Microsoft allays XP licensing fears

Microsoft has reacted to users' licensing concerns by diluting Product Activation, its anti-piracy technology in Windows XP.

Users will now be able to reconfigure their hardware when they want without having to reactivate Windows XP immediately. Previously, users had to contact Microsoft every time a major hardware change occurred.

Microsoft plans a grace period of about 120 days to allow users to reactivate the software by telephone or via the internet. The technology is already active in Office XP and will be incorporated into Windows XP when it is released in October.

This is the first step Microsoft has taken to allay users' fears about upgrade costs and licensing, said Duncan Reid, UK licensing manager.

The Federation Against Software Theft (Fast) approves of Microsoft's stance on software piracy. Richard Willmott, head of corporate services at Fast, explained that Microsoft's approach is not new to the industry, but will have a big impact on how other vendors tackle software theft and piracy.

"If Skoda changed its colour to electric blue, not everyone would follow. But if Vauxhall and Ford did, every one else on the motorway would. This is because of the attitude corporate workplaces have to Microsoft products," said Willmott.

Microsoft is keen to show the initiative in this area. "We are determined to continue to protect our intellectual property rights and we support any other software vendor which has a similar strategy in place," said Reid.