,,No one serious denies that we have to have Dialogue: 0,0:06:05.04,0:06:08.02,Default,,0000,0000,0000,,that system of protection. Dialogue: 0,0:06:08.02,0:06:12.06,Default,,0000,0000,0000,,The question is not whether copyright should be protected. Dialogue: 0,0:06:12.06,0:06:16.03,Default,,0000,0000,0000,,The question is how to protect copyright Dialogue: 0,0:06:16.03,0:06:17.06,Default,,0000,0000,0000,,in a digital era. Dialogue: 0,0:06:17.06,0:06:19.09,Default,,0000,0000,0000,,Whether the architecture of copyright, Dialogue: 0,0:06:19.09,0:06:22.01,Default,,0000,0000,0000,,built for the XIX century, Dialogue: 0,0:06:22.02,0:06:25.00,Default,,0000,0000,0000,,continues to make sense in the XXI. Dialogue: 0,0:06:25.00,0:06:30.06,Default,,0000,0000,0000,,And what is the architecture that would make sense in the XXI? Dialogue: 0,0:06:30.06,0:06:36.06,Default,,0000,0000,0000,,Now, is this the question the government is asking? Dialogue: 0,0:06:36.06,0:06:38.06,Default,,0000,0000,0000,,I think the answer to that is no. Dialogue: 0,0:06:38.06,0:06:42.09,Default,,0000,0000,0000,,Instead, what the government is proposing, Dialogue: 0,0:06:42.09,0:06:45.05,Default,,0000,0000,0000,,around the world, specially here, Dialogue: 0,0:06:45.06,0:06:47.10,Default,,0000,0000,0000,,and I apologize to my colleagues from France, Dialogue: 0,0:06:47.10,0:06:49.08,Default,,0000,0000,0000,,but this is a technical legal term. Dialogue: 0,0:06:49.08,0:06:54.06,Default,,0000,0000,0000,,The proposal suggested here is a "brain-dead" Dialogue: 0,0:06:54.06,0:07:00.10,Default,,0000,0000,0000,,3-strikes proposal that happens to benefit incumbents. Dialogue: 0,0:07:01.01,0:07:05.05,Default,,0000,0000,0000,,Ignoring the potential of innovation that could come from Dialogue: 0,0:07:05.06,0:07:07.10,Default,,0000,0000,0000,,a new architecture for securing copyright. Dialogue: 0,0:07:07.10,0:07:11.04,Default,,0000,0000,0000,,And you don't have to take my view for this. Dialogue: 0,0:07:11.04,0:07:14.05,Default,,0000,0000,0000,,The recent report from the conservative government in Britain, Dialogue: 0,0:07:14.05,0:07:17.06,Default,,0000,0000,0000,,the Hargreaves report, says of copyright: Dialogue: 0,0:07:17.06,0:07:20.02,Default,,0000,0000,0000,,"Could it be true that laws designed more than three centuries Dialogue: 0,0:07:20.02,0:07:23.06,Default,,0000,0000,0000,,ago with the express purpose of creating economic Dialogue: 0,0:07:23.06,0:07:25.02,Default,,0000,0000,0000,,incentives for innovation, Dialogue: 0,0:07:25.02,0:07:27.09,Default,,0000,0000,0000,,by protecting creators' rights Dialogue: 0,0:07:27.09,0:07:31.03,Default,,0000,0000,0000,,are today obstructing innovation and economic growth?" Dialogue: 0,0:07:31.03,0:07:33.05,Default,,0000,0000,0000,,The short answer is: "yes". Dialogue: 0,0:07:33.05,0:07:37.09,Default,,0000,0000,0000,,"In the case of copyright policy, there is no doubt Dialogue: 0,0:07:37.09,0:07:40.03,Default,,0000,0000,0000,,that the persuasive powers of celebrities and Dialogue: 0,0:07:40.03,0:07:42.02,Default,,0000,0000,0000,,important UK creative companies Dialogue: 0,0:07:42.02,0:07:44.08,Default,,0000,0000,0000,,have distorted policy outcomes." Dialogue: 0,0:07:44.08,0:07:48.04,Default,,0000,0000,0000,,And not just, I suggest, in the UK. Dialogue: 0,0:07:48.04,0:07:50.08,Default,,0000,0000,0000,,Think about the question of broadband policy. Dialogue: 0,0:07:50.08,0:07:53.05,Default,,0000,0000,0000,,Europe, has actually been quite successful, Dialogue: 0,0:07:53.05,0:07:57.01,Default,,0000,0000,0000,,in pushing competition in broadband, Dialogue: 0,0:07:57.01,0:07:59.09,Default,,0000,0000,0000,,and therefore pushing broadband growth. Dialogue: 0,0:07:59.09,0:08:05.07,Default,,0000,0000,0000,,The US has been a dismal failure in this respect. Dialogue: 0,0:08:05.07,0:08:09.04,Default,,0000,0000,0000,,As we watch the US going from number 1 in broadband penetration, Dialogue: 0,0:08:09.04,0:08:12.02,Default,,0000,0000,0000,,now to, depending on the scale, Dialogue: 0,0:08:12.02,0:08:15.05,Default,,0000,0000,0000,,number 18, 19, or 28. Dialogue: 0,0:08:15.05,0:08:19.02,Default,,0000,0000,0000,,And that change is because of policies that Dialogue: 0,0:08:19.02,0:08:21.09,Default,,0000,0000,0000,,effectively block competition Dialogue: 0,0:08:21.09,0:08:25.04,Default,,0000,0000,0000,,for broadband providers. Dialogue: 0,0:08:25.04,0:08:28.06,Default,,0000,0000,0000,,Their answer, these broadband providers brought to Dialogue: 0,0:08:28.06,0:08:30.08,Default,,0000,0000,0000,,our government, and got our government to impose Dialogue: 0,0:08:30.08,0:08:36.01,Default,,0000,0000,0000,,actually benefited them and destroyed the incentives Dialogue: 0,0:08:36.01,0:08:38.04,Default,,0000,0000,0000,,for them to compete in a way that would drive Dialogue: 0,0:08:38.04,0:08:41.08,Default,,0000,0000,0000,,broadband penetration. Dialogue: 0,0:08:41.08,0:08:44.00,Default,,0000,0000,0000,,I think in light of these examples, Dialogue: 0,0:08:44.00,0:08:47.06,Default,,0000,0000,0000,,it is completely fair to be skeptical Dialogue: 0,0:08:47.07,0:08:50.08,Default,,0000,0000,0000,,of the anwer modern democratic governments give. Dialogue: 0,0:08:50.09,0:08:53.04,Default,,0000,0000,0000,,We should say to modern democratic government, Dialogue: 0,0:08:53.05,0:08:59.09,Default,,0000,0000,0000,,you need to beware of incumbents bearing policy fixes. Dialogue: 0,0:08:59.09,0:09:02.02,Default,,0000,0000,0000,,Because their job, the job of the incumbents, Dialogue: 0,0:09:02.02,0:09:06.07,Default,,0000,0000,0000,,is not the same as your job, the job of the public policy maker. Dialogue: 0,0:09:06.07,0:09:10.03,Default,,0000,0000,0000,,Their job is profit for them. Dialogue: 0,0:09:10.03,0:09:12.03,Default,,0000,0000,0000,,Your job is the public good. Dialogue: 0,0:09:12.03,0:09:15.06,Default,,0000,0000,0000,,And it is completely fair, for us to say, Dialogue: 0,0:09:15.06,0:09:19.05,Default,,0000,0000,0000,,that until this addiction is solved, we should Dialogue: 0,0:09:19.05,0:09:23.02,Default,,0000,0000,0000,,insist on minimalism in what government does. Dialogue: 0,0:09:23.02,0:09:26.01,Default,,0000,0000,0000,,The kind of minimalism Jeff Jarvis spoke off when he Dialogue: 0,0:09:26.01,0:09:28.05,Default,,0000,0000,0000,,spoke of "do no harm". Dialogue: 0,0:09:28.05,0:09:32.02,Default,,0000,0000,0000,,An internet that embraces principles of open and free Dialogue: 0,0:09:32.02,0:09:35.09,Default,,0000,0000,0000,,access, a neutral network to guarantee Dialogue: 0,0:09:35.09,0:09:41.02,Default,,0000,0000,0000,,this open access, to protect the outsider. Dialogue: 0,0:09:41.02,0:09:44.06,Default,,0000,0000,0000,,But here is the one think we know about this meeting, Dialogue: 0,0:09:44.06,0:09:48.08,Default,,0000,0000,0000,,and its relationship to the future of the internet. Dialogue: 0,0:09:48.08,0:09:50.09,Default,,0000,0000,0000,,The future of the internet is not Twitter, Dialogue: 0,0:09:50.09,0:09:53.08,Default,,0000,0000,0000,,it is not Facebook, it is not Google, Dialogue: 0,0:09:53.08,0:09:57.01,Default,,0000,0000,0000,,it is not even Rupert Murdoch. Dialogue: 0,0:09:57.01,0:10:01.04,Default,,0000,0000,0000,,The future of the internet is not here. Dialogue: 0,0:10:01.04,0:10:05.06,Default,,0000,0000,0000,,It wasn't invited, it does not even know how to be invited, Dialogue: 0,0:10:05.06,0:10:09.06,Default,,0000,0000,0000,,because it doesn't yet focus on policies and fora like this. Dialogue: 0,0:10:09.06,0:10:14.05,Default,,0000,0000,0000,,The least we can do is to preserve the architecture Dialogue: 0,0:10:14.05,0:10:17.07,Default,,0000,0000,0000,,of this network that protects this future Dialogue: 0,0:10:17.08,0:10:19.04,Default,,0000,0000,0000,,that is not here. Dialogue: 0,0:10:19.06,0:10:21.10,Default,,0000,0000,0000,,Thank you very much.