In a draft report that urges a major overhaul of intellectual property laws, the commission found that geoblocking technology is "pervasive" and means Australians are offered a lower level of digital services at a higher price.
The report concluded that Australian consumers should be able to access overseas streaming services like Netflix without the fear of infringing copyright laws, and that the answer to piracy is not "big brother enforcement".
Karen Chester, a commissioner with the Productivity Commission, told AM that geoblocking restrictions have the opposite effect of encouraging internet piracy.
"Unless you've got a teenager that can help you get around the geoblocking, some people will be able to access and others won't," Ms Chester said.
"Those that won't will just breach copyright, do what we're all doing and get around the geoblock and access the US Netflix or the Canadian Netflix.
"Making copyright material more accessible and more competitively priced online, and not geoblocking, is the best antidote to copyright infringement."Well... maybe not Canadian Netflix:
Many Canadians are enraged by Netflix's declared war on cross-border watchers, who skirt the company's rules by sneaking across virtual borders to stream Netflix shows and movies restricted to other countries.
Sometimes it's hard to be satisfied with Netflix Canada's library when our American neighbours have, it's estimated, access to almost double the content.
Since mid-January, the streaming service giant is cracking down on border hoppers by blocking access to foreign content. Netflix made the sudden move reportedly at the behest of Hollywood studios who demand country-exclusive licensing agreements.
But this big and bold clampdown may backfire — at least in Canada. Turns out, Canadians are big pirates at heart. Apparently, we feel somewhat entitled to download illegal content when we don't have cheap and easy access.
Instead of shelling out $10 for a Netflix subscription, some people now may opt to pay nothing at all to get what they want.That's right... Canadians who were willing to pay for Netflix are now planning a (re)turn to piracy to get the content that Netfix won't deliver anymore, while Australians, who may soon enjoy a legal right to circumvent geoblocking using VPNs, will probably turn to piracy shortly thereafter, since Netflix's crackdown on VPNs won't leave them any alternative way to get access to the content they'd otherwise pay for. Which all means that geoblocking will be driving piracy, rather than preventing it.
GG, Netflix. GG.