Press Releases

Settlement Reached With Los Angeles Security Company Regarding Alleged Use of Unlicensed Software

WASHINGTON – March 5, 2012 –

The Business Software Alliance (BSA), the leading global advocate for the software industry, today announced a settlement with Los Angeles-based Andrews International. Andrews agreed to pay $137,500 to settle claims that it had copies of Microsoft software installed on its computers for which it could not locate licenses. Andrews denied any liability but agreed to resolve the dispute to avoid the cost of litigation. As part of the settlement, Andrews agreed that any software for which Andrews could not locate licenses would be destroyed or new licenses obtained, and committed to implement stronger software asset management (SAM) practices. BSA was alerted to the unlicensed software use through a confidential report made on its website www.nopiracy.org.

Andrews International (AI) is an industry-leading full service provider of security and risk mitigation services.

“We currently receive more confidential reports of software piracy from the state of California than from any other state,” said Jodie Kelley, BSA’s vice president of anti-piracy and general counsel. “It is important businesses understand the risks associated with using unauthorized software on any computer. Not only do organizations face possible legal trouble for employing pirated software, there are also tremendous security and economic consequences involved.”

According to the 2007 State Piracy Study released by BSA, software piracy in California cost software vendors an estimated $1.36 billion. Lost revenues to a wider group of software distributors and service providers cost an additional $3.88 billion, enough to hire nearly 16,000 tech workers. The lost state and local tax revenues in California would have been enough to hire more than 7,500 experienced police officers.

Companies that use unlicensed software expose themselves to a slew of risks from business inefficiency to costly disruptions from vendor audits and legal liability. To help businesses eliminate these risks, BSA offers SAM Advantage, a state-of-the-art training course and certification program that teaches businesses the skills needed to effectively manage their software.


Data
2010 US Piracy Rate* 20%
2010 U.S. Commercial Value of Pirated Software $9.5 Billion
Benefits of reducing piracy by 10 %age points over 4 years** 32,000 new jobs; $41 billion in economic growth; $7 billion in tax revenue
2010 Global Piracy Rate 42%
2010 Global Commercial Value of Pirated Software $58.7 Billion
* Eighth-Annual BSA-IDC Global Software Piracy Study
** Economic Benefits of Reducing PC Software Piracy Study
Rewards Paid by BSA Since 2008 $453,455
Avg. Annual End-User Piracy Reports to BSA (since 2008) 1,955
Website for Reporting Piracy to BSA www.nopiracy.org
Hotline for Reporting Piracy to BSA 1-888-NO-PIRACY
Click to Chat Available on www.nopiracy.org
BSA website www.bsa.org
Free Self-Audit tools provided by BSA www.bsa.com
Facebook (keyword) Business Software Alliance (BSA) Anti-Piracy
ISO-Aligned Software Asset Management Resource www.samadvantage.org
Fines for violating copyright law $150,000 per title copied
If convicted of violating copyright law $250,000 per title copied and/or Jail (up to 5 years)
Risks of Software Piracy Financial: Thousands of dollars in fines and damages
Technical: Information security risks; viruses, trojans, malware; Identity theft; Exposure of sensitive data and personal information.
Legal: Fines, Criminal Prosecution, Risk of being caught by BSA

About BSA

The Business Software Alliance (www.bsa.org) is the leading global advocate for the software industry. It is an association of nearly 100 world-class companies that invest billions of dollars annually to create software solutions that spark the economy and improve modern life. Through international government relations, intellectual property enforcement and educational activities, BSA expands the horizons of the digital world and builds trust and confidence in the new technologies driving it forward.

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About BSA

BSA | The Software Alliance (www.bsa.org) is the leading advocate for the global software industry before governments and in the international marketplace. Its members are among the world’s most innovative companies, creating software solutions that spark the economy and improve modern life. With headquarters in Washington, DC, and operations in more than 60 countries, BSA pioneers compliance programs that promote legal software use and advocates for public policies that foster technology innovation and drive growth in the digital economy.
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