Anti-piracy watchdog calls for more enforcement

KUALA LUMPUR (AP) - A global anti-piracy watchdog Thursday called for increased enforcement to combat computer piracy in Malaysia after giving 20,000 ringgit (US$5,882, ?4,294) as reward to a local informer.

The Business Software Alliance said the tip-off by a Malaysian, identified only as Hisham, led authorities to seize 11 computers and 79 copies of suspected infringing software worth an estimated 350,000 ringgit (US$102,941) during a raid in April on an architectural firm.

Sixty percent of software used in private businesses in Malaysia was illegal in 2006, the same as in 2005, said BSA anti-piracy director Tarun Sawney. This is slightly above the average 55 percent rate recorded in Asia-Pacific, he said.

"The piracy rate hasn't come down but revenue losses to software companies have increased to US$289 million last year, from US$149 million in 2005," Sawney told The Associated Press.

The increase in losses is due to stronger growth in computer sales and the use of higher-end software in the country, he said.

"Enforcement is an important mean to protect copyright and to send a strong message that companies should use legal software," he said. "We need consistent widespread raids all over Malaysia to have the impact and a change of mind-set. More can be done."

Current raids are mostly focused in Malaysia's biggest city, Kuala Lumpur, officials said.

Mohamad Roslan Mahayuddin, enforcement chief at the Domestic Trade and Consumer Affairs' Ministry, said authorities have conducted 15 raids on 26 companies this year and seized a total of 97 computers and 493 copies of unlicensed software worth 1.4 million ringgit (US$410,000).

"Our raids on businesses using unlicensed software will continue as long as information continue to come in," he said in a statement. He didn't say how many people have been charged this year.

Malaysia's copyright laws provide for maximum prison sentences of five years and a fine of up to 20,000 ringgit per infringement.

Sawney said the BSA offers a reward of between 3,000 ringgit (US$882) and 20,000 ringgit to informants, depending on the accuracy of the information, the size of the company raided and the value of unlicensed software seized.

He couldn't provide details on how much the group paid out to informants in Malaysia and in the region last year.

Hisham is the first informer to be revealed publicly in Malaysia since 2004, Sawney said, adding that most prefer to remain anonymous for fear of retaliation from software pirates.

Hisham, in a statement, said he reported the case due to frustration as computers in his former firm kept crashing due to the use of the pirated software.

According to the BSA, Asia-Pacific's software industry lost US$11.6 billion to pirates last year, up by 43 percent from 2005.

Vietnam topped the regional list, with 88 percent of all software judged to be pirated, followed by Pakistan (86 percent), Indonesia (85 percent), China (82 percent), Thailand (80 percent) and India and Philippines (71 percent), it said.

New Zealand has the lowest rate in the region at 22 percent, followed by Japan (25 percent), Australia (29 percent) and Singapore (39 percent), it added.