Microsoft claims $5.7m from Shanghai retailer

Microsoft has won £3.6 million ($5.7m) in a Chinese court case in the latest crackdown on copyright infringers.

microsoft china court case win copyright infringement

Microsoft has won £3.6 million ($5.7m) in a court case brought against Shanghai retailer Ruichuang Network Technology, who has agreed to pay 36 million yuan to the Redmond giant.

According to The Register, Microsoft took the Shanghai-based firm to task over allegedly selling illegal copies of Microsoft software without permission, which resulted in Ruichang president Han Meng and VP Han Hong facing accusations of copyright infringement in front of a judge.

The links to illegal copies of Microsoft software, present on the Chinese firm's website, received over 11 million downloads in conjunction with the sale of close to 1.3 million physical copies of pirate software, according to the publication.

Microsoft originally aimed for a compensation level close to £10 million from Ruichuang, but has settled for £3.6 million pounds.

The Asian firm has posted an apology notice on the 2345 website portal, stating that the firm "expresses profound apologies" to Microsoft after it infringed computer software copyright terms, and acknowledge it cost Redmond "huge economic losses and the impairment of goodwill." In addition, compensation "is hardly enough" to make up for Microsoft's economic loss, but Ruichuang promises to "fully respect Microsoft's intellectual property rights, including computer software copyright," in the future.

Microsoft has been battling copyright infringement in China for years. Recently, the technology giant won a case in a Beijing court against two Chinese firms for infringing the Microsoft Windows, Office, and SQL Server product copyright, and received CN¥3.18 million ($510,000) in compensation. However, one analyst believes court action in China may not only serve to protect the firm's products, but may be a clever marketing ploy to increase sales.


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