2008 has a lot of Microsoft products lined up to be released soon. Microsoft India Chief Operating Officer, Doug Hauger, spoke to Biztech2.0 on piracy and Microsoft’s plans for India in 2008.

What are the measures taken by Microsoft to curb software piracy in India?

Microsoft has adopted a three-pronged approach focused on Education, Engineering and Enforcement. We have also undertaken various long-term, sustained initiatives for SMBs and channels to bring about a change in perceptions, such as regular updates on new product launches, monthly newsletters and Windows Genuine Advantage (WGA) program.

Supporting these primary initiatives is a new initiative called Software Asset Management (SAM). SAM is a method of taking the customer through streamlining his/her software expenses and reaching the optimal software configuration, based on the size of the organisation. Microsoft’s aim is to inculcate among organisations, the respect for original software and following from it regard for Intellectual Property Rights (IPR), which impact India’s credibility as a knowledge hub. Besides this, increased awareness and appreciation for Intellectual Property Rights, greater options to access original software and increasing benefits from deploying original are some of the factors that help reduce piracy levels and Microsoft will continue to focus on these areas to ensure this.

What is the damage to the Company due to Piracy?

Software piracy is a far-reaching and serious problem not only for India, but also for economies around the world. According to the BSA-IDC Fourth Global Software Piracy study, globally software piracy rates were as high as 35 percent and this amounted to losses of USD 40 billion. India itself lost USD 1,250 million in 2006 to software piracy, a substantial increase from USD 367 million in 2003. However, in the past few years, through concerted efforts by the government, judiciary, software vendors and channels, we have seen a steady growth in customers purchasing original software. It was rewarding to see a three percent reduction in piracy in the last three years and this will have a significant impact on India’s economy. On top of an already impressive growth rate, the drop in piracy will add 115,000 jobs, contribute $5.9 billion to GDP and add $386 million in taxes and $8.2 billion in revenues to local vendors.

What are Microsoft’s future plans for Windows Vista and XP?

We launched Windows Vista a year back, and have seen unprecedented response from enterprises as well as end consumers. Next on the horizon is the availability of Windows Vista Service Pack 1 (SP1), which is an update to Windows Vista, along with improvements delivered to users via other channels, addresses feedback from our customers and son on.
In addition to previously released updates, SP1 will contain changes focused on addressing specific reliability, performance, and compatibility issues, supporting new types of hardware, and adding support for several emerging standards. SP1 also continues to improve upon the IT administration experience. We are also readying for the availability of Windows XP Service Pack 3 (SP3), which will enhance the value proposition for the users of Windows XP, and ensure that their feedback is incorporated.

Over the next year, we are focused on increasing the value to customers from our Windows platform, and will continue to invest in developing the ecosystem, to make the offering even more compelling for customers. Also, in keeping with our Software and Services vision, we are committed to leveraging the online delivery model and during the coming years, you will see us making significant investments in the Windows Live offering.