Piracy, the illegal copying of software, is a very serious problem, and it is estimated that approximately 50% of all programs on PCs are pirated copies. Programmers spend hours and hours designing programs, using elaborate code, and surely need to be protected. Although some might argue that some pirating at least should be permitted as it can help to lead to a more computer literate population. But, for corporations, in particular, this is a very serious issue, and can significantly damage profit margins (White 2002).
File sharing
College students have been at the leading edge of the growing awareness of the centrality of intellectual property in a digital age. When American college student Shawn Fanning invented Napster in 1999, he set in motion an ongoing legal battle over digital rights. Napster was a file-sharing system that allowed users to share electronic copies of music online. The problem was obvious: recording companies were losing revenues as one legal copy of a song was shared among many people. Although the record companies succeeded in shutting down Napster, they found themselves having to contend with a new form of file sharing, P2P (“person-to-person”). In P2P there is no central administrator to shut down as there had been with Napster. Initially, the recording industry sued the makers of P2P software and a few of the most prolific users—often students located on university campuses with access to high-speed connections for serving music and, later, movie files—in an attempt to discourage the millions of people who regularly used the software. Still, even while some P2P software makers have been held liable for losses that the copyright owners have incurred, more-devious schemes for circumventing apprehension have been invented.
The inability to prevent file sharing has led the recording and movie industries to devise sophisticated copy protection on their CDs and DVDs. In a particularly controversial incident, Sony Corporation introduced CDs into the market in 2005 with copy protection that involved a special viruslike code that hid on a user's computer. This code, however, also was open to being exploited by virus writers to gain control of users' machines.
