REDMOND, WA USA 02/18/2005 – LAWFUEL – Press Release Servi…

REDMOND, WA USA 02/18/2005 – LAWFUEL – Press Release Service –
In an unprecedented move by the company, 26 cases filed nationwide,
including one against a criminally indicted reseller, illuminate company’s stronger enforcement efforts as part of Genuine Software Initiative.

REDMOND, Wash., July 18 /PRNewswire-FirstCall/ — The swashbuckling
pirates depicted in film and fiction and today’s software pirates have more
in common than first meets the eye. The colorful sailors of the high seas
sought their fortune by looting a ship’s cargo; one of the most frequent
forms of modern-day piracy is the theft of a kind of personal cargo:
intellectual property.

Software piracy is an offense that puts honest businesses and consumers
at risk and to which Microsoft Corp. (Nasdaq: MSFT) responded today with
the announcement of an unprecedented move by the company: the filing of 26
lawsuits against alleged dealers of illegal software.

The lawsuits Microsoft is announcing today are against companies that
allegedly pirated software or participated in hard-disk loading (installing
unlicensed software on computers they sold). One of the lawsuits was filed
against a reseller in Georgia who was recently indicted on federal criminal
charges. Lawsuits were filed in Colorado, Georgia, Illinois, New Jersey,
New York, Ohio and South Carolina.

The filing of these 26 cases demonstrates another step forward in
Microsoft’s robust effort to protect consumers, business partners and its
own intellectual property from the pandemic of pirated and counterfeit
software in the marketplace. Filing lawsuits against companies selling
pirated Microsoft(R) software is an integral part of the company’s Genuine
Software Initiative. The initiative focuses the company’s multiple
activities and investments directed at fighting software counterfeiting and
other forms of software piracy into a single initiative with increased
investments across three strategic areas: education, engineering and
enforcement. Within each area, Microsoft is investing in activities that
educate and help protect consumers and business partners from counterfeit
software and other forms of software piracy.

“Our message should be made very clear by today’s lawsuits,” said Mary
Jo Schrade, senior attorney at Microsoft. “To our honest partners, and to
consumers who expect and should receive genuine Microsoft software wherever
they go to buy it, we are listening and we are investing a tremendous
amount of resources to help you. We are committed to finding the
unscrupulous dealers of pirated software and making piracy a business model
that doesn’t work.”

Microsoft sells much of its software through partners — those
businesses that develop and market solutions based on Microsoft platforms,
provide consulting or technical services on Microsoft systems, or recommend
Microsoft technology purchases. The company partners with businesses of all sizes that are vital contributors to the local communities in which they
are located. Often these honest companies lose business to companies
offering pirated software at cheaper prices. Microsoft’s efforts to combat piracy are aimed at leveling the playing field for these honest partners.

As Tim Klan, president of Expert Computers Inc., a Microsoft Gold
Certified Partner and member of the OEM System Builder Partner Advisory
Council, describes it, the legal efforts by Microsoft are absolutely
critical to the sustainability of legitimate business in the channel. He
applauded Microsoft’s legal actions supporting fair competition.

“Honest resellers are losing business because of illegal sales,” Klan
said. “Naturally customers are eager to find the best deal, which sometimes
happens to be associated with an inferior, illegal product. This is simply unfair, and makes it very difficult for those of us operating within the
law to compete. I think I speak for most of us when I say we strongly
support Microsoft’s announcement today.”

Microsoft gathered evidence for these cases through the deployment of a program akin to a secret shopper concept. As part of its test purchase
program, the company purchases hardware and software from computer dealers across the country and then tests the software and software components to
determine their authenticity. In many of the cases, Microsoft notified
defendants of the illegal activity and provided information on how the
dealer could acquire and distribute legal, genuine software.

Complaints were also received about some of the defendants through the
company’s anti-piracy hotline, (800) RU-LEGIT (785-3448).

“Today’s announcement is really about helping protect fair business
practices and assuring that consumers — whether they are businesses or
individuals — get what they pay for in terms of Microsoft software,” said John Ball, general manager for the U.S. System Builders Partners Group at
Microsoft, which works with businesses that manufacture computers. “We
remain deeply committed to leveling the playing field for our partners.”

According to the Business Software Alliance (BSA), 21 percent of all
software in the United States is pirated. When consumers unintentionally
purchase counterfeit or pirated software, they are not entitled to receive the benefits offered to genuine software users. In addition, customers
using illegal software may unwittingly introduce viruses, malicious code or spyware into their computers and put their personal and business security
and information at risk.

Founded in 1975, Microsoft is the worldwide leader in software,
services and solutions that help people and businesses realize their full
potential.

NOTE: Microsoft and Windows are either registered trademarks or
trademarks of Microsoft Corp. in the United States and/or other countries.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

For more information about the BSA and IDC Global Software Piracy
Study: Visit http://www.caast.org/resources/2006_global_study.pdf .
Legal Case Summary-26 Cases
Filed in the U.S. District Court for the Northern District of Georgia,
Atlanta Division Microsoft Corp. v. Affordable Computers (Austell, Ga.), alleging
distribution of infringing copies of Windows(R) XP Professional and Office Professional 2003 software.

Case No. 1:06-CV-1670
Filed in the U.S. District Court for the Northern District of Georgia,
Atlanta Division
Microsoft Corp. v. Budget Computers (Stone Mountain, Ga.), alleging
distribution of infringing copies of Windows XP Professional and Office
Professional 2003 software.

Case No. 1:06-CV-1668
Filed in the U.S. District Court for the Northern District of Georgia, Atlanta Division Microsoft Corp. v. Tido Computers (Norcross, Ga.), alleging
distribution of infringing copies of Windows XP Professional and Office
Professional 2003 software.

Case No. 1:06-CV-1669
Filed in the U.S. District Court for the Northern District of Georgia, Atlanta Division Microsoft Corp. v. Computer Imaging Services Inc. (Marietta, Ga.),
alleging distribution of counterfeit Office Professional 2003 software
and/or related components.

Case No. 1:06-CV-1666
Filed in the U.S. District Court for the Northern District of Georgia,
Atlanta Division Microsoft Corp. v. Cyber Connect Inc. (Woodstock, Ga.), alleging
distribution of an infringing copy of Windows XP Professional software.

Case No. 1:06-CV-1667
Filed in the U.S. District Court for the Northern District of Georgia, Atlanta Division
Microsoft Corp. v. Sales International LLC (Conyers, Ga.), alleging the trafficking of illicit and/or counterfeit Windows 98, Windows 2000
Professional and Windows XP Professional Certificate of Authenticity
labels.

Case No. 1:06-CV-1672
Filed in the U.S. District Court for the Central District of Illinois
Microsoft Corp. v. The Computer Shop (Galesburg, Ill.), alleging
distribution of counterfeit and/or infringing Office XP Professional
software.

Case No. 1:06 CV 01183
Filed in the U.S. District Court for the Northern District of Illinois, Eastern Division Microsoft Corp. v. Software Plus Inc. (Buffalo Grove, Ill.), alleging
distribution of infringing copies of Windows XP Professional and Office XP Professional software.

Case No. 06C 3813
Filed in the U.S. District Court for the Northern District of Illinois,
Eastern Division Microsoft Corp. v. Apollo Computer Corp. (Chicago, Illinois), alleging distribution of infringing copies of Windows XP Professional and Office Professional 2003 software.

Case No. 06C 3811
Filed in the U.S. District Court for the Northern District of Illinois, Eastern Division Microsoft Corp. v. Chicago Computer Club Corp. (Chicago), alleging
distribution of infringing copies of Office Professional 2003.

Case No. 06C 3812
Filed in the U.S. District Court for the District of South Carolina,
Charleston Division Microsoft Corp. v. BWC Products Inc. (North Charleston, S.C.), alleging distribution of an infringing copy of Office Professional 2003 software.

Case No. 2:06-2023-CWH
Filed in the U.S. District Court for the Northern District of Ohio,
Eastern Division Microsoft Corp. v. Digital Systems (Eastlake, Ohio) alleging
distribution of infringing Windows XP Professional and counterfeit and
infringing Office XP.

Case No. 1:06CV1696
Filed in the U.S. District Court for the Northern District of Ohio,
Eastern Division Microsoft Corp. v. Belka Inc. (Akron, Ohio) alleging distribution of
counterfeit and infringing Windows XP Professional.

Case No. 5:06CV1693
Filed in the U.S. District Court for the Northern District of Ohio,
Eastern Division Microsoft Corp. v. J&G Computers (Akron, Ohio) alleging distribution of counterfeit and infringing Windows XP Professional.

Case No. 5:06CV1695
Filed in the U.S. District Court for the Northern District of Ohio,
Eastern Division Microsoft Corp. v. SurplusOutlet19 (North Olmsted, Ohio) alleging
distribution of counterfeit Windows XP Professional, Office XP Professional and Office Professional 2003.

Case No. 5:06CV1694
Filed in the U.S. District Court for the Northern District of Ohio,
Eastern Division Microsoft Corp. v. Mainstream Computers (Stow and Streetsboro, Ohio)
alleging distribution of counterfeit and infringing Office XP Professional.

Case No. 5:06CV1692
Filed in the U.S. District Court for the Southern District of Ohio,
Eastern Division Microsoft Corp. v. Custom Computer Warehouse Inc. (Columbus, Ohio)
alleging distribution of infringing Windows XP and Office XP Professional.

Case No. 2:06cv590
Filed in the U.S. District Court for the Eastern District of New York
Microsoft Corp. v. The ComputerWiz 777 Corp. (Brooklyn, N.Y.) alleging distribution of infringing Windows 98, Office 2000, Windows XP and counterfeit Office XP Professional.

Case No. 06 cv 3446
Filed in the U.S. District Court for the Eastern District of New York
Microsoft Corp. v. Infoserve Technologies Corp. (Glendale, N.Y.)
alleging distribution of infringing Office Professional 2003.

Case No. 06 cv 3445
Filed in the U.S. District Court for the Eastern District of New York
Microsoft Corp. v. J.C. Jay Computer Inc. (Forest Hills, N.Y.) alleging distribution of infringing Office Professional 2003.

Case No. 06 cv 3442
Filed in the U.S. District Court for the Eastern District of New York
Microsoft Corp. v. Pearl River Computers Inc. (Stony Brook, N.Y.)
alleging distribution of infringing Office 2003 after a prior settlement
with Microsoft.

Case No. 06 cv 3443
Filed in the U.S. District Court for the Eastern District of New York
Microsoft Corp. v. Professionalmax Computer Warehouse Inc. (Staten
Island, N.Y.) alleging distribution of infringing Windows 2000 Professional and Office Professional 2003.

Case No. 06 cv 3444
Filed in the U.S. District Court for the District of New Jersey
Microsoft Corp. v. Computer Clinic/NR Computer SVC Inc. (Iselin, N.J.) alleging distribution of infringing Office Professional 2003 and Windows XP Professional.

Case No. 2:06-cv-03205-WJM-RJH.
Filed in the U.S. District Court for the District of New Jersey
Microsoft Corp. v. Investment Technologies Inc. (Edison, N.J.) alleging distribution of counterfeit Windows XP Professional.

Case No. 2:06-cv-03206-HAA-MF
Filed in the U.S. District Court for the District of Colorado
Microsoft Corp. v. Computer Plus USA Inc. (Grand Junction, Colo.)
alleging distribution of infringing Windows XP Professional and Office
Professional 2003.

Case No. 06-CV-01368-PSF-MJW
Filed in the U.S. District Court for the District of Colorado
Microsoft Corp. v. Microcomp Solution Inc. (Denver) alleging
distribution of counterfeit Office Professional 2003 despite a prior
settlement with Microsoft.
Case No. 06-CV-01365 WDM-CBS

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