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Software Piracy At the Beijing Branch Office?

spirit_fingers writes "I'm the IT manager for a west coast design company that has a small branch office in Beijing with 5 employees, a few workstations and a couple of servers. Recently, it came to my attention that the Beijing office has been routinely installing and using pirated software on their computers — MS Office and Adobe Creative Suite, mostly. We're very buttoned up about being legal with our software here at the home office, and I consider it unprofessional and risky for our Beijing office to be engaging in this practice. When I called the local office manager on this, he shrugged and replied, 'Well, every other shop here does it.' So I was wondering if there are any IT manager Slashdotters here in the the US who may have experienced something similar with their colleagues in APAC, and how they handle a situation like this." Click the link for more of this reader's thoughts on the subject.
Up until now, the powers that be here in the States have had a relatively laissez faire attitude about what goes on at the Beijing office and our accounting department hadn't noticed that Beijing never submitted receipts for software, until I questioned them about it.

I have no doubt that "everyone else does it" in that environment. Frankly, I could care less what those guys do with their personal computers, but when it comes to company-owned gear my attitude is to stay legal no matter what anyone else is doing. And it's not like they need to do it to save money: the Beijing branch turns a tidy profit. It just seems to be an attitude so firmly ingrained in the culture over there that no one gives it a second thought.

My response (CC'd to our CFO) was to ask for copies of all receipts and serial numbers for the software they're using. and see what happens. This came down today, so I'll give them a day or two to come up with something.

17 of 614 comments (clear)

  1. He's Right by Anonymous Coward · · Score: 5, Informative

    EVERYONE in China massively pirates all software.

    Seriously, the company I work for has facilities in China and everything we don't specifically buy and install is pirated over there.

    1. Re:He's Right by Anonymous Coward · · Score: 5, Insightful

      This is about more than just pirated software. Depending on where the Beijing office got the software, it could be carrying a malware payload that handed over back doors to all of their computers.

      China is well known for using corporate (and other) espionage to further their political agenda. Hooking into company systems to exfiltrate any possibly valuable data is far too common.

      I would consider the computer security risk to be far more of an issue than just not having proper licenses.

      I know it's easy to say this from the outside, but if their Beijing office routinely pirates software, everything about this company's IT security posture seems very out of control.

      The OP might as well post logins and passwords on the Internet. It sounds like an extreme analogy, but the reality is that their Beijing computers are probably compromised - possibly multiple times - and any data has probably been examined and pilfered.

    2. Re:He's Right by 1u3hr · · Score: 5, Interesting
      ... backdoors in commonly pirated software,

      Bollocks. Never seen it, or heard of it, except from software vendors trying to scare people. And I live in Hong Kong and have seen a fair sample of pirated software. Pirates are actually pretty good at customer service, most give full refund or exchange on demand. They have no interest in selling infected software, it would just rebound on them. Can't say it never happens, but there has been plenty of infected factory fresh legal software. The risk is not larger, in my experience.

    3. Re:He's Right by alexandre_ganso · · Score: 5, Interesting

      When you say unfair to usa, you forget that those pirated softwares are exported using US prices, being charged to india/china/russia/brazil salaries.

      A single copy of a software may cost as much as one year of an employee's salary there.

    4. Re:He's Right by julian67 · · Score: 5, Interesting

      You're confusing the people who sell the stuff on the street/malls/markets with the people who crack the software and to some extent with the people who manufacture it. You're also making a mistake in assuming a modified binary in a software installer is something that an anti-virus/anti-malware program can necessarily detect. I've seen "clean" installs from commonly used and sold XP CD (in SE Asia) which contain keyloggers and so on from minute one. They were undetectable from the running machine but could be found by scanning from read only media such as live CD. The best way to get a rootkit onto many, many people's PCs is to have them install it along with the OS, or have the local PC retail industry helpfully do the work for you when they clone the pirated OS onto the newly purchased (without OS) PC using their cracked copy of Norton Ghost....and the distribution network of human vendors is efficient, motivated (profit), looks after its customers and broadly trusted. Perfect and beautiful! You pay now, wait 5 minutes.

    5. Re:He's Right by VendettaMF · · Score: 5, Insightful

      Ha.
      HaHaHa.

      Three hours, three hours tops. That's how long your locked down machines would last before they were wiped clean and reinstalled from whatever cracked windows media they prefer. Including your fancy-schmancy-linux scanner system. It'd be running xp, vista or windows 7 RC1 before you reached the airport.

      This is China. The rules are different here. For starters, law is irrelevant. All laws. All the time. Cold-blooded pre-planned murder is a debatable situation here depending on who you know. The only actually arrestable offense is annoying a police officer or someone with a hold over police officers.

      --
      kartune85 : Incapable of reason, observation or learning. A kind of dim, drab, flightless parrot.
  2. Let the directors decide. by GrpA · · Score: 5, Insightful

    Why make the decision yourself?

    Send an email to the directors just confirming this is what they wish to do and that they don't want you to take any action on this matter.

    Then it's not really your problem anymore.

    Passing the buck works both ways :)

    GrpA

    --
    Enjoy science fiction? "Turing Evolved" - AI, Mecha, Androids and rail-gun battles. What more could you want?
    1. Re:Let the directors decide. by p0tat03 · · Score: 5, Informative

      If you want something to happen, try reporting the situation to the Beijing branch manager, and CC a higher-up of appropriate stature at the home office.

      Speaking as a Chinese, and having much dealings with my kind, I can say that Chinese people will shit a brick when it comes to potentially pissing off a higher-up in the States.

    2. Re:Let the directors decide. by Corbets · · Score: 5, Insightful

      One could (and I would) argue the ethics of allowing someone else to decide whether an immoral or illegal act should continue. "Passing the buck" is for cowards, no matter the direction; I think this fella is doing the right thing in trying to solve the problem.

      Besides which, proof that the directors of a company want something to happen is not absolution of your complicity. Suppose you know someone was cooking the books; do you suppose an email from the directors saying "it's ok" would be enough to absolve you when the IRS came in?

      My 2 cents, at any rate.

    3. Re:Let the directors decide. by robthebloke · · Score: 5, Interesting

      We get more support requests for our software from China than from any other country - and we've never sold a single license there.

      If the people using the software have no qualms in contacting the developers directly, then it seems to be a fairly entrenched problem that's going to take an awful lot to stamp out. Whilst talking about this topic many people may think 'windows+office' the fact is that piracy is affecting every developer large and small (and I work for a small one). I applaud anyone who takes an interest in stamping the problem out at their office, though unfortunately it's not going anyway anytime soon...

  3. Given it'smostly MS Office and PDF stuff.... by jkrise · · Score: 5, Insightful

    You are better off suggesting Open Office and Free PDF software; rather than fighting piracy.

    I used to work at a multi-national company; and I used to be amazed at the amount of self-imposed lock-ins created by IT staff in Western branches (I am based in India). Routine inter office correspondence happens using 'advanced' features in Exchange and Word which work only on the Windows platform. I always felt plain text and HTML suffices for any and all communication requirements.

    --
    If you keep throwing chairs, one day you'll break windows....
  4. I suppose, when in Rome... by kkrajewski · · Score: 5, Insightful

    It's not like they're going to be caught and prosecuted. Although if possible, why not go for a FOSS solution? Personally I do tend to try to compensate people who write cool software that I use.

    Ocassionally I get emails from Chinese users asking for a serial for one of our products. I asked one if there was not an accessible store from which to purchase it. He responded, basically, yeah, there's a couple, but no one buys software in China, they just download it. So there you have it!

    Sadly we're not popular enough for anyone to have made a keygen that I can find.

  5. Re:Don't Stick Your Neck Out, But CYA & Pass t by daveime · · Score: 5, Insightful

    Avoid being that douchebag who thinks he is better than everyone else

    I'd say it's probably a bit late for that.

    While the poster's motives might appear noble, I don't understand exactly what he's trying to achieve. A promotion, extra brownie points, getting someone in a foreign country fired, or at least severely embarrassed (and they set a lot of store on respect in Asia btw).

    He's already approached the person responsible, and voiced his concerns. Just because said person didn't take the action he expected, instead of leaving it alone, he posts it on Slashdot for the world and his wife to comment on. And within a few days it'll be all indexed by Google for posterity.

    To me he comes across as an anal retentive asshole who should be spending more time doing his job, rather than trying to shaft other people ... but that's just me, karma be damned.

  6. Re:why do you care? by cj1127 · · Score: 5, Insightful

    That "it's someone else's problem" attitude utterly stinks. My guess is that the guy actually *cares* about the reputation of his company and takes pride in its work, which might be a novel concept to some people. Like it or not, software piracy is illegal; the fact that you have an axe to grind about Microsoft doesn't detract from that

  7. Re:Seen it time and time again with Asian offices. by ebonum · · Score: 5, Insightful

    I hate to say this, but you sound like a paid microsoft poster. Raids? In China? Have you ever been to China? Honestly. Please don't spread FUD. Trust me. I live here.

    I would worry about trojans, spyware. These are legitimate concerns.

    Another concern is that a lot of development in China takes place on very old slow machines. You want to do development here? Plan on using Microsoft VCC 6.0. Want to buy a copy? Forget it. Microsoft dropped that one about a decade ago. ( actually it is amazing how these kids get so much done working little on 17 inch monitors )

    Iâve seen a lot people here using pirated software that is three generations old and no older available. But, it runs 10 times as fast as the new versions, and still seems slow on the old machines here.

  8. Whoa, steady now by jandersen · · Score: 5, Insightful

    Calm down, just a bit or two, there is no need to overreact.

    For one thing, whether it is OK to copy software without the consent of the one who produced it is mostly a matter of taste or culture - unlike, say, murder or burglary. The whole idea of "intellectual property rights" is something that is very recent and has come into the world in the West; not to mention the whole idea of private property that underpins it, which one may be excused for thinking is alien to a Communist nation. All that aside, it has long been a part of Chinese culture and tradition to copy things - it is seen as a perfectly legitimate thing to do. You learn calligraphy or other arts by copying the masters, after all; so why not literature or software?

    China is well known for using corporate (and other) espionage to further their political agenda.

    Really? It isn't well-known to me, among others. You see, when you make a claim like that you need to be able to prove your case. Otherwise it merely ranks as "smug ignorance", on par with all the other prejudices - such as "all muslims are terrorists" or "Jews are money-grabbing misers".

    Apart from that, you could substitute "England", "USA", "Israel" or just about any nation for China in that statement and get something equally justified. There is every reason to believe that all countries do this kind of things. Just to take one example: Isn't it true that we keep hearing about how American government agencies want to induce eg. Microsoft to install backdoors in their software? And is that not "espionage to further their political agenda"?

    It is too lame to drone on with this sort of automatic demonizing of everybody you don't like or don't understand. The only two effects that is like ly to have is alienating your opponents and making you look stupid. Right now China is storming forward in the world and they are opening up; this is among many other things a great opportunity for the western governments to make friends and influence their policies on all the issues we criticize them for. And who knows, maybe some time in the future we will be glad that we have a friend in China.

  9. Re:He's Not Right by jonbryce · · Score: 5, Insightful

    If you steal from a grocery store, you deprive them of the groceries they paid for.

    Pirating is more like buying from a different grocery store, or growing the food in your garden. That way you deprive them of the sale, but they still have the groceries to sell to someone else.