Microsoft Sues Comet Over Windows ‘Piracy’

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Sky’s Alistair Bunkall explains the lawsuit unfolding between Microsoft and UK electrical retailer Comet

3:04pm UK, Wednesday January 04, 2012

The electronics chain allegedly pirated 94,000 duplicates of Vista and XP recovery discs in a factory in Hampshire.

It is then stated to have sold the media to people purchasing Windows-loaded PCs and laptops from its retail outlets across the UK.

Comet’s actions were unfair to customers. We anticipate better from retailers of Microsoft products – and our customers deserve better, too.

Microsoft’s David Finn

Microsoft’s worldwide anti-piracy and anti-counterfeiting associate general counsel David Finn said: “As detailed in the complaint filed, Comet produced and sold thousands of counterfeit Windows CDs to unsuspecting customers in the United Kingdom.

“Comet’s actions were unfair to customers. We anticipate better from retailers of Microsoft products – and our customers deserve better, too.”

In a statement, Comet stated it had received legal advice but held the view that the production of recovery discs did not infringe Microsoft’s intellectual property.

It said: “Comet firmly believes that it acted in the very ideal interests of its customers. It believes its customers had been adversely affected by the decision to stop supplying recovery discs with each new Microsoft Operating System based computer.

“Accordingly, Comet is satisfied that it has a good defence to the claim and will defend its position vigorously.”

Pirate duplicates of Microsoft software for sale in China

Pirate duplicates of Microsoft software have allegedly been sold across the UK

Shares in Kesa Electricals, the French retail company which owns Comet, fell 5% following the news.

Kesa has been trying to sell the troubled retailer since last summer after it made a loss of £8.9m in the year to April 30, 2011.

In November it reportedly concurred to sell the loss-making chain, which has 248 stores and 10,000 employees in the UK, for just £2.

The buyer is a group of companies under the name Hailey Holdings Ltd, advised by retail turnaround firm, OpCapita LLP.

Microsoft added in a statement that it “seeks to protect its customers from counterfeiting and piracy – and ensure people get what they pay for”.

It urged customers to report suspicious software on its “How To Tell” website.

source : news.sky.com

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Submited at Thursday, January 5th, 2012 at 12:00 am on Business by madison
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