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1 1 (January 16, 2007)

handle is hein.crs/crsajhx0001 and id is 1 raw text is: Order Code RS22489
Updated January 16, 2007
Copyright Protection of Digital Audio Radio
Broadcasts: The Audio Flag
Brian T. Yeh
Legislative Attorney
American Law Division
Summary
Protecting audio content broadcasted by digital and satellite radios from
unauthorized dissemination and reproduction is a priority for producers and owners of
those copyrighted works. One technological measure that has been discussed is the
Audio Protection Flag (APF or audio flag). The audio flag is a special signal that
would be imbedded into digital audio radio transmissions, permitting only authorized
devices to play back copyrighted audio transmissions or allowing only limited copying
and retention of the content. Several bills introduced in the 109th Congress would have
granted the Federal Communications Commission (FCC) authority to promulgate
regulations to implement the audio flag. The parties most likely affected by any audio
flag regime (including music copyright owners, digital radio broadcasters, stereo
equipment manufacturers, and consumers) are divided as to the anticipated degree and
scope of the impact that a government-mandated copyright protection scheme would
have on the fair use rights of consumers to engage in private, noncommercial home
recording. Critics of the audio flag proposal are concerned about its effect on
technological innovation. However, proponents of the audio flag feel that such digital
rights management (DRM) technology is needed to thwart piracy or infringement of
intellectual property rights in music, sports commentary and coverage, and other types
of copyrighted content that is transmitted to the public by emerging high-definition
digital radio services (HD Radio) and satellite radio broadcasters.
This report provides a brief explanation of the audio flag and its relationship to
digital audio radio broadcasts, and summarizes legislative proposals considered by the
109h Congress, including H.R. 4861 (Audio Broadcast Flag Licensing Act of 2006) and
S. 2686 (Digital Content Protection Act of 2006), that would have authorized its
adoption. Although not enacted, these two bills represent approaches that may be taken
in the 110' Congress to authorize the use of an audio flag for protecting broadcast
digital audio content.

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