Microsoft Corp. chairman and co-founder Bill Gates said Tuesday that Russia has made progress tackling software piracy, a problem that has threatened the country’s bid to join the World Trade Organization.

Knockoffs of the latest computer programs can be had from stalls and markets around Moscow for just a few dollars, and pirated films, music and software in Russia cost U.S. companies nearly $1.8 billion in 2005, according to the International Intellectual Property Association. Despite Microsoft being one of the main victims of the pirates, Gates praised Russia’s efforts to rein them in.