Software is still protected by copyright. I can't take a piece of your code and include it in my work if you don't agree. That's simple. Software patents are about "protecting" algorithms. And I agree some algorithms could be worth protecting, but usually this brings more loss than profit, primarily to the world community as a whole. (take JPEG2000 which could be a great replacement to aging JPEG if it wasn't patented...) The problem is in frivolous patenting of simplest, most obvious ideas, thus stopping any development, because whoever gets the same idea (independently from you, because it's obvious) can't use it because it's patented. Billions of patents like [something from common life] done over the Internet, [something from common life] automated, [some common action] optimized by removing redundant steps, embedding [data 1] in [data 2], etc. In the US things like triple-click (a method to enter information using a manipulator device) get patented. And these patents never serve innovation or improvement. They serve profit from lawsuits/settlements against whoever doesn't know such obvious things are patented. Some of the patents are plain bogus and invalid, but overturning a bogus patent is about $1mln in legal fees, so most people choose settlements. And that's what most software patents would allow...