Software Copyright Infringement: Mitigating the Threats to IT Security

Unlike media or written works, software copyright infringement often introduces direct cybersecurity and compliance risks because unauthorized software can contain malicious code or lack security updates.

Understanding Software Copyright Infringement

Copyright infringement refers to the unauthorized use of another party’s original intellectual property, which is protected by copyright law. Copyright law grants software developers, publishers, and vendors exclusive rights over their applications, source code, and related components such as APIs, libraries, and compiled executables.

In practice, software infringement often happens when businesses deploy unlicensed or cracked versions of commercial programs—sometimes deliberately to cut costs, sometimes through employees installing unapproved tools. Beyond violating copyright law, this behavior introduces unpatched vulnerabilities and weakens patch management controls.

The consequences can be severe for both individuals and businesses. Infringement denies developers control over distribution and exposes violators to legal action, lost revenue, and court-imposed penalties that can reach hundreds of thousands or even millions of dollars.

Types of Software Copyright Infringement

Software copyright infringement can take several forms depending on how the software is obtained, modified, or shared.

Common examples include:

  • Installing or sharing unlicensed software
  • Distributing cracked or key-generated versions
  • Reverse-engineering proprietary code without consent
  • Violating open-source license terms or redistribution clauses

For instance, using a cracked version of a development suite breaches copyright and often introduces malware that attackers can exploit to gain internal access. Likewise, failing to comply with open-source obligations – such as attribution or license inclusion – can trigger litigation or force the public disclosure of proprietary code.

Read more about examples of infringement

Ways to Mitigate Software Copyright Infringement Threats

Reducing the risk of software copyright infringement requires a coordinated approach that blends compliance, security, and employee accountability.

Regular software license audits verify that every installed application corresponds to a valid purchase or subscription. Automated software asset management (SAM) tools can cross-reference licenses against deployment data and flag anomalies in real time

Employee training is equally important. Sessions should explain licensing models, clarify how to request new tools, and outline the risks of downloading unapproved software. When employees understand that unauthorized installations can lead to both data breaches and legal penalties, they’re more likely to comply.

Together, policy enforcement, continuous monitoring, and education form a sustainable defense against software copyright infringement and its related security threats.

Implementing a Robust IT Security Policy

Granular access controls limit who can install or modify software, while strict privilege management prevents escalation through unauthorized tools. Password rotation policies and endpoint monitoring further reduce the likelihood of illegal installations or misuse.

Educating Employees on Copyright Laws and Best Practices

Training on software licensing and copyright laws prevents accidental violations. Employees must understand how to distinguish licensed, open-source, and pirated programs (and the consequences of bypassing internal approval processes).

Establishing clear software-use guidelines helps employees know how to request and install approved applications. Encouraging prompt reporting of potential violations enables early corrective action and protects the organization from larger liability.

Consistent education fosters a workplace culture that respects intellectual property and prioritizes secure software usage.

Using Copyright Infringement Detection Tools

Using software asset management and compliance tools can help detect unauthorized or pirated applications by scanning corporate networks to identify unlicensed software and track license compliance automatically.

Network monitoring tools can also detect illegal file-sharing activity involving cracked or unlicensed software. Continuous oversight of downloads and endpoint installations helps IT teams act before security incidents occur.

Investigating unauthorized software use through internal audits or external threat intelligence feeds may take time, but it provides valuable insight into potential security and legal exposure.

Partnering with Legal Experts

Hiring an experienced attorney specializing in copyright law is a crucial step in mitigating the risks of copyright infringement for businesses. They can provide guidance on legal compliance, help navigate complex intellectual property laws, and represent the company should any legal action arise.

Consulting with legal experts during policy development, employee training, and incident response planning can also ensure that all measures are legally sound.

In addition to preventative measures, it’s important to evaluate legal options when dealing with repeat offenders or serious violations. This may include pursuing civil litigation or reporting criminal activity to law enforcement agencies.

  • Hire an experienced attorney specializing in copyright law
  • Consult with legal experts during policy development
  • Evaluate legal options for repeat offenders or serious violation

How Bolster Can Help

Bolster’s domain monitoring solutions and other defensive strategies will ensure your company has true domain security. Bolster balances domain acquisition with monitoring to reduce the likelihood of cyberattacks and manage security costs.

Additionally, Bolster will remain proactive and monitor the security threat landscape to keep your domain safeguarded. With Bolster’s help, your brand’s reputation will remain protected.

Request a demo of our domain monitoring software today, or start with a complimentary and customized Domain Risk Report to see what domain risks we detect for your organization.

Also, check out our community tool CheckPhish