Microsoft has added security features to make the next versions of Windows and Office the toughest ever to pirate.
But despite their plans to thwart piracy, a copy of Office XP has leaked out to the Internet a month before it will even be available to business users.
Microsoft has built a "product activation" feature into Windows XP and Office XP which requires users to verify a unique number with Microsoft's servers to use the software. If the software is installed on more than one PC, then the second request for activation will be denied.
But someone has apparently obtained a copy of the corporate version of Office XP, which does not require an activation key, and posted it on Usenet newsgroup alt.binaries.warez.ibm. To further simplify installation, the industrious coders have sewn the serial number into the program.
Usenet is a newsgroup system which is largely for discussions of thousands of subjects, but it's also where porn, MP3s and pirated software are posted for free download.
And because Usenet newsgroups have no central management or server, stopping the distribution will be virtually impossible.
Microsoft (MSFT) officials confirmed that version number 10.2627.2625 on pirated software is legitimate.
However, the final code hasn't even gone out to its corporate customers yet and Microsoft has no idea how the code got out.
After he stopped laughing at the news, Gartner Group analyst Chris Le Tocq pointed out that the most likely source for the leak is within the company. "That's a bigger issue than the software itself being out," he said.
"The moral of the story is no technology is perfect," Le Tocq added. "Here's Microsoft setting itself up as a challenge for the world, and guess what? Hackers took up the challenge. Hackers one, Microsoft zero."
Microsoft tried to display a brave face when informed of the leak. "It's definitely unfortunate, because it leads users to find a product that's been tampered with," said Lisa Gurry, product manager for Office. "Consumers need to be aware this software is not official software and will likely contain problems for them if they choose to install it."
The software posted on Usenet appears to be fully functional. A note posted with the software on the newsgroup said not to worry about the registration key, since it was already patched into the software. After installation is complete, selecting "Activate Product" from the Help menu results in a dialogue box that says "This product has already been activated."
Microsoft insists its attempt to secure the software by requiring an activation key is not an effort in futility.
"The activation technology was developed to prevent against casual piracy, and that is typically piracy when a consumer shares their software with someone else outside the terms of the licensing agreement," said Gurry. "We don't think most of our users will be out on the Web trying to find ways to steal software."
