Piracy costing UK plc millions

Illegal software sales still costing industry over a billion pounds despite continuing crackdown

Software piracy watchdog the Business Software Alliance (BSA) has claimed over 13,000 new jobs could be created in the UK if the piracy rate was reduced.

In its Global Software Piracy Study, conducted jointly with analyst house IDC, the BSA also claimed the IT sector is losing out on a potential £1.08bn in extra revenues because of piracy.

This year's study, which tracks piracy rates across 100 countries, revealed how the IT industry will be worth £52.1bn by 2011, supporting 638,000 jobs and creating £32.5bn in revenue each year. However the report warned this forecast would not be met if the issue of piracy is not addressed.

Julie Strawson, chair of the BSA UK member committee, said: “When countries take bold steps to reduce software piracy, everyone stands to benefit.”

“The UK industry has shown itself to be resilient under pressure; however, economists are predicting a difficult 2008. We must be stringent about protecting a robust IT sector and this study shows there is a compelling reason to do so: reducing software piracy delivers tangible benefits for governments and local economies,” she added.

John Gantz, chief research officer at IDC, said: “Reducing PC software piracy is important for business owners and SMEs in order to reduce the legal and business risks of using unlicensed software.”

Gantz continued: “But software is unique in its ability to drive value throughout other sectors. Thus, policy makers should find a compelling case for taking steps to reduce software piracy in order to reap the economic benefits of a strong national software and IT sector. It’s clear that reducing software piracy delivers real results that help real people with real challenges.”