Sunday, March 25, 2007

Down the YouTube?

IT HAS been a terrible month for Google, the biggest search engine and the internet’s reigning superpower, and for its subsidiary, YouTube, the pioneer and precocious leader of online video. Users may love them, but the old-media companies, feeling increasingly exploited, loathe them, sue them, and gang up on them. And that matters, because neither Google nor YouTube, as quintessential “new-media” companies, own any of the content that they organise so well.
Viacom is suing them for $1 billion, alleging massive copyright theft; it is also teaming up with an innovative new online-television company, Joost, to make its videos available legally. Walt Disney is allied with Apple and its iTunes store, which is increasingly a squeaky-clean (in terms of copyright law) video retailer besides being a music store. And the NBC/News Corporation venture, which may yet be joined by Sony and others, embraces not only a vast library of video content but also an equally staggering distribution alliance. The videos will play not only on the venture’s new (as yet unnamed) site to be launched this summer, but on the websites of Yahoo!, Time Warner’s AOL, and Microsoft’s MSN, the three biggest web portals. At a stroke the venture will, legally, reach almost the entire American internet audience.
Of greater concern to YouTube, however, is the clear evidence that NBC and News Corporation both realise that they must not try to trap viewers on specific websites, but rather let them watch videos “on the sites where they live,” as Peter Chernin, News Corporation’s president, puts it. Teenagers will be able to post video clips on their own MySpace pages; even bloggers using independent services will be able to embed videos on their personal diaries. They will be able to discuss and annotate the clips and films with their own gossip, and thus be “social” in exactly the same way that YouTube allows. Just as on YouTube, the audience will be in control, by rating videos and spreading them “virally” throughout the entire web.
The only remaining difference will be that the content spread in this manner will be entirely and uncontroversially legal, and that advertising revenues will remain under the full control of the content owners. For the first time, it will be in the interests of the media companies to spill their best content onto the web. This is in stark contrast to the situation on YouTube today.
All this points to a clear trend. All over the chaotic and confusing field of online video, once naughty revolutionaries are suddenly becoming shockingly well behaved. BitTorrent, a peer-to-peer file-sharing service that accounts for a big chunk of all internet traffic, has in the past been used for illegal trading of films. But it recently announced a new identity, in which it licences films from Hollywood and shares the rental and sales revenues with the studios. Joost, which was launched by the founders of Skype and KaZaa, another peer-to-peer service that was once used to trade pirated music, has been designed from scratch to be impeccably legal and to make money for participating content owners.
The future, in short, appears to favour old-fashioned, professionally produced content from which traditional media companies can make money. This comes as a shock after a year when YouTube seemed to herald the dawn of a new and different media era—that of “user-generated”, or amateur, content.
Was YouTube—and the bigger “Web 2.0” movement that it symbolised—just a brief bout of silliness, an echo of the dotcom bubble of the late 1990s? It was not. YouTube has already changed society and democracy in lasting ways, by lowering the barriers to entry for talented amateurs to reach an audience, and by providing an outlet for the creative impulse of millions. This is hardly trivial. But what YouTube has not done is to make professional content less attractive. YouTube has earned its place in the history books; just not on a profit-and-loss account.

Europe, a Moment to Ponder

IT is not easy to think of Spain as Poland. Stroll around this southern city at dusk, beneath the palms, beside the handsome bridges on the Guadalquivir River, past the chic boutiques and the Häagen-Dazs outlet, the Gothic cathedral and the Moorish palace, and it is scarcely Warsaw that comes to mind.
But, insisted Adam Michnik, the Polish writer, “Poland is the new Spain, absolutely.” He continued: “Spain was a poor country when it joined the European Union 21 years ago. It no longer is. We will see the same results in Poland.
If history is prologue, Mr. Michnik is likely to be right. The European Union, which celebrates the 50th anniversary of its founding treaty this weekend, is more often associated with Brussels bureaucrats setting the maximum curvature of cucumbers than with transformational power. But step by step, stipulation by stipulation, Europe has been remade.
What began in limited fashion in 1957 as a drive to remove tariff barriers and promote commercial exchange has ended by banishing war from Europe, enriching it beyond measure, and producing what Mr. Michnik called “the first revolution that has been absolutely positive.”
Asia, still beset by nationalisms and open World War II wounds, can only envy Europe’s conjuring away agonizing history, a process that involved a voluntary dilution of national sovereignty unthinkable in the United States.
But it is a celebration in uncertainty. A bigger union, expanded to include the ex-Communist states of Central Europe, has proved largely ungovernable. A constitution designed to streamline its governance was rejected in 2005. Integration has been a European triumph, but not always of those who are part of large-scale Muslim immigration. The founding treaty, signed by the six founding members on March 25, 1957, rested on creative ambiguity. It called for an “ever closer union among the European peoples”; behind it lay dreams of a United States of Europe.
Still, the ambiguity persisted; it has proved divisive. Economic power has been built more effectively than political or strategic unity. Military power has lagged.

Nonetheless, “autopilot” in the union still amounts to a lot.
It will ensure, for example, that over $100 billion is sent to Poland from now to 2013 to upgrade its infrastructure and agriculture, a sum that dwarfs American aid. Similarly, more than $190 billion has been devoted to Spain since it joined the union in 1986, 11 years after the end of Franco’s dictatorship.
The result has been Spain’s extraordinary transition from a country whose per capita output was 71 percent of the European average in 1985, 90 percent in 2004, and now 100.7 percent of the median of the 27 members. Spain has moved into the club of the well off. Dictatorship seems utterly remote.
The E.U. slashes political risk,” said Chris Huhne, a Liberal Democrat member of the British Parliament. “It also exercises a soft power on its periphery that has far more transformational impact than the American neocon agenda in the Middle East. Countries in the Balkans wanting to come into the European democratic family have to adapt.”
That adaptation is economic as well as political. The creation of something approximating an American single market has been powerful in ending cartels and monopolies, introducing competition, pushing privatization and generally promoting the market over heavily managed capitalism.
Indeed, defense of what is called the European social model, with universal health care and extensive unemployment benefits, has become a tenet of European identity. How far that identity, as opposed to national identities, exists today is a matter of dispute. Only 2 percent of European Union inhabitants of working age live in member states other than their own.
But a survey in the French daily Le Figaro showed that 71 percent of French people now feel some pride in a European identity.
It is also open politically: How much of a federation should Europe be?
Germany has been utterly remade by an integrating Europe to the point that more people worry today about German pacifism than expansionism. But Poland is just entering that transformational process; under Lech Kaczynski’s conservative presidency its wariness of the pooling of sovereignty inherent in the union has been clear.
“The E.U. is an unfinished project, but so what?” Mr. Voigt said. “Why be nervous? We have time.”

City in Florida Fires Official Who Planned to Change Sex

The longtime city manager here was fired early Saturday, one month after he disclosed his plans to seek a sex change.
The City Commission voted 5 to 2 to dismiss the man, Steven B. Stanton, after a six-hour hearing in which he and his supporters argued that he could do his job just as well once he became a woman. Some commissioners said they had voted to fire Mr. Stanton not because he wanted to become a woman, but because he had violated their trust and caused a major disruption.
Several transgender people spoke on Mr. Stanton’s behalf, including a former deputy mayor of St. Paul, as did a few dozen people from Largo and throughout the state. A smaller number spoke in favor of firing him, including one man who said Mr. Stanton had made Largo “the laughingstock of the whole country.”
Mr. Stanton’s wish to become a woman named Susan came to light last month, after The St. Petersburg Times learned of it, got him to confirm it and published an article. Before that, Mr. Stanton said, he planned to announce his decision later this year, when his son would be out of town.
The City Commission had generally praised Mr. Stanton in performance reviews, and it gave him a raise last year. But within a week of the newspaper’s report, the commission voted to begin the process of firing him. Mr. Stanton filed an appeal on March 8 in hopes of keeping his job of 14 years, which paid $140,000 a year.