What is software piracy? There are several kinds of software piracy. The bottom line is when software is pirated, developer does not receive compensation for their work.
Effects of Software Piracy When software is pirated, consumers, software developers, and resellers are harmed. Software piracy increases risk consumer's computers will be corrupted by defective software and infected with viruses. Those who provide defective and illegal software do not tend to provide sales and technical support. Pirated software usually has inadequate documentation, which prevents consumers from enjoying full benefits of software package. In addition, consumers are unable to take advantage of technical support and product upgrades, which are typically available to legitimate registered users of software. Pirated software can cost consumers lost time and more money.
Developers lose revenue from pirated software, from current products as well as from future programs. When software is sold most developers invest a portion of revenue into future development and better software packages. When software is pirated, software developers lose revenue from sale of their products, which hinders development of new software and stifles growth of software company.
Kinds of Piracy End User Piracy - Using multiple copies of a single software package on several different systems or distributing registered or licensed copies of software to others. Another common form of end user piracy is when a cracked version of software is used. Hacking into software and disabling copy protection, or illegally generating key codes that unlocks trial version making software a registered version creates a cracked version.
Reseller Piracy - Reseller piracy occurs when an unscrupulous reseller distributes multiple copies of a single software package to different customers; this includes preloading systems with software without providing original manuals & diskettes. Reseller piracy also occurs when resellers knowingly sell counterfeit versions of software to unsuspecting customers.