Microsoft`s legal actions help protect Maryland consumers from risks

In an effort to improve the health and authenticity of the Baltimore software market for consumers, Microsoft Corp. today took legal action against two Maryland software resellers for the alleged distribution of counterfeit Microsoft software.

Software piracy is on the increase in Maryland, growing from 16.8 percent in 1998 to 26.9 percent in 1999. According to the International Planning and Research Corp., in 1999, software piracy cost the state more than 2,570 jobs and over $193 million in combined wages and tax revenues.

South Africa`s 1999 software piracy - for business software alone - stood at 47%, according to the Business Software Alliance (BSA). Mark Reynolds, in charge of Microsoft SA`s anti-piracy and legalisation drive, said that although this figure is alarming, it is down from 49% recorded in 1998.

"While the United States is worried about piracy levels of about 25%, we are fighting against something that has almost become a way of life in SA. Despite this, we believe we are making headway and are optimistic that, through educating the marketplace about the negative fallout from piracy - including the ethics and the very real threat of being fined or imprisoned - we will significantly reduce piracy levels over the next five years."

Microsoft has filed cases against the following defendants in the United States District Court for the District of Maryland:

• Intellect Computers Inc. of Rockville, alleging the distribution of counterfeit Windows 95 and Office 97 Professional Edition; and

• Charles County Computers Inc. of Waldorf, alleging the distribution of counterfeit Windows 95 and Office 2000 Professional Edition.

"Microsoft is committed to cleaning up its software marketplace so that legitimate businesses have the opportunity to flourish and contribute to the local economy and so that consumers are not continually placed at risk of paying good money for bad software," said Nick Psyhogeos, corporate attorney for Microsoft. "Because honest resellers cannot compete against illegal vendors, we will continue to take appropriate action as necessary against those companies that persist in selling illegal Microsoft software."