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The Business Software Alliance (BSA) takes tips from an online form and also a hotline (where they also offer rewards of up to $1 million) and then work with software vendors to take action - which could mean a negotiation of fines, and/or a costly audit and in more extreme cases they refer the offending companies to the Department of Justice (DOJ). In theses cases, After the DOJ receives a tip, it refers the case to the FBI for investigation. Once a case receives confirmation as a viable tip, the DOJ prosecutes.

Why is the BSA in existence? Software piracy can be a lucrative business, and software manufacturers consider it a growing problem worldwide. In fact, , 35% of PCs worldwide have illegal licenses installed - 21% of them in the US. That is nearly $40 billion in global losses for the year 2006 alone! The cash incentive of the BSA tip line appeals to many disgruntled employees, who turn in former employers for violations.

Software vendors are always trying to protect their revenue streams and even make new ones. They aren’t going to sit back and watch their profits deplete because of offenders. They also do not discriminate, so whether it’s the big time software pirate who is selling copies of Microsoft Office or a 100-person organization that is misusing their licenses (and may not even know it), they will come after you. Not only do they use watchdog agencies like BSA, they are increasing the amount of audits they do on their own. Don’t take the chance!

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