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Summary: OEM Software is heavily advertised, often in spam, at prices much cheaper than retail. The problem is that OEM software is often illegal. I need to buy a new XP disc and license key. I see some websites sell the OEM version. What's the difference between that and a version I'd buy off the shelf? Will Microsoft let me activate an OEM license key if I'm only a consumer? OEM stands for "Original Equipment Manufacturer", and those are the folks like Dell and HP and Sony and others who manufacture computers. OEM Software is the software that they install on your machine, or provide with the machine, when you purchase it new. How, then, can one buy OEM Software without purchasing a machine? That, my friend, is exactly the issue. • If you've purchased a machine lately, there's a lot of software already installed on the machine. A good manufacturer will also provide you with the CD-ROMs containing that software, so that you can re-install it should you need to reformat or otherwise repair your machine. OEM Versions of software are provided by the software vendors, like Microsoft, to manufacturers for mass distribution on new hardware. Sometimes there's nothing different between an OEM version of Windows and its retail counterpart. More often, though, the hardware manufacturer will customize the operating system such that in installs drives for their specific hardware, displays their logo on boot, or other things relating to that specific manufacturer. OEM versions of applications, such as Microsoft Office for example, are typically pretty much identical to the box you might pick up on a store shelf. Folks attempting to sell OEM version of software are typically sell the backup CD-ROMs that came with machines they've purchased. They've backed up their machine in some other way, or perhaps duplicated the CDs for their own use, and are taking the "official" OEM CDs and offering them for sale. "Folks attempting to sell OEM version of software are
typically sell the backup CD-ROMs that came with machines they've
purchased."
The problem is simple: OEM software almost always includes licensing language along these lines: "For distribution with a new personal computer only. This software may not be sold independently." Pretty clear, eh? Reselling the software that came with your computer is a violation of the software vendor's terms. In other words, it's illegal. Another potential problem is that what's advertised as OEM software isn't that at all - it's simply illegal pirated copies of the software. The OEM term is used simply to attempt to "legitimize" the deeply discounted price. Now, unless you yourself are building a business attempting to sell OEM software illegally, you're probably not going to get a visit from the police about this. But you could run into some very serious issues down the road. Specifically: you may not be able to update your software. Microsoft, in particular, has been slowly ramping up their enforcement of software legitimacy. That means that if the software you're running is determined to be an OEM version that's been compromised and purchased illegally (typically determined by the product key being used by many more people than there were machines shipped with that key), you may be denied product updates, including serious security patches, until you legalize your copy. (Which is typically as simple as purchasing a retail copy and installing that on top of your existing copy.) So my advice is simple: buy retail. Definitely go bargain hunting, but as soon as you see "OEM", run away. Buy from a legitimate retailer instead. Related:
Article 10418 | Posted June 17, 2006 |
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I have to differ with you. There are definitely legit OEM vendors out there, and the way you can tell that is simple: they will ask you to choose a small computer-related item you want with your purchase of the OEM software. They do that, with the full knowledge of the software manufacturers, so that they are not in violation of any licenses: They throw in an el cheapo mouse that can be considered "computer hardware" and everyone is happy. So yes, be cautious, but no need to freak if you need to buy cheap... just be smart about it.
Posted by: Rick at September 22, 2006 01:29 PMMicrosoft changed the requirements for OEM software. It now has to be purchased with a full system, or by a system builder, and if you build your own systems, guess what MS considers you a system builder.
Posted by: Joe at September 25, 2006 11:18 AMThe fact that they throw in a cheap mouse with the OEM software just to make sure that they "sell it with hardware" means nothing. It's not meant to circumvent the law or any license agreement, it's meant to fool you into believing that you are doing a legit buy. You're not.
Many of the "OEM softwares" you see advertised isn't OEM at all, it's pirated. Adobe, as an example, has never even offered an OEM version of Photoshop, still you can buy it "OEM" at hundreds of sites. What does that tell you?
Posted by: Per at September 29, 2006 06:14 AMUhhh.. Adobe sells OEM/customized software to MANY hardware manufacturers -- camcorders, cameras, scanners, etc. all come with Adobe/OEM software. It's clearly marked "OEM" (not for resale), and in many cases, has programming to prevent use on non-authorized hardware.
So Adobe, like every other software vendor on the planet, sells variations on their core retail-product direct to other businesses/vendors. They even sell an "academic edition" for registered student/faculty at participating colleges/universities. (The software is identical to the commercial retail version, but the end-user license agreement is of course totally different, 'confined' for academic use.)
Posted by: hmmhmhmh at October 30, 2006 08:45 PMCheck this out. All the big boys including BT (Dabs) are selling illegal OEM Software. Without any Hardware thrown in.
Posted by: Toey at December 11, 2006 10:44 AMhttp://www.bizrate.co.uk/operatingsystems/products__keyword--oem+software.html
I got burned. Purchased Windows XP SP2 with Vista upgrade from Dabs for around £70 and it won't activate. Microsoft just say they shouldn't be doing it. Buyer beware.
How can I tell if I purchased the retail version or OEM version? I'm guessing that I purchased the retail version, but now I am confused. I have installed MS Office Pro 2003 on my PC and now I want to put it on a personal pc too. Is this ok?
Posted by: rookie at July 25, 2007 04:06 AMThe issue here is not "OEM" of itself. The deeper, underlying issue is real simple--that of "The Doctrine of First Sale". Which plainly says that the first, unrestricted sale of a patented item eliminates any cause for which relief can be granted on behalf of any patent owner in litigation proceedings. See below:
http://en.wikipedia.org/wiki/First-sale_doctrine_(patent)
In short, if I buy a car from ABC manufacturer, I can in turn sell it for whatever price I choose to whatever buyer I choose. Still more, the purchaser has done nothing illegal in buying this vehicle from me.
Legal? YES. Ethical? YOU DECIDE.
Concerning "OEM" software as such (by its most widely accepted and accurate definition), Leo is right.
Having said this (and I am NOT giving advice, here), it would be better for these wise asses to admit that they are taking advantage of the Doctrine of First Sale, than deceiving the buying public with any other perception.
Regarding the difference between "the law" and "the license agreement", any first year law student can tell you that if something isn't provided for in the law, it doesn't matter HOW much ink you waste in writing your EULA.
Rather, what is at issue is that (despite the possible illegality of a EULA)one has no protection against an elaborate--albeit illegal--EULA if, despite the illegality, they STILL agree to it. In this case, you are ethically BOUND to abide by what you agreed to.
Again, however, there is that "sticky" issue of the difference between "legal" and "ethical" and the courts generally make this distinction quite clear by siding with the "disadvantaged" end user.
Usually, the courts will say that it is of no consequence that Mrs. Bonnie Bushka agreed to the EULA, despite her enthusiastic clicking of the "I ACCEPT" button. The thinking of the law is that Mrs. Bushka is in an "unfair bargaining position" being faced with the horrible consequence of not being able to use the "industry-leading" software she purchased, while being effectively unable to find a reasonable alternative to, let's say, Adobe Photoshop.
In this instance, Mrs. Bushka was therefore (and under great duress) compelled to agree with something she would not otherwise have agreed with. Ergo, the technical "legality" of her electronically stated agreement to the EULA is overshadowed by the "unethical", unfair bargaining posture Adobe allegedly enjoys in such matters.
I own an ad agency and we deal with this type of thing every day. It is amazing what you can find out if you just READ.
Thanks and Great Topic, Leo. This is my first time in your forum and I really enjoyed the reading!
Posted by: Archangelo at October 15, 2007 07:21 PMSounds kinda tricky but if you read Micorsoft's EULA its states:
Old License--
A System Builder is anyone who builds, rebuilds, or installs software on a new or used PC. By opening this package, the System Builder accepts all the terms of this license. If you don’t open the box, you can distribute it to another system builder. Be sure to read through the license before opening the box. Once the box is opened, the product cannot be returned.
New License--
By opening the package, you accept the license, which allows you to distribute the licenses inside the package with fully assembled computer systems.
Posted by: Daglow at March 19, 2008 06:46 PMA fully assembled computer system consists of at least a CPU, a motherboard, a hard drive, a power supply and a case.
By accepting the license, you agree you are a system builder which is an OEM, an assembler, refurbisher, or pre-installer of software on computer systems.
Distribution and distribute refer to the point in time when a fully assembled computer system leaves the control of the system builder.
If you do not open the package, you may deliver it to another system builder.
(http://oem.microsoft.com/downloads/licensing/Zoom1-5/ZoomInNew.html)
Hymmm, so as long as it is sealed, unused and unopened you can "deliver" it to anyone installing it on a computer in your country. Otherwise how would HP,Dell, Sony etc...get the software. Here is a fact: the serious price break for MS software is around 10k copies a year and the small system builder probably won't sell that many computers in 10 years. So When you see that copy of Vista Ultimate for 399.00 in the large retail chains and the system builder is selling it for $269.00 who do you think is making the biggest profit? Just remember OEM software has to be sealed! (like in the store)
As for me I dealed once with 'oem' downloaded from www.oemsoftware.cn
Posted by: Ricardo at May 17, 2008 10:42 AMthey were not scammers so I received what expected, but I had to pay much less and I liked it but I didn`t receive any licence (
Daglow, and what about http://oemsoftware.in ?
Posted by: Federick at June 16, 2008 01:45 PMi have a good experience with this oem shop, can I trust it?