The Redmond company debuts new lawsuits against pirates

Nov 1, 2007 07:28 GMT  ·  By

It is easy to spot on which side of the genuine vs. pirated front Microsoft stands. But it is also a different matter altogether when it comes down to understanding the implications of the Redmond company's position in relation to the lines of demarcation between those involved in the production, distribution and usage of pirated software materials. In this context, Microsoft is regarding all end users of counterfeit software as victims, be them in the home or the corporate environments. Moreover even, users of pirated software are treated as genuine customers, with some exceptions brought by the introduction of antipiracy initiatives such as Windows Genuine Advantage and Office Genuine Advantage.

"When consumers and businesses are looking for new computers and software it is important to buy from reputable resellers," said Larry Malashock, vice president of Software Plus, a large software reseller in St. Louis. "Customers often don't realize that these 'too good to be true' deals that they can get off the Internet or from nonreputable vendors don't come with the right licensing or the services provided by the legitimate channel. Counterfeit software can include code that will end up hurting their computing environment."

But while Microsoft is ready to cut some slack to users of pirated software, the same is not valid for the underground economy profiting from the production and distribution of counterfeit products. No less than 20 alleged dealers of bootlegged or infringing software are facing legal action from the Redmond company in 13 states in the U.S. The vast majority of the companies sued were involved in the illegal distribution of Windows XP and Office 2003. The move is designed to benefit consumers that are in this manner guaranteed to have access to genuine products, but also legitimate distributors of Microsoft software.

A study performed by analyst company IDC indicated that software piracy in the U.S. alone generated losses of $7.3 billion the past year, also cutting no less than 750,000 jobs on an annual basis. "This isn't just about protecting Microsoft's intellectual property," said Sharon Cates, attorney for Microsoft. "This is also about protecting consumers and the thousands of owners of small and large businesses and their employees who make up the software industry and depend on it for their livelihoods. A healthy software industry can help build strong local businesses, and that reaps larger economic benefits for everyone involved".