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  Microsoft Lawsuits Help Protect Consumers From Software Piracy
Time: 01:12 EST/06:12 GMT | News Source: Microsoft Press Release | Posted By: Jonathan Tigner

The lawsuits Microsoft is announcing today are against companies that allegedly pirated software or participated in hard-disk loading (installing unlicensed software on computers they sold). One of the lawsuits was filed against a reseller in Georgia who was recently indicted on federal criminal charges. Lawsuits were filed in Colorado, Georgia, Illinois, New Jersey, New York, Ohio and South Carolina.

The filing of these 26 cases demonstrates another step forward in Microsoft’s robust effort to protect consumers, business partners and its own intellectual property from the pandemic of pirated and counterfeit software in the marketplace. Filing lawsuits against companies selling pirated Microsoft® software is an integral part of the company’s Genuine Software Initiative. The initiative focuses the company’s multiple activities and investments directed at fighting software counterfeiting and other forms of software piracy into a single initiative with increased investments across three strategic areas: education, engineering and enforcement. Within each area, Microsoft is investing in activities that educate and help protect consumers and business partners from counterfeit software and other forms of software piracy.

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#1 By 15406 (216.191.227.68) at 7/18/2006 1:10:44 PM
The MS Vortex spins again. I can respect MS for chasing down pirates that are stealing revenue from them. That is their right and obligation. However, I object to their PR nonsense about how shuttering PC OEM pirates is some altruistic deed MS is doing for the good of mankind. If there is an MS internal list of benefits to what they're doing, I'm sure "Protect The Consumer" is down near the bottom. "Fortify Existing Revenue Streams" is number 1. And don't get me wrong, every company wants to make money and there is nothing wrong with that. However, every time 7-11 sells a bag of chips, they aren't announcing that they're tackling world hunger one belly at a time.

#2 By 32132 (142.32.208.232) at 7/18/2006 1:43:52 PM
#1 Poor coffee girl ... no reading comprehension skills at all.

"The filing of these 26 cases demonstrates another step forward in Microsoft’s robust effort to protect consumers, business partners and its own intellectual property "

See ... Microsoft places protecting its own IP at the same level as protecting consumers and business partners. Seems fair and accurate to me.

#3 By 15406 (216.191.227.68) at 7/18/2006 2:37:09 PM
#2: Maybe you should fire your coffee girl and get one that can read. But what does that have to do with ActiveWin??

If those 3 are all on equal footing, why is "Saving Humanity" the only one listed in the title? Why is it listed first of the 3, when everyone in the known universe knows that MS' priority is itself, itself, itself, money, money, money, partners, itself, money, consumers -- in that order?

#4 By 32132 (64.180.219.241) at 7/18/2006 3:08:46 PM
#3 Espresso please coffee girl.

#5 By 13030 (198.22.121.110) at 7/18/2006 3:23:40 PM
30 years ago, Bill Gates made it clear how he felt about software piracy in his "An Open Letter to Hobbyists". Nothing has changed today--it's still about the money.

#6 By 23275 (68.17.42.38) at 7/18/2006 8:58:29 PM
The cases do really help - I have seen it personally.

If you've lost sales as we have to guys selling on price - where they sell an entry level PC loaded with XP Home edition and upgrade it with an illegal OL to XP Pro, it is next to impossible to compete initially where we sell a turn key solution where the hardware is sold as a service - e.g., fully integrated and ready for immediate use where is it totally set up with all applicable settings. Based upon price alone, we often lose out to ISV's and others selling hardware with their software. WGA and legal cases like this have exposed what these people are doing and some sales have been restored.

We use only fully boxed - retail - versions of XP Pro and Office 2003 Pro - but we include the integration and networking services in our sell price - even delivery. On our hardware we can offer, owing to how long MS supports an OS, an expected 14, or more years, or two generations with only incremental updates to hardware and OS - so it has greater value going in and even more so over time. The pirates and disk loaders hit us hard and made it very tough to get through buyer perceptions. Now, while we are certainly more costly up front, we are the far better value over time. This exposes pirates and loaders and not so shockingly, many customers are asking about loaded disks - four times this week alone, that has resulted in a new sale for us - using 100% genuine and properly licensed software.

#7 By 12071 (203.185.215.144) at 7/18/2006 11:17:41 PM
#5 "Nothing has changed today--it's still about the money."
That's correct - but there is one thing that has changed... Bill now has PR people to twist it into "protecting consumers".

#6 Sorry, how is it that you're protecting consumers again? By giving them a cardboard box?

#8 By 23278 (12.11.161.5) at 7/19/2006 8:27:21 AM
kabuki, don't be an idiot. If a buyer gets illegal software when they think they are getting legal software how does this not help the consumer? It's like buying illegally copied movies when you think you're paying for a legal copy of a movie. Just that in this case you don't end up paying more money later for licenses. lketchum states that in the long run going with a legit seller is cheaper than buying the illegal software.

#9 By 12071 (203.206.253.53) at 7/19/2006 8:34:08 AM
#8 First off, the buyer you speak you knows exactly what they're buying when they're paying $5 for that movie or software title! Secondly, it's not as if the pirated software is in someway any different to the original version so I ask once again, how is it that you are protecting the consumer? Is the pirated version harming the consumer in some way?

You're absolutely right when it comes to those selling pirated software for slightly cheaper than the real thing, but everyone knows damn well what they're getting for their $5! It's not as if they found some magical wholesaler!

#10 By 23278 (12.11.161.5) at 7/19/2006 10:12:10 AM
kabuki here's the thing. I bought this dvd called The Ring. The movie was horrible.. I'd sell it for $5, actually I let my sister borrow it and told her to not give it back. I know you would like to think people know they are buying illegal copies of movies or software, but I'd bet there are plenty of people out there who look for a good deal and just assume it's their lucky day. I know that a small shop in my town sells, or at least used to sell, illegal copies of windows and office. What they did is load up computers they sold and never gave disks to the customers and told them if they had any problems to contact them and bring their computer back in. Now you and I know that sounds shady, but my fiancé’s father had no clue. He brought the computer down there a bunch of times and they'd pop their copy of Win 2k in there and fix the problem and he had no clue it was illegal. My friend's brother bought a laptop on eBay and it never occurred to him that it was either stolen or loaded with illegal software. There are plenty of people who have no concept of software licenses.

#11 By 2960 (68.101.39.180) at 7/19/2006 10:36:47 AM
While I don't really have a comment on this one way or another, NotParker's Spin abilities are approaching Tornado quality!

TL

#12 By 23275 (68.17.42.38) at 7/19/2006 11:06:49 AM
Beyond the protections offered by running legit, one has other benefits from our model...

Even legit OEM "Equipment CALS" have limitations and differences. An equipment CAL is restricted to what one may update and practical considerations opposite hardware availability will eventually obviate any cost savings in the OS - opposite how we sell.

Since we also design, hand build, deliver and fully integrate the systems we build, we also design them to be upgraded for many years. With a fully boxed retail and legit copy of Windows XP Pro we can offer far longer periods of suported use and many more options when its comes time to update, or repair systems. Since the systems are also built from premium components from the pallet [not spot] market, we can more easily control mean time to failure, predict it and tunr inside of any losses in user productivity.

All of our customers count on this and they see and feel the difference. Pirates, as I said, hit us hard - loaders are worse. They sell what "appears" to be legit, but it's not and WGA and these legal cases have helped people see the difference. Since software licensing compliance is also a service, we include this and teach customers how to manage their resources and obligations. We use library tools to help them see this and because of how we build, they are assured that no matter what hardware is in the market they can continue to use their software and that has a lot more value that the difference in cost between an equipmet CAL and a fully boxed retail license of Windows. For our customers this makes WGA and other checks and balances a resource. We are [at least] a valid example of how these cases work for MS partners and customers. As to whether people "know" they are getting a deal too good to be true.... I do not know - I hope that is not the case and that is supported by their actions after they find out.... they fire our competitors and hirfe us to deliver a better and fully lawful solution that will be supported for a very long time.

This post was edited by lketchum on Wednesday, July 19, 2006 at 11:08.

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