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Dead Head
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Back when I was a
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journalist--before I became a provider of digital content--I thought life would
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always be simple: I would write articles, and people would pay to read them.
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But then I heard about the impending death of intellectual property, a scenario
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painted by cyberfuturists John Perry Barlow and Esther Dyson. As all media move
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online, they say, content will be so freely available that getting paid to
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produce it will be hard, if not impossible. At first, I dismissed this as
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garden-variety, breathless overextrapolation from digerati social theorists.
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But even as I scoffed, the Barlow-Dyson scenario climbed steadily toward the
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rank of conventional wisdom.
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Barlow and Dyson do have a
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solution. In the future people like me, having cultivated a following by
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providing free content on the Web, will charge our devotees for services that
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are hard to replicate en masse. We will answer individual questions online,
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say, or go around giving speeches, or spew out insights at private seminars, or
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(this one is actually my idea) have sex with young readers. The key, writes
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Barlow, will be not content but "performance." Barlow, a former lyricist for
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the Grateful Dead, offers this analogy: The Dead let people tape concerts, and
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the tapes then led more people to pay for the concerts.
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The
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seminal version of the Barlow-Dyson thesis is Barlow's 10,000-word 1994 essay
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in Wired . It is with some trepidation that I challenge the logic of this
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argument. Barlow is a noted visionary, and he is famously derisive of people
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less insightful than himself (a group which, in his opinion, includes roughly
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everyone). He says, for example, that the ability of courts to deal correctly
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with cyberissues depends on the "depth of the presiding judge's
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clue-impairment." Well, at the risk of joining Barlow's long roster of the
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clue-impaired, here goes.
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Barlow's argument begins with a cosmic premise: "Digital
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technology is detaching information from the physical plane, where property law
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of all sorts has always found definition." This is wrong on two counts. First,
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all information does take physical form. Whether digital or analog, whether in
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ink or sound waves or synaptic firings or electrons, information always resides
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in patterns of matter or energy (which, as Einstein noted, are interchangeable
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manifestations of the physical world).
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To be
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sure, the significance of information is independent of its particular
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physical incarnation. So is its value. You download this article from Slate's
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servers and copy it onto your own hard disk, and it's still worth--well,
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nothing, but that's a . Suppose it were a Madonna video: You'd get just as much
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enjoyment out of it regardless of which particular bunch of electrons embodied
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it.
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B >ut this independence of meaning and value from physical incarnation
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is nothing new. It is as old as Sumerian tablets, to say nothing of the
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Gutenberg press. Indeed, the whole reason intellectual-property law exists is
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that people can acquire your information without acquiring the particular
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physical version of it that you created. Thus Barlow's belief that "property
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law of all sorts" has always "found definition" on the "physical plane" signals
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a distressing confusion on his part. The one sense in which it's true that
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information is "detached" from the "physical plane"--the fact that
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information's value transcends its physical incarnation--not only fails to
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qualify as an original insight, and not only fails to make
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intellectual-property rights obsolete; it's the very insight that led to
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intellectual-property rights in the first place! Barlow announces from the
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mountaintop: "It's fairly paradigm warping to look at information through fresh
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eyes--to see how very little it is like pig iron or pork bellies." Maybe so,
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but it's hard to say for sure, since the people who really did take that fresh
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look have been dead for centuries.
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If you somehow forced Barlow
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to articulate his thesis without the wacky metaphysics, he'd probably say
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something like this: The cost of copying and distributing information is
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plummeting--for many purposes, even approaching zero. Millions of people can
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now do it right at their desks. So in principle, content can multiply like
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fruit flies. Why should anyone buy an article when a copy can be had for
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nothing?
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Answer: Because it can't.
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The total cost of acquiring a "free" copy includes more than just the
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copying-and-transmitting costs. There's 1) the cost--in time and/or money--of
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finding someone who already has a copy, and will give it to you for free or for
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cheap; 2) the risk of getting caught stealing intellectual property; 3) any
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premiums you pay to others for incurring such risks (as when you get copies
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from bootleggers); and 4) informal punishments such as being labeled a cheat or
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a cheapskate. The size of this last cost will depend on how norms in this area
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evolve.
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Even in
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the distant future, the total cost of cheating on the system, thus figured,
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will almost never be zero. Yes, it will be way, way closer to zero than it used
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to be. But the Barlow-Dyson scenario still is wrong. Why? Because whether
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people cheat doesn't depend on the absolute cost of cheating. It depends on the
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cost of cheating compared with the cost of not cheating. And the cost of
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getting data legally will plummet roughly as fast as the cost of getting it
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illegally--maybe faster.
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In their writings, Barlow and Dyson make clear they're
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aware of this fact. But they seems unaware of its fatal impact on their larger
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thesis. How could cybersages have such a blind spot? One theory: Because
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they're cyber sages. You have to be a career paleohack like me, getting
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paid for putting ink on paper, to appreciate how much of the cost of legally
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acquiring bits of information goes into the ink and paper and allied
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anachronisms, like shipping, warehousing, and displaying the inky paper. I
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wrote a book that costs $14 in paperback. For each copy sold, I get $1. The day
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may well come, as Barlow and Dyson seem to believe, when book publishers as we
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know them will disappear. People will download books from Web sites and either
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print them out on new, cool printers or read them on superlight wireless
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computers. But if so, it will then cost you only $1--oh hell, make it $1.25--to
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get a copy of my book legally from my Web site.
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Now
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imagine being at my Web site, reading my promotional materials, and deciding
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you'd like to read the book. (Thank you.) A single keystroke will give you the
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book, drain your bank account of five shiny quarters, and leave you feeling
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like an honest, upstanding citizen. Do you think you'll choose, instead, to
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call a few friends in hopes of scoring an illegal copy? And don't imagine that
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you can just traipse on over to the "black-market book store" section of the
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Web and find a hot copy of my book. As in the regular world, the easier it is
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for Joe Consumer to track down an illegal distributor, the easier it is for
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cops to do the same. Black marketeers will have to charge enough to make up for
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this risk, making it hard to undersell my $1.25 by much. And there are , too,
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why the cost of cheating will be nontrivial.
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M >eanwhile, on the other side of the ledger, there's another reason
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for the cost of legal copies to drop. Many journalists will reach a much larger
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audience on the Web than they do now. The "magazine" model of bringing
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information to the attention of readers is stunningly inefficient. I hope it's
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not egotistical of me to think that when I write an article for, say, the
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New
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Republic , I am not reaching nearly everyone who might have an
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interest in it. Granted, the Web is not yet a picture of efficiency itself.
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Search engines, for example, are in the reptilian phase of their evolution. But
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most observers--certainly the Barlows of the world--expect radical improvement.
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(I'm not saying all journalists will see their audiences grow. The likely
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trend, when you , will be for many obscure and semiobscure journalists to see
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their audiences grow, while the few rich and famous journalists will see their
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audiences shrink. Cool.)
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One
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much-discussed cybertrend is especially relevant here: the scenario in which
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various data brokers offer a "Daily Me," a batch of articles tailored to your
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tastes, cheaply gleaned from all over the Web. When this happens, guys like me
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will be living the life of Riley. We will wake up at noon, stumble over to the
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keyboard in our pajamas, hammer out 1,000 words, and then--without talking to a
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single bothersome editor--make our work available to all data brokers. Likely
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fans of my article will be shown, say, the first couple of paragraphs. If they
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want to read more, they deposit a quarter. Will you try to steal a copy
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instead? Do you steal Tootsie pops at checkout counters? The broker and the
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electronic cash service will pocket a dime of that. I take my 15 cents and head
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for the liquor store.
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Of course, this "disaggregation of content" may be ruinous
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for magazines like Slate. But consider the upside. Not only will the efficiency
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of the system permit rock-bottom pricing that discourages cheating, but the
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fluidity of content will disrupt channels of potential cheating. If you
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subscribe to a regular, old-fashioned online magazine, it's easy to split the
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cost of a subscription with a few friends and furtively make copies. (You
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wretched scum.) But if you subscribe to the "Daily Me," this arrangement makes
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no sense, because every Me is different. Sure, you may e-mail a friend the
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occasional article from your "Me." (You wretched scum.) And, in general, this
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sort of "leakage" will be higher than in pre-Web days. But it would have to
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reach massive proportions to negate the overall gains in efficiency that will
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keep people like me in business.
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This argument, like all
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arguments about the future, is speculative. It may even be wrong. But it is
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consistent with the history of the world. The last half-millennium has seen 1)
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data getting cheaper and easier to copy; and 2) data-creation occupying a
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larger and larger fraction of all economic activity. Thus far, in other words,
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as the realm of information has gotten more lubricated, it has become
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easier , not harder, to make a living by generating information.
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Cyberspace is essentially a quantum leap in lubrication.
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Barlow's insistence that
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intellectual property will soon be worthless is especially puzzling since he is
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one of the biggest troubadours of the Third Wave information economy. Sometimes
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he seem to think it's possible for a sector of a market economy to get bigger
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and bigger even while the connection between work and reward in that sector
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breaks down. He writes: "Humanity now seems bent on creating a world economy
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primarily based on goods that take no material form. In doing so, we may be
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eliminating any predictable connection between creators and a fair reward for
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the utility or pleasure others may find in their works." Far out, man.
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