Essay about Intellectual Property Rights and the Piracy War in China

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Introduction

With a population of 1.357 billion (2013)3, China is the most populated country in the world. Along with the huge population comes a market that is unmatched by any other country of the world. Both domestic companies and foreign companies want to tap into this large market that just recently embraced capitalism and entered into the World Trade Organization.

China also provided a labor force that is able to tackle both white-collar and blue-collar job positions. This made foreign companies rush both monetary and technological resources into China to utilize the manufacturing and development power. Both Microsoft and Sun have created research and development centers to implement and design software
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The counterfeiting went on so that the Asian market's mass population can afford the things that only the riches can without worrying too much about their expenses. With the technological advances in multimedia and the Internet, China is seeing a flood of copyright infringements in optical disk piracies, internet piracy, and other forms of piracy that didn't exist before the computer and internet. I will address those technical piracies in China in this paper.

Optical disk piracy is the production of optical disks that contain intellectual property that can be written and accessed from the disk. The copyright infringement of optical disk piracy is affecting the music industry, the movie industry, and the software industry. Optical disk piracy comes in the forms of CD, CD-R, DVD, and VCD. The music industry in China has lost an estimate of $600 million in revenues due to CD piracy, with the U.S. companies at $48 million.6 The pirated CDs either are counterfeited from the original CDs or a mix match of songs put together by the violators. This is a huge crisis for the domestic music industry with them only seeing a slight rise in revenue only in 2002.7 Next we have the CDs and CD-Rs that are causing a massive output of pirated software in China. There are licensed factories in China that actually create these pirated software CDs along with genuine ones to be sold to the public with the knowledge that they are violating the rights of the
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