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(Some Guy)   Software industry pulls number out of their butt, says piracy cost them $50 billion in 2008 (with helpful pic of likely pirates)   (thetechherald.com) divider line 87
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6162 clicks; posted to Geek » on 12 May 2009 at 1:22 PM   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



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2009-05-12 12:42:31 PM
Scenario A
"Hello?"
"This is George. I just pirated 45 copies of your software."
"Damn that's $2000. Ok thanks for the call George."
"Oh Kevin's here, too. He says he pirated another 45."
"$4000? Could have used that money. Oh well, tell Kevin thanks for being honest."
*ring* "Hello?"
"Steve here. I just pirated 60 copies of the software"
"Jeez! At this rate we're going to hit 50 billion!"

Scenario B
"Sir? The profit reports are in."
"Looks a little light. About 50 billion light. Explain yourself."
"Bad software?"
"Excuse me?"
"Umm, I mean pirates, sir."
"Nice suit."
 
2009-05-12 12:45:35 PM
img.photobucket.com
 
2009-05-12 12:48:55 PM
You can't trust those kids.

After all, they're dumb enough to crawl through pet doors.
 
2009-05-12 01:08:17 PM
I ruint me best argenomic char by sitting with me cutlass on.
 
2009-05-12 01:20:06 PM
FTA:

In gauging the total amount of software being used across the world, the report returned that the percentage of pirated software being used jumped from 38 percent in 2007 through to 41 percent in 2008.

Ah yes, the good old percentage increase. I wonder why the actual number of pirate installations isn't mentioned? Perhaps because it's an impossibly difficult number to accurately quantify.

I remember a few years ago, Microsoft was selling a combination package of Windows and Office in SE Asia for the equivalent of about $20 American dollars. In international trade this is dumping and is illegal, but it also clearly indicates that the profit margin on MS products in North America is absolutely massive if they can sell both these pieces of software for as little as $20 in other markets.

So excuse me if I don't believe the $50B figure.
 
2009-05-12 01:30:14 PM
I'm glad to see daywin got that out of the way right away. Not that anyone will pay attention.
 
2009-05-12 01:30:44 PM
This must be the same math they use when a few pounds of pot in the trunk of a guy's car has a "street value" of $4.5 million.
 
2009-05-12 01:31:03 PM
with helpful pic of likely pirates

www.justindallal.com
 
2009-05-12 01:31:16 PM
Rev.K: So excuse me if I don't believe the $50B figure.

If I really wanted a dollar, so I begged you for a dollar, and you totally refused to give me a dollar, then I totally blame you for costing me a dollar.
 
2009-05-12 01:31:55 PM
daywin:

[piracyguide.jpg]

Theft removes the original
Piracy makes a copy
which you steal.
 
2009-05-12 01:32:50 PM
farm4.static.flickr.com
 
2009-05-12 01:33:01 PM
Rev.K: the profit margin on MS products in North America is absolutely massive if they can sell both these pieces of software for as little as $20 in other markets.

My wife and I own two full (not "upgrade-only") copies of Microsoft Office 2007 -- one Ultimate, one Enterprise (which is functionally the same as Ultimate, but only sold in volume).

The Ultimate copy we got for $60 because my wife is a full-time grad student.

The Enterprise copy we got for $27 because my company has a large Enterprise corporate license, and they allow the company employees to get a license for home use if they pay for the software package and shipping/handling costs.

So... $87 for 100% legit software that would retail for over $1300. Yes, there is a massive profit margin in there.

I know that development costs for software like this are astronomical, and that much of the pricing the recoupment costs built in, but there's still a METRIC FARKTON of margin in there, based on how many copies of Office Microsoft sells.

/I wonder how many copies they need to sell in order to break even.
//I also wonder if it takes them less than three months to do so.
 
2009-05-12 01:33:05 PM
President Malaysia! There are pirates in the Malacca Straits!

SHUT

DOWN

EVERYTHING
 
2009-05-12 01:33:21 PM
Rev.K: In international trade this is dumping and is illegal, but it also clearly indicates that the profit margin on MS products in North America is absolutely massive if they can sell both these pieces of software for as little as $20 in other markets.

I agree their profit margin is ridiculous, but if i remember they did this because China had some ridiculously high piracy rate. They didn't want illegitimate copies, even if it hurt their bottom line.

Link (new window)
 
2009-05-12 01:34:01 PM
Tough titty.
 
2009-05-12 01:34:23 PM
Eddie Adams from Torrance: daywin:

[piracyguide.jpg]

Theft removes the original
Piracy makes a copy which you steal.


Star Trek Replicator technology, obviously is evil.
 
2009-05-12 01:35:38 PM
When coming up with these statistics, they also like to include people who have installed the software on multiple computers in their own homes.
 
2009-05-12 01:38:47 PM
JinxofSpades: When coming up with these statistics, they also like to include people who have installed the software on multiple computers in their own homes.

That is technically piracy, since the license they let you buy usually specifies only one install (and backups). Awhile back, I saw a EULA that, due to its lawyer-wording, basically forbid installing the software at all.

The whole system is just incredibly broken. Copyright law needs to be rewritten to make sense for the way the world works.
 
2009-05-12 01:41:49 PM
JinxofSpades: When coming up with these statistics, they also like to include people who have installed the software on multiple computers in their own homes.

That they do. I purchase a single copy of software that I will subsequently use on my computers. Key word is that they are my computers. If you don't like it, tough.
 
2009-05-12 01:43:04 PM
Anyone see the linked article about free games at the bottom? You know, the Korean-MMO type of free where it's free to play but you can bribe your way to victory with real money? Yeah that's not gonna stop piracy.
 
2009-05-12 01:46:59 PM
Inquisitive Inquisitor: Key word is that they are my computers.

Of course, a copyright maximalist would point out that it was their intellectual property that you infringed. They did not grant you a license for every computer you own.
 
2009-05-12 01:48:27 PM
Piracy costs me fifty brazillion kajillion quintillion dollars every year. Where's my bailout?
 
2009-05-12 01:54:21 PM
"Software industry... butt... pirates"
 
2009-05-12 01:55:42 PM
veedeevadeevoodee: with helpful pic of likely pirates

I keep wanting to see more of the cute dream girl he married in their first commercial.
 
2009-05-12 01:57:25 PM
Fano: Eddie Adams from Torrance: daywin:

[piracyguide.jpg]

Theft removes the original
Piracy makes a copy which you steal.

Star Trek Replicator technology, obviously is evil.


I thought they used that for making food and shiat... I wasn't aware they were using it to copy intellectual property. Guess I need to go to bittorrent and re-watch some of those episodes.
 
2009-05-12 01:58:49 PM
Eddie Adams from Torrance: I wasn't aware they were using it to copy intellectual property.

Someone had to invent the recipes that are being replicated.
 
2009-05-12 01:59:38 PM
images.starpulse.com

/Obligatorial
 
2009-05-12 02:02:43 PM
What about software released with bugs....games that change not a damn thing from year to year... what does that cost us?
 
2009-05-12 02:05:58 PM
pd771: I agree their profit margin is ridiculous, but if i remember they did this because China had some ridiculously high piracy rate. They didn't want illegitimate copies, even if it hurt their bottom line.

I'm sure that's why they did it, but it's illegal.
 
2009-05-12 02:11:12 PM
zarberg:

I keep wanting to see more of the cute dream girl he married in their first commercial.

i3.ytimg.com
 
2009-05-12 02:21:50 PM
CobaltTiger: I'm glad to see daywin got that out of the way right away. Not that anyone will pay attention.

You're kidding, right? That's the stupidest thing I have ever seen. Perhaps I can take a copy of your credit card number... It wouldn't be stealing. After all, you still have the original card. I promise I'll only use it on things I wouldn't have bought otherwise, so it's OK.
 
2009-05-12 02:25:22 PM
duckpoopy: Perhaps I can take a copy of your credit card number... It wouldn't be stealing.

It wouldn't be. If you purchased anything with my credit card, that would be fraud. But you can make as many copies of my credit card number as you like, so long as you and no one you give it to uses that information to commit fraud.
 
2009-05-12 02:30:50 PM
Olympus Mons: What about software released with bugs....games that change not a damn thing from year to year... what does that cost us?

Well, if people actually stopped buying every crappy EA or Ubisoft game they shoved out, developers would begin to take the hint that we want finished product. A certain level of bugs are acceptable. It's just going to happen with games nowadays.

A pretty good example of a game that was released before it was ready is Far Cry 2. It has game breaking bugs, numerous game play flaws, and more. It's obvious that in an effort to beat Fallout 3 and other titles to the market, they cut features and gameplay and forced it out the door with game breaking bugs.

Developers have been schlepping this stuff at us for too long. If gamers would just realize they don't have to purchase the NEWEST and TRENDIEST product, the industry would clean itself up.

I triple dare Madden fans to not buy the game this year. I guarantee you if that game tanked in sales, EA would release the best version of Madden you've ever seen the next year.
 
2009-05-12 02:33:45 PM
BKITU:
So... $87 for 100% legit software that would retail for over $1300. Yes, there is a massive profit margin in there.


What would retail for $1300? Not MSO 2007, that runs at about 90$. Even if you buy the version that's intentionally pumped up in price for the benefit of the foolish, it's still only about 200-300$.

//Was thinking maybe I'd gotten a bigger discount than I'd thought, but no, I just checked Amazon and it's what I thought.
 
2009-05-12 02:34:22 PM
t3knomanser : Of course, a copyright maximalist would point out that it was their intellectual property that you infringed. They did not grant you a license for every computer you own.

Of course, that depends on the license.

Some licenses do allow you to install on multiple machines. As long as only one will be in use at any one time.

/and then, there are gestapo software licenses, that can only be installed in one machine and used by a single named user on that machine.
 
2009-05-12 02:35:41 PM
Glitchwerks:
Well, if people actually stopped buying every crappy EA or Ubisoft game they shoved out, developers would begin to take the hint that we want finished product....


They'd just blame the poor sales on piracy or the used game market, essentially what they're doing now.
 
2009-05-12 02:41:58 PM
FTA:
total piracy-related costs of between $150 USD and $200 billion USD

Between $150 and $200,000,000,000 sounds about right to me
 
2009-05-12 02:42:39 PM
I don't buy it. WAaaaaaaaaaaaaaaaaay back in the days of games on 3.5" disks, all "we" did was copy games and give them to our friends and those companies made money (Sierra, Microprose, etc).

/I know Sierra is defuct now, it used to be a big computer company.
 
2009-05-12 02:48:16 PM
stuhayes2010: I don't buy it. WAaaaaaaaaaaaaaaaaay back in the days of games on 3.5" disks, all "we" did was copy games and give them to our friends and those companies made money (Sierra

Police Quest FTMFW!!!
 
2009-05-12 02:49:03 PM
veedeevadeevoodee:

Yup! She's the one. I'm a sucker for girl-next-door types who look really good in a pair of jeans.
 
2009-05-12 02:51:00 PM
It's called sharing, and the only things it steals away are broken business models.
 
2009-05-12 03:11:41 PM
i240.photobucket.com
 
2009-05-12 03:11:57 PM
Rev.K: Police Quest FTMFW!!!

F that. QFG = win. Oh and Leisure Suit Larry.
 
2009-05-12 03:20:54 PM
benlonghair: F that. QFG = win. Oh and Leisure Suit Larry.

Space Quest 2 and that's my final offer!
 
2009-05-12 03:28:50 PM
Jim_Callahan: BKITU:
So... $87 for 100% legit software that would retail for over $1300. Yes, there is a massive profit margin in there.


What would retail for $1300? Not MSO 2007, that runs at about 90$. Even if you buy the version that's intentionally pumped up in price for the benefit of the foolish, it's still only about 200-300$.

//Was thinking maybe I'd gotten a bigger discount than I'd thought, but no, I just checked Amazon and it's what I thought.


Link (new window)

MSRP
 
2009-05-12 03:33:26 PM

2D Boy's Ron Carmel has it 100% correct:

"We found 10 times more player IDs and 10 times more IPs out there than there were legitimate licenses sold. I'm convinced that we lost very few customers because of piracy. People who pirate the game are people who wouldn't have bought it anyway. I don't know anyone who would try to find a cracked version and, if they can't locate one, they say, 'OK, since I can't find it for free, I'm going to go out and buy it.' I just don't think that happens."

http://www.gamasutra.com/view/feature/4020/pc_game_piracy_why_bother_with_.php

Just say no to DRM.
 
2009-05-12 03:37:54 PM
Rev.K: benlonghair: F that. QFG = win. Oh and Leisure Suit Larry.

Space Quest 2 and that's my final offer!


Space Quest, Police Quest, King's Quest, Hero Quest (later called Quest for Glory), Leisure Suit Larry. Frankly, I don't know how you can argue which one is better. Give me a Vista compatible remastered version of the whole kaboodle complete with sequels and don't bother me for a month.
 
2009-05-12 03:47:11 PM
t3knomanser: Eddie Adams from Torrance: I wasn't aware they were using it to copy intellectual property.

Someone had to invent the recipes that are being replicated.


ding!
 
2009-05-12 04:07:14 PM
i142.photobucket.com
 
2009-05-12 04:36:42 PM
duckpoopy:
You're kidding, right? That's the stupidest thing I have ever seen. Perhaps I can take a copy of your credit card number... It wouldn't be stealing. After all, you still have the original card. I promise I'll only use it on things I wouldn't have bought otherwise, so it's OK.


Actually I'm pretty sure that image doesn't say piracy is an ok thing, and neither did I. All it says is that it isn't the same as theft, which it isn't. Nothing is taken or removed when you pirate something. If I steal a friend's CD, he no longer has it. If I pirate it, we both have it.

But hey, flame on.
 
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