What happens when a salaried YouTuber goes solo: the Daily Grace story

Grace Helbig

You might have heard of Daily Grace, or Grace Helbig. She’s a 28-year-old actress-comedian who uploads videos on YouTube Monday to Friday. DailyGrace has 2 million+ subscribers and 227 million video views, and Forbes listed Grace on their 30 Under 30 Hollywood & Entertainment list for 2014 along with Rebel Wilson, Jennifer Lawrence, Kelly Osbourne and Anna Kendrick saying “Helbig is one of the sharpest, funniest voices on YouTube”.

Daily Grace died on December 31 2013.

Not the person, it’s just DailyGrace isn’t Grace’s channel anymore and since the start of 2014 no new content has been uploaded. The videos being uploaded Monday to Friday on that channel are reruns (first reruns on YouTube?) and presumably Grace isn’t receiving any of the ad revenue from them. Until recently, Grace had a contract with a company called My Damn Channel, who are going through an identity crisis and rebranding as Omnivision Entertainment. She made videos on the YouTube channel DailyGrace and they paid her a salary and maybe a commission based on YouTube views.

“Grace leaving Daily Grace is kinda like a Pokemon evolving. You’re sad because you liked how cute it looked before, but you’re also excited because it can shoot lasers out of its eyes now.” –killmeeko

After five years, Grace and My Damn Channel have chosen to part ways which, as VideoInk says, is probably the hardest decision Grace has made in her career. My Damn Channel owns the content and intellectual property Grace created while in their employment, including the YouTube channel DailyGrace, 2 million+ subscribers, themed days (Sexy Friday etc.), catch phrases (you’ve been hazed, new viewser alert…), and Facebook page–her Tumblr and Twitter are still hers, presumably because they aren’t under the Daily Grace brand.

How do you deal with suddenly not being able to use any of the intellectual property you came up with? Compare a 2013 ‘commenting on your comments’ video with a 2014 one:

“Here’s the lesson: Many corporations think that by owning YouTube channels, they’ll have something valuable. But the value is not in the channel or in the number of subscribers. On YouTube, despite the corporatization of everything, the value is in people.” –Tim Helbig

The brand that My Damn Channel is asserting ownership over is effectively a person. People subscribed to DailyGrace for Grace, and have been steadily unsubscribing because of the new content drought and My Damn Channel/Grace drama. Grace is continuing to upload videos daily on her used-to-be-second-but-is-now-main channel ItsGrace, something she wasn’t allowed to talk about while she was still in charge of the DailyGrace accounts. Viewers were left with a cryptic goodbye on December 27 where Grace said she would be back making videos from January 6 after a break. She couldn’t say that these new videos wouldn’t be on the DailyGrace channel.

Is it fair enough that My Damn Channel is enforcing their rights under a mutually agreed contract which Grace would have either received legal advice over or had the opportunity to seek legal advice over? Probably. An arrangement that guaranteed an income for making YouTube videos would have looked pretty great five years ago, but as time goes on you’d start to realise that perhaps you could be earning more without the middleman taking a cut… and for doing what exactly? My Damn Channel is a business and they’ll want to get all the ad revenue they can from the old DailyGrace videos which they’re rerunning on YouTube. Grace is going independent, at least for the time being, and will have full ownership over the content she creates from now on. And at least 1.7 million subscribers have found their way to ItsGrace.

The sad thing is that some fans might never find Grace’s new channel (My Damn Channel hasn’t changed the about page for DailyGrace from “I vlog everyday! Five days a week!”, except for the removal of her social media links and stripping the themed days from the header image), Grace was faced with rebuilding her subscriber base from the 100,000 she had on her second channel, and that the day has come where My Damn Channel is exercising the control they have over a whole vault of content Grace made in an intimate setting–inside her home–by reuploading it in an attempt to keep up the appearance that Daily Grace is still alive.

But Grace still has herself, and maybe that’s all the matters.

“DailyGrace is Grace Helbig, which is me. DailyGrace [the channel] was a concept owned by My Damn Channel, but Grace Helbig is my personality, owned by myself…so that’s what I’m moving forward with and that’s what, to me, is priceless.” –Grace Helbig

Image credit: Grace Helbig

TEDxChristchurch: Curiouser and Curiouser

Hi. I was at TEDxChristchurch today. If you couldn’t make it, The Press was live streaming the day on their website, and videos will be up on TEDxChristchurch’s website soon. Coming to TEDx each year is like watching a child grow up because the quality of the event gets better every year – like design of the slides introducing speakers, audience participation methods, and the name tag/programme.

TEDx Christchurch 2013 lanyards USB music

Here’s why you need to watch the videos of the talks when they go online… (And also because I’ve missed bits, I’ve misinterpreted and I’ve probably misquoted a little.)

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Megafail: Universal Music Gone Rogue

Megaupload uploaded a $3 million+ viral video attempt in the form of a song, The Mega Song, to YouTube. Containing endorsements from many musicians that have contracts with Universal Music Group, they weren’t the happiest of campers.

Macy Gray sings in the video, which features will.i.am, P. Diddy, Kanye West, Kim Kardashian (who comes running whenever someone utters the word “endorsement”), Lil John, The Game, Floyd Mayweather, Chris Brown, Jamie Foxx, Serena Williams and Ciara on camera. (Side note: It’s accepted that Chris Brown can do endorsements now?)

Using YouTube’s content management system, which Universal has access to as copyright holders, they took the video down. They didn’t own any content in it. They just didn’t like it.

The lawsuit

Now Megaupload aren’t the happiest of campers, and are suing Universal, trying to prevent Universal from interfering with the video, which is now back up, after YouTube appears to have asked Universal as to why exactly they took it down.

The New Zealand connection (read: Universal don’t know what their own artists sound like)

Apart from Kim Schmitz/Kim Dotcom, Chief Innovation Officer at Megaupload having a house here in New Zealand where he also has permanent residency (which he celebrated by giving Auckland a $500,000 USD New Year fireworks display), Universal claimed that they took down the video because it contained content from one of their artists, Gin Wigmore.

Wigmore, of course, doesn’t appear in the video at all, in audio or visual form (but was approached to sing in it), so perhaps Universal have forgotten what their artists actually sound like, and mistook Macy Gray for her.

will.i.am

Two takedown notices were received, the second one from will.i.am (well, his lawyer), who appears in the video, saying “When I’ve got to send files across the globe, I use Megaupload”.

Ira Rothken, lawyer for Megaupload, says that written permission in the form of signed Appearance Consent and Release Agreements were provided by everyone in the video, including will.i.am. will.i.am’s signed form, which you can read here (pdf, will.i.am’s real name is William Adams), is pretty convincing.

The Hollywood Reporter has Ken Hertz, will.i.am’s lawyer, says that he “never consented to the ‘Megaupload Mega Song’”. Because he delivered that line to camera for another reason?

Dotcom says that will.i.am assured him that he “had not authorized the submission of any takedown notice on his behalf”.

Universal’s takedown rights “not limited to copyright infringement”

Universal claim that they can takedown the video under an agreement with YouTube–not the Digital Millennium Copyright Act. In a letter (pdf) to YouTube from Kelly Klaus, a Universal lawyer, says that “As you know, UMG’s [takedown] rights in this regard are not limited to copyright infringement, as set forth more completely in the March 31, 2009 Video License Agreement for UGC Video Service Providers, including without limitation in Paragraphs 1(b) and 1(g) thereof.”

In that case the DMCA’s rules and protections around takedown notices wouldn’t apply. If this is true, YouTube isn’t exactly open about it. They claimed that the video had been taken down by a copyright claim in the message displayed when people tried to watch it:

Mega Song block notice on YouTube

Rothken says “What they are basically arguing, they can go ahead and suppress any speech they want without any consequences. That’s not a workable paradigm”.

 

This is, perhaps, a huge tick in the column against the Stop Online Piracy Act, which is currently being debated.

Streisand effect, here we come.

Image credit: TorrentFreak

Parks and Recreation: Censorship Edition

Odd Future Toronto

Calum Bennachie complained about Odd Future Wolf Gang Kill Them All being scheduled to play at the Big Day Out in Auckland’s Mt Smart Stadium because of their homophobic and misogynistic lyrics.

He sent the email to aspiring Chief Censor Sandra Coney, Chairperson of Auckland Council’s Parks, Recreation and Heritage Forum, among other people. She did some Youtubing, got in touch with John Brockies, the CEO of Regional Facilities Auckland who manages Mt Smart Stadium, and just like that, after a discussion with BDO organizers, OFWGKTA are playing Auckland’s BDO no more.

Change of heart?

This is clearly as a result of pressure from well-connected people and not BDO organizers realizing that they don’t want Odd Future as part of their lineup–they’re still playing the other BDO shows, and BDO’s promoter is organizing a solo show for them in Auckland. I await the results of many an official information request as to what the discussion with BDO organizers actually entailed.

Freedom of speech

There would be no issue if Odd Future weren’t invited to any BDO shows at all, or if, instead of being banished, they performed on a stage separate to the other acts.

I’ve read people talking about “a line” that can be crossed, referring to how far freedom of speech can go. That line doesn’t exist. You can take freedom of speech or leave it. It doesn’t exist to protect inoffensive speech or only popular viewpoints. Just because you know you’re right, doesn’t mean that “wrong” speech should be protected any less.

Image credit: Theo Grontis/thecomeupshow

Jagex’s War On Bots ft. Scare Tactics, Subpoenas and PayPal

Jagex, the makers of RuneScape are suing Impulse Software et al. in relation to their sale of bot software that effectively plays the game for a person without needing much human interaction. It’s part of their crackdown on bots; Jagex claims using bots to play violates their rules, is unfair to other players and ruins the game.

Subpoena

As part of the Impulse court case, Jagex subpoenaed Google and PayPal seeking further information about email addresses, YouTube accounts and PayPal accounts.

The information provided by PayPal included personal information on 70,000+ customers who had bought Impulse’s bot software.

Code on wallDéjà vu

An “outside counsel eyes only” protective order was issued for the information PayPal provided, which meant that the information couldn’t be shared with Jagex employees. Jagex didn’t seem to be happy with this though, so in a different court (U.S. District Court for the Central District of California) and using the same legal counsel, on July, 1, 2011, they subpoenaed for the same information in a different case, Jagex Limited v. John Does, and were allowed to share the results with their employees.

[Quotes used in this post are mainly from a PDF of the case that used to be available at http://www.mediafire.com/?ba2nu8puj96tq5b]

“[The] Plaintiff and its counsel misrepresented the scope of this pending lawsuit by stating that the action involved ‘a developer and seller of Bot software.’ The Notice failed to state that Plaintiff already accused Defendants of having used one or more Bots to allegedly circumvent Jagex’s automated technological measures thus making Defendants a party to both suits.” “Plaintiff and its counsel also failed to inform the court in the Central District of California (CDC) lawsuit of this Court’s Protective Order.”

“Even though Plaintiff and its counsel were bound by the Protective Order entered by this Court and were fully aware that Defendants’ customer information was CONFIDENTIAL-OUTSIDE ATTORNEY’S EYES ONLY, using the subpoena power of the Central District of California, Plaintiff’s counsel undertook a calculated clandestine action to serve a subpoena on PayPal to obtain Defendants’ customer information and turned Defendant’s customer information over to its client who then misused the information.”

Mass email

On October 25, 2011, Jagex sent out a mass email, presumably to those whose information they gained from the PayPal subpoena:

[The forum post is now gone, probably because the very fact that they have to clarify the legitimacy of an email shows that it wasn’t a very effective cease and desist notice.]

26-Oct-2011 06:44:16
Last edited on 26-Oct-2011 06:49:30 by Mod Timo

Hello everyone,

As a part of the update some people will have received the following e-mail communication:

Dear Player,

We have strong evidence that you may have purchased and used botting software in the past, specifically ibot software.

Botting and the cheating it brings is destroying your game, violates Jagex’s rights under the Digital Millennium Copyright Act (DMCA), and any player that continues to engage in botting activity has no place in our community.

As part of bot nuke week we are offering you a 1 time amnesty and settlement lifeline, which is a chance to reform and change your ways. We’d like you to contribute to the community in a positive way, to compete on a level playing field as everyone else does and play in the true spirit of the game, with integrity. All of your accounts, main and otherwise, are now on our watch list and will be monitored for the use of ibot and all other inappropriate third-party software. Regardless of who you are or how long you’ve been with us, if you decide to cheat and bot ever again we will have no hesitation in: (1) permanently removing your account from our wonderful community in order to protect Jagex’s rights under the DMCA, and (2) naming you as a defendant in Jagex Limited v. John Does, which is a lawsuit based on DMCA violations that is currently pending in the U.S. District Court for the Central District of California (Civ. Action No. SACV11-00969-CJC).

Please note that this amnesty and settlement offer is protected under Fed. R. Evid. 408. If you ignore our offer and instead continue use botting software, we reserve our rights to pursue statutory damages against you for between $200 to $2,500 per act of past, present, and/or future botting in accordance with 17 U.S.C. 1203(c)(3).

We do hope you make the morally sound and lawful choice of turning your back on bots. We look forward to seeing you in game having fun in a way that is true to the spirit of fair play and respectful to your fellow players.

Yours sincerely,
Mark Gerhard

I can confirm that this is an official statement from Jagex to the recipient. Please note that there are no website links in the main body of the e-mail. Should you receive any e-mails that contain the above text with website links or additional information, they are likely to be phishing e-mails and should be ignored.

Kind regards,
Mod Timo

Jagex cross referenced those subpoenaed email addresses with their own records, and the next day began sending the same message through the internal Jagex messaging system to individual players.

Interestingly, Jagex recently started giving an increase in bank space, where a player stores items in the game, as an incentive for registering your email address with your account (when RuneScape started, email addresses weren’t required).

Although Jagex claims RuneScape has a large adult player base, it is almost certain that minors received the messages as well. They’re full of legal jargon and are similar to the extortionate letters the music industry (or their lawyers) send. It strikes me as unethical to send threats like that to children.

If Jagex are confident in their bot detection system, how about instead of going from one extreme: no action “we’re watching you”, to another: legal action, they use their in-game powers and just ban accounts if the re-offend. Legal action seems like an unnecessary and scaremongering threat.

Privacy and a chance to response to the subpoena

“In the cases cited by Plaintiff… the individuals… were given a specified amount of time to object to the subpoena through a Motion to Quash and/or Motion to Dismiss… The first time Defendants and their customers learned of the CDC lawsuit is when their customers began receiving a copy of an email from Jagex on October 25, 2011 followed by the message post on October 26, 2011.”

The forum posts I’ve read support this.

Jagex’s counsel say “it was and is our understanding that PayPal would have notified the account owner(s) of the account(s) associated with any email address in the subpoena in order to provide that account owner(s) an opportunity to address the subpoena, prior to releasing the requested information or documents.”

The reply:

You know that PayPal did not notify my clients of the pending subpoena in the Boston suit when you served the first subpoena without first noticing Defendants’ attorneys. Therefore, to now state that Banner and Witcoff understand/understood that PayPal would notify the Defendants is suspect.”

“This lawsuit’s different”

Jagex disagree that they’re focusing on Impulse Software’s customers and say they just want to “identify [our] own customers who [we] believe may be in violation of S1201(a)”.

The reply:

“Your claim that the John Doe action does not involve our clients is illusionary at best. Not only did [you]… seek to obtain permission to subpoena my clients’ records from PayPal, but the identification of the Doe’s in the Complaint filed described my clients as well.”

“Under the discovery requirements in our pending case and the Local Rules… you had a duty to inform us of the John Doe action… Even when we sent you a letter inquiring about a Press Release issued by Jagex suggesting a violation of the Protective Order, you consciously omitted disclosure of the John Doe action.”

The suggestion of the protective order violation comes from this paragraph:

“We are constantly looking into ways of making the game experience the very best possible for all of our players and as part of our on-going programme to rid the game of bots, Jagex is actively pursuing companies that support the macroing market as well as those who bot. As such we are currently pursuing various bot developers through multiple legal channels, although sadly we cannot yet disclose the full details of our actions for legal reasons. Separately, as part of normal legal process and procedure, we have also taken steps to acquire the details of all players who have purchased bots. Once we have the information regarding the players involved we will take action specifically to ensure that these players are not compromising the game’s integrity through the use of a third party programs.”

This is turning into a very interesting case. Maybe it’s not the best time for business for Impulse Software, but if they come out of this in one piece this could turn into the best advertising money can’t buy.

Image credit: Nat Walsh

Meet MattyBRaps

Meet Matthew Morris aka MattyBRaps. At eight-years-old, he’s voice coached, partnered on YouTube, LLC’d, trademarked, and sponsored, because of his rap videos. He’s managed by his father, who has a BBA (Bachelor of Business Administration). Lyrics and videos are produced with the help of his cousin, MarsRaps. Crafted into a marketable “product”, his tweets are ghostwritten, Dailybooth photos posed and production value of his videos high. Shot in 1080P, some feature luxury cars, celebrities, red carpet and recording studios (and who needs to go out when you have one in your house?).

Hoodie kidHis siblings aren’t missing out on the fun either. Or at least one isn’t. His older nine-year-old brother Joshua (JeebsTV) has his own YouTube channel too with the same high production value and sponsor.

Assumedly his parent’s goal is for him to be discovered by someone like Ellen (a feat which might be difficult as his videos are so polished already), release an album and tour the world. MattyBraps Ellen tweet

If he does make it big, what kind of attention is he going to attract? You can’t have your cake and eat it too. Fame comes with hate, and a lack of privacy. Maybe he knows he wants to rap, but does he understand the potential ramifications for his future? Because I’m not sure his parents do.

Here are some shining examples of friendly Dailybooth commenters (http://dailybooth.com/MattyBRaps/10761255, http://dailybooth.com/MattyBRaps/10109139).

MattyBraps hate 5

MattyBraps hate 4MattyBraps hate 3MattyBraps hate 2MattyBraps hate 1

Would there have been anything lost (maybe except for money) if Matty was encouraged to pursue what he loves outside of the internet spotlight, at least until he was older? Sure, keep the vocal coach, but was there a need to commercialize him this early in his life?

Running your son like a business. Exploitative or just entrepreneurial?

Image credit: QUOI Media Group