Apple has its loophole...

May 12, 2006 13:02 GMT  ·  By

Yesterday, the French Senate approved the new copyright bill, in the form it was last reported to have. This means that Apple and any other music vendor can avoid having to open up their technology provided they could prove that the limitations it has are approved by the copyright owner.

As initially reported, the bill calls for a new regulatory authority that will be responsible for handling all requests for opening up DRM technology. This authority will have the power to order companies to pen up their DRM, however, the companies can refuse to do so if they prove that the restrictions are the wishes of the copyright owners.

While many are saying that is the loophole Apple needed to be able to keep its FairPlay proprietary, it will probably not be as easy as that as Apple now needs the 'blessing' of the copyright owners, which could very well give record companies the leverage they needed in discussions with Steve Jobs over variable pricing.

Also, under the new law, developers of open source software face a new challenge as DRM technology owners can now prohibit the publishing of source code developed using details and specifications they provide. Such a prohibition, however, is dependant on the company's ability to prove that the said publishing constitutes a security threat to their DRM.