Microsoft Corporation - Page 31




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         pictures and sound recordings when it enacted section 993(c)(2)(B)           
         (relating to DISCs) in 1971 and section 927(a)(2)(B) (relating to            
         FSC’s) in 1984.  The parenthetical in both sections does not                 
         explicitly refer to computer software masters.                               
              Computer software causes a computer to perform countless                
         functions. Operating systems software makes a general-purpose                
         computer function by controlling (1) the operation of the computer’s         
         hardware components, (2) the execution of applications, (3) the              
         sequencing of tasks, and (4) the flow of information within the              
         computer system.  When combined with data and the hardware                   
         components of a computer system, computer software enables a                 
         computer to enter, store, process, and display information, thereby          
         performing specific tasks.  Without software, computers cannot               
         function.  To illustrate, if an audio CD is placed in the CD drive           
         of a personal computer, it can be played only if a computer program          
         has been loaded into the computer that instructs the computer how to         
         play the CD.  An audio CD does not make the computer function; the           
         computer software does.  Removal of the audio CD does not remove the         
         ability of the computer to play a different audio CD.  Yet if the            
         software is not installed, the audio CD cannot be played.                    
              Unlike software, motion pictures and sound recordings do not            
         cause a computer to function.  They are played on machines designed          
         to  play  them (but  do  not  cause  the  machine   to   function).          








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