Copyright Alert System (aka the six strikes anti-piracy program) started this week. Created by the Center for Copyright Information with backing from the RIAA and other copyright organizations along with the major internet service providers: AT&T, Cablevision, Comcast, Time Warner, and Verizon, the group monitors peer-to-peer file transfers, and sends out email notices when it detects you're downloading copyrighted material. The Digital Millennium Copyright Act (DMCA) allows notification to take down content deemed unfair from the perspective of the copyright owner. However, there are Safe Harbor provisions involving Fair Use which individuals can apply, for free, to return content which a company may have found objectionable. 'Rights owners' can file DMCA takedown notices at will and free of charge, but it costs the consumers $35 to conduct an 'independent' review process with the Copyright Alert System.
What the Copyright Alert System Does – alerts an internet user their account is used for downloading copyrighted content illegally using peer-to-peer file sharing. The first time, you receive an email letting you know and educating you on the laws of copyright. The second offense may be another email requiring you to acknowledge receipt, or an educational call from your ISP. The second level of warnings (third and fourth emails) require you to watch a video before getting online (or a redirect from certain web sites to an education video).
The final tier of warnings are for the fifth and sixth infraction. They range from throttling your bandwidth to redirection to a new landing page. Each ISP has a different policy with how they'll tackle each offense, but they haven't shared their plans yet. Mashable has the breakdown of how it'll work with Verizon, Time Warner, Comcast, and AT&T.
The system starts with content partners (the RIAA, MPAA, etc) snooping in on public peer-to-peer networks to find content they own being shared illegally. When they find a copy, they trace the IP number through the ISP, and forward that information to the ISP. Next, your ISP matches that information with your account, and sends you the warning.
What the Copyright Alert System Doesn't Do - is not a government program. Your ISP won't even give up your personal information to the content partners unless it's required by law through a subpoena or court order. The most annoying thing that'll happen if you get caught is that your bandwidth might be throttled. Only peer-to-peer traffic from public BitTorrent trackers are monitored. Basically, if you're not using BitTorrent you have nothing to worry about.
Basically, the Copyright Alert System is meant to teach people about the legality of peer-to-peer downloads. Comcast has been criticized for its actions since it appears Comcast shuts down ALL torrent traffic, individuals will need to use direct download, not a torrent. There are a lot of legal uses for bittorrent as well as illegal uses. No one knows how will they differentiate between them.
How to Get Around Any Issues with the System
Technically, the Copyright Alert System doesn't really have any direct legal ramifications, but if you don't like the idea of strangers watching what you download, it's easy to subvert. Anonymizing your BitTorrent traffic with a proxy is one way to go, and a virtual private network is arguably even better. A a private BitTorrent tracker is also a good idea. Blocklists like PeerBlock will not keep you safe, so don't even bother with them. Of course, if you want to ditch BitTorrent completely, Usenet is simple to set up and not tracked by the Copyright Alert System.
If you do get alerts from your ISP and you're not actually torrenting anything, then it's probably time to secure your wireless network. It only takes a couple of steps to up the security on your wireless network, and if you're seriously worried someone's in your network it's pretty easy to track them down. You can file for an independent review process to get the alert removed, but it costs $35.
Another alternative is a service called PeerBlock (http://www.peerblock.com/docs/faq). PeerBlock lets you control who your computer "talks to" on the Internet. By selecting appropriate lists of "known bad" computers, you can block communication with advertising or spyware oriented servers, computers monitoring your p2p activities, computers which have been "hacked", even entire countries! They can't get in to your computer, and your computer won't try to send them anything either. And best of all, it's free!
Thorin Klosowski, Thorin. ( 2013) The Copyright Alert System: How the New “Six Strikes” Anti-Piracy Program Works. Retrieved from http://lifehacker.com/5986961/the-copyright-alert-system-how-the-new-six-strikes-anti+piracy-program-works