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Volume 4, Number 1 -- January 10, 2007

Microsoft Settles with MPO Group Over Counterfeit Disks

Published: January 10, 2007

by Alex Woodie

Microsoft announced last month that it has entered into a multi-million dollar settlement with The MPO Group, a French company that Microsoft had contracted to replicate server software, but which was actually selling tens of thousands of illegal copies of the software.

The MPO Group is a 1,300-person company that specializes in the duplication of prerecorded media, including vinyl, CD-ROM, and DVD-ROM. Several years ago, Microsoft contracted with The MPO Group, which has facilities in France, Ireland, Spain, and Thailand, to make copies of its SQL Server and Exchange Server software.

Microsoft says it discovered in July 2003 that the company had made 20,000 unauthorized copies of the software. According to Microsoft, MPO officials admitted that their Thai office had manufactured the disks after relying on what turned out to be forged documentation from a third party that purported to have a license from Microsoft to distribute the software.

Once the MPO officials realized what had happened, they cooperated with the Microsoft investigation, Microsoft says."We appreciate the steps MPO has taken to tighten their security procedures to prevent a recurrence of this type of wholesale counterfeiting of Microsoft software, and to help track down all those responsible for distributing the counterfeits," says David Finn, associate general counsel with Microsoft's anti-piracy and anti-counterfeiting group.

The exact terms of the settlement were not disclosed.



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