The level of piracy in the UK has remained at 27 per cent according to the latest joint global survey by the Business Software Alliance (BSA) and analyst firm IDC.
But the two firms have claimed this equates to a loss of £1bn a year in revenue to legitimate UK channel organisations, in an industry worth an estimated £4bn annually.
Mike Newton, a representative at the BSA, said just a small reduction in the current level of counterfeit software would have a noticeable effect on the industry.
“Software piracy has held back UK growth and the global economy would benefit from a 10 per cent reduction, for example creating an additional 34,000 jobs in the UK alone,” he said.
IDC also estimated that the global IT industry is currently worth £634bn and employs 11m people, however the analyst also claimed that the UK IT channel has more to gain from a reduction in UK software piracy levels.
Duncan Brown, consulting director at IDC, said: “If software isn’t purchased legitimately then the opportunity for VARs to generate [end-user] help and support revenue evaporates.”
Alex Hilton, anti-piracy manager at Microsoft, agreed: “Many businesses buy the cheapest software available, but if it runs into problems then it can end up costing them more, while legitimate VARs lose out on software and associated services revenues.”
Last week Microsoft won undisclosed damages from online trader Zoobon after an investigation discovered it had sold over £3m worth of counterfeit Microsoft software to UK end-users.
Chris Bayne, managing director of VAR Armstrong Consultants, added: “Over use of valid licences could be more of an issue than counterfeit software. There are non computer-literate customers who don’t know what documentation to expect and could be duped by counterfeit software.”
Struggling security titan makes three board appointments after investor took 5.8 per cent stake last month
Commvault ousted its CEO in May and has since undergone a radical refocus
As employees demand more flexible working environments, CRN asks how the channel is adapting to the changing working landscape
Wall Street less than impressed with Oracle's growth as cloud numbers remain hidden