The Golden Age of Piracy
An exploration of the evolution, motivation and attitudes behind Australia’s high rates of piracy and the slow demise of the cultural institution that is the local video store.
Photo: Derek de Vreugt.
During the 12 hours following the US broadcast of the final episode in Game of Thrones season four, an estimated 1.5 million people downloaded a copy of the hit HBO show. As news of these record piracy rates made headlines around the world a debate about screen business models failing to meet the demands of consumers escalated in Australia.
For Derek de Vreugt, the owner of Picture Search, a video rental shop in the inner Melbourne suburb of Richmond, the news did not come as a surprise. In recent years he has experienced a slow but steady downturn in business and after 14 years in the rental game he now finds himself on the frontline of Australia’s piracy wars.
The Golden Age of Piracy is a five part documentary series that shares Derek’s story alongside a series of interviews with Hollywood studio executives, technology company pioneers, digital activists and anonymous pirates.
Interviews include:
Jeffery Katzenberg (DreamWorks SKG), Cory Docotorow (BoingBoing), Kim Dot Com (MEGA), Beau Willimon (House of Cards), Matthew Deaner (Screen Producers Association), Robert Connelly (filmmaker), ‘Pirates’ and more.
The Golden Age of Piracy is available to view exclusively on abc.net.au/arts. Follow and share the series @ABCArts #dvdDerek #TVpiracy
Comments (44)
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Ajdin :
11 Aug 2014 5:54:02pm
I have to say I disagree strongly with this series. The approach is all wrong.
Either a plurality or majority of the time is spent talking about the video store and its decline. What has internet piracy got to do with that? How about the massive development of LEGAL internet downloads of content. The fact is, the video store would have died EVEN IF there were no internet piracy. $8 for a week's rental? There are legitimate distribution channels on the internet that would be cheaper than that and would provide instant download. And what about the FREE content such as that offered by ABC on iView? Or SBS? Content which is easily watched on smart TVs and the like.
I like the idea of exploring piracy and its ramifications, but this particular instance is so far off the mark it is ridiculous. This is coming from someone who likes DVDs and prefers them in that form, incidentally -- but recognises that the majority are moving to downloads, including legitimate ones. -
Nik Cubrilovic :
07 Aug 2014 12:11:34pm
> By June 17 2014, a mere 12 hours after the final Games of Thrones episode in season four aired in the US, an estimated 1.5 million Australians had downloaded a copy of the hit HBO show.
That should be 1.5 million *total* downloads - not Australian downloads. There are no real accurate figures for Australian-based downloads outside of those provided by industry groups, and they don't need the ABC's help in making their case.
The real figure is much, much smaller than the 1.5M figure. -
An :
06 Aug 2014 7:14:55pm
I love going to this shop. It's fantastic!
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Foolhardy Cousin George :
05 Aug 2014 3:54:39pm
Do the people involved in the making of this series; both in front of the camera and behind the scenes, know that you're permitting people to watch it for free ONLINE?!
I just checked and the ABC is still showing on my television.
False alarm, everybody. -
ursula le guin's clone :
01 Aug 2014 5:54:31pm
Where is the empirical research to support the assertion that Australia is a big pirating nation? And I do NOT mean research sponsored by Village Roadshow.
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tama :
30 Jul 2014 8:59:43pm
For years now the movies we hired that are so full of adverts that you cant fast forward through have been well and truly overpriced , i was so sick of being forced to watch adverts when i just paid for the movie that i decided enough , i watch everything i like online skip thru adverts , and yes a video store hiring vhs and dvd in 2014 well its outdated times up and yes you should have seen that coming , i have watched the garbage about piracy and crime being related but thats just rubbish ppl download movies for themselves to watch no point trying to sell something you can see for free on the net !
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Peter of AUS :
30 Jul 2014 6:30:45pm
I still don't understand how downloading something for free on the internet is a bad thing.
Surely the actual act of piracy is the cracking of the original and removal of the copy-protection. That's usually DVDs, or an inside job by an employee.
How is finding something for free on the internet and downloading it illegal? -
a happy little debunker :
30 Jul 2014 4:36:54pm
Lots of sensible comments here that should give, the Entertainment marketing channel, food for thought.
(The very marketing channel that introduced digital entertainment to cut their costs - now decries those that use digital entertainment to cut their costs)
Your old business model is broken - get a new one! -
Brett :
30 Jul 2014 3:24:06pm
HBO actively excluded Australia from it's online delivery and withdrew from iTunes. This was to sell the exclusive rights to Foxtel. HBO and the actors have been paid, it is the Foxtel monopoly in Australia that is loosing out. Why should we have restricted access to content we would be happy to pay for just because the rights have been sold to one form of delivery. The difference between the old video store and Foxtel is that you could get just the content you want, you didn't have to hire the whole store.
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ken oath :
30 Jul 2014 2:46:58pm
I see all new movies, usually before they are even released here, for free. I see every new series or cable show, for free. I have not paid to watch anything since I can't remember when. I only once bought 2 itunes.
The small people/artists complaining ... well bad luck. The blame lays directly with those greedy corporations/companies who thought it was such a great idea to dishonestly bleed us dry for YEARS. Ha ha, look what it got you?
You can only beat a person for so long before they learn to get along without you ... and they will never go back. -
Stu Gerrard :
30 Jul 2014 1:59:49pm
I disagree with piracy, I want to see companies like HBO thrive and continue to produce quality TV drama. However I do believe they need to change some of their policies. I guiltily copied the second series of Game of Thrones from a work colleague with the intention to buy the DVD when it came out months later. This I did but I don't see why I have to wait so long for a show I want to buy. In my experience most people have no such scruples and happily pirate anything they can get their hands on. That mindset starts somewhere and the weird and nonsensical policies of the companies controlling release of DVDs must be at least partly to blame.
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David Collins :
30 Jul 2014 1:33:29pm
Perhaps if the companies who have millions of dollars to pay the exorbitant salaries of Hollywood Celebrities hadn't spent decades ripping off Australian consumers by charging exorbitant prices for media content while at the same time decrying the myth of the end of the industry every year, people might have some sympathy. We are treated like cash cows for these multinational companies who pay hardly any tax and continually charge Aussies double what content costs overseas. Furthermore, we are forced to wait for the release of content which in today's technical age should be available in syndication. Charging someone $30 for an overdue movie or game when they have already paid up to $6 per night to hire it has led to people walking away from the DVD chains in droves. The moral: if you treat consumers like fools don't cry when they desert you.
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Erika :
30 Jul 2014 1:14:48pm
I find the hypocracy of the law astonishing. It is acceptable for the entertainment industry to release product to Australian consumers in their own sweet time and charge us a premium for the privilege. It is acceptable for banks and a variety of other businesses to slap fees on anything and everything, e.g. those "service" fees they love. It is acceptable for pay TV companies to "bundle" their services and charge us for crap we don't want and don't need.
On the flip side, if some muggins gets a torrent download of a movie or a song, they could be liable to prosecution. God help you if the bank makes a mistake in your favour and you spend the money instead of pointing it out to them immediately.
When it comes to individual consumers versus big companies, it's a case of heads the big company wins, tails the individual loses.
While I do have sympathy for small, independent artists, I have no sympathy for the big players. -
Doctor Nik :
30 Jul 2014 1:02:20pm
How many Blacksmiths does society still have?
Milkmen? Sheep shearers? Film developers? Book retailers? Typists? VCR/TV repairers? Switchboard operators?
The anti-piracy brigade disguise their failure to adapt behind a torrent (pardon the pun) of self-serving accusation.
Honest consumers will pay honest money at honest prices to acquire content honestly if it is honestly presented in the honest form that they want. The problem is that it IS NOT!
How DARE the producers blame the consumers for looking elsewhere when the required modern demand, favor and technology is not being incorporated into the producer's own enterprises? -
mike j :
30 Jul 2014 12:41:48pm
Hey, Derek. Isn't it illegal to live on commercial premises? Does the lessor know? Is the area zoned residential? Does your insurance cover tenants in the building?
I know it's easier to just blame 'pirates' for the decline of VHS tape rentals, but perhaps it's time you took some personal responsibility for clinging to an obsolete business model while far superior distribution outlets spring up all over the world.
No-one hires videos any more, dude. Wake up and smell the 21st Century.-
lastonestanding :
30 Jul 2014 5:13:26pm
I do...
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Derek :
20 Sep 2014 3:24:05pm
ouch! now I know how celebrity's feel when people they don't know attack them. I was answering questions & not complaining & agree. What is a dvd but a man-made concept that will be obsolete? I was very tired, not sad(music aided that). Why is someone defensively attacking me? I won't be reading more of these
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Paul :
30 Jul 2014 12:37:46pm
Digital products are such a good idea. But I do feel that no matter how cheap they become there will always be misled people who believe that anything online is meant to be free – no matter how much work has been put in to produce a product. It's upsetting to hear this argument, empowered by a digital medium.
As one who creates digital content in Australia and sells it across the globe through a distributor, it's awful when I hear a person say 'everything should be free on the net', sometimes even talking about my own work! Imagine your job (plumber, electrician, sales staff, security guard, whatever it is that you do) being undercut for free, just because someone out there can afford to do it – for a day, a week or longer. “Rise of the Bored Pensioners” - rated M. That's not nice though, is it? Anyone who has a paid job realises how precious that job is. So what's the mentality of the pirate (pensioner, pre-pubescent or in-betweener) who takes that livelihood away 'just for fun – because they can'? It's the lowest moral highground, in my opinion. We all fight to get a job, to build a life, to make a difference for ourselves in the future. Piracy adds nothing to what's good about life. Nothing at all.
However, I'm not here to protect the uber wealthy at the top of the pyramid. Those in the well paid digital industries of this world would be doing themselves no harm if they too showed some respect and evened out the price of digital content across the globe. Show courage! And if they can't do that.. Don't pirate people, just reduce you dependance on the goods and services supplied by the distributors – not the artists, please, as they have absolutely no say in the final price when it's handed by the distributors – believe me, I'm one of them struggling digital artists!
PS What's Game of Thrones?
PPS It's possible to find free digital downloads by using a very popular and well known search engine - and this same search engine business sells and distributes works in digital form. That doesn't make sense. A search engine that sells digital products and lists the pirates? Go figure. -
NIL :
30 Jul 2014 12:28:44pm
Piracy is the means for people in this age to become discerning consumers. It gives people the ability to sample products, in their entirety, before determining if the product is worth their (most often) limited disposable income.
Most people are happy to pay for their goods. You make it too expensive and not worth our money, itll get pirated because the product is not cost-effective for the consumer.
It’s more of business dictating to consumers what a product is worth instead of what it should be (in this age of instant, digital accessibility): Consumers dictating to BUSINESSES what their product is worth. -
Mark :
30 Jul 2014 11:56:06am
The biggest cause of large piracy rates in Australia is our cultural aversion to paying for TV. Pay TV was blocked from starting in Australia for so long, to protect the free-to-air channels, that Australians have a deeply ingrained view that television shows, and to a lesser extent movies, should be free. You don't just see this in piracy rates, you see it with the existence of anti-siphoning legislation that requires key sporting events to be shown on free-to-air TV. Free TV is seen as a right...forget the fact that the shows we watch actually cost a substantial amount of money to make.
It really is a strange behaviour. Australians are generally honest and most of us would not steal or cheat others out of money even if we had the opportunity to. With almost all goods and services, if we can't afford something we don't think it's okay to just steal it. However, that decency goes out the window when it comes to TV shows and movies.
The fact is, with our cultural attitudes to TV and movies, the majority of pirates in Australia will not pay for TV shows or movies and will continue to pirate them regardless of how cheap or accessable they are.
These behaviours are contributing to the lack of access and high price issues, rather than helping to resolve them. Live streaming companies like Netflix and Hulu and the TV channels are reluctant to invest in providing their services and shows to Australians because they are concerned, with good reason I believe, that we will just continue to pirate shows anyway.
Take Game of Thrones as an example. Season 3 episodes were made available on itunes within a day of being screened in the US, for $2.99 an episode in HD. Australia was the only country in the world to get that service. HBO made a genuine attempt to address the concerns of Australian pirates. They accepted a lower payment from Foxtel than they could have received for giving them exclusive screening. And what was the outcome? Piracy rates for that season were just as bad as for the two previous seasons. When season 4 came around, you really could hardly blame HBO for just taking the upfront money from Foxtel and giving them exclusive screening. -
Shaun :
30 Jul 2014 11:21:05am
Next we will have blacksmiths blaming Online gaming for the demise of the Horse Shoeing industry ... come on. Does anyone seriously believe so called "Piracy" is responsible for the close of the local video store ..
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Mat Mat :
30 Jul 2014 11:02:26am
Lovely heartfelt piece.
This fails. Understand the economics of digital reproduction and international trade.
It costs nearly nothing to copy.
It costs nearly nothing to dump product in markets that do not belong to US business. This is the Internet.
Why should Chinese citizens pay for American products that are produced for Americans?
Nothing is stolen. Nothing is lost. -
The Greatest ®:
30 Jul 2014 10:49:12am
Piracy isn't complex. When people have the opportunity to obtain something quickly and easily, and for free, it will beat all other forms of obtaining that product. As more people discover how to pirate, piracy grows. And so do the justifications. It all comes down to laziness and greed on the part of the average consumer.
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Kevin :
30 Jul 2014 10:43:24am
No mention of the international pirates who continue to market region-coded discs and players despite the practice being found illegal some 20 years ago? The government is gutless to allow the practice to continue.
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James :
30 Jul 2014 10:29:04am
Piracy in Australia is a two way street. Yes a lot of people in Australia download programs from the internet without the authorisation of the copy write holders. However a large number of digital distributors unfairly charge Australian consumers excessive amounts for digital content. There are extensive lists of software, music and audio from multiple sources that are more expensive in Australia simply because there is a lack of available competition. This is price gouging and no less morally wrong than piracy. I have recently heard Foxtel say that their "direct from the US" program should allow Australian consumers to stop pirating shows, however in order to access those channels you have to buy and install a complete package from Foxtel on a contact with a bunch of channels you don't want, people will not do that when there is an easier and cheaper alternative. The Australian Consumer is willing to pay for product, indeed many are actually paying to access the product illegally through subscriptions to torrent and warez websites. Kim Dotcom made hundreds of millions of dollars doing that. Just think of it, ordinary people paying hundreds of millions of dollars to access content illegally but in a format and time that suits them. Imagine what would happen should distributors break out of their current mindset and embrace that concept in addition to fair pricing across all international regions.
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Jeremy :
30 Jul 2014 9:57:44am
Derek should sell his business immediately. It doesn't matter what the piracy laws are and how well they are enforced, the idea of getting media on disks is disappearing, and it's never going to come back. People increasingly don't even have the ability to play disks. Many computers now come without disk drives, tablets certainly don't have them. Physical disks are already technologically redundant, and it's only because of the inability to effectively legally get TV and Movies on demand in Australia that people would still use them here. We have the highest piracy per capita in the world, but we also have some of the highest disk sales per capita, and clearly this is merely a consequence of having less options for obtaining media than the rest of the developed world.
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Mmmmm :
30 Jul 2014 9:52:49am
It's time for the corporates to remodel their retail channels. 20th century marketing models are not relevant with digital technologies the notion that Australia is a separate market segment does not wash. If you are internet connected you are part of the same market segment where ever you are in the world and given exchange rates and local taxes, there should be no reason for digital content to be more expensive here than in the US or other country.
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Register :
30 Jul 2014 9:12:30am
As another commenter said - The DVD shop going out of business has nothing to do with piracy at all.
DVDs are out dated and next to irrelevent. Derek is at fault here for not keeping up with new technology. Would he have had a business today if he stuck with Betamax and VHS?
Derek kmissed the boat (like a lot of media companies) - He should have changed his business model to match new technology and demand. An on-line catalog, and fast home delivery (and home collection) could have helped?
No - instead, he sits in his shop expecting others to do the work for him.
We live in a world where technology is changing very, very rapidly - People who don't get this should not be working in a technology related job (Derek).
Media is a technology driven market - If you don't change and adapt to every change in technology then you go out of business...
What is odd, is that Hollywood drives so much technology change, and then refuses to adopt any of it to make money... -
Jamie :
30 Jul 2014 9:01:25am
Australians pay twice as much for everything compared to the American people. Even the Governments here are ripping us up the guts, so, when something comes along for free, what do you expect?
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diolge :
30 Jul 2014 8:44:19am
And music, tv and movie companies still purvey that furphy about how every illicit download represents one lost sale. This is garbage and they know it. They know they are lying. Most people only download unofficially because it is easy to do without becoming enmired in bureaucratic bullshit, not because they desperately want the product. If legal downloads were like this, they would increase and illegal downloads would decline.
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solara :
30 Jul 2014 8:32:37am
We in the west of australia are being ripped off for everything so our only way of hitting back is to download content.Retailers will not get any sympathy from us as they have bought it on themselves.
Its amazing that governments will do just about anything to stop the piraters but 'you tube' can do the same thing legitimately,as usual money talks. -
Jamie :
30 Jul 2014 8:12:11am
I am surprised that the ABC are promoting anti-piracy propaganda that is based on the minimal amount of research possible. It's like these videos were written by children that just discovered how to use Google but just couldn't quite understand what they were reading.
It is crystal clear that the ABC is doing the federal government's dirty work in order to get draconian copyright laws passed that will be far more harsher than anywhere else on the planet. I would not be surprised if this message gets moderated because the ABC seem to hate free speech and independent thought.. unless it agrees with whatever line they're towing. -
gavin :
29 Jul 2014 12:15:26am
If the broadcasting studios want to keep ripping off the Australian consumer in terms of price and availability and an antiquated business model then I have no problem circumventing the system.
They have milked us for being 'far away' for too long and they got used to it.
I will not cry for them.-
Jim M from Sydney :
30 Jul 2014 9:49:38am
I don't pirate DVDs and videos, but I completely understand the comments about Australian consumers being ripped off.
How can th ebig Supermarkets import frozen $6 pizzas from Italy, but other stores add 200% extra mark-ups on products in Australia.
I regularly buy clothes, books, board games, chain saw loops and water filters cartridges from the U.S. and U.K. for less than half the best prices in Australia, even with the courier delivery added in.
We are being ripped off.
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jim :
28 Jul 2014 8:04:53pm
Piracy has nothing to do with video shops closing down. I moved to Australia from the US and was shocked to see that they were still so prevalent here. Before I got to Brisbane I hadn't seen a Blockbuster in 10 years. The world has moved on to itunes, googleplay, netflix, etc. All of those outlets are perfectly legal. If anything killed the video shops it was the outrageous late fees and a lack of home delivery. I was lucky enough to come over here with a US itunes account so I still pay a fair price. For everything else I block my IP address. I don't steal music or movies but I don't expect apple or google to steal from me just because I live in Australia.
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Will :
30 Jul 2014 10:25:53am
Yes.
Same here, Except I came here from EU in 2004.
I also remember the "Downfall of the cinema" due to Pirating. I remember in the 80's when that one started. (the downfall - not the pirating).
The downfall has more to do with gouging the film goer. When it got to be $100 to go out to the cinema with a couple of family members was when families stopped.
Honestly there s no way round this one, IT IS THE 21st CENTURY! People have the choice not to be paying the middlemen any more.
Australia Tax plays a prevalent part here too.
My computer doesn't even HAVE a dvd drive.
Enjoy buying your Adobe Suite for $1000 more than every where else. Just because they can.
Ugh.
Wake up people. -
Dean :
30 Jul 2014 1:20:04pm
I agree Jim, they might be able to eliminate piracy but the way of the video store will still go the way of the Dodo. Like you, I do not download anything illegally. I am quite happy to pay but I gave up on the video shops and their attitude problems a long time ago. I have also given up on free to air TV (except I did recently watch Fargo) and while we don't yet have Netflix there is still plenty of stuff to watch that can be streamed through the net, from ABC iview to SBS on demand to You Tube or Vimeo and the thing is, I get to choose what I want to watch not what the network schedules and I don't have to travel down to the video shop. It is only going to get even better when Netflix gets here. So, piracy? They might jump on it and eliminate it but we are heading into streamed viewing whether they like it or not. It is far easier and the choice is already, without Netflix in place, much more than anything that free to air, pay TV or the video shop will supply. As someone who loves documentaries, I have got a far greater choice through streaming than anything those other suppliers are willing to supply. Aside from that, I am sick of the mainstream media propaganda that we see on free to air and that gives me another reason to move towards streamed media information.
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Whirlwind :
28 Jul 2014 12:10:30pm
I have genuine empathy for the DVD shop owner who is facing economic ruin. Yet this is the same story we have seen throughout history. When the automobile became prevalent, the blacksmiths, the hostlers, the farriers and stableboys all were put out of work due to the introduction of a new technology. Likewise with bookshops, they are fast becoming an extinct form of retailing due to ebooks & formats like Kindle. I don't buy physical books anymore as an ebook is cheaper, I can get it instantly, I don't have to find shelving space for it and my phone doubles up as an ereader. The same goes for visual entertainment, I can get content via legitmate means instantly rather than having to travel, find parking etc just to get a few DVD's for the week. I have already sold off about a third of my DVD collection after I transferred it to my hard drives. I'll probably sell another third soon. I'll only buy very special collectors edition releases now [ie; Lord of the Rings/Hobbitt etc] as these rarely appear on legitimate content. As for pirating, the answer is simple: make content cheaper and get rid of geoblocking & exclusivity. That will see a massive decline in pirating. I totally oppose the current stealth moves by the government to crack down on piracy because it won't work. I instead encourage people to pirate MORE if they do enact it.
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Warshawski :
30 Jul 2014 10:18:16am
I have to agree, if the content is a reasonable price I am happy to pay for it but when they charge outragous prices what di you expect people to do? I can understand some premium for new release movies and music but once it has been out for a year or 2 it should drop in price to something reasonable. There are often great deals, multiple movie packs, etc when I am happy to buy the DVD or CD but I will not pay $30 for a CD that was released 10 years ago.
To stop (or more likely significantly reduce) piracy just drop the retail price to something reasonable.
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coyos :
28 Jul 2014 9:42:30am
Who can blame Australians for downloading movies and the like after being ripped off for years. To this day we are still being overcharged for books, DVD's and the cost of going to see a movie. As an example, on your next visit to a newsagent just check the RRP of a simple strip calendar for the fridge door. USA $9.99 Australia $19.99 and its made in China! Further, why should it be illegal to download a TV show that is free to air? Enough of this proposed censorship..Its only being driven by the large media moguls.
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brett caton :
28 Jul 2014 9:41:43am
It really staggered me how badly this program missed the point. Even given it's own example!
Take Game of Thrones (GoT).
Was it available at the DVD store? Nope! So how was it relevant to piracy closing DVD stores?
In places where it was available through legal channels, it sold very well. However, they made a decision to geoblock the aussie market - then later to charge them double or triple the price.
Of course Australians objected to this sort of gunboat diplomacy, and ignored their excessive levies.
Some journalists came out and said "look, just sneak in the back door and pretend to be an american, and pay US prices" - but then the studios said they'd prosecute anyone who paid a fair amount exactly the same as if they'd paid nothing at all.
So if you are going to be hanged as hard for being a wolf or a lamb, you might as well be a wolf.
And how did the Aussie government react?
Well, i'm not saying US corporations slipped them a few 'donations' in brown paper bags to keep them sweet, and i'm not saying the Australian gov't then promised to imprison any aussie who annoyed th americans, to take away their free speech, the freedom to write to others, to read what others say, all of which takes place over the internet.
I can never say that. Not when the people running the Australian government aren't answerable to the Australian public, but to foreign companies.-
gavin :
29 Jul 2014 12:12:43am
Ok, Game of Thrones is the hot example.
I dont have Foxtel, and im not getting Foxtel for the very few shows that I would want to watch.
PayTV is screwed in the US and its screwed here. Having to buy these channel packages is stupid from the consumers point of view and a damn gold mine for Foxtel.
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Also, I want to see it within 1 week of it being released in the US, but no its 'fast-tracked' to us with major delays.
Screw them. They want a marketing system that made sense in the 1990's. They cant continue this and survive.
I've bought GOT Seasons 1,2,3 on Ebay but to see it when my US friends were seeing it I had to pirate it.
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There are some great shows out there but they make it so difficult to purchase legitimately.
I can have the latest movie at near DVD quality within 30 minutes from the US, meanwhile its just now being shown in the cinemas in Australia.
Its just not good enough.
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