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Blaine Mathieu wrote:
> Others on this list have already given examples of
> "vertical market" programs that survive quite well
> without any copy-protection at all. Someone mentioned
> AutoCAD.
I haven't licensed and don't use AutoCAD. However, two different people
have sent me copies. I think users significantly underestimate the revenue
that has been lost by not copy-protecting it. AutoCAD could cost those who
do pay less, if all users paid a fair share.
It is true that AutoCAD has been a very successful product. However, that
alone does not prove that the choice to not protect it from theft was the
best choice that could have been made.
> I, too, am in the software business, and I produce a
> vertical market program for asset management (not
> financial assets) that is not copy-protected. I'm not
> too concerned. A user would be out of his mind to trust
> his valuable data and efforts to a pirated piece of
> software with no support. I think that TradeStation is
> in the same camp.
The argument is something like where someone says "I never lock my house and
I am not too concerned." Maybe what they have in their house isn't worth
taking. Maybe it is, but few people know it is there. Maybe it is, but it
is very specialized and would be of no value to most people. Maybe it is,
but they live in an unusually safe area where few people steal. For these
and other reasons, their concern may have little to do with someone else's
risk.
The risks to a software developer vary widely, depending on the desirability
of the product that could be stolen, how difficult it is to use without
developer support, whether users are primarily large organizations or
private individuals, and many other things.
Years ago we had software product used by credit unions to keep track of
member savings accounts, loan accounts, checking accounts, IRA accounts, ATM
accounts, and other types of accounts. It printed monthly statements of
account that were mailed to members. It calculated taxes and printed tax
forms to send to government agencies. We licensed the system to hundreds of
credit unions ranging in size from very small operations in the basement of
someone's home to large operations with many teller windows, several loan
officers, multiple drive-in windows, and other things typical of a large
bank.
We didn't worry about software copy protection, because credit union names
were printed on all the statements and tax forms, because credit unions must
operate ethically to maintain member trust, and because they are subject to
external audits. However, the risk of theft in that situation has little to
do with the risk in other situations.
It is only an opinion, but I think Omega's risk of loss would be very high
if they didn't utilize copy protection. Look at the web sites of some on
this list who demand copy protection be removed and you will find
copyrighted software that can be downloaded. What reason does Omega have to
expect their software wouldn't be posted the same way?
It is easy to tell someone else there is no need to lock their castle, but
if the castle was theirs, they might have a different view.
> Why does Omega want to harass its clients when the vast
> majority of other companies gave up on this idea in the
> early 80's?
I am sure Omega doesn't want to harass their customers. They also don't
want to have something worth millions of dollars stolen. They inconvenience
customers to the extent they think necessary to reduce theft to an
acceptable level.
It is true almost all suppliers of horizontal market software and many
suppliers of relatively inexpensive or highly-specialized vertical market
software stopped using copy protection years ago. However, some vertical
market software has been copy protected all along and more is being
protected all the time. The trend is clearly toward protection, not away
from it.
Omega couldn't increase their license fee enough to compensate for the loss
that would result from removing protection. How many on this list would
send Omega several thousand dollars for TradeStation if they could download
it free? A few probably would. In my opinion, many, or even most, would
not. They would want to try it first to see if they think it was worth
paying for, even if they had an intention to pay. How many would follow
through and send a check afterward, regardless of how well it worked?
Some would. Many would not. If half did, which I think would be a very
optimistic expectation, Omega would have to double their price to offset the
loss. If they did that, even less would pay.
Even though many disagree, I think it is just as risky for a trading
software developer to forget to lock their software these days as it is for
them to forget to lock their office or home when they leave. It would be
nice if we didn't have to lock anything. It would be nice if merchants
would leave shops unlocked when they are closed, so we could walk through
and look at their merchandise. It would be nice if banks did not lock their
doors when they are closed, in case we want to wander in and count the money
we have in their faults. Those things obviously aren't practical, because
people cannot be trusted not to steal. Software is no different.
Sophisticated software costs millions of dollars to develop. People will
steal it like they will steal anything else, if given a chance.
-Bob Brickey
Scientific Approaches
sci@xxxxxxxxxx
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