Consumer copyright issues on the Internet of Things - A study of connected objects available to Canadian consumers

The digital economy presents both benefits and challenges for consumers. Take, for example, the growing connectivity of everyday objects, a major technological shift described by the term "Internet of Things" (IoT). This reality could raise a number of issues for public policy. For copyright policy, the heart of the matter is the software embedded in connected objects, since this software is protected by copyright.

To gain a better understanding of the potential challenges posed by IoT with regard to the Copyright Act, Innovation, Science and Economic Development Canada asked Option consommateurs (OC) to carry out a study of connected objects sold to Canadian consumers.

To highlight the issues that could impact Canadian consumers in the years to come, OC analyzed legal documents, such as user license agreements, associated with a sample of 22 connected products available in Canada.

This analysis identifies a number of copyright restrictions and highlights several issues that go beyond copyright, including competition, data portability and privacy.

In its final report, which was funded by Innovation, Science and Economic Development Canada, OC makes a number of recommendations, including that the Government of Canada consider the development of public policies relating to :

• Labeling standards to help consumers find and understand the terms and conditions that govern the use of IoT products and services;
• Open standards and protocols to facilitate interoperability between platforms;
• Integrate data portability as part of the reform of privacy laws and other aspects of the Digital Charter; and
• Take seriously the pertinent recommendations of the parliamentary committee that has just completed its review of the Copyright Act.