A copyright case at Supreme Court threatens internet providers

The Supreme Court Justices signaled support for internet service providers (ISPs) in a major copyright case that could determine whether ISPs can be held responsible for digital piracy committed by their customers.

Music labels, including Sony Music, sued Cox Communications, accusing it of enabling its customers to pirate thousands of songs. They argue that the internet service provider knowingly allowed subscribers to download pirated songs via peer-to-peer networks such as BitTorrent repeatedly. They demand that Cox be held responsible.

Representatives for Cox said that if it’s found liable, it could result in all ISPs shutting off access to “entire towns, universities or hospitals” based solely on accusations.

Several justices, including Samuel Alito, Sonia Sotomayor, and Neil Gorsuch, questioned the practicality of the record labels’ request.

Most internet service providers participate in a voluntary alert system to combat piracy, but Cox—the nation’s third-largest broadband provider that gives internet access to 6 million homes—does not.

In 2019, a jury ruled in Sony’s favor, ordering Cox to pay $1 billion in damages. Cox is now appealing the decision, arguing that it should not be held responsible for actions it did not commit.

The case has drawn intense attention from major tech firms, including Google and X, which worry that a ruling against Cox could expose internet and AI platforms to sweeping liability for users’ misconduct. A verdict is expected in the summer.

Media conglomerates, including Warner Bros. Discovery, have sued AI platforms for copyright infringement.

The Cox dispute echoes a similar landmark case against the Betamax videocassette recorder, or VCR, 40 years ago. Universal Studios sued the VCR company for providing the device that viewers used to tape shows.

The court declined to hold Betamax liable, stating that selling VCRs does not constitute “contributory infringement” of Universal’s TV shows.