Fractale Simulcast Halted
The Fractale Production Committee behind this month’s new television series Fractale has ordered Funimation to halt online distribution of the ongoing series until Funimation eliminates all unauthorized internet distribution of the show. Funimation began its officially sanctioned online distribution of the series last Thursday. The series’ first episode remains available for online viewing, but the release of future episodes will be on indefinite hiatus.
I’m absolutely not trying to condone video piracy, but a Japanese copyright owner insisting that an American company police the entire internet and stop illegal web distribution that starts in Japan with Japanese uploaders seems absurdly irrational and unreasonable.
Source: Anime News Network

January 20th, 2011 at 7:54 pm
But is it really all too surprising? When it comes to anime, expectations of Japanese business personalities have pretty frequently outweighed practical U.S. market realities. I wish I started a spreadsheet back when streaming anime first kicked into gear, that way I could have tracked all the fun and obvious little hiccups this industry keeps encountering.
January 22nd, 2011 at 5:05 pm
FUNimation Marketing Director, Lance Heiskell, tries to provide some context to the circumstance. (A relevant read, but I read a few fan comments in that thread, and was thoroughly depressed.)
January 23rd, 2011 at 8:41 am
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January 25th, 2011 at 2:03 pm
I’m glad this policy doesn’t apply to other media coming out of Japan. I’m looking forward to the Blu-Ray release of Summer Wars and Evangelion 2.XX (whatever this edition will be called), but if they forced American companies to wait until illegal copies were removed from the internet, they would never be released here.