Intellectual
property and
Shahin Kohan
cybersecurity
Nicole Y. Lamb-Hale
Tim Molino
Voices For Innovation
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Speakers
Shahin Kohan
President, AIMS 360 / Focal Technology Solutions
Nicole Y. Lamb-Hale
Former Assistant Secretary of Commerce for Manufacturing &
Services, International Trade Administration
Emerging markets have the
highest
86%
piracy rates
77%
53%
55%
63%
57%
63%
21
%
Brazil Malaysia Mexico Indonesi
Source: 2012 BSA-IDC Piracy Study
a
China
Russia
India
Japa
n
19
%
US
Software piracy causes harm to
multiple parties
Software
producers
Service
providers
End users
Customers
Direct and indirect harm to our
$63 billion–the value of unlicensed
industry
software
in
‘11
Software producers
Lost revenue
Brand damage
Decreased incentive to innovate
Service providers
Lost revenue
Lost business opportunity
Fewer customers to service
Software drives manufacturing
US
manufacturing IT spending is on
innovation
the rise
$62B
$64B
$53B
$20B
2006
Other IT Spend
$27B
2008
$29B
2010
Software Spend
Piracy hurts our customers and end
users
Customers
Unfair competition
Lost revenue
Decreased incentive to innovate
End users
Exposure to malware
Risk of security breaches
Leading to data loss
A 10% reduction in piracy would
add…
+40,314
manufacturing
jobs
+25,431
IT jobs
+$29B
manufacturing
revenue
+$8.7B
U.S. GDP
+$807M
U.S. federal
tax revenue
Source: Economic Impact Global Software Theft on U.S. Manufacturing Competitiveness and Innovation, January 2014, NAJI, NAM, BSA Global Software
Piracy Study 2011
NAJI was created to help stop IP
Why should you join?
theft
Support IP protection and innovation ecosystem
Improve ability for your business to compete and capture revenue in emerging
markets
Position your company as an industry leader and promote your company’s
brand
Manufacturers
and
Orgs
and VFI members
Academic
Show
support forITissues
that affect
many
and Microsoft partners
services firms
associations
institutions
Scan our QR code or join online www.naji.org/join-naji
Nicole Y. Lamb-Hale
Former Assistant Secretary of Commerce for
Manufacturing and Services, International Trade
Administration
Intellectual Property fuels
Strong
Intellectual
Property rights and
economic
growth
protections:
Lead to job creation and economic growth
Level the competitive playing field
Increase the flow of technology
ncentivize entrepreneurs and drive innovation
Source: GIPC International IP Index, Second Edition, January 2014
NAJI encourages actions to protect
State enforcement by Attorneys
IP
General
US Federal legislation to protect
trade secrets
International trade agreements
State AGs leverage unfair
To address negative
competition
lawsimpact of software piracy
California
Tennessee
Louisiana
AG Kamala Harris filed lawsuits
against Chinese and Indian
apparel manufacturers using
stolen IT to compete unfairly
AG Bob Cooper settles unfair
competition cases against Thai
tire manufacture
AG Buddy Caldwell took action
against Chinese grill
manufacturer who was in
violation of LA law
Jan 2013
Oct 2012
Jun 2013
Apr 2013
Mar 2014
Dec 2013
Massachusetts
Washington
Oklahoma
AG Martha Coakley forced Thai
seafood co. to agree to stop
using unlicensed software when
doing business in her state
AG Bob Ferguson negotiated
settlement with Brazilian aircraft
manufacturer exporting goods
made with unlicensed software
AG Scott Pruitt filed complaint
against Chinese oil and gas
value manufacturer using
unlicensed software to compete
unfairly
US trade secrets legislation
Efforts are underway to protect trade secrets,
including:
Business methods Financial and
Machine
personal data
processes
and devices
Computer
programs
and databases
Inventions, R&D
info
and formulas
and plans
Designs,
prototypes
and drawings
International trade agreements
Trans-Pacific Partnership
Negotiating countries:
Australi
a
Canada
Peru
Chile
Mexico
United States
Japan
Singapore New Zealand
Malaysi Vietnam Brunei Darussalam
a
Transatlantic Trade and Invest. Partnership
Tim Molino
BSA’s members include:
Director, Policy, BSA | The Software Alliance
“The threat of cyberattacks has
become so pervasive in recent
years that it now tops the U.S.
government’s global threat
assessment, beating out
terrorism
for the number one position.”
—Worldwide Threat Assessment of the
US Intelligence Community, Senate
Select Committee on Intelligence
March 12, 2013
What we are dealing with . . .
75%
Of most organizations' value
and revenue sources are in
intangible assets, intellectual
property and proprietary
competitive advantages
Source: Trends in Proprietary Information Loss, ASIS International, August 2007
Pirated software unlocks the
For
cyber criminals to steal confidential
backdoor
business data, trade secrets and IP
78% of Web-based counterfeits installed tracking cookies
and spyware
36% of Web-based counterfeits installed Trojans
and adware
28% of Web-based counterfeit had
performance issues
20% of counterfeit CD/DVD programs installed
malware
Sources: IDC, The Dangerous World of Counterfeit and Pirated Software, March 2013
Why do we care?
In 2014 enterprises will spend $491 billion
because of malware associated with pirated
software:
$364B in dealing with data losses
27B in identification, repair, and data recovery from malware
4% of these losses will be attributable to criminal organizations
Source: IDC White Paper: The Link between Pirated Software and Cybersecurity Breaches: How Malware in Pirated Software Is Costing the World
Billions, March 2014
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