Software Piracy

Software piracy is the illegal reproduction and distribution of software applications, whether for business or personal use. Many businesses and organizations do not know that they may be using illegal software. The illegal distribution and use of software is a significant problem that negatively impacts everyone. XenoSystems employs state of the art protection solutions and portfolios that are designed to assure the security and availability of the technology that powers our customers' businesses—from the desktop to the core of the network and across the servers that our customers rely on to deliver their competitive advantage. We want to provide you the information necessary to ensure everyone lawfully uses our products thereby getting maximum value from them.

Software piracy is a big problem. Figures from the Business Software Alliance show the industry loses nearly US$34 billion annually from software piracy. Translated into percentage figures, 35%, or more than one in every three applications used in business is used illegally.

XenoSystems is committed to educating its authorized users and when necessary, bringing those violating our licenses into compliance.

   Types of Software Piracy
   Effective Software Management
   Where can I buy authorized Software?
   Legal Ramifications
   Reporting a Case of Software Piracy
   Additional Resources

Types of Software Piracy
Software piracy is the illegal distribution and/or reproduction of software. Purchasing software means that you are actually purchasing a license to use the software – and that license spells out how you may lawfully use that software. Any use of the software beyond the scope of the license, would be a violation of the license and possibly, copyright law. Whether software piracy is deliberate or not, it is still illegal and punishable by law.

Software Piracy comes in many forms and can include:

End-User piracy: When users copy software without appropriate licensing for each copy. This includes both casual copying and distribution between individuals, and companies who do not strictly monitor the number of software licenses they install and do not acquire enough licenses to cover their software installations.

Pre-installed Software: When a computer manufacturer takes one copy of software and illegally installs it on more than one computer. Consumers should be on the lookout for proper license documentation when purchasing a new PC, to ensure they're getting what they paid for.

Internet Piracy: When unauthorized copies are downloaded over the Internet. If downloads are made available on the Internet, make sure that the publisher has authorized this distribution.

Internet Piracy can occur in many different facets. These forms include:

  • Providing access to software, key generators, activation keys, serial numbers and the like that permit installation of the software through downloads, burned CDs, or in the original packaging
    1. The provider is offering a copy; back-up copies may not be distributed.
    2. The product offered was previously distributed in violation of an authorized distributor, reseller, OEM, Academic or other contract.
    3. The product being offered had previously been used to obtain an upgrade to a newer version.
    4. The product is an unreleased or beta version.
    5. The provider offering certain XenoSystems product is not an authorized reseller or otherwise licensed to reproduce or distribute XenoSystems software. XenoSystems regularly monitors the Internet, including auction and P2P sites, in order to combat any infringement of our rights.
  • Linking to or distributing tools that subvert or undermine the copy protections or time-out functions of software.

Counterfeiting: When illegal copies of software are made and distributed in packaging that reproduces the manufacturer's packaging. Counterfeit registration cards with unauthorized serial numbers are often included in these packages.

Online Auction Piracy: takes several forms, such as:

  • Software resold in violation of the original terms of sale, NFR (Not for Resale), or OEM software that is never authorized for resale by a third party.
  • Online distributors offering special deals with the software publisher, liquidated inventories, or acquisition through bankruptcy sales. These types of phrases are used to fool consumers into believing that they are getting genuine product that wouldn't otherwise be discounted.
Back to Top
Effective Software Management
An important component to an overall effective software asset management program is knowing what you have installed. Regular audits can go a long way to telling you what is installed. Even though you may have policies in place prohibiting your employees from making unauthorized copies, these policies do not stop employees from making copies of software.

There are many software audit tools available to assist you in determining what is installed on your computer network. Running those tools, and then comparing that information to your license documentation, is a great first step in determining whether or not you are in compliance. If you find that you are compliant, congratulations – you’ve stepped up to the challenge and have done the right thing. If you find you are not in compliance, now would be the time to acquire the licenses necessary to get you back in compliance and review your existing software policy.

XenoSystems has a program in place to get its users into compliance. The one caveat to this program is that the user must have contacted XenoSystems before we knew of the alleged piracy at the company. This program is designed to work cooperatively with the company instead of pursuing legal channels.

For more information on this, please contact piracy.

Back to Top
Where can I buy authorized Software?
This is the easy part. Part of knowing that you have authorized software is knowing where you purchase it from. You can either go to our web site www.XenoSystems.com or go to one of our many partners.
Back to Top
Legal Ramifications
Penalties
Software piracy can subject an individual to arrest and criminal prosecution, with fines up to US$250,000 and prison terms of up to five years. In civil cases, XenoSystems can obtain the higher of its lost profits plus the infringer's profits, or statutory damages of up to US$150,000 per product. In addition, XenoSystems may seek to recover its attorneys' fees. As many companies know, the press loves to cover when a company has had to pay significant fines for having illegal software. Don't be one of them.

XenoSystems will also cooperate with Federal law enforcement authorities such as the FBI.
Back to Top
Reporting a Case of Software Piracy
Software piracy equals lost wages, lost jobs, and unfair competition. Struggling to fight against piracy, some companies must devote resources to anti-piracy technology, ultimately slowing down the development of better products and services. Others fail under the pressure of prices that legal resellers can't match. Reporting piracy means keeping a level playing field, and ensuring the most reliable products for your customers.

You can help stop this illegal and harmful activity. Knowing how to spot and avoid illegal software, and reporting suspected intellectual property violations when you encounter them, can have a positive impact on the fight against piracy. Please learn more about this criminal activity, and take action.

XenoSystems encourages you to "do the right thing" by letting us know of instances where a business or individual may be illegally using or distributing our software. Making this report helps us reduce the overall piracy problem, may allow us to better support and modify existing product, and have the resources to compensate our developers for those stolen tools. It also ensures that this business or person does not have an unfair business advantage insofar has having reduced business expenses because they steal their software

To report an individual or organization you believe is illegally using our software, or to report an individual or organization you believe is illegally selling or distributing XenoSystems software, please contact piracy

You may also send general piracy inquiries to piracy

Note: all information is confidential and will only be used by the XenoSystems Piracy Division. 

Back to Top
Additional Resources
Below are links to information about new technological developments that could affect the way you purchase and use XenoSystems products and services.

Business Software Alliance (BSA)
The Business Software Alliance (BSA) represents the world's leading publishers, educates computer users on software copyrights, advocates public policy that fosters innovation and expands trade opportunities and fights software piracy.

Canadian Alliance Against Software Theft (CAAST)
Established in 1990, the Canadian Alliance Against Software Theft (CAAST), is an industry alliance of software manufacturers that share the common goal of reducing software piracy. CAAST provides educational information to corporations, consumers, academic institutions, and resellers about software theft and its implications. CAAST works with the Business Software Alliance.

Federation Against Software Theft (FAST)
The Federation Against Software Theft (FAST) was set up in 1984 by the British Computer Society's Copyright Committee. It was the first software copyright organisation. Its' first action was to raise the awareness of software piracy and to lobby Parliament for changes in the Copyright Act 1956 to reflect the needs of software authors and publishers. This campaign was successful and it has since been able to influence other legislation that impacts on the proper safeguarding of software. The work of FAST in this area has directly influenced the way that software copyright law and investigations are carried out in many other countries.

Recording Industry Association of America (RIAA)
The Recording Industry Association of America (RIAA) is a trade association with members who create, manufacture and/or distribute approximately 90 percent of all legitimate sound recordings produced and sold in the United States. One of the organization's primary missions is to safeguard the intellectual property rights of recording artists and member companies.

Motion Picture Association of America (MPAA)
The Motion Picture Association of America advocates on behalf of the U.S. film, home video, and television industries. The organization also provides information about music publishing, copyright laws and editorial standards.

International Anti-Counterfeiting Coalition (IACC)
The International Anti-Counterfeiting Coalition (IACC) is the largest multinational organization devoted solely to combating product counterfeiting and piracy. Composed of a cross section of businesses and industries, including automotive, apparel, luxury goods, pharmaceuticals, food, book publishing, software and entertainment, the IACC is devoted solely to combating product counterfeiting and piracy. The IACC's members' combined sales exceed $500 billion and account for more than 10 percent of annual U.S. GNP.

Software and Information Industry Association
The Software and Information Industry Association (SIIA) is the principal trade association for the software and digital content industry. SIIA provides global services in government relations, business development, corporate education and intellectual property protection to the leading companies that are setting the pace for the digital age.
Back to Top
Manage Your Profile | Contact Us | Subscribe to 'XenoSystems News!' | Legal
Copyright © 2006 XenoSystems, LLC. All rights reserved. Terms of Use | Trademarks | Privacy Statement