Former Quebec Premier Bernard Landry has dubbed tax credits implemented for multimedia development companies in the Canadian province as an enormous success, reports The Montreal Gazette.

Landry (pictured left), speaking at the Montreal International Games Summit, claimed that the initiative also helped change Quebec’s economic makeup, stating, “Thirty years ago, our main exports were minerals, hydro-electricity and lumber. Today, we export airplanes, train parts, and video game.”

Of course Landry is also credited as introducing the tax scheme, which currently refunds qualified companies up to 37.5 percent of labor costs. Landry claimed that the cost of the program to taxpayers was earned back in five years.

He added:

Textile imports from China killed our textile industry. But (textile workers) were making $12 an hour. Video game developers make on average $60,000, and give back to the economy in the form on income taxes.

Cheating is always a problem in school, and one that most educational videogames are not immune to.

In creating its latest title—a game designed to teach the history of biology—Toronto-based Spongelab Interactive was concerned about walkthroughs being posted online by those who had already completed the content. Their solution was to hire programmer Alex Maslov, a Centennial College graduate, to make the game dynamic and randomize content.

Maslov’s task took him four months and resulted in a “cheat-proof” educational title. He also landed a new job—Maslov is now employed by Spongelab’s sister company InViVo Communications.

The unnamed title is due to enter beta testing next spring towards a 2010 mid-year release.

ITBusiness.Ca has a video and short story on the subject up on their website.

The Entertainment Software Association (ESA) and the Entertainment Software Association Canada (ESAC) have issued public kudos to the Royal Canadian Mounted Police (RCMP) and York Police for the pair’s latest efforts against the sale of pirated and counterfeit goods at the Pacific Mall in Markham, Ontario.

Raids on October 29, 2009 followed a two-month investigation into illegal activities at two retail outlets in the mall and resulted in the seizure of two autos and the home of one of the store owners. Manufacturing equipment used to make the counterfeit items was also seized, in addition to nine firearms. Three people were ultimately arrested.

Danielle Parr, Executive Director of the ESAC, commented:

Game piracy is a serious problem that costs the entertainment software industry millions of dollars each year. Law enforcement raids against notorious pirate retailers like those in Pacific Mall send a clear message that trafficking in pirated game products is illegal and will not be tolerated.

The Pacific Mall is indeed “notorious,” having been raided a host of times over the years. The RCMP seized over $800,000 worth of counterfeit DVDs in 2005 and over 49,000 counterfeit DVDs earlier this year.

Ontario is launching three new programs designed to aid Ontario-based interactive development companies.

Backed by a provincial investment of $605,000, Interactive Ontario will see the following programs enacted:

•  ONtheEdge –a training curriculum targeting video game entrepreneurs to provide them with business skills tailored for the industry.
•  GamesID - will provide market intelligence, marketing and promotional support to video game companies by disseminating industry research and information and seeking domestic and international partnerships.
• Ontario Video Game and Digital Media Investor Network - designed to connect video game and digital media developers with Canadian and international investors.

Sandra Pupatello, Minister of Economic Development and Trade, stated, “As a government, we are committed to working with the industry to generate investment and create high-value jobs for Ontarians.”

Ontario says that its local digital media industry generates around $1 billion annually. Digital Extremes, Silicon Knights, DreamCatcher Interactive, Koei Canada and BattleGoat Studios are among those that call Ontario home.

Via IndustryGamers

In a move to make the roads of Canada safer, Advertising Standards Canada has handed down a ruling that ads cannot depict cars exceeding the speed limit, car chases in a residential setting or other unsafe driving practices.

A story in Canada's Globe and Mail details the ruling and clarifications to existing guidelines It also gets comments from various car manufacturers about their ad policies and how the new rules may affect them.

But where it gets interesting is a paragraph later in the story:

And some of the worst offenders are not even in the car business. An ad for the new Forza Motorsports 3 video game – which is rated E, suggesting it is acceptable for all ages – features cars swerving out of control, rolling over, and smashing into each other. Some car industry executives point to Hollywood movies and even tire manufacturers as airing unsafe depictions.

In looking closer at the ruling on the ASC site, the clarification seems directed at motor vehicle advertising and not at virtual world racing or games. We have contacted ASC to see if video game publishers would be prohibited from advertising any type of unsafe driving in their games, which could eliminate advertising for many rally or racing games. We'll post an update if and when we get an answer.

Update: Janet Feasby, vice president of standards for the ASC, repsonded back to our inquiry about video game ads, and as suspected the guidelines were designed for ads showing the depiction of driving cars and other motorized vehicles and not to the depiction of driving in products such as a video game.

However, she did offer a clarification:

Clause 10 (Safety) of the Code applies to the advertising of any category of product. It states that: “advertisements must not without reason, justifiable on educational or social grounds, display a disregard for safety by depicting situations that might reasonably be interpreted as encouraging unsafe or dangerous practices, or acts.

 

If ASC received a complaint from a consumer alleging that driving or racing scenes in a commercial for a video game could encourage unsafe behaviour, ASC would review the commercial against Clause 10. And, as directed by Interpretation Guideline #1, “in assessing the impression likely to be conveyed by an advertisement, ASC will take into consideration the use and application in the advertisement of the elements of humour and fantasy.”

They may not be sold near a checkout stand, but video games sales are growing in Canada because more and more Canadians are buying them on a whim, according to a recent NPD study.

According to an article in the Finanacial Post, 40% of Canadians who purchased a video game said they did so on impulse within the last six months. However, while they have been buying games, the average cost of the games they are buying has dropped almost $15, from $42.97 for a planned purchase to $27.19 for a spontaneous one. Used games were the biggest winner, although online purchases of dowloadable content were not tracked.

According to the article:

"Clearly gamers are becoming much less reluctant to spend on games," said Matthew Tattle, group manager for The NPD Group. "One would think it is a little unusual to see impulse purchases during a recession but it's clear that hardcore gamers will find a way to satisfy their need for something new, different and enjoyable."

How about you ... Are games an impulse buy or a set item in your budget?

Mediacorp Canada’s 10th annual list of the Top 100 Employers in the Great White North includes two game development companies.

It should be no surprise, of course, that BioWare made the list. The Alberta-based developer made the list because of such employee-friendly perks as referral bonuses (up to $1200), free breakfasts, free on site gym (with saltwater pool), top maternity leave benefits, seven days off during the Christmas season and seven-week long paid sabbaticals for veteran employees to help them avoid burnout.

Ontario-based Digital Extremes gained a spot in the Top 100 due to tuition subsidies (up to $2500 per year), liberally granting a new employee vacation time based on past work experience and maternity benefits. The Unreal Tournament co-creator also added over 30 new positions in the past year.

Grades will be assigned to each Top 100 entrant later this month.

Thanks Goose!

Kids Help Phone, a Canadian counseling service for youths, has released results of a survey it conducted into online gaming habits.

Entitled Online Gaming: Child’s Play or Obsession, the survey collected data from 2,793 respondents, of whom 63% were aged 14 years or younger and 64% were female. 59% percent of those polled indicated that online gaming gets in the way of their school work, while 47% indicated that their parents do not, or may not know what games they are playing online.

The study noted that respondents from Northern Territories (the Yukon, Northwest Territories, and Nunavut) spent more time gaming online and were more likely to be unable to quit gaming on their own versus youths from the rest of Canada. Why? According to one respondent from the region, “Cause [kids] don’t have anything else to do.”

The report includes advice aimed at both parents and gamers themselves to assist in responsible gaming, including putting the family’s computer in a central location of the house for monitoring purposes and encouraging parents get their kids to stop playing online games at least a half an hour before bed.

The report also notes some benefits of gaming:

Despite some negative press in recent years, online gaming does offer young people benefits, such as improving memory, building knowledge, developing better eye-hand coordination, etc. It also offers youth who are isolated (either geographically or socially) a quick and, to an extent, safe way to connect with others.

The full 44-page report (PDF) can be downloaded here.

As the Canadian government undertakes a public consultation on copyright issues, the head of game publishers lobbying group ESA Canada has penned an op-ed on the issue for Straight.com.

Not surprisingly, Danielle Parr argues for technological protection measures (TPM) and against mod chips (which are not currently illegal in Canada). Parr writes:

For the video-game industry, TPMs are not only used to prevent piracy and cheating (e.g. “modding” game code to give an unfair advantage over other players); they also enable access to a greater range of features and options that would otherwise be unavailable. Things like parental controls... “trial” or “demo” versions of games, and new digital distribution platforms like Valve’s Steam, Xbox Live Arcade, or the PlayStation Network, all provide greater choice and access for consumers...

By ensuring that consumers have a variety of digital offerings to choose from, legal protection for TPMs allows market forces to protect consumer interests, so if a consumer does not like the conditions of sale or terms of service for one digital product or service, they can simply take their business elsewhere. Failing to protect TPMs under the law effectively means that the government is dictating the business model, which is bad news for business and for consumers.

Those commenting on the Straight.com piece, however, don't seem to be buying Ms. Parr's arguments. As I post this, there are 15 comments, all of which are critical of the ESA Canada boss's op-ed.

GFOX: Danielle Parr, and the [ESA Canada] are completely out of touch on this issue. By failing to bend to an American lobby group such as the ESA I hardly think that the government of Canada can be seen as "dictating" any particular business model... The ESA's [penchant] for freely spewing unsubstantiated and exaggerated statistical data with the sole intention of striking fear into the hearts and minds of lawmakers is appalling...

NerdOfAllTrades: I agree that measures should be taken to prevent piracy, but punishing your loyal customers with TPM, which will only mildly inconvenience real pirates for the few hours it takes them to remove it... will only make people want to buy fewer PC games.
 
Sébastien Duquette: DRM is a failure... I really don't like Parr's fear-mongering tone. The industry of video game is flourishing, without DRM inforcement

Will: The video game industry has claimed to be on the brink of collapse due to piracy since the 1980s, and yet it somehow continues to grow bigger and more profitable... There will always be free riders who don't pay for their copy, but that isn't relevant. It's how many games you sell, not how many you don't sell that matters... This control-freak mentality... serves only to create hostility between the industry the customers...

AWJ: once you throw in an anti-circumvention law like the American DMCA, your platform monopoly becomes a state-enforced monopoly... Danielle is even arguing is that if the government doesn't give Microsoft and Nintendo and Sony the state-enforced monopolies they want, then it's "dictating the business model". If nothing else, I admire her chutzpah...

WayneB: Let me get this straight - [DRM] is an advantage to the consumer? What a bald faced lie.

Idle: This is a disgusting show of contempt for canadians brought to you by the ESA "of Canada".

GP: In the photo at left, Parr is seen at ESA Canada's Ottawa Day 2009 lobbying event.

The Montreal Gazette reports that a $10,000 lawsuit filed against the game publisher by the bishop of the Raëlian Church has been thrown out.

Raëlism is a UFO-based religion founded in 1974. From the newspaper story:

Daniel Chabot had sued for moral and exemplary damages claiming he was discriminated against based on religion...

 

Chabot had argued before [Judge] Lachapelle that his training program at Ubisoft was cancelled after it was discovered he was a member of the Raëlians.

According to Raëlism's Wikipedia entry, the government of France considers it a cult.

Telefilm Canada, a cultural agency of the Canadian government, has provided grant funding to several independent game projects, reports Gamasutra.

Recent recipients include DeathSpank ($536,069), a game under development by Ron Gilbert of Monkey Island fame and upcoming XBLA title Fez ($73,682) from Polytron.

Other recipients include N+, Eets Chowdown and It's Emotional.

The grants are considered "repayable advances," which means that they must be repaid out of profits. However, if a game loses money there is no requirement to repay. Releasing a title with both English and French versions scores a 10% discount on repayment

The Ontario city of Sault Ste. Marie plans to support development of a speech therapy game to the tune of $50,000, according to The Sault Star.

The money from the city's economic development fund will be awarded to Algoma University, which is partnering with the Toronto Rehabilitation Institute to build a game studio devoted to developing health-oriented games.

Council member Steve Butland called the project "different and darn near cutting edge for Sault Ste. Marie."

In Canada, the government has decided to consult with its citizens on copyright issues. To that end, an official site has been launched.

University of Ottawa law proessor Michael Geist, however, sees both opportunity and threat to average Canadians in the new government initiative:

While Canadians can ensure that the government understands that copyright matters and that a balance is needed, some groups will undoubtedly use the consultation to push for a return of a Canadian DMCA like Bill C-61.

 

The recording industry has already said that bill did not go far enough. That means we could see pressure for a Canadian DMCA, a three-strikes and you're out process, and the extension of the term of copyright to eat into the public domain.

Geist has been an outspoken critic of efforts to push U.S.-style copyright restrictions into the Great White North. To help Canadians stay current on copyright issues, the law prof has launched Speak Out on Copyright and has a related Twitter feed.

Via: boingboing

Recent news that the government of Ontario plans to grant $263 million to assist video game publishing giant Ubisoft in the creation of a game development studio in Toronto has generated a good bit of controversy.

Supporters maintain that Ontario is investing in job creation while critics see a government handout to a company that is profitable, foreign and in the business of creating violent games.

But Brad D. of ExGamer.net looks at the deal from the game addiction perspective. In last week's podcast, Brad comments on the new marriage between Ubisoft game makers and Ontario bureaucrats:

The government of Ontario has just made a massive investment in the firm Ubisoft... When we see massive infusion of cash, let's say in... casinos, we always see that matched with public education programs around the potential dangers of excessive gambling...

 

When I see a quarter-billion dollars being invested by the government in the video game industry, it raises a couple of eyebrows. While I'm thrilled to see jobs in any industry that will be high-paid and lasting, I am concerned that the government is not matching that with some kind of investment in education on the risks of excessive [video game] usage.

The recent news that the government of Ontario would fork over $263 million to Ubisoft for a new studio in Toronto remains controversial. In today's Globe & Mail columnist Marcus Gee is beside himself over the decision:

With a budget deficit of $18.5-billion, your provincial government is strapped - but not so strapped that it can't find a quarter of a billion in the pocket lint to pay some Frenchmen to set up a new video-game studio...

 

Ubisoft executives say they are in love with Toronto... But game developers are a footloose bunch, jumping from place to place in search of talent and government handouts... Who is to say they won't jump across the pond when the [U.K.] tax picture changes. Or when currency-exchange rates make Canada less desirable...

 

That quarter-billion has to come from somewhere, much of it from good Toronto businesses that don't have the buzz factor... Their tax burden will rise, and their business will suffer, while the cool kids in the video-game industry collect government cheques.

Meanwhile, David Olive at The Star seems cautiously optimistic about the Ubisoft deal:

Corporate welfare is tough to justify at the best of times... Could there be better uses of public money than developing the next generation of Assassin's Creed... And at a cost of $329,000 for each of the up to 800 workers to be employed by the new Ubisoft Toronto?

On balance, the investment is probably wise...

In yesterday's GamePolitics coverage we took note of an editorial in Canada's National Post which slammed the Ontario government's recent announcement that it would grant Ubisoft $263 million for the publisher's new Toronto studio.

Canadian blogger Eli Green offers the opposite view, however, claiming that the deal is a good one for Ontario because it will boost the local economy. In an opinion piece for Comic Book Bin Green writes:

To begin wit... Torontonians, or anyone else from the general vicinity, looking for a position with the [Ubisoft] will no longer have to make the... six hour jaunt to Quebec... That means more talent stays within Ontario, which, naturally, is beneficial for the province as a whole.

There is something far more important happening here though... an investment of this magnitude, in this industry, from the government of Ontario was long overdue... If the government plays its cards right, the Ontario video game development community should continue to grow and thrive, giving a nice boost to the economy, and local talent will continue to be just that – local.

It's not just important news for Ubisoft, it's important news for Ontario.

GP: In the pic, Ontario Premier Dalton McGuinty (right) and Ubisoft CEO Yannis Mallat seal the deal...

When Ontario's Premier Dalton McGuinty (left) announced on Monday that the provincial government planned to give $263 million to Ubisoft to offset the cost of opening a new game studio in Toronto, some eyebrows were raised.

Game industry types seemed understandably pleased, but an editorial in the National Post expresses shock and dismay over the amount of money involved and the fact the that those funds are going to a highly profitable company:

Ontario gives $263 million to company that makes $111 million in profit. Smart. Weren't we supposed to have learned something from the recession? Apparently not...

It’s bad enough that companies with terrible balance sheets get cash from taxpayers, but encouraging software companies that make money to play the same game is something else again. If you're losing money, Ontario wants to support you. If you're making money, Ontario wants to support you.

Commenters to the editorial were, by and large, not receptive to the plan, either.

- Soooo, do the math: That's 80 jobs per year. At a cost to the taxpayer of........ wait for it......................... $328,750 EACH !!  WHAT A "DEAL" !!

 

- Let's call a spade a spade: Ontario liberals pissing away $300.000 per job created. You know what? I am not paying any more taxes. That's it... Why paying taxes, if everything I pay is getting just given away to the foreign businesses? I'd rather move to Honduras...

A few commenters, like the one below lauded the deal, however:

The author of this article clearly misses the point.  The $263M "invested" by the Ontario government are in the form of tax breaks over ten year as an incentive to set up shop here, so no cash outlay.  Further, the tax breaks are kind of a moot point since these taxes wouldn't have been paid anyway had UbiSoft not set up shop.  The fact that they're spending $500M to open a studio, clearly they'll be here for a while, thus creating more jobs... 

The Canadian province of Prince Edward Island is currently home to an office of Longtail Studios, a development house started by Ubisoft co-founder Gerard Guillemot.

But, as reported by CBC, the firm is apparently relocating to Nova Scotia. Last week all 23 employees were offered comparable positions in a proposed new location in Halifax. P.E.I., however, is not giving Longtail up without a fight.

Innovation Minister Allan Campbell told CBC:

I am concerned with the possible loss of these positions on P.E.I. I've asked staff in my department to put together a package that is attractive to the company and that incites them to remain here on P.E.I.

Why Nova Scotia in particular has targeted this particular company, I'm not sure about that.

A package of tax breaks and subsidies which P.E.I. previously granted to Longtail expires later this year. Campbell said that talks aimed at keeping the developer in the province have been ongoing.

Longtail, which primarily develops games for mobile platforms, is based in New York City. According to its website, the developer also has maintains an office in Quebec City.

The provincial government of Ontario will make a massive investment into a new Ubisoft studio, reports Toronto's National Post.

Premier Dalton McGuinty (Left) announced today that Ontario will sink $263 million into Ubisoft Toronto over the next 10 years. Ubisoft itself plans to invest more than $500 million in the project.

A projected increase of 800 jobs is a large part of the Ontario government's motivation to invest in the new studio, which will be Ubisoft's fourth in Canada. Said McGuinty:

Our world is one where you can borrow capital, you can copy technology and you can buy natural resources. But to build a high wage and a high standard of living you need talent. By investing in Ubisoft, we're building Ontario's economy now and for the future.

Influential Sen. Orrin Hatch (R-UT) referred to a Swedish court's recent conviction of the operators of file-sharing site The Pirate Bay as "important" and a "victory." He also reiterated Congressional claims that Canada is a leading copyright violator and pointed with pride to the controversial Digital Millenium Copyright Act, which he helped pass more than a decade ago.

Hatch, who has served in the Senate for 32 years, made the remarks while addressing the World Copyright Summit on Tuesday in Washington, D.C. The Utah Senator co-chairs the Congressional International Anti-Piracy Caucus (IAPC):

For years, countries like China and Russia have been viewed as providing the least hospitable environments for the protection of intellectual property. But this year, it was particularly disappointing to see that Canada, one of America’s closest trading partners, was listed on the Watch List. This is another sobering reminder of how pervasive and how close to our borders copyright piracy has become in the global IP community...

 

Appallingly, many believe that if they find it on the Internet then it must be free. I have heard some estimates cite no less than 80 percent of all Internet traffic comprises copyright-infringing files on peer-to-peer networks.

That is why the Pirate Bay case is so important. While the decision does not solve the problem of piracy and unauthorized file sharing, it certainly is a legal victory and one that sends a strong message that such behavior will not be tolerated. We can and must do more...

 

When we passed the Digital Millennium Copyright Act in 1998, one of my goals was to address the problems caused when copyrighted works are disseminated through the Internet and other electronic transmissions without the authority of the copyright owner.

By establishing clear rules of the road, the Digital Millennium Copyright Act served as the catalyst that has allowed electronic commerce to flourish. I believe the DMCA, while not perfect, has nonetheless played a key role in moving our nation’s copyright law into the digital age...

The Copyright Alliance, a lobbying group for IP rights holders (the ESA is a member), applauded Hatch's remarks:

Orrin Hatch (R-UT) once again was charming, informed, thoughtful and inspiring in his speech. Once again he was a passionate supporter of creators and copyright owners, and told the 500 or so international delegates here that he has been, and always would be, their champion...

Hatch, who last won re-election to the Senate in 2006, has been a regular recipient of campaign donations from the IP industry. A quick check of donations by political action committees shows that Hatch received $7,000 from the RIAA (music industry) between 2004-2006 and $12,640 from the MPAA (movie business) between 1998-2006.

IP Watchdog has the full transcript of Hatch's remarks.

On Wednesday game publishers' lobbying group ESA issued a press release praising members of the bipartisan Congressional International Anti-Piracy Caucus for singling out Spain, Canada, Mexico, Russia and China as anti-piracy priorities for 2009.

ESA CEO Michael Gallagher praised the IAPC in a press release:

We thank the Caucus for this year issuing a challenge to Canada and Mexico to pass additional legislative protections – such as prohibitions on ‘mod chips’ and other circumvention devices that are used to play pirated games – and to follow through with greater enforcement and border controls.

We also thank the Caucus for highlighting the severe problems that exist for our industry and other copyright industries in Spain. Online and peer-to-peer piracy are rampant and virtually unchecked in Spain and in other major European markets...

But Nick Farrell of the U.K.-based Inquirer, doesn't think much of the caucus, implying that the senators and representatives on the IAPC have been lobbied by the RIAA and other IP rights holders. Farrell writes:

The RIAA has got its tame politicians in the US congress to rail at other nations that don't hold such a jack-booted attitude toward copyright infringement as the Land of the Free...

[IAPC] singled out Baidu, China's largest Internet search engine, as being "responsible for the vast majority of illegal music downloading in China." That's interesting, because Baidu does the same thing as Google which, as a powerful US company, the music industry has not dared to denounce...

It seems almost as though the entertainment mafiaa would like the US to mount a cross-border raid into Canada over its perceived lack of draconian copyright enforcement and wants the US to treat its NATO ally Spain as a pariah for having the temerity to say that peer-to-peer file sharing over the Internet isn't a crime.

The Obama administration slammed Canada last week, adding our northern neighbor to a list of what the office of the U.S. Trade Representative says are nations which fail badly at copyright protection. U.S. media rights holders, including video game publishers' lobbying group ESA, lauded the USTR's addition of Canada to its Priority Watch List.

Some Canadians reacted with anger, claiming the action was driven by America's corporate IP lobby and arguing that Canada should not bow to such consumer-unfriendly pressure.

Via boingboing, we've gotten a look at C-61, a mini-documentary which addresses the Canadian government's so far unsuccessful attempt to pass DMCA-style copyright law.

boingboing's Cory Doctorow, who provided some narration to the film, comments:

A group of Canadian copyfighters produced this mini-documentary, "C-61," about the proposed new Canadian copyright law, which the US government is pressuring Canada to pass (that's why the USA added Canada to a nonsensical list of pirate nations).

 

Previous attempts to pass this bill have been a disgrace -- famously, former Industry Minister Jim Prentice refused to discuss the bill with Canadian record labels, artists, tech firms, or telcos, but did meet with American and multinational entertainment and software giants to allow them to give their input. In the bill's earlier incarnation as C-60, its sponsor, Sam Bulte, was caught taking campaign contributions from the same US and multinational entertainment companies...

A day after U.S. Trade Representative Ron Kirk added Canada to the USTR's "Priority Watch List" of copyright offenders, Canadians are beginning to fire back.

University of Ottawa law prof Michael Geist writes:

The move is not unexpected, given recent comments from Vice President Joe Biden and U.S. Congressional panels as well as the demands from U.S. lobby groups...  (never mind that Canada enacted anti-camcording laws in 2007, introduced C-61 last year, is an original negotiating partner in the ACTA negotiations, joined the U.S. as a third party in the WTO copyright complaint against China, etc.).

Geist also cites the Canadian government's 2007 objection to pressure applied by the USTR:

In regard to the watch list, Canada does not recognize the 301 watch list process. It basically lacks reliable and objective analysis. It's driven entirely by U.S. industry. We have repeatedly raised this issue of the lack of objective analysis in the 301 watch list process with our U.S. counterparts.

In a separate post, Geist calls the Priority Watch List designation absurd, noting figures which show Canada's piracy rate to be quite low compared to other nations:

The IIPA, the lead U.S. lobbyist on international IP matters, has issued a press release on the USTR Special 301 report, welcoming the inclusion of Canada on the Priority Watch List.  Yet the release inadvertently demonstrates why the designation is so absurd...

 

compare Canada to the remainder of the list.  Canada comes in at 32%... Not only is Canada not even remotely close to any other country on the list, it has the lowest software piracy rate of any of the 46 countries in the entire Special 301 Report... 

Those pesky Canadians have finally pushed the U.S. Government to the brink.

If the Bushies were still in power we might now be glued to CNN, watching the 82nd Airborne para-dropping into Ottawa. But as it is, the Obama administration has settled for delivering a nasty slap via the office of U.S. Trade Representative Ron Kirk (left).

The issue is copyright protection and the USTR, a cabinet-level post, has been making unpleasant noises in Canada's direction for several years. Today Kirk dropped the hammer, placing Canada on the "Priority Watch List" along with China, Russia, Algeria, Argentina, Chile, India, Indonesia, Israel, Pakistan, Thailand, and Venezuela. From the USTR report:

Canada is being elevated to the Priority Watch List for the first time, reflecting increasing concern about the continuing need for copyright reform, as well as continuing concern about weak border enforcement.

The Entertainment Software Association, which lobbies on behalf of U.S. video game publishers, was quick to applaud the action in a press release. No surprise there, as the ESA has been pushing hard in recent years for Canada to outlaw mod chips and adopt its own version of the consumer-unfriendly Digital Millenium Copyright Act.

In fact, with DMCA-like legislation an issue that Canada's Parliament will soon be considering, a cynic might be forgiven for thinking that the USTR's action was timed for its persuasive value as much as anything else.

Of today's announcement, ESA CEO Michael Gallagher commented:

Putting Canada on the ‘Priority Watch List’ is a signal of the Obama Administration’s commitment to strengthening global intellectual property protection, and its intent to address this issue firmly with the Canadian government. Canada’s weak laws and enforcement practices foster game piracy in the Canadian market and pave the way for unlawful imports into the U.S.

So what does the ESA want from Canada? They have a laundry list:

• Enact legislation outlawing game circumvention devices, such as “mod chips” and “game copiers,” in line with Canada’s international treaty obligations
• Create adequate legal incentives for internet service providers (ISPs) to work with copyright owners in combating online piracy
• Provide Customs officials with adequate authority to make ex officio seizures of counterfeit and pirate product at the border; and,
• Provide adequate resources to anti-piracy enforcement efforts and make prosecution of intellectual property crimes a high priority.

When the video game industry makes a lobbying push, it brings along the fun.

Canada.com reports that lawmakers played video games while ESA Canada execs pushed anti-piracy legislation this week at a lobbying event for members of Parliament in Ottowa.:

Conservative MP Mike Lake... took a break from playing the popular video game NHL 09 at the event, to talk about the ESAC's requests [for increased piracy protection].

Lake said the government plans to introduce a copyright bill, but wouldn't say exactly when. "It should happen in this Parliament," he offered.

The MP, whose Edmonton riding includes major game developer BioWare, said the bill is a "priority" for the government, adding the bill, if turned into law, wouldn't just benefit the gaming industry, but the music, movie and television industries also.

ESA Canada has been pushing hard in recent times for a north-of-the-border version of the USA's controversial Digital Millenium Copyright Act. Danielle Parr, executive director of ESA Canada, said:

At the federal level, the primary issue for us... is the protection of intellectual property... We really urge [Parliament] to [pass the legislation] as soon as possible... In Canada, [mod chips] are not illegal. They're illegal in virtually every other country.

Sacrebleu!

A new law in Quebec has video game retailers concerned, reports the Toronto Star.

As of April 1st, it became illegal to sell an English language-only version of a video game if a French version is available.

Game Buzz co-owner Ronnie Rondeau is among those who are upset:

I'm afraid it's going to cost me my business. If it really was going to make a difference, I'd be for it, but only a small number of people want to play in French. The rest don't care. And money-wise, it's going to hurt.

Hardcore gamers, of course, are an impatient lot who often want their favorite titles on the date of release. But Haig James Toutikian, a Montreal game designer, said that technical difficulties in creating French versions could lead to delays:

I know how much of a pain they can be. They take up a lot of bug-tracking time... I don't think [the new law] will encourage people to buy the French version.

This one's a little strange, but it seems that a former associate of Osama bin Laden would rather stay in a Canadian prison than live under house arrest restrictions which include the removal of his family's Nintendo Wii console.

As reported by the Globe and Mail, Mohamed Zeki Mahjoub (left), an Egyptian, asked a Canadian federal judge to send him back to the Ottawa jail referred to as Guantanamo North.

This is a man who once worked for Osama bin Laden's agricultural company, managing 4,000 employees and one million acres of land in Sudan. Guilt by association? Well, yes. That company was named in the United States indictment against Mr. bin Laden as a financial support for al-Qaeda...

[After 6.5 years in jail] bail came with a set of conditions. He was essentially housebound... He couldn't use the Internet (hence the confiscation of the Wii, which had an Internet connection). His mail was photocopied by the state.

Via: Kotaku

Sony's decision to voluntarily remove Killzone 2 ads from Toronto bus shelters last week prompted Cnet's Don Reisinger to ask an interesting question: How far should violent game ads be kept from schools?

The ads came down after an elementary school teacher complained that they might be frightening to children. In addition to pulling the ads, Sony said that it would work to establish an ad-free radius around schools for future campaigns. Reisinger writes that the PlayStation 3 manufacturer made the right call:

Moving ads away from schools is probably a smart decision on the part of Sony and every other video game developer that doesn't want to upset an entire community. School officials have a point when they complain about violent video game ads around kids who aren't even old enough to buy them...

But if Sony will start creating an advertising barrier around schools, how far away should it be? Some might say that one mile is far enough, since most kids will be on the bus by then. Others might say the advertisements can be placed within a few hundred yards from a school...

While I applaud Sony for taking the ads down... I wonder how it plans to implement its advertising-free zones, since a standard distance probably won't work around every school.... In trying to do good, I wonder if Sony has hindered its ability to effectively advertise.

As GamePolitics reported earlier this week, Sony pulled ads for PlayStation 3 shooter Killzone 2 from bus kiosks in Toronto after an elementary school teacher complained that they might frighten children.

An adjoining regional transit company has now followed suit. As reported by YorkRegion.com, York Region Transit has taken down the Killzone 2 (left) from its bus shelters.

Although YRT received a complaint from the parent of a three-year-old boy, the agency opted not to act until it learned that Sony was voluntarily removing the ads in nearby Toronto.

The parent, John Rennie, reported that the ad upset his son:

Pulling into the parking lot, his son began cry, saying he saw a monster and didn’t want to go to school...

“He really thought what he saw [on the poster] was going to be inside the [school] complex...”

Mr. Rennie was not only upset the poster evoked such an emotional reaction from his young son, but that the violent advertisement for the mature-rated game was placed at a site frequented by youth.

YRT General Manager Don Gordon said that political ads as well as those for alcohol and tobacco products are banned from its bus shelters. A contractual clause also gives the agency the right to remove any ad judged to be in bad taste:

This has happened on a few other occasions. The one that comes to mind was a lingerie ad that was too revealing.

In pulling the Toronto ads, Sony said that it would look into the creation of an ad-free radius near schools, a spokesman said.
 

Sony has put an early end to a Killzone 2 marketing campaign which featured print ads on bus kiosks in Toronto.

The Toronto Star reports that a complaint from elementary school teacher Davis Mirza prompted the move. Mirza told the Star:

My kids, who come from a lot of different countries, who have to experience violence, who basically come here to seek shelter and safety, that's the stuff they don't need to see. [The ad features a] menacing head with glowing eyes... [and a war zone] like Iraq...

 

I don't think that when you're in Scarborough, where we're having to deal on a constant basis with violence, that does anything to help promote any kind of community renewal or even responsibility.

Sony spokesman Kyle Moffat said that, going forward, Sony will establish an off-limits radius around schools for violent game ads. It's unclear whether that decision is specific to Toronto.

Via: Kotaku