Study says 10% Piracy Reduction Worth US$40 Billion In Asia

Piracy

Business Software Alliance  released a new study showing the huge economic, tax and employment gains to be made in the Asian region if piracy was reduced by only 10% over the next four years.

If Australian piracy was reduced by 10% over the same timeframe, the BSA suggest that an additional 3,900 jobs could be created, AUD $2.1 billion in additional economic growth could be achieved, and Federal, regional and local governments could see their tax receipts swell by an astounding AUD $485 million.

On an Asia-wide level, the totals grow even higher – 435,000 new jobs, US$40 billion in economic growth and an eye watering US$5 billion in tax revenues.

That’s because, as the BSA study points out, “for every $1 spent on legitimate packaged software, an additional $1.25 is spent on related services from local vendors such as installing the software, training personnel and providing maintenance services” – essential services that many companies need, while also demonstrating that the true cost of software for companies isn’t just the cost of the software alone.

Spending accounted for 3.0% of gross domestic product (GDP), supported more than 23,500 IT companies with nearly 178,000 IT industry employees, and helped generate AUD $11.6 billion in IT-related taxes – all from a country of only around 20 million people.

Sheryle Moon, CEO of the Australian Information Industry Assocation (AIIA) commented that: “The growth of the Australian ICT industry is reliant on the ability of local companies to reap the benefits of their IP in the globalised marketplace. It is important that such innovation be protected at home and abroad from piracy. Protection would result in increased export revenue for Australia which is imperative to address the ICT trade deficit.”

So, what steps does the BSA suggest Governments can take to reduce software piracy? The study suggests what could well be a 5 point plan:

1. Update national copyright laws to implement World Intellectual Property Organization (WIPO) obligations;
2. Create strong enforcement mechanisms, as required by the World Trade Organization (WTO), including tough anti-piracy laws;
3. Dedicate significant government resources to the problem, including national IP enforcement units, cross-border cooperation, and more training for local officers;
4. Improve public education and awareness; and
5. Lead by example by requiring the public sector to use only legitimate software.

 

source:itwire