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17. On the Revenue's contention that revenue received would qualify as "process royalty" or" equipment royalty", the learned Counsel submitted that in the instant case, the customers are merely provided with the object code and not the source code to the software (where the information or knowledge resides). The object code is sufficient to carry out the desired function i.e. operate the software but does not convey the technical knowledge or trade secrets of the Appellant. Accordingly, no rights in a "secret process" can be said to be transferred. Further, she submitted that a computer software programme cannot be classified as equipment. She invited our attention to the report of Technical Advisory Committee constituted by the OECD to state that digital products such as software cannot be considered as "equipment" since the word "equipment" can apply only to a tangible product. In the instant case, the customers are given a computer software programme and there is no equipment of the assessee which is used by the Customer.

(iii) In no event shall Partner license or deliver to any End-User or other third party any source code for the Software or Ancillary Programs, in whole or in part.

(iv) Partner recognizes that the Ancillary Programs are licensed to Concerto by Third Party Licensor(s) and that the functionality of the Software relies in part on such Ancillary Programs. Partner further recognizes that Third Party Licensors may, from time to time, impose the restrictions on the sale, license or use of such Ancillary Programs within the Territory. Concerto shall notify Partner of any such third party actions, but shall have no liability whatsoever to Partner on such basis. Each Third-Party Licensor is a direct and intended third party beneficiary of this Agreement to the extent the Agreement relates to the Ancillary Programs, and may enforce the Agreement directly against Partner to such extent, provided, however that no Third-Party Licensor shall be liable to the Partner for any general, special, direct, indirect, consequential, incidental or other damages arising out of or relating to the Ancillary Programs. Partner hereby acknowledges that each such Third-Party Licensor fully accepts such rights as a third party beneficiary of this Agreement and that such rights were irrevocable.