Damaged good

In economics, a damaged good (sometimes termed "crippleware" or product with "anti-features") is a good that has been deliberately limited in performance, quality or utility,^[1]^[2]^[3] typically for marketing reasons as part of a strategy of product differentiation.

1 Computer software
2 Computer hardware
3 Digital rights management
4 Cars
5 Anti-features
6 See also
7 References
8 External links

Computer software

Deliberately limited programs are usually freeware versions of computer programs that lack the most advanced (or even crucial) features of the original program. Limited versions are made available in order to increase the popularity of the full program without giving it away free. An example of crippleware is a word processor that cannot save or print. However, crippleware programs can also differentiate between tiers of paying software customers. A well known example is the Microsoft Windows pricing model.

The term "crippleware" is sometimes used to describe software products whose functions have been limited (or "crippled") with the sole purpose of encouraging or requiring the user to pay for those functions (either by paying a one-time fee or an on-going subscription fee).^[4]^[5]^[6]

There are several types of deliberately limited programs:

The full program with the features disabled; this type can be "unlocked" into a fully functional version of the software, usually via a serial number. One such example of this is the Adobe Creative Suite 4 trial downloads.
A special trial version of the program that does not even include the executable code for the disabled features. In this case, only users who buy a licence are given access to another version of the program, which is fully functional. An example of this is NoLimits, which has all the functions of the normal program, but without the ability to save tracks, or import RCT1 tracks, this is not included inside the exe code and requires another version.
The functionality of the software or hardware is permanently compromised from full functionality due to third party agreements. An example is Hulu, which only allows free playback of some content through traditional web browsers on computers.
The vendor includes a clause that features time limits to mar functionality. For example, the freeware version of Fraps has in-game video recording time restricted to 30 seconds, and with a Fraps logo on the video.
Many consumer-end laptop computers are made to support only one version of Microsoft Windows by limiting production of device drivers for that model for only the particular operating system. Often this is done to limit the operating system used on the computer to the one that came packaged with it. Sometimes several versions of a particular laptop model are made with differing amounts of driver support for operating systems, such as in Toshiba Satellite computers.
A handful of Web app developers (H&R Block,^[7] Disney,^[8] and AT&T,^[9] to name a few) tend to use OS autodetection and other tactics to deliberately tie their Web apps to specific operating systems or browsers.^[10]
The program is released under an open core licensing model, wherein a limited feature version is released under an open source software license while a fully featured version is released under a proprietary software license.

To create a limited program usually requires the manufacturer or author to take active steps to reduce the capabilities that the hardware or software could otherwise handle. For example, Windows Vista Starter is restricted to running a maximum of three concurrent applications beyond those specified by Microsoft as basic system requirements.

Computer hardware

This product differentiation strategy has also been used in hardware products:

The Intel 486SX which was a 486DX with the FPU removed or in early versions present but disabled.^[4]
AMD disables defective cores on their quad-core Phenom and Phenom II X4 processor dies to make cheaper triple-core Phenom and Phenom II X3 and dual-core X2 models without the expense of designing new chips. Quad-core dies with one or two faulty cores can be used as triple- or dual-core processors rather than being discarded, increasing yield.^[11] Some users have managed to "unlock" these crippled cores, when not faulty.^[12]
Powerware has a line of UPS models that can be upgraded in the field (without replacing any components) to the top model (15 kVA). That is, all the models are equal, but the lower ones are sold with a power limit, which can be removed for a price.
Suunto sold a line of dive computers that included the Favor and the Octopus II. The major difference between these two was that if the diver was doing a decompresson dive the Favor displayed the amount of decompression time needed; the Octopus II did not display that time, although it would keep track of it (at the stop it would show a warning while the diver needed to wait before continuing his ascent. In the same circumstances the Favor would display a countdown).^[13] The Favor was about 1/3 more expensive than the Octopus II (about 200 euros versus 150).
Casio fx-82es scientific calculator has the same ROM as fx-991es, but some functions are disabled.^[14]

Digital rights management

Digital rights management is another example of this product differentiation strategy.^[3] Digital files are inherently capable of being copied perfectly in unlimited quantities; digital rights management aims to remove the (from the producer's viewpoint) excess utility to the user from this capability by using hardware or cryptographic techniques to limit copying or playback.

Cars

This product differentiation strategy has also been used in the car market. In cars the motivation for is more usually trying to prevent a lower model from cannibalizing the sales of a higher model.

The Mazda 2's 1.3l engine can have either 75 or 86 PS (55 or 63 kW) with the only difference being the ECU programming and the price.^[15]^[16]
When the Golf V GTI was introduced its engine developed 200 hp (150 kW) (tuners were able to increase that to 246 hp (183 kW) by reprogramming the ECU^[17] and currently that engine is available in several levels of power: 230 hp (170 kW) (GTI Edition 30), 241 hp (180 kW) (Seat Leon Cupra), 265 hp (198 kW) (Audi S3), although with some mechanical differences). It was suspected that this was to protect the R32 model equipped with the VR6 engine which has 250 hp (190 kW).
Porsche consistently and deliberately limits their mid-engined cars for fear that the vehicles would prove faster than their rear engine cars due to the superior chassis dynamics of a mid engine vehicle as opposed to a rear engine vehicle. This includes equipping them with inferior gearing (2nd gear hits 70 mph in the Cayman and Boxster as opposed to 60 mph in the 911), resulting in slower acceleration. It also includes the refusal to equip the Cayman or Boxster with the larger and more powerful engines from the 911, despite the fact that many enthusiasts and aftermarket tuners have fitted these more powerful engines into the vehicles. It also includes deliberately equipping the Boxster and Cayman with inferior oiling systems which include oil pans that are not baffled, wet sump systems, and air-oil separators that are too small. For years they didn't even offer a limited slip differential in the Boxster or Cayman. Finally, Porsche equips these vehicles with smaller wheel and tire packages (despite the fact that larger packages can fit) and with lower grip rubber from the factory (despite the existence of higher grip rubber).

Anti-features

Anti-features are design features deliberately added to a design to reduce the functionality of a hardware or software system. Examples include the production of "cut-down" versions of software or hardware that is built from the same basic hardware design or code-base as the full product, except for design elements added with the sole function of removing or restricting functionality.

Anti-features are often used as part of a product differentiation strategy, allowing a complete product line to be created from a single design or code base that actually consists of a number of versions of the same high-end product with progressively more features deliberately disabled as the price point drops.

Digital rights management, Client Access Licenses, and Windows Genuine Advantage are considered by some to be examples of anti-features in software: each restricts functionality (unlimited copying, and unlimited numbers of clients capable of being served, respectively) that would otherwise be innate in the product's design.

Hardware copy protection schemes have similarly been used to limit the functionality of some recording devices.

In automotive design, software restrictions may be used to deliberately limit the performance of low-end vehicles, even though they may be built from the same parts as higher-end vehicles in the same product line. In the computer printer industry, hardware authentication strategies have been used in attempts to link the sale of ink cartridges to the sale of printers.