Counterfeiters, hackers cost US up to $600 billion a year

February 27, 2017 by Paul Wiseman

Counterfeit goods, software piracy and the theft of trade secrets cost the American economy as much as $600 billion a year, a private watchdog says.

In a report out Monday, the Commission on the Theft of American Intellectual Property says the annual losses range from about $225 billion to $600 billion. The theft of alone costs the United States between $180 billion and $540 billion annually. Counterfeit goods cost the United States $29 billion to $41 billion annual; pirated software costs an additional $18 billion a year.

The findings echo those of the Office of the Director of National Intelligence, which in 2015 pegged the annual cost of economic espionage by computer hacking at $400 billion.

The commission labels China the world's No. 1 culprit. Including Hong Kong, China accounts for 87 percent of seized entering the United States. The report says the Chinese government encourages theft.

The commission is led by former Republican presidential candidate and Utah Gov. Jon Huntsman, who also served as U.S. ambassador to China, and Adm. Dennis Blair, a former director of U.S. national intelligence.

"The vast, illicit transfer of American innovation is one of the most significant economic issues impacting U.S. competitiveness that the nation has not fully addressed," Huntsman said. "It looks to be, must be, a top priority of the new administration."

Explore further: Report urges US to go on offense on China hacking (Update)

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Lischyn
5 / 5 (1) Mar 05, 2017
People who buy counterfeit items or software, most likely would never buy the real thing at the higher prices. When the articles quote a loss of billions of dollars, probably assume that instead of buyers buying counterfeit, would buy the real thing. The loss of sales of the real thing constitutes a loss of billions. But this isn't true.
antialias_physorg
1 / 5 (2) Mar 06, 2017
The US spies on European companies and gives the secrets away to US companies...meanwhile China spies on US companies to give the secrets away to Chinese companies.

The irony in this is somewhat thick.

I guess we (Europeans) should start to spy on Chinese companies to get our stuff back....ah, well...not worth it. A copy of a copy of a copy would just be a bad product.
TheGhostofOtto1923
1 / 5 (1) Mar 06, 2017
The US spies on European companies
Well thats not true

"(Reuters) - Germany's domestic intelligence agency (BfV) has no evidence that the United States carried out industrial espionage in Europe, its chief said on Wednesday.

"Allegations that Germany's BND foreign intelligence agency helped the U.S. National Security Agency (NSA) spy on European firms have put strains on Chancellor Angela Merkel's ruling coalition with the Social Democrats (SPD) and could damage relations with the United States."
cantdrive85
1 / 5 (2) Mar 06, 2017
The US spies on European companies

Why? So we can learn how to skirt laws and cause thousands premature deaths and miscarriages? No, we'll leave that to the Nazis.
antialias_physorg
3 / 5 (2) Mar 07, 2017
The US spies on European companies


Well thats not true


Why? So we can learn how to skirt laws and cause thousands premature deaths and miscarriages?

You may remember something about a guy named Snowden. It was in a couple of papers, you know?
https://arstechni...ligence/

It didn't exactly start with the selectors, either. The spying on german tech companies from US army bases was pretty much an open secret since the 1980's. Anyone can see where the shoehorn antennas are pointed. E.g. if they are pointed (like in Stuttgart) squarely at the headquarters of Porsche then it doesn't take a rocket scientist to figure out that this wasn't in order to spy at the Russkies.

Tech espionage has been going on since the end of WWII. How do you think the US got rich and good at tech? With talent produced by the education system they have? Ya gotta be kiddin'.
TheGhostofOtto1923
not rated yet Mar 07, 2017
spying on german tech companies from US army bases was pretty much an open secret since the 1980's
Despite americaphobes and nutcase conspiracy theorists...

"(Reuters) - Germany's domestic intelligence agency (BfV) has no evidence that the United States carried out industrial espionage in Europe, its chief said on Wednesday.

"Allegations that Germany's BND foreign intelligence agency helped the U.S. National Security Agency (NSA) spy on European firms have put strains on Chancellor Angela Merkel's ruling coalition with the Social Democrats (SPD) and could damage relations with the United States."
Anyone can see where the shoehorn antennas are pointed... at Porsche
Anyone but security at porsche? Jeez maybe some helpful Bürger ought to give them a call. Heads will roll-
cantdrive85
1 / 5 (2) Mar 07, 2017
How do you think the US got rich and good at tech?

Yep, the Nazis, like von Braun. That's not how they got rich though, just ggod at tech. They got rich by using the greatest Ponzi scheme ever introduced by the moneychangers, fractional reserve monetary systems and the Federal Reserve banking system.

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