What bothered us the most is that the item conveniently mixed file-sharing with commercial piracy, while linking it to organized crime, human trafficking and child prostitution. This setup is a bit misleading to say the least. That aside, the claimed role that piracy plays in organized crime is based on an MPAA-funded study we have previously debunked.

The MPAA’s stance didn’t really surprise us that much though. Their job is to manipulate public opinion in the hope that less people will engage in illicit file-sharing. But it was disappointing to see that CBS didn’t care to bring someone in to counter the arguments of the anti-piracy lobbyists.

No, instead they managed to get director Steven Soderbergh on, who joined the movie industry trade group by providing more twisted facts. Reciting the MPAA’s propaganda, Soderbergh said he wished the Internet was never invented. “Piracy is costing Hollywood $6 billion a year at the box office,” he told the reporter, adding that “as the margins of profit shrink, fewer projects get made, which means fewer people go to work.”

These statements are both inaccurate, or at least highly doubtful. The $6 billion statistic Soderbergh is referring to actually comes from an MPAA-funded report for which the sources were never revealed. In fact, the MPAA itself had to release a statement saying that they “made a mistake” with one of the figures, but they continue to use the report nonetheless.

Similarly, Soderbergh’s claim that “fewer projects get made” was debunked only last week after Sony boss Michael Lynton made a similar statement. The opposite seems to be true. Hollywood is far from bankrupt. In the past decade box office earnings actually increased significantly.

The only piece of the entire item that was pretty accurate and worth watching was the explanation of how BitTorrent works. John Malcolm, a former Director of Worldwide Anti-Piracy Operations for the MPAA shows that his work for the trade group paid off, as it turned him into a BitTorrent expert (video below).

The entire piece is disappointing nevertheless. It fails to ask the questions about why people download movies illegally and acts as if the movie industry is a powerless victim. Perhaps Hollywood should start to see the millions of illegal downloaders as potential customers instead of thieves. There’s a huge demand for online entertainment, so why not compete with piracy instead of spending millions of dollars fighting it?

Article from: TorrentFreak, check out our new blog at FreakBits.

For that experiment the stream was only broadcasted to a select group of people and not the entire Internet. Today, however, the lab’s researchers will launch their second BitTorrent streaming experiment on a much bigger scale, as they will broadcast a live stream of a live music performance for all the world to see.

“The setup is very simple at the cinema – we have a standard computer connected to audio and video mixers, which then feeds the P2P network,” Dr. Njål Borch, a senior researcher involved in the project told TorrentFreak.

The software they use to stream the performance is from the EU-funded P2P-Next project and several of the partners are also donating bandwidth for the experiment to make sure that everything runs smoothly.

The performance will take place at Aurora Kino in Tromsø as a part of the Insomnia electronic music festival. To spice things up, the lab is also sending a live feed to the Notch festival in Beijing, which is running in parallel with Insomnia, and to Skjervøy kulturhus in the far north of Norway.

However, since the broadcast is public this time, everyone with an Internet connection can tune in. The only thing required to watch the stream is the Swarmplayer software, or a browser plugin (Windows only). Both are linked on the project’s website.

According to Borch, this BitTorrent live streaming experiment is not just a proof of concept, it might eventually play a significant role in the future of live streaming on the Internet.

“If the scalability is good for live streaming, this can increase the amount of viewers without massive bandwidth bills. Another effect, which I am currently very much a fan of, is that adding more bandwidth is very easy – put up a seedbox and hand it the torrent. No administration otherwise necessary,” he told TorrentFreak.

Anyone who would like to be part of this world premiere can tune in at 5 pm CET when the broadcast will start. If all goes well you’ll be able to see a live performance of a new soundtrack to Pudovkin’s 1926 film, “Mother”.

Update: The broadcast ended and it’s replaced by a 5 minute clip of the concert so people can still test the streaming technology. It was a great success with visitors from all over the world.

Article from: TorrentFreak, check out our new blog at FreakBits.

“We get the legal rights from the companies to distribute these movies to stores, and with these rights we can sue illegal downloaders,” said Digiprotect’s account manager Thomas Hein as he explained how his operation works. “Then we take legal action in every country possible, concentrating on the places where such action will be profitable.”

“No one working for DigiProtect has a fixed salary. If we make money, everybody makes money. If we don’t, nobody does. This means the lawyers, sales people and customers. It’s all about how much money can be recouped and then sharing it,” he added, crucially.

And here lies the problem. According to lawyer Christian Solmecke of Wilde & Beuger law firm in Germany, the law requires such an operation to have an RVG agreement, which is part of the mechanism to regulate attorney’s fees. Since no-one can say how much the lawyers get paid, this causes difficulty.

“The interview creates the impression that no RVG agreement was entered into by DigiProtect and the law firms who admonish users [threaten with pay-up-or-else letters]. The report relating that the money thus earned is shared, rather suggests a success fee. Such an agreement is illegal. An admonishment based on it would equally be illegal and admonishing expenses would not have to be paid,” Solmecke notes.

DigiProtect have been pretty open about their aim of generating profit for their own company and their partners – indeed, its tagline is Turn Piracy Into Profit. This may also cause problems for their lawyer partners.

“If the admonishment serves solely the purpose of generating gains, it may furthermore be repudiated for reasons of abuse of legal right,” says Solmecke.

DigiProtect partners with lawyers ACS:Law in UK and presumably operates in a similar manner, sharing profits from those who ultimately pay up on the threats.

Update: Aldor Nini from Easycom contacted TorrentFreak with his view on this article. It’s a long read but interesting nonetheless

Our company develops end-user software, custom B2B solutions and sometimes we do also create software for anti-piracy purposes. We’re not related with DigiProtect, nor do we have any business or private relatinoship with them, but we’re very specialized in the German law together with our law-firm in Germany. The German RVG states, that the lawyer should be compensated by the RVG, that’s true. The RVG does also allow the lawyer to be compensated by additional charges like working hours for special tasks, this is also very usual.

Article from: TorrentFreak, check out our new blog at FreakBits.

“The main difference that sets Hexagon.cc apart from other social file sharing and BitTorrent sites, is everything is centered around groups. Be it file sharing networks or flash video sites, a key piece we found missing is social context,” isoHunt’s founder Gary Fung said.

With Hexagon Fung hopes to bridge this gap by allowing people to start groups where they can share content within a certain niche. These groups help to organize content and allow people to share with others who are interested in the same material, privately or in public.

In addition Hexagon is also aimed at content producers and independent artists who want to promote their content using BitTorrent. For this group Hexagon offers monetization opportunities such as direct “fan” contributions and sharing of advertising revenue.

“We have contacts with game publishers and independent musicians and film makers, who are very interested in creating their own groups where they can directly market their music, videos or games and interact with their fans, and generate sales directly or indirectly,” Fung said.

Hexagon is certainly not your average torrent site and we must admit that it took us a while to fully grasp the new sharing interface. That aside, it is great to see that some people are still innovating and trying to improve the BitTorrent sharing experience.

The Hexagon team is offering 500 invites for TorrentFreak readers who want to give Hexagon a spin, so you can decide for yourself. Update, here are 3000 more invites. And 10.000 extra just in case…

Article from: TorrentFreak, check out our new blog at FreakBits.

Meet Digiprotect, the pirate tracking company that earned its marks tracking down ‘adult’ pirates, but branched out to protecting the works of all sorts of copyright holders. Over the years the company has perfected its pirate tracking tactics to guarantee maximum profits.

Although most companies operating in the same realm try to fly under the radar as much as possible, Digiprotect’s account manager Thomas Hein is more vocal about their business strategies. In an interview he gave a while ago he explains how his company leases copyrights so they can trap potential downloaders.

“We get the legal rights from the companies to distribute these movies to stores, and with these rights we can sue illegal downloaders. Then we take legal action in every country possible, concentrating on the places where such action will be profitable,” Hein says.

So Digiprotect acquires the right to distribute movies, music or games from the rights holders, which they then share on various P2P networks. All they have to do is wait for people to take the bait. If someone tries to download the file they collect the IP-address and initiate legal action through one of their befriended law firms.

That is, if it’s profitable, otherwise Digiprotect can’t afford to protect the copyright holder’s rights, as Hein explains.

“No one working for DigiProtect has a fixed salary. If we make money, everybody makes money. If we don’t, nobody does. This means the lawyers, sales people and customers. It’s all about how much money can be recouped and then sharing it.”

Indeed, it’s all about the money.

“Our success rate is high enough to make good money for everybody,” Hein says, “and it’s also high enough to deter people from stealing content in the future. But we have to be careful about the amount of damages we ask for.”

So how does one go about making ‘good money’? Apparently it’s not only important where you sue people, but also the amount of damages you claim.

“We try to find a figure that covers our costs and pays money to our licensors, which is usually around 500 Euro ($700). Other firms are going for huge amounts of money, and the judges don’t like it. If the judges feel you’re being greedy, they won’t rule in your favor.”

Yes, you’re reading it right. The damage figures are not based on any actual losses, they are carefully calculated to guarantee maximum profits for all parties, except the alleged pirate of course. We can’t help but wonder who the real thieves are here…

Article from: TorrentFreak, check out our new blog at FreakBits.

A new study carried out by the University of Hertfordshire for UK Music reveals some interesting statistics – and some surprising ones.

Of those questioned in the 14 to 24 year old bracket, it was revealed that on average they have amassed music collections on their computers which exceed 8,100 tracks, an amount that most people could never afford. Little wonder that 68% of respondents said that they use their computers every day to listen to music.

From the 1,808 people surveyed, 61% admitted to downloading music using P2P networks including BitTorrent with 83% of these admitted doing so on a weekly or daily basis. A significant 86% admitted that they had copied CDs for their friends.

While many admitted uploading using P2P, other methods of sharing were also utilized – 75% admitted to sending music by email, instant messaging services or Bluetooth.

Of those who admitted using P2P to obtain music, 85% said they would welcome an “all you can eat” download service for a fixed monthly fee, but just 57% said that access to such a service would stop them from illegally sharing files.

In recent months, streaming services such as Spotify have been touted as a possible weapon to combat illicit sharing. However, of those surveyed for this report, 78% said they had no interest in paying for such a service, while 89% said they would prefer to own music, rather than stream it.

More than half of those surveyed said that companies that manufacture digital music players and mobile phones should pay fees to artists to compensate them from losses due to copies made on their devices.

UK Music CEO, Feargal Sharkey commented: “Clearly, the shape of our entire business will continue to evolve. However, we will achieve nothing if we do not work with music fans, and young music fans in particular. They are hugely demanding in their needs, but collectively we must rise to that challenge. We ignore engagement at our peril. That message is loud and clear.”

Strangely, in this world of 8,000 track hard drive music collections and the rampant uptake of digital music players, 77% of those surveyed said they would carry on buying physical CD albums even if they were subscribing to an “all you can eat” download service.

Getting paid twice for the same music, digital and physical? Sounds like a model the music business can get excited over, although in reality no-one else will. We’ve all been down that route before with the industry, one way or another.

Article from: TorrentFreak, check out our new blog at FreakBits.

Websense reports that TorrentReactor has been injected with an IFrame that connects to a malicious site full of exploits. The exploits affects various applications including Internet Explorer and Adobe’s Shockwave and Acrobat Reader.

Once the user is successfully exploited a Trojan Downloader with an extremely low anti-virus detection rate will download and install a rootkit on the user’s system, after which more evil is bound to happen.

TorrentReactor’s founder Alex told TorrentFreak that they are looking into the matter and hope to fix the vulnerability as soon as possible. Alex further told us that he has no clue who’s behind the attack.

This is not the first time that TorrentReactor has suffered from an IFrame injection as The Register points out. Last year it dealt with a similar security breach.

Needless to say, TorrentReactor users may want to avoid the site for the time being if they’d rather not have a rootkit on their system.

Update: Alex told TorrentFreak that the problem has been addressed. “It was sql injection which was fixed the same day. Now we do everything to prevent it in the future. We’re very sorry.”

Article from: TorrentFreak, check out our new blog at FreakBits.

This type of file-sharing is very effective – indeed, it’s what BitTorrent is all about. However, there are those who would prefer to stop or hinder such P2P traffic – certain ISPs take measures to identify BitTorrent protocol traffic and slow it down with a process known as ‘throttling’.

While Furk.net (update: the site had some XSS vulnerabilities but these are fixed nos according to the admin) can simply be used as a torrent meta-search engine to trawl other sites for .torrent files, to combat throttling (and privacy concerns) Furk bills part of its service as a ‘BitTorrent Proxy’. This means that instead of searching for a torrent file and downloading in the usual manner via the BitTorrent protocol, instead Furk itself joins the swarm in question and downloads the material directly to their own servers.

Once completed, users can simply download that material directly from Furk’s super-fast network using the HTTP protocol in their regular web browser. Identical to standard web traffic, HTTP generally isn’t throttled by ISPs, allowing the user to download more quickly than with throttled BitTorrent. In the less likely event that an ISP tries to slow down HTTP, downloads can be made from Furk using HTTPs.

“By default all links are HTTPs,” Furk admin told TorrentFreak. “It helps to avoid content filtering systems and increase the level of anonymity. Also for every link the user can choose an alternative link with a non-standard port.” This element of the service is only available to premium users at a few euros per month but free users can still have fun with Furk.

It’s also possible to upload your own files and videos to the service, but Furk has another much more interesting trick up its sleeve – and it’s available to non-premium users. Instead of just keeping the content on their servers for material requested by you, Furk keeps the content requested by everyone. This means that Furk has a growing database of material culled from torrent sites, but offered via direct and immediate HTTP download. A search for ‘aXXo’ shows hundreds of releases, mostly available for direct download. Think of it like Rapidshare, but with a BitTorrent backend.

“Speed for premium users is unlimited. All of the servers are on a 1Gps network and we have plenty of unused bandwidth,” Furk admin told TorrentFreak. “Free downloads are currently limited only by restricting the number of download sessions, so download managers can be used only with premium accounts.”

However, even with no premium account, some impressive speeds can be achieved. We managed decent transfers from The Netherlands, Russia and the US, before finally maxing out a 20mbit Hungarian connection. It remains to be seen if these speeds can be maintained once the masses start hitting the service – probably not, since there needs to be something to draw users to the premium service, but time will tell.

Article from: TorrentFreak, check out our new blog at FreakBits.

In July 2008, security researcher Laurent Gaffié found a bug in two of the latest versions of the official software – Soulseek 157 NS & 156. The problem was so serious he informed the Soulseek developer on 3rd September 2008. Unfortunately, Laurent heard nothing back so on 14 October 2008 he contacted the developer again. He appears to have been ignored. On 16 May 2009 Laurent tried again to contact the Soulseek team – yet again he had no response so decided to reveal his findings.

So what exactly is the problem? First of all it’s necessary to understand a little about how the Soulseek search works. When a user searches for an MP3 via their contact list or on a Soulseek IRC channel, their Soulseek client sends the query to the Soulseek server. The server then sends a distributed search query on the whole channel.

Laurent told TorrentFreak, “The P2P Soulseek bug is critical because of the nature of the bug. It appears when you send an overly long search request to the server, and it redirects it directly to everyone without checking the length of the request, then a memory corruption happens in every client that received this query.”

“By corrupting the Soulseek memory it becomes possible to control the program memory flow and redirect it anywhere you want,” Laurent explained. “In this case, you redirect the program to a shellcode you’ve placed in the memory and then code execution occurs. The problem with this type of “buffer overflow” is the nature of it, it’s a SEH overflow (Exception Handler) which will work on most Windows platforms.”

Laurent told TorrentFreak that there is no need to have any interaction with a targeted channel or user, it’s just possible to log on and send the distributed search. This makes the Soulseek vulnerability perfect for a very fast spreading worm scenario.

“I’ve released a very limited proof of concept, to avoid scripts-kiddies problem on the Soulseek network,” notes Laurent, “but this doesn’t avoid a worm scenario, because this binary protocol is not so hard to reverse.”

Apart from being a perfect scenario for a fast spreading worm or mass Soulseek client exploitation, Laurent told us this attack can be used to remotely control any machine connected to the Internet with a Soulseek client. Let’s hope the Soulseek team take notice and get this fixed.

In the meantime, worried Soulseek users can avoid this vulnerability by ditching the official client and using the Python Nicotine Plus client instead.

Article from: TorrentFreak, check out our new blog at FreakBits.

However, the ties to these lobby groups might also cloud his judgment and thus the verdict, some claim. It is therefore highly dubious that Norström was handpicked and not randomly assigned as is normal procedure in cases like this.

Defense lawyer Per E Samuelsson has now sent a letter to the Court of Appeal where he addresses the issue and seems to confirm earlier rumors he shared with the press. “The young generation’s trust in the judicial system is at stake here,” he told the Swedish news agency (TT) in a comment.

“I don’t want to say that the randomness of judge selection has been fixed, but the case has been handed to Norström mainly because he is considered an expert on copyright. That raises questions since this is a criminal case. A large majority of the young generation believes that what is going on here is a farce,” Samuelsson added.

According to Samuelsson, there is no doubt that all the suspicious connections to pro-copyright groups indicate that Norström had preconceived ideas on the issues addressed during the Pirate Bay trial.

“I have a hard time to let go of the thought that he kept quiet about this because he had the intention of using his opinions in the case. I don’t hesitate for a moment when saying that this is bias,” he said.

Henrik Pontén, lawyer at the anti-piracy bureau didn’t want to comment on Samuelsson’s letter to the Appeal Court, and said he will await the court’s decision due to be announced a few weeks from now.

The Pirate Bay’s Peter Sunde told TorrentFreak that the current developments amount to yet another plot twist in the tragicomedy that their trial has turned into. “We will win in the end,” he said, promising a happy ending.

Article from: TorrentFreak, check out our new blog at FreakBits.

About a year ago the RIAA website suffered from a similar vulnerability and was wiped clean. The RIAA fixed the problem within a few hours and eventually all the ‘lost’ content was restored, but not before thousands of people had fun with it.

The XSS vulnerability on the MPAA website was found on the about page where visitors can submit their favorite movie. In the screenshot below it says “thank you for taking the time to share your favorite movie,” which is the actual text that people get to see when they fill out the form. The Pirate Bay logo and the links to the latest movie torrents are obviously not supposed to be there.

It is “a proof of concept that demonstrates an XSS attack on mpaa.org website,” writes Vektor who covered the details in a blog post, adding that it should be taken as a joke. No lies there, as it made us smile indeed.

Article from: TorrentFreak, check out our new blog at FreakBits.

A Google search on the same pages returns, “This site may harm your computer.”

So what exactly is the problem? TorrentFreak spoke with Peter Sunde (brokep) who told us that right now they don’t have a clear idea of what is causing the problem although they are working hard on fixing it. Current thinking by some says that the problems are being caused by malicious ads from third parties which are embedded in the site.

Google has made its own analysis and is reporting that the /user sections of the TPB site were listed once for suspicious activity, yesterday 14th March 2009. Of 699 pages tested, it found that 2 pages resulted in malicious software being downloaded and installed without user consent. Google goes on to say that the malicious software includes 68 scripting exploits although they report that a successful infection resulted in zero new processes on the target machine.

The malicious software in question is said to be hosted on 3 domains; savelocity.com, seekerfeed.com, and xoads.com, with another 6 reported as distribution intermediaries including parkneed.com, yieldmanager.com and zxxds.net.

This type of problem is nothing new on torrent sites. Last year we reported how Google and Firefox blocked Empornium, the world’s largest porn tracker, when they suffered similar problems at the hands of outsiders. Just yesterday, the h33t.com torrent site suffered a similar problem, but that now appears to be fixed after we tipped off the staff there.

We will add to this post during the day to include the latest updates.

Article from: TorrentFreak, check out our new blog at FreakBits.

Apparently, Fredrik (TiAMO) got the site back up from inside the courtroom. “I fixed the Pirate Bay from inside the courtroom just minutes ago. The site is back online,” he told blogger Oscar Swartz.

First to appear is Fredrik Neij’s lawyer, Jonas Nilsson. He said that the technology behind TPB is completely legal and Fredrik never had the intention to violate anyones copyrights – his main interest was the technology at the site and he was a technician there.

Nilsson went on to say that it has not been established that the bulk of the material accessible via TPB is copyrighted and it has not been shown that any of the material has been exploited commercially. Nilsson says there are grounds to dismiss the indictment. These are i) the operations of TPB are permissible under the law, ii) there is a certain amount of uncertainty as to the technical aspects of the case against TPB and iii) there are serious shortcomings in the investigation against the four.

Nilsson again argued that TPB operates legally in every sense. The site is open in nature and it is the the site’s users that decide what content TPB tracks and this is not a decision made by the operators. Every site in the world could link to copyright material, he argued. This is not a TPB problem, this is a worldwide Internet problem, he noted.

Neither has it been shown that Fredrik made any money from the site argued Nilsson. There was some advertising revenue generated by the site, he said, but this went to cover the site’s operating costs.

Turning to the accusations that the staff of TPB had an attitude problem, Nilsson says that everyone has a right to their own opinion and just because the site is named the way it is, it does not indicate anything in particular. The site, he said, offers only a passive search function.

Nilsson believes that the indictment against Fredrik Neij should be dismissed because he knew nothing about any of the torrent files referenced in the case against him. Furthermore, he says there is no evidence that Neij encouraged anyone to commit a crime.

Going on to attack the technical evidence against his client, Nilsson said that it doesn’t hold up. It is not clear that Fredrik made any of the works available, there is no evidence which indicates any time for the alleged offenses and there is no proof that TPB’s trackers were used for such – the screenshots just aren’t enough.

There is no evidence indicating who did any uploading and it has not been shown that the individuals doing so had even committed any offense in their own jurisdictions. Furthermore, the Prosecution has not shown how any of the individuals are connected to TPB, and he mostly talks about ‘The Pirate Bay’ as a whole – which isn’t sufficient in a criminal trial as individuals must be referenced.

Turning to the damages brought against his client, Nilsson said the recording industry has simply calculated itself what it believes the damages should be, and at no point has any independent or objective data been presented to the court. Furthermore, since they have not proven that Fredrik was connected to any of the copyright works, the damages claim against him should be dismissed.

The court then took a short break.

Next to make his arguments was Ola Salomonsson, representing Gottfrid Svartholm. He said that he has seen no proof that TPB indexes mostly copyright content and it seems that the only person who bothered to collect such data was Peter Sunde, and he reported 80% of indexed material as non-copyrighted. The Prosecution didn’t bother to collect any data on this issue, he said, and therefore cannot claim the opposite to be true.

Salomonsson said that the Prosecution never tried to contact any of the seeders on the site, who the Prosecution allege that the four must have had contact with. There is no proof that TPB’s tracker was used in any of the infringements highlighted in the case, he added.

Going on, Salomonsson spoke about Gottfrid’s comments yesterday when he called the Roswall “a crazy bastard” for the way he calculated the damages. This comment was because the Prosecutor has his sums wrong, he said, noting that while the Prosecutor claims there are 64 adverts on TPB, there are really just 4. Salomonsson said the revenue is closer 700,000 kroner rather than the millions claimed. Furthermore, he says that the advert deal shown to the court many times never actually came about, so therefore it should not be accepted as evidence.

Salomonsson said Gottfrid always believed that TPB operates legally. He said the site had never been issued with any injunctions ordering it to stop its activities.

Referring to the testimony of Roger Wallis, he said it had embarrassed the plaintiffs and put a big question mark over the massive damages they are claiming from the defendants and that common sense says that any claim must be drastically reduced. Speaking of a possible jail sentence, Salmonsson said that such a result does not feel right at all.

The court took a short break and returned with Peter Althin, Peter Sunde’s lawyer. He opened by saying that this has been a difficult trial for everyone involved and that when there are developments in technology, the establishment reacts against them.

Turning to the huge claimed damages, Althin said there is no proven link between material being downloaded from the Internet and any lost sales, so therefore calls for all the damages claims to be dismissed. Furthermore, he said that all of the ‘evidence’ produced by the Prosecution in respect of the damages claim was not collated independently and therefore wasn’t an objective assessment. He went on to say that since Peter had committed no crimes, there should be no claims for damages against his client.

As for the way the Prosecution dealt with witness Roger Wallis, Althin said it was at the least highly insulting. Instead of attacking Wallis’ arguments, he said the Prosecution chose to launch personal attacks against him. Calling the attacks against Wallis “pathetic”, Althin said he would do everything he could to restore Wallis’ reputation.

Althin told the court that Peter Sunde is just the spokesman of TPB and did not hold the position in the site that the Prosecution claim. Althin said that the Prosecution skipped quickly over talk about Peter at the summing up yesterday for this very reason, indicating a lack of confidence in their own claims.

Althin said that just because Peter knows the other defendants, it does not follow that he committed any crime and just because he gave some advice as to the running of the site, the same stands. “If I call Saab [motor company] and tell them to paint their cars green so they sell more, I have no responsibility for Saab,” he said.

Referring to the contested advertising agreement, Althin said that references were made to Founder 1 (Fredrik) and Founder 2 (Gottfrid). There is no reference to Peter. He added that Peter was not even originally a suspect in the case and his client has never made any money from being on the site. He called for the case against his client to be dismissed.

The court then took a short break and returned with Per E Samuelson, lawyer for Carl Lundström. Samuelson opened by saying that during the case the Prosecution missed the main key point – Is The Pirate Bay legal or not? He said that all four defendants should be acquitted since the Prosecution failed to issue individual charges as is required in a criminal case. Everything the Prosecution has described has been about the operations of TPB as a whole, not the individuals.

He went on to say that TPB was not unique and it has a lot in common with many other sites, which makes the judgment in this case very important, maybe of entire EU significance. Samuelson said the service provided by TPB is a legal one but due to the ‘blind’ nature of the site, it can be open to misuse and any such activity is carried out by the site’s users, not the defendants.

Echoing comments by Peter Althin, Samuelson said that when new technology appears it can be difficult to “see the wood for the trees”. He said that just because something may have been used by people for illicit purposes, should that mean that there should be an attack on the infrastructure as a result? It’s like taking legal action against car manufacturers for the problems experienced on the roads, he said.

While stressing that operations at TPB are entirely legal, Samuelson said that there had been a lot of politics involved in the trial and he urged everyone in the Court to try to ignore these aspects.

Turning to the allegations that his defendant assisted others in committing crimes, Samuelson said that there had to be a recorded major crime in the first instance. He said it seems that no-one is aware of when any alleged offenses were committed and furthermore, no-one knows who committed them. There can be no charge of aiding and abetting when the accused have had no contact and do not even know the person who committed an offense. Samuelson used some information from previous cases to prove his point.

Samuelsson went on saying that he didn’t really understand all the technology that is involved when he first started on the case, but that it is essential to this case. It is a case against an infrastructure that is used to share files, many of which are legal, he argued. He hoped the judge would realize this.

Without mentioning King Kong Samuelsson told that the accused have to be aware of the main crimes in order to be convicted, referring to the 33 copyrighted files that the defendants allegedly helped to make available. However, witness Kristoffer Schollin stated last week that the accused can’t possibly be aware of every download on the site.

According to Samuelsson the prosecutor was pressured to take action against TPB by the music and movie industry.

Next, Samuelsson goes on to describe his client as a businessman who is only vaguely connected to TPB. One of his customers (PRQ) hosted the site, but his client didn’t own the site, nor was he involved in maintaining or coding it. That the prosecutor want to hold Lundstom accountable for the 33 downloads seems to be far fetched according to the lawyer. Moreover, Carl Lundstrom stopped doing business with TPB when his lawyer warned him that the activities may be illegal.

After a short break all the lawyers and defendants went through their expense claims. Fredrik Neij claimed compensation for a plane ticket to Thailand which he couldn’t cancel and thus will cost more for him to book now. The others claimed their expenses as well.

The court further announced that the verdict is due on April 17 and ended the trial.

This is a developing story, please check back for updates

Article from: TorrentFreak, check out our new blog at FreakBits.

It’s not a DDoS attack as some suggested.

When we receive additional information we’ll post an update here. The Pirate Bay’s trackers are still up so all the torrents that are downloaded already should work just fine.

For those who are interested in the trial coverage, a summary of the events of day 10 was posted earlier today.

One can’t help but think that if The Pirate Bay was a traditional business making lots of profits as the Prosecution in the case would have everyone believe, the site wouldn’t suffer anywhere near the amount of downtime it does. Of course, a torrent site that is fully operational all of the time would be no fun at all. Everyone knows that absence makes the heart grow fonder….

Update: The problem was fixed this morning.

Article from: TorrentFreak, check out our new blog at FreakBits.

There were mixed opinions on the news. Some thought that it was great that there was an increased potential for a flood of cracked iPhone software, but a significant number of people expressed concerns that software developers would shy away from the format if they couldn’t guarantee a revenue stream.

Of course, the piracy/anti-piracy cat-and-mouse game was inevitable and today a new DRM system has been launched by Ripdev, promising to thwart those pesky iPhone pirates.

iPhone developer Ripdev says that its new ‘Kali Anti-Piracy’ system has been in development for some months now and today sees its official ‘beta’ launch. Ripdev acknowledges it has become trivial now for anyone to become a “cool hax0r” by cracking iPhone app DRM and distributing the results worldwide, but believes that with Kali, it has the answer.

According to Ripdev, the Kali system is a server-side service which can take any App Store application and place it inside another protection wrapper which, Ripdev claim, will prevent it from being pirated. Claimed to be fully compliant with the Apple iPhone SDK, Ripdev says that Kali-protected apps meet Apple’s approval process. The company adds that it has been protecting its own software (such as Kate, i2Reader Pro, iPref and Installer) with it for months and no-one has yet cracked any of them.

There is a one-off charge for developers to start using the system. If they sell their app for $9.99 or less it’s $100. Over $9.99 and it goes up to $300. Ripdev are also taking additional ‘royalties’ for each copy protected with Kali (in order to “keep the hackers on their toes”) of between 1% and 5% of the developer’s 70% cut.

Ripdev also has a message for would-be pirates;

“Expect more and more apps to be much, much harder to crack in the near future. ;)”

The trouble is that sounds awfully like a challenge. I’d put money on that being taken up. Quickly.

Article from: TorrentFreak, check out our new blog at FreakBits.

A project started by a coder named ‘SaladFork’, Crackulous was officially only available to a limited number of individuals, but it quickly gained notoriety as it makes the process of cracking software ridiculously easy. The successor to the more fiddly xCrack script, Crackulous is now being developed by ‘Angel’ and has a full GUI. All people have to do is buy an app from Apple and click a button, it’s that easy.

Although the software package was publicly released just hours ago, the source for this version (0.9) isn’t yet available. Crackulous is set to be released as open source software so that many people can contribute to its development, with original dev SaladFork commenting, “I’ve filled the source code heavily with comments explaining exactly what it’s doing and how it’s doing it. My hope is that Crackulous can be a learning resource for all the prospective iPhone developers out there, and will be able to revolutionize the cracking scene by producing a standard for application quality and functionality that can easily be reproduced to great effect.”

Currently a few people are reporting that they are experiencing difficulty getting the release to run, while others have no problems. There are also a couple of minor acknowleged bugs, but these are expected to be fixed shortly.

There was a hint of irony during November 2008 as the future of Crackulous was put in doubt. An early version of the software leaked out and SaladFork retaliated by threatening to cancel the entire project saying, “I personally think this leak is absolutely disgusting, and downright insulting.”

The latest version of Crackulous is now officially available from the Hackulous Cydia Repo. Expect it to become one of the most downloaded iPhone apps ever and, of course, Crackulous is free of charge. Let the app-avalanche begin – it could be a difficult one to stop.

Article from: TorrentFreak, check out our new blog at FreakBits.

Dave Satz wrote in to inform us that one of his friends was served with a DMCA takedown notice a few weeks ago. His friend, John Aprigliano, had allegedly downloaded a CAM release of “Cadillac Records”, without ever having heard of the movie. Although these takedown notices are just a formality and intended to scare the recipient, John decided to contact his ISP and ask for clarification.

After four calls to Comcast support the truth came out. The infringement notice was forwarded to the wrong person because the MAC-address of John’s old modem was still linked to his account. The Comcast techs eventually corrected the mistake, but this case yet again shows how inaccurate takedown notices can be.

Of course, this is just an exception, without any serious consequences. But what if John had lived in Ireland or New Zealand? He could have lost his Internet connection because of a mistake like this. Not to mention that if Comcast doesn’t screw up, the companies that collect the so called evidence might – it wouldn’t be the first time.

The RIAA is currently trying to get ISPs all across the world, including Comcast, on board for their “three-strikes” or “graduated response” scheme. Earlier this week ZDNet reported that AT&T and Comcast are seriously considering teaming up with the RIAA later this year to hunt down illegal filesharers. Let’s hope Comcast has fixed its administration by then.

Article from: TorrentFreak, check out our new blog at FreakBits.

In 2006, uTorrent was acquired by BitTorrent Inc., who continued to develop the application, and promised a Mac version.

The uTorrent for Mac projects started roughly two years ago. Initially it was based on libtorrent, but last year the development team decided to make the client a port of its Windows counterpart. A few months ago, an early Alpha release of the Mac version had leaked to the public, the official release, however, has some significant improvements and is much more mature.

The Mac release only runs on Leopard/Intel Macs at the moment, and is still in Beta. Simon Morris, BitTorrent’s VP of Product Management told TorrentFreak that they are working on getting the bugs in PowerPC fixed as well as back-porting to Tiger. “We’re obviously really psyched that we finally got this beta out there. This is indeed a port of the Utorrent source on top of OSX,” Simon said.

“On Windows, uTorrent is by far the best Bittorrent client out there on a power:performance basis. Following on from uTorrent’s roots, we have continued to focus on only features that users really want, and we have avoided bloating up on lots of clutter. We’re now looking forward to bringing that specialness to the world of Mac-lovers,” Simon added.

uTorrent for Mac can be downloaded over here. Since it is still in Beta, the uTorrent team encourages early adopters to post bugs and annoyances in the uTorrent forums.

Article from: TorrentFreak, check out our new blog at FreakBits.

Later she reflected on her rant, sometimes contradicting her earlier claims such as her millionaire status. So, considering the dismal status of torrents of her work, she needed another way to cash in.

Enter Kerchoonz.com. From what we can gather, it aims to be an online jukebox, mixed in with a music download service, maybe something like Jamendo. Ms Gregg’s husband, music producer Ian Morrow, explained the service to the BBC, saying “If you’re a musician you’ll upload your music to the site. Anyone plays it, you get paid. Anyone downloads it, you get paid. That’s it, simple. Everything’s free for the user.”

The main question then, is where the money will come from. Currently, they have a £250,000 investment from the Scottish Co-investment Fund. While this can fund the website initially, with a free end-user model it’s going to be incredible hard to gain any revenue. Advertising will be the only alternative, so until the site becomes popular, it will hemorrhage money. It doesn’t help that the site promises “no adverts attached!!!” which simply means that the site will be smothered in pop-ups and sponsored links. The payouts will probably be minuscule as well, so anyone expecting this to be a major source of revenue will be left unhappy.

Of course, over-exaggeration is nothing new for Gregg and Morrow. They claim they got the idea for the site after the release of Gregg’s album, “Woman at Work”. In an interview with the BBC, they claimed it had over 250,000 downloads. Our own research shows the upper limit to be more like 10,000 and the current activity of the torrents supports that. The name (Kerchoonz) appears to be derived from the word Gregg used whenever she talked about the Pirate Bay making money , kerching.

Another point to ponder is that while they claim there will be no DRM, watermarking will be used. One of the press releases for the site states “Kerchoonz tracks downloads and streams through a combination of the ISRC and play counts by utilizing unique coding and encryption within the application.” With this approach there could be privacy and profiling concerns, as with all watermarking.

Will the project succeed? At this stage it seems extremely unlikely, as there are already better services out there and any proposed rewards are likely to be extremely small. The recommendation and similarity aspects of both Pandora and last.fm have been the key to their success, letting people discover new artists. As to whether Kerchoonz will have it, who knows?

Right now, they are collecting emails and names, and a link to their privacy policy, but no actual policy. It’s polish like that that will make this public funded website go all the way…. to titsup.com. In the end, it sparks the phrase “Ave! Bossa nova, similis bossa seneca!” in that the only difference between Kerchoonz and The Pirate Bay, is that with Kerchoonz, you have a much smaller audience, but with some distant hope of getting some money back.

Article from: TorrentFreak, check out our new blog at FreakBits.

The situation revolves around that oddest of characters, Direct2Drive (D2D) – an online games store, owned by IGN, selling games over the Internet as protected downloads. Game code is modified to prevent the standard retail DRM from inhibiting game play (as there is no actual disc to check for) with Trymedia activation utilized instead. More importantly, since the code around the DRM has been modified and changed to a different system, regular patches from the game developers can’t be used. Instead, patches must be reworked by D2D to accommodate these changes. These changes are not always quick, a point D2D does try and defuse in its FAQ.

Thus we come to Rainbow Six: Vegas2 (R6V2) which, since its release in March, has had three patches released for it. The third, 1.03 provides a lot of changes, including new play modes, so legitimate purchasers of the game were eager to try it. The problem is, those that bought it via D2D can’t use it. This is the problem inherent in DRM. Those that buy the product are the ones affected, not those the DRM is designed to defeat.

After lots of complaining and attempts to fix things themselves, one Ubisoft employee found a solution. A zip file was uploaded to the help/support site, named “R6Vegas2_fix.zip”.

If D2D users patched to 1.02, then replaced the EXE with this one, they could then update to the new patch. However, someone ran a hex edit and it appears the fix was not Ubisoft code but actually a ‘no-cd’ crack released by the Scene group RELOADED, as shown here.

Since then, the zip file containing the fix has been pulled from the Ubisoft support site, so we’re unable to verify. The game’s community is as baffled by this as everyone else. Since the claimed origin of the fix, 10 days ago, there has been no word on it officially from Ubisoft, beyond a ‘Community Manager’ who states

We’re looking into this further as this was not the UK Support team that posted this, however if it is an executable that does not need the disc I doubt it has come from an external source. There’d be very little point doing so when we already own the original unprotected executable.

As soon as we find out more about this we’ll let you know.
_________________
Ubi.Vigil
Community Manager
Ubisoft UK

Although it is not unknown for a Scene release to be used to ‘fix’ a retail product, it’s certainly rare to have that fact promoted. That the ‘no-cd’ patch works, might have some relation to how brutal the Scene is when it comes to the quality of their work, especially in games. Whilst this is a validation that the Scene isn’t as bad as the lobby groups would have you believe (they fixed the game, and did it for free) you can bet that Ubisoft won’t be smiling at E3, and that they, and Direct2Drive, will continue to use DRM to annoy and inconvenience paying customers.

Article from: TorrentFreak, check out our new blog at FreakBits.