http://technology.timesonline.co.uk/...cle3353387.ece

Internet users could be banned over illegal downloads

People who illegally download films and music will be cut off from the
internet under new legislative proposals to be unveiled next week.

Internet service providers (ISPs) will be legally required to take
action against users who access pirated material, The Times has
learnt.

Users suspected of wrongly downloading films or music will receive a
warning e-mail for the first offence, a suspension for the second
infringement and the termination of their internet contract if caught
a third time, under the most likely option to emerge from discussions
about the new law.

Broadband companies who fail to enforce the "three-strikes" regime
would be prosecuted and suspected customers' details could be made
available to the courts. The Government has yet to decide if
information on offenders should be shared between ISPs.
Microsoft and Sony Ericsson's smartphone

Six million! broadband users are estimated to download files illegally
every year in this country in a practice that music and film companies
claim is costing them billions of pounds in lost revenue annually.

Britain's four biggest internet providers - BT, Tiscali, Orange and
Virgin Media - have been in talks with Hollywood's biggest studio and
distribution companies for six months over a voluntary scheme.

Parallel negotiations between Britain's music industry and individual
internet providers have been dragging on for two years.

Major sticking points include who will arbitrate disputed allegations,
for example when customers claim to have been the victim of "wi-fi
piggybacking", in which users link up to a paid-for wireless network
that is not their own. Another outstanding disagreement is how many
enforcements the internet companies will be expected to initiate and
how quickly warning e-mails would be sent.

International action in the US and France, which is implementing its
own "three-strikes" regime, has increased the pressure on British
internet companies and stiffened the Government's resolve.

Ministers will make an explicit commitment to legislate with the
launch next week of a Green Paper on the creative industries. A draft
copy, obtained by The Times, states: "We will move to legislate to
require internet service providers to take action on illegal file-
sharing." A consultation paper setting out the options is promised
within months.

A spokesman for the Internet Service Providers Association said it
remained hopeful that agreement over a voluntary agreement could be
reached: "Every right-thinking body knows that self-regulation is much
the better option in these areas."

Roz Groome, vice-president of antipiracy for NBC Universal, welcomed
the prospect of new laws. "We welcome the signal from Government that
it values the health of the creative industries and takes seriously
the damage caused by widespread online copyright infringement. We call
upon ISPs to take action now. They must play their part in the fight
against online piracy and work with rights owners to ensure that ISPs'
customers do not use their services for illegal activity. Piracy
stifles innovation and threatens the long term health of our
industry."

Ed Vaizey, the Shadow Arts Minister, said: "David Cameron called on
the internet providers to address this issue last summer. The
credibility of the Government's latest threat is undermined by the
fact that ministers have spent so many years dithering on whether to
legislate."

The commitment forms part of a Green Paper on the creative industries
entitled The World's Creative Hub to be launched by Andy Burnham, the
Culture Secretary, and Gordon Brown next week.

Other high-profile elements include a pledge that children will be
entitled to five hours of culture a week overseen by a new youth
culture trust. The pledge will give children the right to learn a
musical instrument, visit art galleries and museums and even make
films.

Other pledges include setting up a new international conference
modelled on Davos, entitled the World Creative Economy Forum, and
supporting a new £200 million film centre at the South Bank in London.
A spokeswoman for the Department for Culture, Media and Sport said:
"Early drafts of our creative economy programme document were
circulated to stakeholders for comment. The content and proposals for
the strategy have been significantly developed since then and a
comprehensive plan to bolster the UK's creative industries will be
published shortly. We will not comment on the content of the leaked
document."