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Commentaries on current and topical issues in Malaysia
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| Software piracy - beyond price control & education |
| 08.24.03 (9:24 pm) [edit] |
Never before have we seen so many debates on software piracy -- affordability and education, prompting the government to place computer software and other CD-based content (audio CDs, VCDs and DVDs) under the Price Control Act. Obviously, the Business Software Alliance (BSA) and its members were against the move to impose price controls on the software and lending the support was a visit by the US Assistant Secretary of Commerce to lobby against the move and a warning that it would have a detrimental impact on the software industry and placing the MSC projects at risk.
It has been reported there is a likely exemption for computer software from the Price Control Act. And so it is back to square one - relatively high and consistent prices for software as against the free-falling of PC hardware prices. Cheaper hardware has enabled the rakyat, including those in the lower income groups to own a reasonably powerful desktop for under RM1,200 (excluding costs of software) or a branded PC for under RM2,000, or even less for an entry-level computer.
The costs of essential software for those using non-open source solutions, would mean forking out at least RM1,300 (for OEM software) and as high as RM2,400 (for retail packs) for Windows XP, Microsoft Office XP Standard and any popular anti-virus software. For many people, the price ratio for hardware and software just does not make sense and the ratio gets wider given the free-falling trend of hardware which obviously is good news for the consumers.
Next comes this question – are software prices (duty-free in Malaysia) reasonable in Malaysia? It is not difficult to answer this question in this Digital Age (quick search on the Net) and developments in neighbouring countries to promote PC ownership and efforts to fight the high costs of software.
Comparing with prices of essential software in the US, it would not be too difficult to make an assessment of our software pricing. Our American counterparts pay, for instance, about US$320 for Microsoft Office XP Standard and about US$30 for Norton AntiVirus 2003 (both are retail pack versions). The local prices at the dog-eat-dog computer outlets at Low Yat in KL are about RM1,650 and RM180 respectively. There is, however, little difference between the local and US pricing for the OEM version of Windows XP Home, which is about RM320.
Prices of original software are not only a concern for Malaysia or any third world countries, but also in the US. Interestingly, it was reported recently Americans, despite their higher disposable incomes, are resorting to cheaper scholastic version of Office XP, sold for under US$150 and that Microsoft and retailers are making little effort to enforce licensing restrictions that limit sales to educators and students. The CNet article went on saying: “It's demonstrated consumers can be interested in a full-bore Office suite if they have the option (to cheaper alternative).”
Closer to home, Thailand has carried out a successful people’s PC project, offering Linux-powered desktops with easy payment schemes in an effort to encourage PC ownership. Microsoft joined the budget PC bandwagon, offering the bundling of Windows XP and its Office suite for a mere 1,490 baht or a PC configured with the operating system and the productivity suite for only 12,390 baht. In local currency, this works out to about RM140 and RM1,150 only. Microsoft CEO Steve Ballmer was reported as saying the move to join the Thai project also yielded another benefit for the software giant--stemming losses from piracy.
Essentially, there are ways how software can be made more competitively priced and affordable, bringing their products more in-line with trends in hardware prices. Pricing of original software in the US (and lower than Malaysia) is already a hard sell and I wonder what BSA and its members have to say on this against its all familiar tune on the protection of intellectual properties and the back lash on the local software industry.
Finding academic editions and upgrades of popular software is next to impossible in Malaysia and yet information and pricing are readily available on the websites.
If I use a legitimate copy of the anti-virus software, there is no compelling reason why I should pay a premium price of a full-pack on its expiry. And similarly, just about every household in Malaysia have school-going children and making it known of this cheaper alternative plus some regular promotions like mail-in rebates will go a long way to helping to educate the rakyat and fighting the menace of piracy. Bringing down the piracy rate is a battle won as the industry has to be realistic with the threats of piracy and the advent of the Internet age.
Perhaps, the government should re-look on the software pricing, not on the blanket approach but confined its watchdog role on commonly used software for stand-alone PCs, and that includes, the operating system, productivity suite, anti-virus, edutainment and games that appeal to the consumers. Let the market forces determine the pricing of other software for business and corporate users.
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| About SMS and the Malaysian culture |
| 08.23.03 (3:26 am) [edit] |
Not surprising the volume of SMS at Maxis has grown by about 70 times over the last three years, hitting some 200 million messages a month. According to The Star recently, 100 SMSes are being sent over Maxis' network every second. The SMS fever, obviously, has grown beyond its original intention and has become an effective and affordable marketing tool or gimmick (the choice is yours) for many to exploit its popularity.
Marketing tool apart, it is not uncommon for Malaysians to forward creative worded messages from one to another, prompting one to wonder whether the local telcos have a role to play in hiring copywriters to create the chain of messages. It has become part of the lifestyle and not to mention the controversial world headlines Malaysia has hit for the wrong reason - e-divorce Malaysian style.
The SMS culture is not without its share of demerits. Sadly, the usage of SMS abbreviations has become a "disease" at work and even at schools and colleges. One begins to wonder whether this is the price we have to pay in the name of technology advancement.
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| Welcome Note |
| 08.23.03 (3:15 am) [edit] |
Thank you for visiting .MY passing thots. Stay tuned for updates and commentaries on current issues that may interest Malaysians from all walks of life.
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