Vegas Pro 18 DRM Due to Price Error

[Roman_Legion]

Summary
Vegas Pro Edit 18 Steam edition was on sale for ARS$14.07 (USD$0.19) in Argentina. As a result, It was removed from the steam marketplace. In the days that followed, users of this steam edition receive a fatal error upon importing or rendering and video source (Error -17). Error -17 is normally a DRM error for Vegas pro, and in the Vegas forums the response from moderators is to ask for a Steam refund and repurchase at the new listing price from their website.

 

 

Quotes

 

Quote

The only solution for you at this point as we work this out is to ask Steam for a refund and to either repurchase the product from us directly( or through another trusted vendor) or wait until we make it available again on Steam. -VEGASDerek @ Vegas Creative Software Forum

 

My thoughts

The program was bought by many Argentine people through Steam, a reputable marketplace that to promote sales in a country famous for its economic instability had made a regional price bubble, where programs and games where normally available at a decreased price than in other parts of the world. In the event of the mistake by either Steam or Magix, the program was removed temporarily and re-uploaded with an elevated price, but instead of sucking it up, Magix requested that it be removed again and has classified the purchased steam version as pirated software. It is illegal in many countries, and its bad business practice.

 

Sources

https://www.iproup.com/economia-digital/16488-vegas-pro-18-a-14-pesos-las-redes-estallaron-con-el-error-de-steam

https://www.pagina12.com.ar/289757-diseno-steam-se-equivoco-y-puso-el-vegas-pro-18-a-solo-14-pe

https://www.reddit.com/r/Steam/comments/imputi/vegas_pro_is_is_blocking_the_program_of_those_who/

https://www.vegascreativesoftware.info/us/forum/vegas-pro-18-error-code-17--123621/?page=2#ca769832

https://store.steampowered.com/app/1325400/VEGAS_Pro_18_Edit_Steam_Edition/

[Vishera]

19 minutes ago, Roman_Legion said:

 

Seems like they are trying to sort it out with steam,i would wait for 2 weeks and then request a refund.

[TetraSky]

Surely that price was an error and they just revoked all the keys before contacting Steam to get them to issue refunds to the people who "bought" it. Even more so considering the software itself normally cost $799.

No way Steam or Magix would ever absorb that massive of a cost for everyone who got it for peanuts. If a thousand people got it for that price, that's nearly a million dollars (800k) in loss revenue. 

 

Edit : Yes I get it, you all have very strong opinions on potential loss, no need to quote me on that anymore. But like I've posted further below, the majority of payment processors ask for a % + a flat fee per transactions. This is standard. So they more than likely did, in fact, lost actual money here, even if the inventory that they "lost" was digital goods (and beside, with "licenses" these days, you don't own anything. They've proved just that by disabling the licenses of everyone who got it for that price on Steam). Maybe not a million dollars. But easily a couple tens, hundreds or thousands depending on the number of people who got it at that price. We don't know how many there are. Yes it's basically nothing to them. But a loss is a loss. No one would happily take it.

[TempestCatto]

I got mine for free

[Rune]

Oof. Sounds like they should bite the bullet and move on. Companies honor pricing errors all the time. Not good press.

[TempestCatto]

2 minutes ago, Rune said:

Oof. Sounds like they should bite the bullet and move on. Companies honor pricing errors all the time. Not good press.

 

I quote @TetraSky :

Quote

No way Steam or Magix would ever absorb that massive of a cost for everyone who got it for peanuts. If a thousand people got it for that price, that's nearly a million dollar (800k) in loss revenue.

 

It's not about press or public face here. It's about trying to not go bankrupt.

[WereCatf]

39 minutes ago, Roman_Legion said:

the program was removed temporarily and re-uploaded with an elevated price, but instead of sucking it up, Magix requested that it be removed again and has classified the purchased steam version as pirated software

That is a massively dick move. If you've sold your stuff to someone cheaper than you were supposed to, that is your fucking mistake and you should suck it up instead of punishing the buyers; they didn't do anything wrong and deserve no punishment.

[WereCatf]

2 minutes ago, TempestCatto said:

It's not about press or public face here. It's about trying to not go bankrupt.

Is there any evidence that they would go bankrupt, if they did honour the purchases? I certainly cannot find such.

[Rune]

4 minutes ago, TempestCatto said:

 

I quote @TetraSky :

 

It's not about press or public face here. It's about trying to not go bankrupt.

They aren't shipping product anywhere. What is lost if these people were never going to buy anything in the first place? Common knowledge adobe turns a fairly blind eye to older versions being pirated because people learn on them, then in the workplace pay for full licenses of up to date product. Can't imagine Sony is too far different.

[TetraSky]

14 minutes ago, Rune said:

What is lost if these people were never going to buy anything in the first place?

Because for the cost they got it for, it is even cheaper than what the payment processors would be asking to be paid for each transactions. Which can be something like 2.9% of the total cost... + 30¢. The fact this "sold" for under 30¢, means they are literally costing Steam/Magix money. So yes, they are losing money there (even if it isn't a lot).

 

And sure, you can argue that the majority wouldn't have bought it full price. But if even a single person bought it, they would've made a hell of a lot more money than they did by losing money here. It's bad business to be giving away your newest products like that. Especially to people who may expect customer supports one day just because "they bought it". The employees who would answer them will need to be paid.

[TrainFan475]

1 hour ago, TempestCatto said:

I got mine for free

how

[trag1c]

Tbh I think that it was the correct move because there are very large costs with developing software like that. You have development teams where many people are making between 80K USD to 400K USD or more depending on your position. If you have a 100 person development team making an average 100K that costs 40K and change per business day just for development team costs. That doesn't include any outgoings like lease payments, data center services, IT, product support, property maintenance, HR, taxes etc. So for them just give away numerous copies like that is untenable from a business standpoint because that could easily sink you. 

 

The other thing is that you licensing a software which can be revoked at any point and for basically any reason. At the end of the day you don't own anything you only have a non negotiable agreement with the developer and/or publisher.

[TrainFan475]

⠀

[CarlBar]

4 hours ago, TetraSky said:

Surely that price was an error and they just revoked all the keys before contacting Steam to get them to issue refunds to the people who "bought" it. Even more so considering the software itself normally cost $799.

No way Steam or Magix would ever absorb that massive of a cost for everyone who got it for peanuts. If a thousand people got it for that price, that's nearly a million dollar (800k) in loss revenue. 

 

In Europe at least they wouldn't have a choice. You miss-price somthing, you have to honour the sale. Refusing is illegal.

[SpaceGhostC2C]

6 hours ago, Roman_Legion said:

In the event of the mistake by either Steam or Magix, the program was removed temporarily and re-uploaded with an elevated price, but instead of sucking it up, Magix requested that it be removed again and has classified the purchased steam version as pirated software. It is illegal in many countries, and its bad business practice. 

Someone needs to tell Steam/Magix: pelito pa' la vieja!

 

[Kisai]

6 hours ago, TetraSky said:

Surely that price was an error and they just revoked all the keys before contacting Steam to get them to issue refunds to the people who "bought" it. Even more so considering the software itself normally cost $799.

No way Steam or Magix would ever absorb that massive of a cost for everyone who got it for peanuts. If a thousand people got it for that price, that's nearly a million dollar (800k) in loss revenue. 

*chuckle*

 

I originally got it in a humble bundle. "HUMBLE SOFTWARE BUNDLE: VEGAS PRO: DISCOVER CREATIVE FREEDOM", for $20, but it was version 14, about two years ago. 

 

Don't confuse a paper loss for a physical one. They can, and have, discounted their software to peanuts before.

 

[Moonzy]

6 hours ago, WereCatf said:

they didn't do anything wrong and deserve no punishment.

both the company and consumer are at a wrong here

pricing errors do occur, and company is at fault for it

but consumer who abuses it and buy it knowingly is also at fault, morally speaking

[Master Disaster]

3 hours ago, CarlBar said:

 

In Europe at least they wouldn't have a choice. You miss-price somthing, you have to honour the sale. Refusing is illegal.

Nah, that's a myth. EU law states that as long as it was a genuine mistake they are under no obligation to honour it.

 

https://www.eccireland.ie/ecc-ireland-pricing-error-rights/

[WereCatf]

2 hours ago, Kisai said:

I originally got it in a humble bundle. "HUMBLE SOFTWARE BUNDLE: VEGAS PRO: DISCOVER CREATIVE FREEDOM", for $20, but it was version 14, about two years ago. 

 

Don't confuse a paper loss for a physical one. They can, and have, discounted their software to peanuts before.

Vegas Pro 15 was also in a Humble Bundle about a year ago, 14 has been multiple times now.

[porina]

10 hours ago, TetraSky said:

If a thousand people got it for that price, that's nearly a million dollar (800k) in loss revenue. 

It wrongly assumes everyone who got the cheap software would have paid full price for it. Not going to happen.

 

9 hours ago, Rune said:

Can't imagine Sony is too far different.

Sony haven't been involved with Vegas in a long time, as they solid it onto Magix.

[AlTech]

9 hours ago, TempestCatto said:

 

I quote @TetraSky :

 

It's not about press or public face here. It's about trying to not go bankrupt.

You make it sounds like it's the consumers fault for buying it.

 

It was Magix's fault for screwing up and bricking the sold units cos they were sold too cheaply is illegal in many countries as OP points out.

[WereCatf]

10 minutes ago, porina said:

It wrongly assumes everyone who got the cheap software would have paid full price for it. Not going to happen.

Indeed! I've always absolutely hated this rhetoric where companies and ignorant people claim that the potential loss of potential revenue is the same thing as the loss of actual revenue. It isn't and it never has been.

[Rohith_Kumar_Sp]

10 hours ago, Roman_Legion said:

 

Sources

https://www.iproup.com/economia-digital/16488-vegas-pro-18-a-14-pesos-las-redes-estallaron-con-el-error-de-steam

https://www.pagina12.com.ar/289757-diseno-steam-se-equivoco-y-puso-el-vegas-pro-18-a-solo-14-pe

https://www.reddit.com/r/Steam/comments/imputi/vegas_pro_is_is_blocking_the_program_of_those_who/

https://www.vegascreativesoftware.info/us/forum/vegas-pro-18-error-code-17--123621/?page=2#ca769832

https://store.steampowered.com/app/1325400/VEGAS_Pro_18_Edit_Steam_Edition/

 

why remove the formatting? 

also the first link lol

 

[Teddy07]

2 hours ago, Master Disaster said:

Nah, that's a myth. EU law states that as long as it was a genuine mistake they are under no obligation to honour it.

I agree
It is defnitely the case before a product has been delivered. I am just not sure if it is still the case once the product has been delivered

[CarlBar]

2 hours ago, Master Disaster said:

Nah, that's a myth. EU law states that as long as it was a genuine mistake they are under no obligation to honour it.

 

https://www.eccireland.ie/ecc-ireland-pricing-error-rights/

 

I thought EU worked the same as the UK on this. Quote from citizens advice, (note this discusses allready bought goods, not pre-sale mistakes which is a myth).

 

If you’ve already bought it

If the shop sold you an item at a lower cost than they meant to, you don’t have to give it back - they’re only legally entitled to ask you for more money if you’d talked about the price (eg £100) and they ended up charging you much less instead (eg £10).

If you realise you’ve paid more for an item than it was advertised for at the time, ask for the shop to refund the difference between what you paid and what was advertised.

Keep any evidence of the mistake, if you can - for example, you could take a photo of the advert in the shop window.