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Why internet service provider and content provider do not collaborate via monitoring of digital piracy

Author

Listed:
  • Mo, Jeonghoon
  • Park, Jungju
  • Im, Nari
  • Park, Jiwon
  • Kim, Hansol
Abstract
Internet service providers (ISPs) and content providers (CPs) have a symbiosis relationship in the Internet business ecosystem. In this paper, we investigate the possibility of and the conditions for their revenue sharing by means of on-line content piracy monitoring. CPs can benefit from the efforts of ISPs to monitor illegal content consumers, and can have the incentives to collaborate with ISPs. We suggest that if the quality degradation of a pirated content is low as in real world, there may not be a successful collaboration because CPs have little incentives to share their revenues with ISPs. We also investigated the impacts of ISP's piracy monitoring cost level, the value of contents, and CP's access fee per traffic on the possibility of their collaboration.

Suggested Citation

  • Mo, Jeonghoon & Park, Jungju & Im, Nari & Park, Jiwon & Kim, Hansol, 2017. "Why internet service provider and content provider do not collaborate via monitoring of digital piracy," Socio-Economic Planning Sciences, Elsevier, vol. 60(C), pages 49-61.
    • Handle: RePEc:eee:soceps:v:60:y:2017:i:c:p:49-61
    DOI: 10.1016/j.seps.2017.02.004
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    References listed on IDEAS

    as
    1. Sanjay Jain, 2008. "Digital Piracy: A Competitive Analysis," Marketing Science, INFORMS, vol. 27(4), pages 610-626, 07-08.
    2. Bae, Sang Hoo & Choi, Jay Pil, 2006. "A model of piracy," Information Economics and Policy, Elsevier, vol. 18(3), pages 303-320, September.
    3. Monica Johar & Nanda Kumar & Vijay Mookerjee, 2012. "Content Provision Strategies in the Presence of Content Piracy," Information Systems Research, INFORMS, vol. 23(3-part-2), pages 960-975, September.
    4. Oz Shy & Jacques‐Françlois Thisse, 1999. "A Strategic Approach to Software Protection," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 8(2), pages 163-190, June.
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    Cited by:

    1. Peng, Shuxia & Li, Bo & Wu, Shuang, 2023. "Presence of piracy and legal protection: Decisions in the digital goods market under different contracts," European Journal of Operational Research, Elsevier, vol. 309(2), pages 578-596.
    2. Tarun Jain & Jishnu Hazra & T. C. Edwin Cheng, 2020. "Illegal Content Monitoring on Social Platforms," Production and Operations Management, Production and Operations Management Society, vol. 29(8), pages 1837-1857, August.

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