Ballmer: Piracy Cost Microsoft 95 Percent of Revenue in China

May 27, 2011 -

Microsoft CEO Steve Ballmer said earlier this week that piracy costs his company 95 percent of potential revenue in China. Ballmer made the comments in a speech at the opening of the new Asia-Pacific R&D Group headquarters in Beijing. Ballmer rejected the notion that software piracy is rampant in China because PC Software costs too much. He claimed that if someone can afford to purchase a PC in China, they could afford to buy the software to run on it. Most people in China can't afford to own a computer, let alone Windows 7..

Ballmer went on to say that Microsoft earned six times more per PC sold in countries such as India compared to China, and that if Chinese IP protection were as strong as India's then the market would be worth "billions of dollars."

Software makers, pirates and the Chinese government have been at odds for a very long time over piracy. Software makers want the government to enforce IP protection laws, pirates do as they see fit because software is pretty expensive and out of reach to citizens, and the government does very little to deal with either problem.

According to data from the Business Software Alliance, 78 percent of software used in China last year was pirated, down from 86 percent in 2005. I suppose that's something to be excited about.

Source: Ars Technica


Comments

Re: Ballmer: Piracy Cost Microsoft 95 Percent of Revenue in ...

If the price is not affordable for people in the region they're not going to buy it.

If they somehow managed the impossible and got an unbreakable drm system going, they probably wouldn't get any more sales but would wipe out windows usage in the region.

Re: Ballmer: Piracy Cost Microsoft 95 Percent of Revenue in ...

I'd say that would make Apple happy, but If they can't afford Winows PCs then Apple is out of the question.

Re: Ballmer: Piracy Cost Microsoft 95 Percent of Revenue in ...

I have a bet going with my friend to see who will make the first unbreakable DRM. I'm betting on Apple, he thinks it'll be Microsoft. Although this bet may have to be bequeathed to our grandchildren.

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Re: Ballmer: Piracy Cost Microsoft 95 Percent of Revenue in ...

And how much potential revenue was lost by charging $200 for an OS upgrade?

Re: Ballmer: Piracy Cost Microsoft 95 Percent of Revenue in ...

The "potential revenue" thing is pure bullshit.

 

Ballmer needs to learn from Mr. Gates that once said:

 

"If they have to pirate, than I want them to pirate from me."

 

--- Maurício Gomes twitter.com/agfgames

--- MaurĂ­cio Gomes twitter.com/agfgames

Re: Ballmer: Piracy Cost Microsoft 95 Percent of Revenue in ...

I'd figure most of what's being pirated in China might well be banned there anyway.

 
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Andrew EisenNow, having said that, what sites are you reading that are claiming that if "you self-identify as a Gamer, you're immediately the problem" or that gamers are "obligated to stop harassment"? Or was that hyperbole too?09/21/2014 - 1:03am
Andrew EisenFirst of all, ONE person in the Shout box suggested an obligation to call harassers out on their harassing but only after YOU brought it up. Plus, Techno said "when you see it happening." If you don't see it, you're not under any obligation.09/21/2014 - 1:02am
Sleaker@Craig R. - at this point I don't even know what the hashtags are suppsed to be in support of. what does GamerGate actually signify.09/21/2014 - 12:21am
Sleaker@AE - Hyperbole for the first 2, but it seems like some of the comments in the shout are attempting to place blame on fellow gamers because they aren't actively telling people to stop harassing even though they don't necessarily know anyone that has.09/21/2014 - 12:16am
Andrew EisenSleaker - Who the heck are you reading that is claiming "all gamers are bad," we "need to pass laws or judgement on all gamers," that if "you self-identify as a Gamer, you're immediately the problem," or that gamers are "obligated to stop harassment"?09/20/2014 - 9:44pm
erthwjimhe swatted more than just krebs, I think he swatted 30 people http://krebsonsecurity.com/2014/05/teen-arrested-for-30-swattings-bomb-threats/09/20/2014 - 9:31pm
Craig R.Btw, the guy who swatted security expert Brian Krebs? He got picked up recently. It can be done.09/20/2014 - 8:55pm
Craig R.Such things are not done in a vacuum... hence why the 4chan and other logs show what fools you've all been, tricked into doing the trolls' work09/20/2014 - 8:49pm
Sleaker@Technogeek - How do you call someone out that anonymously calls in a SWAT team, or sends threats to people?09/20/2014 - 7:04pm
Technogeek"It also doesn't mean you're obligated to stop harassment from all gamers that are doing so." I'd say you're certainly obligated to call them out when you see it happening.09/20/2014 - 5:17pm
SleakerNow if you disagree with anything in my last 2 posts then we obviously have a difference in world view, and wont come to any sort of agreement. I'm fine with that, maybe some people aren't?09/20/2014 - 5:09pm
SleakerIt also doesn't mean that just because a news outlet says that Gamers are the problem and you self-identify as a Gamer, you're immediately the problem. It also doesn't mean you're obligated to stop harassment from all gamers that are doing so.09/20/2014 - 4:59pm
SleakerJust to re-iterate: People getting harassed is wrong. Just because someone is harassed by so called 'gamers' doesn't mean that all gamers are bad. nor does it mean that you need to pass laws or judgement on all gamers.09/20/2014 - 4:56pm
SleakerAnd furthermore just because someone doesn't 'crusade against the evil' that doesn't make them the problem. You can have discussion with those around you. There's a thing called sphere of influence.09/20/2014 - 4:54pm
Sleaker@Conster - one person getting harassed is a 'problem' only so far as the harassee's are doing it. Just because a select few people choose to act like this doesn't make it widespread. Nor does it immediately make everyone responsible to put an end to it.09/20/2014 - 4:54pm
james_fudgeno worries09/20/2014 - 4:15pm
TechnogeekI misread james' comment as "we can't have a debate without threatening" there at first. Actually wound up posting a shout about death threats and "kill yourself" not technically being the same thing before I realized.09/20/2014 - 3:59pm
james_fudgeDon't hit me *cowers behind Andrew*09/20/2014 - 3:20pm
ConsterYou take that back right now, james, or else. *shakes fist menacingly*09/20/2014 - 3:00pm
james_fudgeOur community is awesome. We can have a debate without threatening to kill each other.09/20/2014 - 2:50pm
 

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