Abstract
Trends in online piracy have reached record levels and threaten traditional industry supply chains. Music, motion pictures, print media, and software are some of the most vulnerable content pirated online. Recent increases in piracy can be historically traced to the digital revolution, introduction of the World Wide Web, and growth of broadband technologies, rather than a sudden shift in consumer behavior. The digital and Internet paradigm shifts have fundamentally changed supply chain ecosystems, as well as opened the door to greater acts of piracy. Under these new ecosystems, digital rights management (DRM) has proven ineffective at stopping piracy. Furthermore, DRM systems have been shown to discourage legitimate buyers. A new approach to piracy is needed to account for recent changes in supply chain ecosystems. Several industry leaders demonstrate effective solutions combining technology and innovative business models that encourage consumers toward legitimate consumption while leveraging piracy. Given these examples, industries can address online piracy by combining appropriate technology, innovative business models, and piracy analytics in the evolving supply chain ecosystems.
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