VZCZCXYZ0048
PP RUEHWEB

DE RUEHEGA #0678 0711610
ZNR UUUUU ZZH ZUI RUEWMCF7079 0711554
P 121610Z MAR 07
FM AMEMBASSY CAIRO
TO RUEHC/SECSTATE WASHDC 0000
INFO ARAB ISRAELI COLLECTIVE
RUCPDOC/DEPT OF COMMERCE WASHDC

UNCLAS CAIRO 000678 
 
SIPDIS 
 
SIPDIS 
 
USTR FOR SAUMS 
COMMERCE FOR OBERG AND ITA/MAC/OIPR PETERS 
NSC FOR WATERS 
 
E.O. 12958: N/A 
TAGS: ECON ETRD KIPR EG
SUBJECT: EGYPTIAN ECONOMIC REFORMERS ENCOURAGE FURTHER IPR 
PROGRESS 
 
REF: A. CAIRO 478 
     ¶B. STATE 7944 
     ¶C. 2006 CAIRO 1262 
 
¶1.  (SBU) SUMMARY: FOLLOWING ON POST'S RECOMMENDATION TO MOVE 
EGYPT FROM THE SPECIAL 301 PRIORITY WATCH LIST TO THE WATCH 
LIST (REFTELS), WE HAVE INITIATED A NUMBER OF DISCUSSIONS ON 
INTELLECTUAL PROPERTY RIGHTS WITH THE GOE AND BUSINESS GROUPS 
AS PART OF OUR ON-GOING ADVOCACY FOR IPR PROTECTION IN EGYPT. 
 TARGETING THOSE OFFICIALS AND INSTITUTIONS MOST LIKELY TO 
EFFECT POSITIVE CHANGE, WE BELIEVE THAT THE GOE IS DETERMINED 
TO IMPROVE EGYPTS IPR PROTECTION REGIME, WHICH IN THE PAST 
HAS FALLEN WELL BELOW INTERNATIONAL STANDARDS.  END SUMMARY. 
 
¶2.  (SBU) ON MARCH 11, FCS COUNSELOR CALLED ON GABER ASHFOUR, 
SECRETARY GENERAL OF THE SUPREME COUNCIL OF CULTURE, TO SEEK 
 
SIPDIS 
HIS ASSISTANCE IN PREVENTING THE ILLEGAL COPYING AND SALE OF 
PRODUCTS PRODUCED BY THE AMERICAN GAME SOFTWARE COMPANY 
ELECTRONIC ARTS.  IN THE PAST, THE COUNCIL HAS CERTIFIED THAT 
PIRATED SOFTWARE HAS BEEN CLEARED BY EGYPTIAN CENSORS, WHICH 
RETAILERS HAVE TAKEN AS DE-FACTO GOE APPROVAL FOR THE PIRATED 
GOODS, EVEN THOUGH THE COUNCIL'S OWN REGULATIONS PROHIBIT 
CERTIFICATIONS OF ILLEGAL PRODUCTS.  DURING THE MEETING, 
ASHFOUR GAVE IMMEDIATE ORDERS TO THE CENSORSHIP DEPARTMENT TO 
CANCEL ANY LICENSE ISSUED TO ANY LOCAL COMPANY TO DISTRIBUTE 
PIRATED EA PRODUCTS. 
 
¶3.  (SBU) ASHFOUR ALSO INSTRUCTED THE EGYPTIAN CENSORSHIP 
AUTHORITY TO CONFISCATE ALL PIRATED COPIES IN THE MARKET. 
(COMMENT: PIRATED EA SOFTWARE PRODUCTS ARE SOLD THROUGHOUT 
EGYPT, AND WE WILL BE STARTLED IF THIS ORDER IS IMPLEMENTED 
IMMEDIATELY AND THOROUGHLY.  HOWEVER, WE ARE ENCOURAGED BY 
ASHFOURS PROMISE AND WILL FOLLOW UP WITH THE CENSORSHIP 
AUTHORITY CLOSELY.) 
 
¶4.  (SBU) SEPARATELY, THE AMBASSADOR RAISED EA'S CONCERNS 
WITH MINISTER OF TRADE AND INDUSTRY RACHID RACHID IN A 
MEETING ON MARCH 11.  RACHID INDICATED THAT HE UNDERSTOOD THE 
IMPORTANCE FOR EGYPTIAN TRADE AND ECONOMIC GROWTH OF EGYPT'S 
ADHERENCE TO ITS WTO IPR OBLIGATIONS AND PLEDGED TO RAISE THE 
ISSUE WITH MINISTER FOR COMMUNICATIONS AND INFORMATION 
TECHNOLOGY TAREQ KAMEL. 
 
¶5.  (SBU) ON MARCH 6, ECONOFF AND FCS SPECIALIST JOINED IN A 
MEETING BETWEEN ELECTRONIC ARTS REPRESENTATIVES AND THE 
INFORMATION TECHNOLOGY INDUSTRY DEVELOPMENT ASSOCIATION 
(ITIDA), WHICH HAS RECENTLY RECEIVED THE GOE MANDATE FOR 
ENFORCING PROHIBITIONS ON SOFTWARE PIRACY.  ITIDA AGREED 
DURING THE MEETING TO GIVE AN EXPERT OPINION ON THE 
ILLEGALITY OF PIRATED SOFTWARE PRODUCTS IN A LONGSTANDING EA 
EGYPTIAN COURT CASE AGAINST AN ILLEGAL SOFTWARE PRODUCER. 
ITIDA OFFICIALS SAID THEY VIEWED THE PROTECTION OF IPR AS A 
CENTRAL PART OF THEIR MISSION TO DEVELOP THE INFORMATION 
TECHNOLOGY INDUSTRY IN EGYPT. 
 
¶6.  (U) FCS CO-SPONSORED THREE SEMINARS ON "INTELLECTUAL 
PROPERTY IN THE GLOBAL MARKETPLACE" WITH THE U.S. PATENT AND 
TRADEMARK OFFICE FEB. 19-21 IN CAIRO AND ALEXANDRIA.  SOME 
GOVERNMENT OFFICIALS AT THE SEMINARS WERE A HARD SELL -- FOR 
INSTANCE, ONE PUBLIC PROSECUTOR ARGUED THAT IPR PROTECTION 
ISN'T RELEVANT FOR DEVELOPING ECONOMIES SUCH AS IN EGYPT. 
OTHER GOVERNMENT REPRESENTATIVES WERE SYMPATHETIC AND 
REQUESTED FURTHER TRAINING ON IPR.  THE EGYPTIAN BUSINESS 
REPRESENTATIVES WERE IN GENERAL WELL ATTUNED TO THE 
IMPORTANCE OF THE ISSUE FOR THE EGYPTIAN ECONOMY. 
 
¶7.  (SBU) COMMENT: WE CLEARLY HAVE MUCH WORK TO DO IN 
ADVOCATING FOR IMPROVED IPR PROTECTION IN EGYPT.  AS THESE 
DISCUSSIONS INDICATE, HOWEVER, WE SEE ENCOURAGING SIGNS AND 
INCREMENTAL PROGRESS FROM THE GOE AND EGYPTIAN BUSINESS 
COMMUNITY.  WE SHARE THE BELIEF OF PHRMA AND SOME OTHERS IN 
THE US IPR INDUSTRY THAT THE BEST WAY TO ENCOURAGE FURTHER 
PROGRESS IN EGYPT IS TO SIGNAL OUR WILLINGNESS TO WORK WITH 
THOSE IN THE GOE WHO ARE SAYING AND DOING THE RIGHT THINGS. 
RICCIARDONE