1. Global Consumer Perception Research: Attitudes On Counterfeit Software Microsoft commissioned TNS, a world-class market research firm, to conduct this work. TNS offers comprehensive industry knowledge within the Consumer, Technology, Finance, Automotive and Political & Social sectors. Delivering best-in-class service across more than 70 countries, TNS is part of Kantar, the world’s largest research, insight and consultancy network. Please visit http://www.tns-us.com for more information.http://www.tns-us.com

2. Key Finding #1: Consumers know the difference between genuine and counterfeit software; and that genuine software performs better There is a real difference between counterfeit and genuine software Compared to counterfeit, genuine software... All consumers agree Is what I want to use73% Is more secure72% Is more stable71% Is easy to keep up to date73% By a 2:1 margin, consumers agree that there is a real difference between counterfeit and genuine software. For country-specific data, please visit “Table 1” in the Appendix For country-specific data, please visit “Table 2” in the Appendix

3. Key Finding #2: Consumers 4X more likely to recommend genuine than counterfeit software Survey Question: If a friend or relative asked you for your opinion about whether to buy counterfeit or genuine software, which of the following are you most likely to advise them? Buy the counterfeit software, as long as they are getting a good price and know the risks involved Buy the genuine software, even if it costs more For country-specific data, please visit “Table 3” in the Appendix

4. Key Finding #3: Consumers say there are risks with using counterfeit software Consumers agree counterfeit software is not as safe to use as genuine Consumers express a range of concerns about counterfeit software 50% cite either data loss or identity theft Only 10% say they have no concerns By a 3:1 margin, consumers agree that counterfeit software is not as safe to use as genuine software. For country-specific data, please visit “Table 4” in the Appendix For country-specific data, please visit “Table 5” in the Appendix

5. Key Finding #4: Consumers support action to cut down on counterfeit software 75% agree Consumers Need ways to protect themselves from inadvertently buying counterfeit software 72% agree Software companies Should do more to stop their products from being counterfeited 65% agree Government Should do more to reduce the amount of counterfeit software For country-specific data, please visit “Table 6” in the Appendix

6. Key Finding #5: Consumers tell us they are doing their part – most often by checking the packaging and entering the product key Checked the software packaging for evidence that the software was genuine (e.g., seals, product key numbers and so on) Asked the sales person whether or not the software was genuine Checked the product description to make sure I was buying genuine software Entered the product key that came with the software to activate it 60% of these checked the packaging instead Bought in a store Bought online Regardless of where bought For country-specific data, please visit “Table 7.1” in the Appendix For country-specific data, please visit “Table 7.2” in the Appendix For country-specific data, please visit “Table 7.3” in the Appendix For country-specific data, please visit “Table 7.1” in the Appendix

7. Online survey fielded in twenty countries from September 22-October 5, 2010. Over 38,000 consumers were polled online. Consumers were all over the age of 18, owned a PC in their homes, and were the primary decision makers for PC/software purchases. At the start of the survey consumers were given a description of genuine and counterfeit products: –A genuine product is one made and sold by a company, either directly or through stores or the Internet. – A counterfeit product is one that copies the genuine product and is sold either by the person who made the copy, or through stores or the Internet. Sometimes people buying counterfeit products know they are not genuine and other times they do not. Methodology

8. Appendix

9. There is a real difference between genuine and counterfeit software CountryAgree to disagree ratio Worldwide2.0 to 1 Argentina1.4 to 1 Australia4.0 to 1 Brazil3.1 to 1 Canada2.2 to 1 China2.3 to 1 France2.0 to 1 Germany3.7 to 1 India1.7 to 1 Indonesia0.8 to 1 Italy1.3 to 1 Japan4.4 to 1 Korea1.1 to 1 Mexico1.7 to 1 Netherlands0.7 to 1 Poland1.5 to 1 Russia2.0 to 1 Spain1.2 to 1 Turkey3.7 to 1 United Kingdom5.0 to 1 United States5.9 to 1 Table 1 Table 2 Compared to counterfeit, genuine software... Country Is what I want to use Is more secureIs more stable Is easy to keep up to date Worldwide73%72%71%73% Argentina76%74%71%78% Australia71%66%65%67% Brazil79%77%73%78% Canada67%63% 66% China70%74%76% France69%72%67%68% Germany73%70%66%71% India77% 76%77% Indonesia85% 84% Italy70%72%66%73% Japan71%72%67%59% Korea61%63%62%68% Mexico79%78% Netherlands69%62%60%69% Poland67%71%67%74% Russia76%72% 76% Spain61%66%62%69% Turkey90% 89%90% United Kingdom79%74%75%72% United States79%73% 72%

10. If a friend or relative asked you for your opinion about whether to buy counterfeit or genuine software, which of the following are you most likely to advise them? CountryGenuineCounterfeit Worldwide82%18% Argentina76%24% Australia86%14% Brazil84%16% Canada81%19% China57%43% France87%13% Germany90%10% India86%14% Indonesia82%18% Italy80%20% Japan95%5% Korea70%30% Mexico85%15% Netherlands79%21% Poland85%15% Russia73%27% Spain75%25% Turkey90%10% United Kingdom90%10% United States92%8% Table 3

11. Consumers agree counterfeit software is not as safe to use as genuine CountryAgree to disagree ratio Worldwide3.0 to 1 Argentina1.9 to 1 Australia4.5 to 1 Brazil4.4 to 1 Canada2.6 to 1 China2.8 to 1 France2.1 to 1 Germany6.4 to 1 India2.2 to 1 Indonesia2.2 to 1 Italy1.8 to 1 Japan8.3 to 1 Korea2.5 to 1 Mexico3.5 to 1 Netherlands2.6 to 1 Poland2.3 to 1 Russia1.8 to 1 Spain2.2 to 1 Turkey7.5 to 1 United Kingdom6.3 to 1 United States6.2 to 1 Table 4

12. Consumers express a range of concerns about counterfeit software CountryData LossIdentity TheftOther ConcernsNo ConcernsUnaware Worldwide26%23%30%10% Argentina23%16%23%27%10% Australia21%33%26%8%11% Brazil24%18%44%10%4% Canada20%25%29%11%15% China35%25%26%8%5% France24%29% 6%11% Germany24%28%32%4%12% India32%16%36%9%7% Indonesia37%16%30%10%7% Italy24%17%35%12% Japan24%29%23%4%20% Korea33%14%35%9% Mexico28%19%40%9%4% Netherlands18%20%19%21%22% Poland20%15%45%10% Russia30%18%29%19%4% Spain37%17%20%17%9% Turkey27%37%30%3%2% United Kingdom22%36%27%7%9% United States23%38%19%9%12% Table 5

13. Consumers support action to cut down on counterfeit software Country Consumers needs ways to protect themselves Software companies to stop their products from being counterfeited Government to do more to reduce the amount of counterfeit software Worldwide75%72%65% Argentina77%73%62% Australia70%65%58% Brazil78%80%78% Canada68%65%54% China72%74%73% France77%67%63% Germany75%65%54% India79%82%76% Indonesia88%87%85% Italy70%68%61% Japan69%73%68% Korea63%69%65% Mexico85%87%81% Netherlands62%66%49% Poland75%72%62% Russia78%73%65% Spain69%59%50% Turkey85% United Kingdom76%73%63% United States76%68%52% Table 6

14. When you buy software, do you check the software packaging for evidence that the software was genuine? CountryYesNoDo not recall Worldwide46%45%8% Argentina57%32%12% Australia25%63%12% Brazil59%34%7% Canada26%66%8% China77%19%5% France29%64%8% Germany34%56%10% India83%12%4% Indonesia73%22%4% Italy43%48%9% Japan21%69%10% Korea57%36%7% Mexico55%37%7% Netherlands28%63%8% Poland52%37%11% Russia60%29%11% Spain32%60%7% Turkey54%37%8% United Kingdom19%69%13% United States15%75%10% When you buy software, do you ask the retailer whether or not the software was genuine? CountryYesNoDo not recall Worldwide72%22%6% Argentina62%31%7% Australia66%28%6% Brazil77%18%5% Canada65%29%6% China76%19%5% France68%27%5% Germany68%26%6% India80%16%5% Indonesia81%15%3% Italy78%16%6% Japan48%42%10% Korea67%29%4% Mexico76%19%5% Netherlands68%26%7% Poland82%12%6% Russia81%13%5% Spain64%30%6% Turkey82%14%5% United Kingdom62%31%7% United States60%33%7% Table 7.1

15. Checked the product description to make sure I was buying genuine software CountryYesNoDo not recall Worldwide72%19%9% Argentina62%26%12% Australia75%15%10% Brazil79%15%6% Canada66%24%10% China68%24%8% France69%22%9% Germany74%18%8% India87%8%5% Indonesia87%11%3% Italy82%13%4% Japan61%25%14% Korea63%26%12% Mexico73%18%8% Netherlands67%23%10% Poland75%18%8% Russia70%20%10% Spain74%19%7% Turkey70%20%10% United Kingdom75%15%10% United States72%18%10% Table 7.2 Entered the product key that came with the software to activate it CountryYesNoDo not recall Worldwide78%10%13% Argentina67%12%21% Australia81%9%11% Brazil79%10%11% Canada78%11% China74%15%10% France79%7%15% Germany82%8%10% India77%11%12% Indonesia79%13%9% Italy78%8%13% Japan62%19%20% Korea68%18%14% Mexico78%8%14% Netherlands78%6%16% Poland83%7%10% Russia86%6%8% Spain80%8%12% Turkey79%7%14% United Kingdom78%8%14% United States77%9%14% Table 7.3

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