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Piracy and Copyright Issues (Global Trends (Cybersecurity threats are…
Piracy and Copyright Issues
What is Software Piracy?
Software piracy is the unauthorised copying or distribution of copyrighted software.
This can be done by copying, downloading, sharing, selling, or installing multiple copies onto personal or work computers.
When you purchase software, you are actually purchasing a license to use it, not the actual software.
Types of Piracy
Client-Server Overuse
This type of piracy occurs when too many employees on a network are using a central copy of a program at the same time.
If you have a local-area network and install programs on the server for several people to use, you have to be sure your license entitles you to do so
If you have more users than allowed by the license, that’s “overuse”.
Internet Piracy
This occurs when software is downloaded from the Internet
Pirate websites that make software available for free download or in exchange for uploaded programs
Internet auction sites that offer counterfeit, out-of-channel, infringing copyright software
Peer-to-Peer networks that enable unauthorised transfer of copyrighted programs
Hard-Disk Loading
This occurs when a business who sells new computers loads illegal copies of software onto the hard disks to make the purchase of the machines more attractive
The same concerns and issues apply to Value Added Resellers (VAR) that sell or install new software onto computers in the workplace
Software Counterfeiting
This type of piracy is the illegal duplication and sale of copyrighted material with the intent of directly imitating the copyrighted product.
In the case of packaged software, it is common to find counterfeit copies of the CDs or diskettes incorporating the software programs, as well as related packaging, manuals, license agreements, labels, registration cards and security features.
End User Piracy
Using one licensed copy to install a program on multiple computers
Copying disks for installation and distribution
Taking advantage of upgrade offers without having a legal copy of the version to be upgraded
Acquiring academic or other restricted or non-retail software without a license for commercial use
Swapping disks in or outside the workplace
This occurs when a company employee reproduces copies of software without authorisation
Penalties for Illegal Software
Infringement of copyright may constitute a criminal offence, exposing individuals and companies to substantial penalties and in the case of individuals, even imprisonment
Criminal Penalties
Under the Copyright Act, making an infringing copy of software with the intention of obtaining a commercial advantage or profit and if the person knows or ought reasonably to know that the copy is infringing copyright and is now a criminal offence.
Offenders may be liable for:
Fines up to $93,500 and /or up to five years imprisonment for individuals
Fines up to $467,500 and/or up to five years imprisonment for companies
Civil Penalties
Making or using illegal copies of software for your personal use or at work is a civil offence under the Copyright Act
Offenders are liable for
Damages of an unlimited amount (determined by the Court)
Court costs in many circumstances, which can also be substantial.
Piracy Research
The Business Software Alliance conducts extensive research into the issues that impact the technology sector.
Computer users around the globe use unlicensed software at an alarming rate, despite being well aware of the associated cyber security dangers.
Key Findings
Many CIOs simply don’t know how much software employees are installing on company networks. CIOs estimate that 15% of their employees load software on the network without their company’s knowledge, but nearly double the percentage of workers say they are loading software on the network that their company doesn’t know about.
CIOs said that avoiding security threats is a critical reason for ensuring the software running in their networks is legitimate and fully licensed. In fact, 49% of CIOs identified security threats from malware as a major threat posed by unlicensed software.
39% of software installed on computers around the world in 2015 is not properly licensed, representing only a modest decrease from 43% in BSA’s previous global study in 2013.
Even in certain critical industries, where much tighter control of the digital environment would be expected, unlicensed use was surprisingly high. The survey found the worldwide rate is 25% for the banking, insurance and securities industries.
Global Trends
Cybersecurity threats are growing, as evidenced by the findings of Symantec in its most recent Internet Security Threat Report
More than 1 million new threats were created each day in 2015
There was a 35 percent growth in ransomware attacks in 2015.
430 million new pieces of malware were discovered in 2015, up 36 percent from 2014.
Organizations experience some form of malware attack every seven minutes.
Sixty-five percent of all targeted attacks in 2015 struck small- and medium-sized organisations. These organisations have fewer resources and many haven’t adopted best practices
A successful cyberattack on average costs an organization $11 million, according to industry estimates.
In the aggregate, IDC estimates that organizations spent more than $400 billion last year alone responding to the fallout from cyberattacks