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PSA: The Computer Maintenance Department Scam Calls

Drew Wilson — Thu, 09 Feb 2012 18:49:55 +0000

Have you been getting those calls from people working in a call center from what sounds like India? You know, those people who claim to be from either the "Computer Maintenance Department" or the "Windows Technical Team" who then instruct you to go to your computer? Tell the select minority of people who would fall for it that these calls are a scam. We here at ZeroPaid did some digging about these calls in a public service effort.

I consider myself to be reasonably savvy when it comes to telemarketers. Whenever they come calling trying to sell me something, I ask them to put me on a do-not-call list. Asking to be put on a do-not-call list is substantially better than simply hanging up on a telemarketer because merely hanging up is technically an invitation to call back later. Most telemarketers have a system in place because it's the law and it's generally good practice. After asking numerous telemarketers to be put on a do-not-call list myself, it seems I have narrowed down the number of telemarketers down to a very select few. Those were the automated calls that ask you to press a number to claim a prize (never do this unless you want to be charged an unknown amount of money), the occasional survey calls and one particularly annoying computer related call. The computer related one comes at around twice a month. The telemarketer in question tells me that he is calling in regards to my computer. After that, he typically instructs me to go to my computer. This is where I get my chance to stop him in his tracks. It took a few attempts, with different marketers, but I managed to obtain two different names from them. They claim to be either from the "Computer Maintenance Department" or the "Windows Technical Team". This alone should be enough to set internal alarms off that this is not a legitimate call. Every time, these people would also tell me that my computer could be infected with harmful viruses and that they are calling to fix the problem. Usually, by this time, I tell them that I want to be put on a do-not-call list. Every time I've requested this, the telemarketer hangs up only to call back weeks later. To me, if these telemarketers are not even operating a do-not-call list, then that's a big warning sign that this is not legitimate. So, armed with who this is, I proceed to exercise my Google-fu to see what these people are all about. Turns out, this scam has been around for years. A user known as lowlanda on a Whirlpool forum posted in 2010 that a similar call was received asking to run some form of uncomprehendable command. In a British forum, there was a similar discussion also in 2010 about this kind of scam. Apparently, one user reported being asked to download a logmein program and was asked to pay £55 to keep Windows activated after obtaining personal information. Similar stories can be found on whocallsme as well. It turns out, this scam was so bad in the UK, police raided several websites associated with this scam. From the Guardian:

The Metropolitan police e-crime unit acted in April to take such sites down. Among those shut was supportonclick.com, registered to Pecon Software, a firm based in Kolkata. The company has now opened another support website, called onlinepccare.com, which is the subject of numerous online complaints about cold calling, "bullying", and claims that the caller is from Windows PC care.

One person recorded his adventure with this kind of scam and posted it to YouTube: There's plenty more information about this scam on digitaltoast. While the post dates clear back to 2009, the comments section points out that this scam is still going on to this day.

Microsoft's Comment

Interested that these scammers say that they are from Microsoft, we actually contacted Microsoft about this. We asked what to look for when it comes to figuring out whether or not the phone call is indeed from Microsoft or not. A Microsoft spokesperson said, "Our advice is simple; treat callers as you would treat strangers in the street – do not disclose personal or sensitive information to anyone you do not know." "Unfortunately this is not the first scam of its kind," the Microsoft spokesperson told ZeroPaid, "and it’s unlikely to be the last. The best way to avoid becoming a victim is by being aware of the threat. Consumers should also ensure the copy of Windows they are running is genuine and fully up to date, while ensuring they have installed legitimate software will guard against viruses, spyware, and other malicious software.”

CRTC's Response and Information on Reporting This Scam

With an official statement from Microsoft saying that this is a scam, ZeroPaid decided to contact the CRTC (Canadian Radio-television and Telecommunications Commission) to ask what options consumers have in terms of reporting such fraudulent phone calls; specifically, what can people do to issue a complaint about this kind of phone scam given that this scam is not compliant with the do-not-call registry. "First," the CRTC told ZeroPaid, "this is a scammer calling you, not a telemarketer. For scams/fraud, I would recommend contacting the Canadian Anti-fraud Centre (Phonebusters)." The CRTC forwarded us some links about reporting this scam and how this scam has really taken off in Canada in recent months. One link was to a press release by the RCMP detailing the scam:

OTTAWA - September 29, 2011 - The Royal Canadian Mounted Police (RCMP) and their partners at the Canadian Anti Fraud Centre (CAFC) are warning that if someone calls you claiming to be able to protect your computer from viruses, your best bet is to just hang up the phone. Don’t give the caller your computer access codes and don’t provide your credit card information. The virus scam has grown to epidemic proportions in Canada, now accounting for between 70 and 80 per cent of frauds reported daily to the CAFC. “We began noticing virus scam calls in March 2010. Since then, they’ve become an increasing proportion of our calls. Now, they’re the scam we deal with most often,” said RCMP Sgt. Paul Proulx of the CAFC. This dramatic increase means the scam is working – more and more Canadians are being targeted by the virus scam. Proulx warns, "If a scammer is able to log on to your computer then he has access to all the personal information you have stored there, including your banking information.” Here’s a typical scenario: a caller, often claiming to work for Microsoft or another reputable software company, will cold-call you and ask if your computer is running slowly or not working as it should. He will then offer to repair your computer via internet access, which can involve either software installation or the caller gaining remote control of your computer after you’ve granted him access. Payment for the software or the repair service is handled via your credit card with charges typically ranging from $35 to $470 per call. Allowing a third party to download software or remotely access your computer carries a number of serious risks. Malicious software can be installed to capture sensitive data such as your online banking user names and passwords, bank account information and your personal identity information. All of this information can be used in subsequent frauds that empty your bank accounts and charge your credit cards. Your computer can also be converted to a bot-net, which means criminals can use it without your knowledge or participation. It can then be used to spam other people, spread viruses to your friends or overload computer networks. Getting your credit card information is the second important part of the virus scam. Once a criminal has that information it can be used to make purchases without your consent. Canadians should be aware that not all virus scams are conducted over the phone. Many CAFC callers report being scammed after responding to internet pop-up ads for anti-virus software. Sgt. Proulx offers this simple advice: “If you’re really worried about viruses on your computer, be pro-active and use anti-virus software that you've acquired from reputable sources and keep it up to date. If someone calls you out of the blue offering to provide this kind of help, it’s probably a scam. Remember, it's not rude to hang up on someone who's trying to steal your money and information.” "When it comes to cyber security, we all have a role to play," said Public Safety Minister Vic Toews. "Canada's Cyber Security Strategy is the Government's plan to help secure Canada's vital cyber systems and help Canadians protect themselves, their families and their personal information online." Please visit the Canadian Anti Fraud Centre’s new website for the latest on emerging fraud trends, advice on protecting yourself and victim’s guides that will help you recover from fraud loss: www.antifraudcentre.ca. For more information on the Government of Canada's Cyber Security Strategy: www.publicsafety.gc.ca/cyber Fraud: Recognize It, Report It, Stop It.

A second link the CRTC sent us was to a page detailing how you can report a scam call:

If you have not lost any money and have not provided personal or financial information (relating to a fraud or scam), and you simply want to inform the appropriate organizations, report it to the Canadian Anti-fraud Centre by calling 1-888-495-8501 If you received a fraudulent e-mail soliciting personal or financial information (phishing scam), you should also advise the financial institution or other agency whose name was used. If you are a victim of fraud or if you unwittingly provided personal or financial information (identity fraud), follow the steps in our Victim Assistance Guide. If you are a victim of fraud and it is not related to identity fraud, contact the police service of jurisdiction in your area. Always report fraud to the Canadian Anti-Fraud Centre at info@antifraudcentre.ca or by dialing 1-888-495-8501 or on-line by visiting the CAFC website.

The third link the CRTC sent us was to the Canadian Anti-Fraud Center which contains a lot of information about how you can report scams over the phone and about recent phone scams which includes this particular one. "If, however," the CRTC told ZeroPaid, "a legitimate telemarketer calls you and breaks the DNCL rules – you can make a complaint either online or by phone. To file a complaint you need: 1. Your phone number (where the call was received) 2. The name or phone number of the telemarketer 3. The date you received the call To make a complaint online go to: lnnte-dncl.gc.ca" Note that the phone scam discussed is not a legitimate telemarketer, so if you get the computer viruses phone scam, this is best directed at the Canadian Anti-fraud Center and the RCMP. We here at ZeroPaid hope that this is valuable and informative information on this scam and how you can report it. Feel free to also discuss this scam or other phone scams in the comment section below. Note that the above information on reporting this scam is directed at Canadians. If you do not live in Canada or the UK and receive these calls, please feel free to let us know in the comments section below as we are only aware of this scam being active in the UK and in Canada. Have a tip? Want to contact the author? You can do so by sending a PM via the forums or via e-mail at drew@zeropaid.com.

Microsoft Acquires Skype, Plans to Support Xbox, Kinect

Jared Moya — Tue, 10 May 2011 17:01:14 +0000

Skype will support Microsoft devices like Xbox and Kinect, Windows Phone and a variety of Windows devices. Microsoft will also connect Skype users with Lync, Outlook, Xbox Live and other communities.

Today Microsoft Corp. announced it acquired Skype Global for $8.5 billion in a deal that will help Microsoft vastly improve communications between its networked platforms. "The acquisition will increase the accessibility of real-time video and voice communications, bringing benefits to both consumers and enterprise users and generating significant new business and revenue opportunities," the company says in a press release. "The combination will extend Skype’s world-class brand and the reach of its networked platform, while enhancing Microsoft’s existing portfolio of real-time communications products and services." One of the myriad of problems for Microsoft has been an inability to stave off competition from Google and Apple with their GTalk and Facetime video chat features. Bringing Skype on board gives an immediate, and hefty boost in that effort. Skype will support Microsoft devices like Xbox and Kinect, Windows Phone and a variety of Windows devices. Microsoft will also connect Skype users with Lync, Outlook, Xbox Live and other communities. “Together we will create the future of real-time communications so people can easily stay connected to family, friends, clients and colleagues anywhere in the world," said Microsoft CEO Steve Ballmer. Skype was purchased by eBay back in September 2005, but eBay never managed to really find a meaningful synergy with the company. “Microsoft and Skype share the vision of bringing software innovation and products to our customers,” said Skype CEO Tony Bates. “Together, we will be able to accelerate Skype's plans to extend our global community and introduce new ways for everyone to communicate and collaborate." Stay tuned. jared@zeropaid.com

REPORT: Solution to Piracy is Lower Prices

Jared Moya — Mon, 14 Mar 2011 03:52:14 +0000

Media Piracy in Emerging Economies argues that piracy can best be seen as a "failure of affordable access." Says that in countries like Brazil, Russia, or South Africa retail price of a CD or DVD, relative to local incomes, is five to ten times higher than in the US or Europe.

Part of the problem with piracy is that it's a marketplace solution to poor pricing points by legal manufacturers, and can't be remedied unless their lowered to take into account geographic economic realities. For example, Apple’s iTunes is a global digital music retailer, yet charges customers the same price for content regardless of where they live and what they can actually afford. The solution for some people around the world has been to either use unlicensed MP3 retailers or resort to the use of illicit P2P applications and services. A song may only cost 99 cents, but in some countries 99 cents is a days wages. The Social Science Research Council (SSRC), a U.S.-based independent nonprofit organization, has released a report entitled Media Piracy in Emerging Economies that it calls the "first independent, large-scale study of music, film and software piracy in emerging economies, with a focus on Brazil, India, Russia, South Africa, Mexico and Bolivia." The report was conducted over a three year period by some 35 researchers and came to some rather conventional conclusions.

1. Prices Too high.

The report says that high prices for media goods, combined with low incomes, and relatively cheap digital technologies are the main ingredients of global media piracy. "Relative to local incomes in Brazil, Russia, or South Africa, the retail price of a CD, DVD, or copy of MS Office is five to ten times higher than in the US or Europe," it says. "Legal media markets are correspondingly tiny and underdeveloped." Some software developers have figured this out and have adjusted prices accordingly. Last year I mentioned how Microsoft and Autodesk had quietly dropped their retail prices in China after apparently realizing that it doesn;t make sense to charge nearly US-style prices in a country with a paltry per capita GDP of $6,600 compared to $46,000 in the US. In both cases sales rose dramatically.

2. Anti-piracy Education a Failure

The authors discovered that there was "no significant stigma attached to piracy in any of the countries examined. Rather, piracy is part of the daily media practices of large and growing portions of the population." Can you blame them? If you're making $1 per day and a company tries to charge you $20 for a legal DVD is anybody really going to criticize you for buying a bootleg version for pennies on the dollar?

3. Law Enforcement Won't Work

This is where it gets really interesting. The report acknowledges that piracy, particularly noncommercial piracy, is a problem that can't realistically be solved "There is," the authors argue, "no realistic way to reconcile mass enforcement and due process, especially in countries with severely overburdened legal systems." When it comes to noncommercial P2P even criminals that specialize in physical piracy can't compete. In fact, contrary to copyright holder claims, the researchers found "no systematic links between media piracy and organized crime or terrorism in any of the countries examined." "Today, commercial pirates and transnational smugglers face the same dilemma as the legal industry: how to compete with free," notes the report. Moreover, the researchers found that despite a decades-worth of ramped up law enforcement efforts the overall supply of pirated goods has remained constant. Pirated goods are just as available as they were before. Regional pricing has been a concern for countries for some time now. The year before last Brazil and Pakistan criticized the US for not realizing that each country has a different economic reality and that pricing should be adjusted accordingly. “Quite clearly, business models are not adequately addressing the pricing-cost issues involved in selling products,” said Ali Asad Gilani, first secretary of Pakistan’s delegation, at a meeting of the World Intellectual Property Organization last November. “Unreasonably, higher costs along with barriers to access, do provide some justification to the consumers to use counterfeit and pirated goods.” It seems the researchers behind Media Piracy in Emerging Economies would agree. Stay tuned. jared@zeropaid.com

Software Developers Try Lower Prices to Fight Chinese Pirates

Jared Moya — Tue, 26 Oct 2010 21:21:17 +0000

Some finally realize it doesn't make sense to charge nearly US-style prices in a country with a paltry per capita GDP of $6,600 compared to $46,000 in the US.

The one of the more nerve wracking facets of the war on piracy has long been copyright holders' insistence on charging prices in a given country that has no bearing in economic reality. For example, Apple's iTunes is a global digital music retailer, yet charges customers the same prices regardless of where they live and what they can actually afford. The people of Malawi, which has a per capita GDP of $800, are expected to pony up just as much as the guy from the US where the per capita GDP is $46,000. It's the reason why so many people in foreign countries turn to piracy to acquire content, and makes copyright holder claims that piracy causes hundreds of billions of dollars in lost overseas profits seem all the more irrational. It isn't a "lost sale" when the choice is between the bare necessities and the latest Lady Gaga album. Pricing is the key to fighting piracy, and according to the Wall Street Journal, a number of software companies, Microsoft and Autodesk in particular, have finally figured this out. For example, the price for Autodesk's AutoCAD 2011 program begins at $3,975 in the US. The prices it used to charge in China were about 20% to 30% less, but even at $2782.50 for AutoCAD 2011 (30% off) piracy was still a far more attractive option. So this past July Autodesk decided to make them 50% less than those in the US, and its sales more than doubled. Microsoft used to think there was no way to compete with street vendors peddling copies of its popular operating systems for as little as a dollar or two, but after dropping prices for a stand-alone version of Windows 7 Home Basic to about $59, compared to $nearly $200 in the US, it "definitely" saw added sales. "When you have a lower price your margin gets squeezed," said Simon Leung, Microsoft's chief executive for greater China. "But "we have so much room to improve, so the volume will make it up." Regional pricing has been a concern for countries for some time now, especially as US copyright holders make piracy an issue year after year. Last year Brazil and Pakistan criticized the US for not realizing that each country has a different economic reality and that pricing should be adjusted accordingly. “Quite clearly, business models are not adequately addressing the pricing-cost issues involved in selling products,” said Ali Asad Gilani, first secretary of Pakistan’s delegation, at a meeting of the World Intellectual Property Organization last November. “Unreasonably, higher costs along with barriers to access, do provide some justification to the consumers to use counterfeit and pirated goods.” With almost half the world - over 3 billion people - living on less than $2.50 a day, it's hard to disagree. Stay tuned. jared@zeropaid.com

Halo Leaked on BitTorrent

Jared Moya — Tue, 24 Aug 2010 08:53:22 +0000

The newest version of 'Halo Reach' has been leaked on many BitTorrent trackers. Hackers find a way to trick Microsoft's Xbox Live servers into allowing the game to be downloaded without a personal journalist review code. Leak comes more than 3 weeks before its official September 14th release date.

It seems as though copies of Halo: Reach, the hotly-anticipated multi-player shooter, has made its way to BitTorrent tracker sites everywhere reportedly thanks to eager fans at Game-Tuts.com. The hackers there were able to make their way into a private area of the Microsoft Xbox Live site where journalists enter a unique personal code to access the game. The hackers were able to bypass that requirement. "We are aware of claims being made regarding a security exploit related to Halo: Reach and are aggressively investigating the matter," said a Microsoft spokesperson. "We have no further details to share at this time." Halo: Reach follows in the same footseteps of Halo 2 and 3 before it, both making its way into the hands of fans before the official release date. The Halo: Reach leak comes more than 3 weeks before its official September 14th release date. The game's developer Bungie has urging anyone involved in the leak not to ruin it for everyone else by posting any plot spoilers online, and has even gone as far to recommend that hardcore fans "go dark" and stay away from the Internet altogether. "Posting to DISCUSS, REQUEST, PROVIDE, TELL HOW TO OBTAIN, or LINK TO information or campaign spoilers from illegitimately obtained sources -- including illegitimately obtained copies of Halo: Reach -- before the game is officially released will be considered a leak and will be treated as such," reads a message posted on its forums. “The moderation team is doing their best, but if you want to stay 100% spoiler free, our best advice is to "go dark" by staying off all internet gaming forums until you have played through the game!” Stay tuned. jared@zeropaid.com

Report – Windows 7 is ‘Practically Made for Pirates’

Drew Wilson — Fri, 21 Aug 2009 03:39:45 +0000

We’re not entirely sure who would be more upset, copyright holders who have been desperately trying to install a three strikes regime everywhere in the world or Microsoft after they receive a lawsuit from those same copyright holders. It’s unlikely that, in the face of the MGM vs. Grokster case, that Microsoft will exactly be showing off this aspect of the soon-to-be released OS.

There’s been the odd rumour here and there that Microsoft is colluding with copyright holders from time to time. One rumour suggested that Longhorn, now known as Vista, would not play unlicensed content. Of course, rumours like that eventually fell apart sometime during the release of the OS. This is what makes the notion that Windows 7 is designed for piracy.

The report comes from Wired via CNN where the author put together 7 reasons to use Windows 7. One of the reasons to switch to Windows 7? Piracy will now be a breeze:

Yarr! We know there are plenty of you out there downloading pirated digital booty, especially in Windows land. But it’s never been convenient to be a pirate compared with being a paying customer. For example, if you’re a legitimate buyer purchasing movies off iTunes, you can easily stream your media to your legitimately purchased Apple TV. If you’re a pirate, you’d have to go through roundabout programs and hardware to re-create the experience.

Windows 7 is an OS practically made for pirates. Want to display your movies, photos or music on your TV? Bam! Windows Media Player will do that out of the box if you have a Wi-Fi enabled TV, or an Xbox. No extra programs to install: Windows Media Player seamlessly communicates with your Wi-Fi device to display your illegal content in all its glory on your fancy HD TV.

And sharing media is easy, too. Want to download all of your brother’s music? Bam! HomeGroup, an easy networking feature included in Windows 7, will make that super easy between computers running the OS. Immediately upon plugging in to your network with Ethernet or Wi-Fi, HomeGroup will ask if you wish to join the group on the network, allowing you to set up easy file sharing in minutes.

It’s more than likely that this reason is a little tongue and cheek, though it’s doubtful groups like the RIAA would be laughing. Still, some Windows supporters in the past have suggested that Microsoft continues to dominate in the OS market, in part, thanks to not actually proving the rumours that there would be a form of trusted computing that would quash all forms of unauthorized content.

It’s unclear how Microsoft would actually handle the label of Windows 7 as being a Piracy Operating System, but content being shared between computers isn’t an entirely new thing for Windows given the shared directory has been part of a Microsoft Operating System for quite some time now – not to mention the whole concept of networking computing.

Regardless, it’s hard not to see the humour in the idea that Windows is “made for pirates”. We can already see the sales being higher than expected already.

Have a tip? Want to contact the author? You can do so by sending a PM via the forums or via e-mail at drew@zeropaid.com.

Study: Windows costs $21.50 extra in “patent tax”

Jared Moya — Wed, 18 Apr 2007 18:36:57 +0000

According to a calculation done by the Software Freedom Law Center (SFLA), users of Microsoft Windows are paying as much as $21.50 more for each copy of the operating system they buy, thanks to the so-called “patent tax” that Microsoft is forced to pay to various companies that hold software patents.
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The calculation is based on Microsoft’s public statements that the company pays over $100 million each year in legal fees alone to protect itself from some 35 to 40 patent lawsuits. Recently, Microsoft has forked over significant sums to other technology companies to settle patent disputes: $1.25 billion to Sun, $536 million to Novell, and $1.52 billion to Alcatel-Lucent are just some examples. The total payouts over the last three years add up to more than $4 billion dollars.

SFLA took the total of $4.3 billion dollars in legal costs for Microsoft from 2001 to 2004 and divided it by estimated sales of Windows XP over the same period—approximately 200 million copies—to come up with the $21.50 estimate. The organization added that North American and European customers, who pay more for Windows licenses than customers in other parts of the world, actually ended up paying more of this “patent tax,” and that people who pirate Windows pass their share of the tax on to paying customers.

The study concludes by pointing out that Linux, as a free and open-sourced operating system, has no “patent tax” at all, and suggests that this be taken into consideration when choosing operating systems for deployment in places such as schools.

‘Microsoft sucks’, says top blogger

Jared Moya — Mon, 19 Mar 2007 16:06:54 +0000

MICROSOFT’s formerly tame blogger has bitten the software company that made his name when it employed him as a “technology evangelist”.

Robert Scoble writes the Scobleizer web log, one of the most-read sources of technology commentary on the internet.

He owes his status to the three years he spent at Microsoft, where he was given free rein to comment on the company’s affairs from the inside. The Economist magazine has credited Scoble with playing a significant role in softening the software giant’s former reputation for monopolistic bullying.

In the past, Scoble has tended to be sympathetic about Microsoft’s failings. However, he was provoked into stinging criticism last week after a series of triumphalist remarks, including some disparaging comments about Google made by Steve Ballmer, Microsoft’s chief executive.

At a “global summit” of its most-valued software developers, Microsoft repeatedly declared that it would “win” in search and other parts of its Windows Live internet strategy.

READ REST OF ARTICLE….

SOULXTC: “walkin’ the streets of P2P”

Gates sees a home server in your future

Jared Moya — Mon, 08 Jan 2007 21:55:08 +0000

Having helped get PCs into most American’s homes, Bill Gates now wants people to bring in a server.

As part of his keynote address Sunday at the annual Consumer Electronics Show, Gates is showing off Windows Home Server–a consumer device to serve as a central storage place for digital photos, music and other media. The first products are due out later this year from Hewlett-Packard and others. The goal is to get devices that can cost less than $500.

In the first of a two-part interview, Microsoft’s chairman talks with CNET News.com about why the average person wants a server, why they won’t need a degree in computer science to run it and what hurdles remain before consumers reach the true digital home.
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Coming Monday, in part two, Gates talks about the changes that are coming with Windows Vista, the legacy of Windows XP and what he has planned for the next makeover of his own digital living room.

Why Vista might be the last of its kind

Jared Moya — Tue, 05 Dec 2006 16:49:47 +0000

Imagine this: ne of the world’s most powerful monopolies puts 10,000 people to work for five years to create one new product, and nobody is really sure if anyone wants it. How’s that for a gamble?

That’s what we have with Windows Vista, the new computer-operating system from Microsoft that debuted last week for businesses and, next month, for consumers. There has been so much buildup for this moment that you would expect Vista to cure cancer.

It’s been so long in coming that I’ll just be happy if it does the job and doesn’t present me with a daily dose of the Blue Screen of Death. Already experts are predicting Vista may be the last of its kind. Obsolete before it’s out the door? Geez, we haven’t even had a chance to open our wallets yet.

“Suddenly, the market changed and competitors started delivering technology at the speed of the Internet,” said James McQuivey, professor of market research at Boston University. “In some cases, they do it for free, and that’s painful for Microsoft.”