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Hollywood loses key battle over illegal downloads

SYDNEY -- Hollywood film studios on Thursday lost a landmark court bid to hold an Australian Internet provider responsible for illegal movie downloads by its customers, in a serious blow to their fight against piracy.

In a world-first judgement, a Federal Court judge ruled Internet Service Provider (ISP) iiNet did not authorise the downloads or have the power to stop them, thwarting the studios' latest attempt to stem billion-dollar losses.

“It is impossible to conclude that iiNet has authorised copyright infringement... (it) did not have relevant power to prevent infringements occurring,” Justice Dennis Cowdroy told a packed courtroom.

The case, involving major studios such as Warner Bros, Disney, Paramount, Columbia and Twentieth Century Fox, was seen as an ambitious attempt to force ISPs to act against piracy.

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