Identifier
Created
Classification
Origin
06SAOPAULO207
2006-02-23 19:27:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Consulate Sao Paulo
Cable title:  

Destruction of Pirated Software in Sao Paulo

Tags:  KIPR ETRD KJUS BR 
pdf how-to read a cable
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DE RUEHSO #0207 0541927
ZNR UUUUU ZZH
P 231927Z FEB 06
FM AMCONSUL SAO PAULO
TO RUEHC/SECSTATE WASHDC PRIORITY 4564
INFO RUEHBR/AMEMBASSY BRASILIA 5716
RUEHMN/AMEMBASSY MONTEVIDEO 1821
RHEHNSC/NSC WASHDC
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RUEHRG/AMCONSUL RECIFE 2719
RUEHRI/AMCONSUL RIO DE JANEIRO 6844
RUEHAC/AMEMBASSY ASUNCION 2404
UNCLAS SAO PAULO 000207 

SIPDIS

DEPT FOR WHA/BSC AND EB/TPP/IPE
STATE PASS TO USTR FOR AND MSULLIVAN
STATE PASS TO USPTO/OLIA
USDOC FOR 4332/ITA/MAC/WH/OLAC/JANDERSEN/ADRISCOLL/MWAR D
USDOC FOR 3134/ITA/USCS/OIO/WH/RD/DDEVITO/DANDERSON/EOL SON
NSC FOR SUE CRONIN

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: KIPR ETRD KJUS BR
SUBJECT: Destruction of Pirated Software in Sao Paulo

Reftel: 05 Sao Paulo 901

UNCLAS SAO PAULO 000207

SIPDIS

DEPT FOR WHA/BSC AND EB/TPP/IPE
STATE PASS TO USTR FOR AND MSULLIVAN
STATE PASS TO USPTO/OLIA
USDOC FOR 4332/ITA/MAC/WH/OLAC/JANDERSEN/ADRISCOLL/MWAR D
USDOC FOR 3134/ITA/USCS/OIO/WH/RD/DDEVITO/DANDERSON/EOL SON
NSC FOR SUE CRONIN

SENSITIVE
SIPDIS

E.O. 12958: N/A
TAGS: KIPR ETRD KJUS BR
SUBJECT: Destruction of Pirated Software in Sao Paulo

Reftel: 05 Sao Paulo 901


1. (U) On 21 February 2006, the Business Software Alliance (BSA)
sponsored the destruction of more than 500,000 pirated software
discs outside Sao Paulo's Pacaembu Stadium. The contraband was
displayed publicly and then ceremoniously destroyed by feeding discs
into a wood chipper. This event highlighted anti-piracy
achievements by the software industry in Brazil. 2005 was a record
year for anti-piracy seizures, raids, and prosecutions. According
to BSA, software piracy has decreased from 90 percent to 76 percent
over the last ten years. By BSA estimates, 26,000 jobs would be
created if software piracy were to continue to decrease by 10
percent a decade over the next 20 years. Federal Deputy Luiz
Antonio de Medeiros (PL),leader of a recent special congressional
committee that investigated piracy, gave a rousing speech denouncing
the ills of software piracy, its ties to organized crime, and its
destruction of legitimate jobs. In his speech, Deputy Medeiros
called for increased piracy penalties and reform in the anti-piracy
legislation. CG and Econoffs attended the event. Media presence
included TV and newspaper coverage.


2. (SBU) COMMENT. While, 2005 was a year of successes for Brazil in
terms of anti-piracy enforcement (including increases in frontier
interdictions and the termination of the USTR GSP review),much
remains to be done on the consumer-side of the equation. The
decrease in software piracy from 90 percent to 76 percent is mostly
due to BSA efforts in the corporate sector. Software piracy in the
public/consumer sector still remains above 90 percent. Moreover,
public attitudes regarding piracy are slow to change. Recent
studies conducted by Brazilian polling company IBOPE show that the
purchase of pirated goods is habitual across all social classes,
with 33 percent of the public admitting to purchasing pirated goods.
The same IBOPE studies show high public awareness (75 percent) of
the harms of piracy (organized crime, tax evasion, etc.). Moreover,
75 percent of those polled agreed that piracy directly harms Brazil,
insomuch as it decreases tax revenue and therefore GoB spending on
education, health, etc.


3. (SBU) A recent joint study by the Brazil-U.S. Business Council
and Warner Brothers Consumer Products shows that piracy deprives the
GOB of USD 14.5 billion per year in uncollected taxes. 56 percent
of those IBOPE polled felt that trademarked/copyrighted goods are
too highly priced and that trademark/copyright owners are too rich
to feel the effects of pirated sales. 65 percent felt justified in
purchasing illegal goods because "pirated industries help generate
jobs in poor countries, while genuine industries only created jobs
in rich countries." While government enforcement efforts and
corporate campaigns were the successes of 2005, much remains to be
done in 2006 in the area of public/consumer education to change
prevalent attitudes regarding piracy. We feel public events like
this BSA-sponsored software destruction and last August's
Association for the Protection of Phonographic Copyrights
(APDIF)-sponsored destruction of over one million pirated CDs and
DVDs (reftel) help raise public awareness and reduce sympathy for
pirated goods. END COMMENT.


4. (U) This cable was coordinated with AmEmbassy Brasilia.


McMullen