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The problem is that all of this happened outside the law. Calling it a "DMCA takedown" is misleading, because it's not making use of the DMCA's mechanisms. There actually are hefty penalties for false DMCA claims, but only if you file them with a court.
I assume, Valve may be liable as well, for distributing copyrighted material (especially after they've been notified of it). At the very least, YouTube also has a system like that, where they allow claimants to bully creators with no repercussions.
Basically, Valve, YouTube et al need their own copyright takedown system to be preferrable for companies, so that those use it instead of filing an official DMCA claim.
Of course, the root cause of the problem is still the DMCA.
The problem is that all of this happened outside the law. Calling it a "DMCA takedown" is misleading, because it's not making use of the DMCA's mechanisms. There actually are hefty penalties for false DMCA claims, but only if you file them with a court.
I assume, Valve may be liable as well, for distributing copyrighted material (especially after they've been notified of it). At the very least, YouTube also has a system like that, where they allow claimants to bully creators with no repercussions.
Basically, Valve, YouTube et al need their own copyright takedown system to be preferrable for companies, so that those use it instead of filing an official DMCA claim.
Of course, the root cause of the problem is still the DMCA.