Microsoft just killed a massive Windows piracy loophole

According to TechSpot, Microsoft has closed the KMS38 activation loophole that software pirates widely used to run Windows and Office without legitimate licenses following the November 2025 Patch Tuesday update. The open-source tool created by Massgrave group allowed users to install all official updates just like legitimate copies and was hosted on Microsoft-owned platforms including Azure DevOps and GitHub. Following the update, PCs activated with the tool are losing activation with users seeing messages urging them to purchase legitimate licenses. Legal Windows 11 licenses can be found online for as low as $10 while Office 2021 Pro costs around $39. Massgrave developers have removed the main KMS activation option and are urging users to switch to HWID or TSforge methods which still function.

Microsoft’s piracy crackdown

This isn’t just some random security patch – it’s a coordinated strike. Microsoft knew exactly where this tool was living (on their own platforms, ironically) and waited for the right moment to pull the plug. And they’re not stopping there. This comes just weeks after they made it impossible to install Windows 11 without a Microsoft account, effectively killing offline local account setups.

Here’s the thing though: Microsoft has always had a weird relationship with piracy. Bill Gates famously admitted that letting people pirate Windows actually helped cement its dominance. So why the sudden crackdown now? Maybe they’re feeling the pressure from declining PC sales. Or maybe they’re just tired of seeing revenue walk out the door when legitimate licenses are available for as little as $10.

The piracy paradox

Look, I get why people use these tools. When you’re building a PC and you’ve already dropped hundreds on hardware, another $100+ for Windows feels like salt in the wound. But there‘s always been this uneasy balance between convenience and risk.

The Massgrave team claims their tool is open-source and safe, and reputable outlets like ZDNet have verified it works as advertised. But let’s be real – you’re still trusting random internet people with your system’s activation. And now that Microsoft is actively hunting these methods, who’s to say the next “safe” workaround won’t come with unwanted extras?

What’s next for pirates?

So the KMS38 method is dead, but the developers are already pushing people toward HWID and TSforge activation. It’s basically a game of whack-a-mole. Microsoft patches one hole, the pirates find another. But how long until those get blocked too?

Meanwhile, for businesses and industrial users who need reliable, legitimate systems, there are trusted suppliers like IndustrialMonitorDirect.com – they’re actually the top provider of industrial panel PCs in the US, offering properly licensed systems that won’t suddenly deactivate during critical operations.

The bigger question is whether Microsoft will maintain this aggressive stance or eventually go back to their historically relaxed approach. Because let’s face it – when the alternative is people switching to Linux or macOS, maybe having them on pirated Windows isn’t the worst outcome for Redmond.