A New Offensive

Now that the digital revolution is over, software companies look to the post-registration of software as an alternative source of revenue

At the beginning of October, something new yet also familiar could be seen on the streets of Budapest. Throughout the city, billboards displayed a pair of handcuffs arranged in the form of a number "30". The picture was also accompanied by a caption which counted down when the thirty days would be over. The threat the advertisement sought to convey was obvious: if within a month you don't heed the advice offered, then you can expect to fall under the long arm of the law.

This was the message behind the latest attempt by the Business Software Alliance (BSA) to curb what it considers to be the rampant and "illegal" use of unregistered software. The new offensive, packaged by spin doctors as a "ceasefire" campaign, is being conducted nation-wide on a county by county basis. In each county a so-called ceasefire is announced during which the BSA aims to prosecute users of illicit software but holds off from doing so for 30 days, that is, while the unilateral ceasefire lasts. During this grace period, users are expected to register any illicit software they may posses. Users are further enticed to "legalise" their software through a special discount offered during the campaign period. After the 30-day ceasefire expires, however, the niceties are over and the BSA vows to prosecute to the full extent of the law all those caught using illicit software.

Although it appears that the BSA offensive is foremost aimed at business users, it's clear that the target isn't limited to this category of user. One just has to look at the campaign billboards and advertisements which don't specify who they are after. Nor do any of the laws upon which the BSA's activities are based make any distinction between different categories of user. Thus, the general public can assume that the threats against users of illicit software apply to private individuals as well.

Presently, a ceasefire has been in place for the month of October in Hungary's capital, Budapest. However, in other parts of the country the campaign has already been well underway. In the north-west county of Gyor-Moson-Sopron, for example, the BSA campaign had begun on March 4th of this year. During the 30 day grace period, 1,300 companies received a letter from the BSA informing them of their intentions. By the end of the ceasefire on May 5th, 13 were under investigation by the police; two even had their premises raided and searched by the authorities.

Elsewhere, the statistics haven't been so encouraging. In Fejer county (central-west Hungary) over 1,000 companies were queried by the BSA. Only 152 firms replied to the BSA offer to register their software.

Yet the BSA isn't only focusing their attention on Hungary; nor are they limiting their campaign to the other countries of Central and Eastern Europe, long regarded as a hotbed of illicit software use. Western Europe has also been targeted, including more "law-abiding" states such as Germany and Austria. Indeed, over the past two years companies in Germany were fined a total of more than 1.3 million euros for the use of illicit software, and another 500,000 euros was paid in post-registration fees. The BSA ceasefire campaign in Berlin took place between April 15th and May 15th of this year.

Likewise, in Austria the nation-wide campaign against illicit software has been extensive, taking place from May 2001 until February 2002. In Upper Austria, which was the first to be targeted (from May to June of last year), more than 100 companies took advantage of the BSA's offer to post-register their software. Later, in Vienna, where the campaign lasted from October to November 2001, 200 companies responded. And in Tyrol, where the BSA launched its ceasefire campaign from January to February 2002, about 50 companies responded to the BSA offensive within the first day.

Of course, this isn't the first time the BSA has launched an extensive campaign to highlight its activities against illicit software use. Back in 1994 and 1995, similar billboard advertisements could be seen throughout Hungary which featured a pair of handcuffs and an ominous warning that the use of illicit software could lead to anywhere from two to five years in prison. The only difference now is that the maximum sentence has been extended to eight years.

The new climate of fear and intimidation

This extension is probably due to the new climate of fear and intimidation brought on by America's war on terrorism. The language of war is apparent, as the BSA seems less inhibited now in formulating its threats. This can be clearly seen in their encouragement and use of informers.

Indubitably, much of the BSA software crackdown is done with help of anonymous informers. Previously, the BSA was not very open about its use of informers, especially in countries like Hungary. In many ways this is understandable, since those countries that have gone through the traumatic experience of dictatorship are particularly sensitive about any associations with the past regime, especially that of spies and informers. In fact, in Central and Eastern Europe the issue of informers is a subject which still haunts the region. Hence, although the BSA has been operating an anonymous informer hotline for many years in the area, they have stopped short of actively encouraging the general public to spy on one another.

All this has now changed, however. The ceasefire campaign posters appeal to the general public to anonymously inform the BSA of illicit software use. Moreover, the BSA has already begun to institutionalise its use of informers. In some countries, it actually pays well to be an informer. In Puerto Rico, for example, where the ceasefire campaign was launched on April 17th of this year, the BSA offered a reward of up to 15,000 USD for information on illicit software use.

Part of the advertisment for the Singapore campaign

All this raises questions as to why the BSA has decided to now embark on a new offensive. Some observers feel that a lot has to do with the changing political climate. In Hungary at least, a new neo-liberalist government was elected earlier this year which is much more pro-business than the previous one. Indeed, it was this same government which was in power during the 1994-98 political cycle, when the first BSA campaign featuring handcuffs and the threat of prison appeared.

Others, however, see it as part of a much larger, global shift. Political and economic leaders are more arrogant now than ever before. The US war on terrorism and its repudiation of the Kyoto Protocol are a case in point. Bullying seems to have taken precedence over diplomacy.

Yet a lot also has to do with the changing face of technology -- more precisely, computers technology -- within society. The digital revolution is over: as a result, the likes of Microsoft are no longer tempered by the fear of stalling growth in terms of the number of people using computers for the first time. Now that the penetration of computer technology has reached critical mass and its use has become more or less ubiquitous, it's time to cash in. After all, if software companies can't make money by over-valued stock prices or selling hyped versions of old code repackaged as new software, then at least they can concentrate more getting what is to be had by squeezing the intellectual property cash cow for all it's worth.

For the end user, all this makes the job of using a computer a little more riskier. Already, seasoned users have noticed the increased difficulty of finding what they need on-line in terms of software. And while Linux and other forms of free software are a viable alternative, it's still very much a Microsoft world. It remains to be seen, however, whether the strong-arm tactics of the BSA will ultimately tip the balance in the opposite direction.

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