Towards a modern, more European  copyright framework
            Digital technologies, widespread broadband  connections and reliance on the internet in daily life have transformed the way  creative content is produced, distributed and used. The internet has become a  key distribution channel. Business models unheard of only 15 years ago and new  economic players like online platforms have become well established and today  online services are a mainstream channel for consumers to enjoy creative  content, alongside physical formats like books and DVDs. Making copies of  content digitally is easy and quick. People often expect access to digital  content on multiple devices, anytime and anywhere in the single market. When  this does not happen, they find it hard to understand why. EU copyright rules  need to be adapted so that all market players and citizens can seize the  opportunities of this new environment. A more European framework is needed to  overcome fragmentation and frictions within a functioning single market. Copyright  rewards creativity and investment in creative content. A copyright framework  that offers a high level of protection is the basis of the global  competitiveness of Europe's creative industries. Along with the internal market  principles of free movement of goods and services, EU competition rules, and  our media and cultural policies, copyright is an integral part of the set of  rules which govern the circulation of creative content across the EU. The  interaction between copyright and these other policy areas determines how value  is generated from the production and dissemination of works and how it is  shared among market participants.
            
            Rights that cannot be effectively enforced have  little economic value, particularly when infringements occur on a commercial  scale that free-rides on the work and investment of creators, the creative industries  and legal distribution services. Such commercial-scale infringements are  currently very frequent and harmful, not only to right holders but also to the  EU economy as a whole. A ‘follow-the-money’ approach, which sees the  involvement of different types of intermediary service providers, seems to be a  particularly promising method that the Commission and Member States have  started to apply in certain areas. It can deprive those engaging in commercial  infringements of the revenue streams (for example from consumer payments and  advertising) emanating from their illegal activities, and therefore act as a  deterrent. Furthermore, the current legal framework seems not to be fully fit  for the challenges of the digital single market, particularly with regard to  applying the right of information, injunctions and their cross-border effect,  calculating damages and reimbursing legal costs. It is also important that  systems that allow illegal content to be removed by hosting services, once  identified, are effective and transparent and prevent legal content from being  taken down erroneously. These systems, which apply horizontally to all types of  illegal content, are very relevant for the enforcement of copyright, as  copyrighted material accounts for a large portion of the content subject to  notices.
            The Commission will take immediate action to  engage, with all parties concerned, in setting up and applying  ‘follow-the-money’ mechanisms, based on a self-regulatory approach, with the  objective of reaching agreements by spring 2016. Codes of conduct at EU level  could be backed by legislation, if required to ensure their full effectiveness.  As regards the legal framework for the enforcement of intellectual property  rights, including copyright, the Commission will assess options and consider by  autumn 2016 the need to amend the legal framework focusing on commercial-scale  infringements, inter alia to clarify, as appropriate, the rules for identifying  infringers, the application of provisional and precautionary measures and  injunctions and their cross-border effect, the calculation and allocation of  damages and legal costs. The Commission is also carrying out a comprehensive  assessment and a public consultation on online platforms, which also covers  ‘notice and action’ mechanisms and the issue of action remaining effective over  time (the ‘take down and stay down’ principle).
            The full harmonisation of copyright in the EU,  in the form of a single copyright code and a single copyright title, would  require substantial changes in the way our rules work today. Areas that have so  far been left to the discretion of national legislators would have to be  harmonised. Uniform application of the rules would call for a single copyright  jurisdiction with its own tribunal, so that inconsistent case law does not lead  to more fragmentation.